ECG Q3 FY26 earnings call: key takeaways

• Everest reported third quarter 2026 EPS of $1.79, beating the $1.28 consensus (1:47)
• Revenue reached $1.4 billion, up 40% year-over-year, with strong performance across E&M and T&D segments. The company raised full-year guidance, reflecting continued momentum and strong backlog growth. (1:48)

Results vs expectations

EPS basis: GAAP diluted EPS, company press release (8-K EX-99.1)

What changed since last quarter

• The company raised full-year revenue guidance to $5.0 to $5.1 billion and EBITDA guidance to $485 to $495 million, reflecting strong Q3 performance and the inclusion of Epsilon. (15:52)
• The EBITDA margin for the quarter was 10.1%, up 110 basis points from the prior year, driven by robust revenue growth and project execution. (10:05)
• The CEO highlighted the importance of modular construction and prefabrication, noting that Epsilon's offsite capabilities will continue to grow and contribute to future projects. (24:54)

Guidance

What analysts pressed on

• Whether labor availability will pose challenges for 2027 given the company's growth. (30:15)
• How the recent acquisitions, particularly Epsilon, will impact future growth and capital expenditures. (28:26)
• The potential impact of political developments, such as election outcomes, on the company's business and project pipeline. (20:04)

In their words

• We are experiencing robust bidding activity, strong order patterns, and continued positive tone from our customers. Jeff Theed (1:48)
• Our data center and customers tend to be large hyperscalers and we remain deeply involved in the project planning process for these customers. Jeff Theed (3:36)
• We see tremendous opportunity in the future, and I would just add to that, Michael. (24:55)