Key Highlights

  • 86.1% year-over-year Backlog growth took Everus Construction Group (NYSE:ECG) to a record USD 5.48 billion at September 30, 2026, up 69.8% from December 31, 2025.
  • 40.3% Revenue growth to USD 1.38 billion in the third quarter included 35.8% organic growth, with 2026 acquisitions making up the remainder.
  • USD 1.79 in Diluted Earnings per Share was a quarterly record, up 61.3% from USD 1.11, on Net Income of USD 91.9 million.
  • USD 5.0 billion to USD 5.1 billion is the raised 2026 revenue outlook, up from USD 4.5 billion to USD 4.7 billion previously.

Record Quarter Driven by Data Center Electrical Work

Everus Construction Group (NYSE:ECG) reported third quarter 2026 results on November 3, 2026, with revenue of USD 1.38 billion, up 40.3% from USD 986.8 million a year earlier. Electrical and mechanical revenue rose 48.0%, led by commercial and industrial work, particularly data center and high-tech projects, partly offset by lower renewables revenue. Transmission and distribution revenue grew 14.4% on Utility work. Gross Profit rose 65.1% to USD 205.0 million and gross Margin widened to 14.8% from 12.6%. The company said a dispute resolution on prior billings added a net USD 7.6 million benefit, which flatters the margin comparison.

Why Backlog Outran Revenue

Backlog is contracted work not yet performed, so it signals future revenue. The USD 5.48 billion total includes an estimated USD 742.3 million from acquisitions completed in the nine months, among them Epsilon Industries, bought on September 1, 2026 to expand off-site modular construction and prefabrication. Electrical and mechanical backlog reached USD 5.11 billion, up 98.9% from a year earlier, while transmission and distribution backlog slipped to USD 371.3 million from USD 375.8 million. Net income rose 61.2% to USD 91.9 million, EBITDA rose 57.5% to USD 140.2 million, and EBITDA margin reached 10.1%. EBITDA is a non-GAAP measure the company reconciles in its release.

Leverage, Costs and the Raised Outlook

Growth was financed partly with debt. Gross Debt reached USD 571.5 million, up from USD 285.0 million at the end of 2025, after a USD 100.0 million draw on an enlarged revolving Credit facility, and net Leverage rose to 0.7x from 0.4x. Acquisitions drew USD 380.5 million of cash in the nine months, while free Cash Flow rose to USD 221.2 million from USD 74.8 million. Costs are climbing too: selling, general and administrative expenses rose 55.8% to USD 80.7 million, including USD 13.4 million of higher incentive pay and USD 6.7 million of Acquisition costs. Guidance now calls for 2026 EBITDA of USD 485 million to USD 495 million, up from USD 410 million to USD 425 million, and the figures depend on the pace of project timing and data center demand.

Where Things Stand

Everus Construction Group (NYSE:ECG) saw backlog jump 86.1% because electrical and mechanical bookings, especially in data center, high-tech and hospitality markets, nearly doubled and acquisitions added an estimated USD 742.3 million. Results were a record on revenue, EPS and EBITDA, and guidance was raised, while debt and costs also climbed. Concentration in electrical and mechanical work, where backlog stands at USD 5.11 billion against only USD 371.3 million in transmission and distribution, means the story rests heavily on data center spending. Watch the integration of Epsilon Industries and fourth quarter conversion of backlog into revenue.