MYR Group Inc. Announces Fourth-Quarter and Full Year 2025 Results

THORNTON, Colo., Feb. 25, 2026 (GLOBE NEWSWIRE) -- MYR Group Inc. (“MYR” or the "Company") (NASDAQ: MYRG), a holding company of leading specialty contractors serving the electric utility infrastructure, commercial and industrial construction markets in the United States and Canada, announced today its fourth-quarter and full year 2025 financial results.

Fourth Quarter 2025 Highlights

Full Year 2025 Highlights

Management Comments

Rick Swartz, MYR’s President and CEO, said, “We closed out 2025 with strong fourth quarter financial results, delivering annual revenues of $3.66 billion. Fourth quarter net income was $36.5 million, representing a 129.1 percent increase over the fourth quarter of 2024, with revenues, consolidated gross profit, income from operations and EBITDA all increasing year over year. Backlog at the end of the fourth quarter totaled $2.82 billion, reflecting a steady bidding environment across both our T&D and C&I business segments.” Mr. Swartz continued, “Overall, increased electrification demand and continued investment in electrical infrastructure remain encouraging and reinforce our confidence that our end markets are positioned for continued success in 2026 and beyond.”

Fourth Quarter Results

MYR reported fourth-quarter 2025 revenues of $973.5 million, an increase of $143.7 million, or 17.3 percent, compared to the fourth quarter of 2024. Specifically, our T&D segment reported quarterly revenues of $530.9 million, an increase of $80.9 million, from the fourth quarter of 2024, due to an increase of $63.6 million in revenue on transmission projects and an increase of $17.3 million in revenue on distribution projects. Our C&I segment reported quarterly revenues of $442.6 million, an increase of $62.8 million, from the fourth quarter of 2024.

Consolidated gross profit increased to $111.3 million for the fourth quarter of 2025, compared to $85.9 million for the fourth quarter of 2024. The increase in gross profit was due to higher margins and revenues. Gross margin increased to 11.4 percent for the fourth quarter of 2025 from 10.4 percent for the fourth quarter of 2024. The increase in gross margin was primarily due to the fourth quarter of 2024 being negatively impacted by certain T&D clean energy projects and a C&I project. In the fourth quarter of 2025, gross margin was also positively impacted by better-than-anticipated productivity, favorable change orders and a favorable job closeout. These margin increases were partially offset by an increase in costs associated with project inefficiencies on certain projects. Changes in estimates of gross profit on certain projects resulted in gross margin decreases of 2.0 percent and 2.9 percent for the fourth quarter of 2025 and 2024, respectively.

T&D operating income margin was 7.4 percent for the fourth quarter of 2025, compared to operating income of 6.7 percent for the fourth quarter of 2024. The increase was primarily related to the fourth quarter of 2024 being negatively impacted by certain clean energy projects. In the fourth quarter of 2025, T&D operating income margin was also positively impacted by a favorable change order and better-than-anticipated productivity. These operating income margin increases were partially offset by an increase in costs associated with project inefficiencies on certain projects.

C&I operating income margin was 6.6 percent for the fourth quarter of 2025, compared to 3.9 percent for the fourth quarter of 2024. The increase was primarily related to a larger portion of our C&I projects progressing at higher contractual margins, some of which are nearing completion. In the fourth quarter of 2025, C&I operating income margin was also positively impacted by better-than-anticipated productivity, a favorable change order and a favorable job closeout. These operating income margin increases were partially offset by an increase in costs associated with project inefficiencies on certain projects.

Selling, general and administrative expenses (“SG&A”) increased to $64.6 million for the fourth quarter of 2025, compared to $56.7 million for the fourth quarter of 2024. The period-over-period increase was primarily due to an increase in employee incentive compensation costs and an increase in employee-related expenses to support future growth.

Interest expense decreased to $0.9 million for the fourth quarter of 2025, compared to $2.2 million for the fourth quarter of 2024. The period-over-period decrease was primarily attributable to lower interest rates and lower average outstanding debt balances during the fourth quarter of 2025 as compared to the fourth quarter of 2024.

Other income increased to $0.5 million for the fourth quarter of 2025, compared to other expense of $1.1 million for the fourth quarter of 2024. The change was largely due to foreign currency losses from changes in exchange rates on intercompany receivables recognized during the fourth quarter of 2024.

Income tax expense was $9.8 million for the fourth quarter of 2025, with an effective tax rate of 21.2 percent, compared to income tax expense of $11.1 million for the fourth quarter of 2024, which represented an effective tax rate of 40.9 percent. The decrease in the effective tax rate for the fourth quarter of 2025 compared to the fourth quarter of 2024 was primarily due to changes in state tax rates used to measure our state deferred income taxes and lower permanent difference items.

For the fourth quarter of 2025, net income was $36.5 million, or $2.33 per diluted share, compared to $16.0 million, or $0.99 per diluted share, for the same period of 2024. Fourth-quarter 2025 EBITDA, a non-GAAP financial measure, was $64.2 million, compared to $45.5 million in the fourth quarter of 2024.

Full Year Results

MYR reported revenues of $3.66 billion for the full year of 2025, an increase of $295.6 million, compared to $3.36 billion for the full year of 2024. Specifically, the T&D segment reported revenues of $2.00 billion, an increase of $121.9 million, from the full year of 2024, related to an increase of $63.2 million in revenue on distribution projects and an increase of $58.7 million in revenue on transmission projects. The C&I segment reported revenues of $1.66 billion, an increase of $173.6 million, from the full year of 2024.

Consolidated gross profit was $423.8 million for the full year of 2025, compared to $290.3 million for the full year of 2024. The increase in gross profit was due to higher margins and revenues. Gross margin increased to 11.6 percent for the full year of 2025 from 8.6 percent for the full year of 2024. The increase in gross margin was primarily due to the full year of 2024 being negatively impacted by certain T&D clean energy projects and by a C&I project. In the full year of 2025, gross margin was also positively impacted by better-than-anticipated productivity, favorable change orders and favorable job closeouts. These margin increases were partially offset by an increase in costs associated with labor and project inefficiencies on certain projects and unfavorable change orders. Changes in estimates of gross profit on certain projects resulted in gross margin decreases of 1.4 percent and 4.4 percent for the full year of 2025 and 2024, respectively.

T&D operating income margin was 7.9 percent for the full year of 2025, compared to 3.7 percent for the full year of 2024. The increase was primarily related to the full year of 2024 being negatively impacted by certain clean energy projects. In the full year of 2025, T&D operating income margin was also positively impacted by better-than-anticipated productivity and favorable change orders. These operating income margin increases were partially offset by an increase in costs associated with labor and project inefficiencies on certain projects.

C&I operating income margin was 5.9 percent for the full year of 2025, compared to 3.2 percent for the full year of 2024. The increase was primarily related to a larger portion of our C&I projects progressing at higher contractual margins, some of which are nearing completion. Additionally, C&I operating income for the full year of 2024 was negatively impacted by contingent compensation expense related to a prior acquisition that did not recur during the year of 2025. In the full year of 2025, C&I operating income margin was also positively impacted by better-than-anticipated productivity, favorable change orders and a favorable job closeout. These operating income margin increases were partially offset by an increase in costs associated with labor and project inefficiencies on certain projects and unfavorable change orders.

SG&A increased to $256.4 million for the full year of 2025, compared to $238.2 million for the full year of 2024. The year-over-year increase was primarily due to an increase in employee incentive compensation costs and an increase in employee-related expenses to support future growth. These increases were partially offset by $10.3 million of contingent compensation expense related to a prior acquisition and recognized during the full year of 2024, which did not recur.

Interest expense decreased to $5.6 million for the full year of 2025, compared to $6.5 million for the full year of 2024. The year-over-year decrease was primarily attributable to lower interest rates during the full year of 2025 as compared to the full year of 2024.

Other expense decreased to $0.7 million for the full year of 2025, compared to $1.5 million for the full year of 2024. The change was largely due to higher foreign currency losses from changes in exchange rates on intercompany receivables recognized during the full year of 2024.

Income tax expense was $42.9 million for the full year of 2025, with an effective tax rate of 26.6 percent, compared to income tax expense of $16.2 million for the full year of 2024, with an effective tax rate of 34.9 percent. The decrease in the tax rate for the year ended December 31, 2025 was primarily due to changes in state tax rates used to measure our state deferred income taxes and lower permanent difference items, partially offset by lower stock compensation excess tax benefits.

For the full year of 2025, net income was $118.4 million, or $7.53 per diluted share, compared to $30.3 million, or $1.83 per diluted share, for the same period of 2024. Full-year 2025 EBITDA, a non-GAAP financial measure, was $232.7 million, compared to $117.8 million for the full year of 2024.

Backlog

As of December 31, 2025, MYR's backlog was $2.82 billion, compared to $2.66 billion as of September 30, 2025. As of December 31, 2025, T&D backlog was $1.02 billion and C&I backlog was $1.80 billion. Total backlog at December 31, 2025 increased $247.9 million, or 9.6 percent, from the $2.58 billion reported at December 31, 2024.

Balance Sheet

As of December 31, 2025, MYR had $408.3 million of borrowing availability under our $490 million revolving credit facility and $150.2 million in cash and cash equivalents.

Non-GAAP Financial Measures

To supplement MYR’s financial statements presented in accordance with generally accepted accounting principles in the United States (“GAAP”), MYR uses certain non-GAAP measures. Reconciliation to the nearest GAAP measures of all non-GAAP measures included in this press release can be found at the end of this release. MYR’s definitions of these non-GAAP measures may differ from similarly titled measures used by others. These non-GAAP measures should be considered supplemental to, and not a substitute for, financial information prepared in accordance with GAAP.

MYR believes that these non-GAAP measures are useful because they (i) provide both management and investors meaningful supplemental information regarding financial performance by excluding certain expenses and benefits that may not be indicative of recurring core business operating results, (ii) permit investors to view MYR’s performance using the same tools that management uses to evaluate MYR’s past performance, reportable business segments and prospects for future performance, (iii) publicly disclose results that are relevant to financial covenants included in MYR’s credit facility and (iv) otherwise provide supplemental information that may be useful to investors in evaluating MYR.

Conference Call

MYR will host a conference call to discuss its fourth-quarter and full year 2025 results on Thursday, February 26, 2026 at 8:00 a.m. Mountain time. To participate via telephone and join the call live, please register in advance here: https://register-conf.media-server.com/register/BIef142b2dd0e74c669676ae32feb0fd32. Upon registration, telephone participants will receive a confirmation email detailing how to join the conference call, including the dial-in number and a unique passcode. Participants may access the audio-only webcast of the conference call from the Investors page of MYR Group’s website at myrgroup.com. A replay of the webcast will be available for seven days.

About MYR

MYR Group is a holding company of leading, specialty electrical contractors providing services throughout the United States and Canada through two business segments: Transmission & Distribution (T&D) and Commercial & Industrial (C&I). MYR Group subsidiaries have the experience and expertise to complete electrical installations of any type and size. Through their T&D segment they provide services on electric transmission, distribution networks, substation facilities, clean energy projects and electric vehicle charging infrastructure. Their comprehensive T&D services include design, engineering, procurement, construction, upgrade, maintenance and repair services. T&D customers include investor-owned utilities, cooperatives, private developers, government-funded utilities, independent power producers, independent transmission companies, industrial facility owners and other contractors. Through their C&I segment, they provide a broad range of services which include the design, installation, maintenance and repair of commercial and industrial wiring generally for data centers, airports, hospitals, hotels, stadiums, commercial and industrial facilities, clean energy projects, manufacturing plants, processing facilities, water/waste-water treatment facilities, mining facilities, intelligent transportation systems, roadway lighting, signalization and electric vehicle charging infrastructure. C&I customers include general contractors, commercial and industrial facility owners, government agencies and developers. For more information, visit myrgroup.com.

Forward-Looking Statements

Various statements in this announcement, including those that express a belief, expectation, or intention, as well as those that are not statements of historical fact, are forward-looking statements. The forward-looking statements may include projections and estimates concerning the timing and success of specific projects and our future production, revenue, income, capital spending, segment improvements and investments. Forward-looking statements are generally accompanied by words such as “anticipate,” “believe,” “encouraged,” “estimate,” “expect,” “intend,” “likely,” “may,” “objective,” “outlook,” “plan,” “possible,” “potential,” “project,” “remain confident,” “should,” “unlikely,” or other words that convey the uncertainty of future events or outcomes. The forward-looking statements in this announcement speak only as of the date of this announcement; we disclaim any obligation to update these statements (unless required by securities laws), and we caution you not to rely on them unduly. We have based these forward-looking statements on our current expectations and assumptions about future events. While our management considers these expectations and assumptions to be reasonable, they are inherently subject to significant business, economic, competitive, regulatory and other risks, contingencies and uncertainties, most of which are difficult to predict and many of which are beyond our control. No forward-looking statement can be guaranteed and actual results may differ materially from those projected. Forward-looking statements in this announcement should be evaluated together with the many uncertainties that affect MYR's business, particularly those mentioned in the risk factors and cautionary statements in Item 1A of MYR's Annual Report on Form 10-K, and in any risk factors or cautionary statements contained in MYR's subsequent Quarterly Reports on Form 10-Q or Current Reports on Form 8-K.

MYR Group Inc. Contact:

Jennifer Harper, Vice President, Investor Relations & Treasurer, 847-979-5835, investorinfo@myrgroup.com

Financial tables follow…

See notes at the end of this earnings release

See notes at the end of this earnings release.

See notes at the end of this earnings release.