Key Highlights

  • Record Backlog of USD 5.48 billion at September 30, 2026 reflected 86.1% annual growth and a 69.8% climb from December 31, 2025, for Everus Construction Group (NYSE:ECG).
  • Quarterly sales grew 40.3% to USD 1.38 billion; organic expansion accounted for 35.8%, and newly acquired businesses supplied the rest.
  • Diluted EPS of USD 1.79 set a quarterly high, rising 61.3% from USD 1.11 on Net Income of USD 91.9 million.
  • Revenue guidance for 2026 moved up to USD 5.0 billion to USD 5.1 billion from USD 4.5 billion to USD 4.7 billion.

Data Center Electrical Projects Drive a Record Third Quarter

Everus Construction Group (NYSE:ECG) published third-quarter 2026 figures on November 3, 2026. Revenue hit USD 1.38 billion, climbing 40.3% from USD 986.8 million a year earlier. The electrical and mechanical segment advanced 48.0%, mainly from commercial and industrial jobs tied to data centers and high-tech facilities, partly counterbalanced by a drop in renewables work. Transmission and distribution revenue increased 14.4% thanks to Utility projects. Gross Profit moved up 65.1% to USD 205.0 million, lifting gross Margin to 14.8% from 12.6%. A resolution of a dispute over earlier billings contributed a net USD 7.6 million, which makes the margin comparison look better than it otherwise would.

Backlog's Faster Pace Compared With Revenue

Backlog is work under contract but not yet executed, which makes it a forward indicator. Of the USD 5.48 billion, an estimated USD 742.3 million arrived through acquisitions made during the nine months, Epsilon Industries among them, purchased September 1, 2026 to broaden its off-site modular and prefab capacity. Electrical and mechanical backlog hit USD 5.11 billion, nearly doubling year over year (up 98.9%), while transmission and distribution backlog dipped to USD 371.3 million from USD 375.8 million. Net income advanced 61.2% to USD 91.9 million, EBITDA grew 57.5% to USD 140.2 million, and the EBITDA margin came in at 10.1%. The company reconciles EBITDA, a non-GAAP figure, within its release.

Borrowing, Expense Creep and a Higher Guidance Band

Part of the expansion was financed with borrowings. Gross Debt went to USD 571.5 million from USD 285.0 million at the close of 2025, following a USD 100.0 million drawdown on a larger revolver, and net Leverage climbed to 0.7x from 0.4x. Acquisitions absorbed USD 380.5 million in cash across nine months, whereas free Cash Flow expanded to USD 221.2 million from USD 74.8 million. Expenses are rising too: selling, general and administrative costs jumped 55.8% to USD 80.7 million, with USD 13.4 million of extra incentive compensation and USD 6.7 million of deal costs. The new 2026 EBITDA range is USD 485 million to USD 495 million, replacing USD 410 million to USD 425 million, and it hinges on project timing and Data Center demand.

Where Things Stand

Backlog jumped 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 set records on revenue, EPS and EBITDA, and guidance moved higher, yet debt and costs also rose. With electrical and mechanical backlog at USD 5.11 billion against only USD 371.3 million in transmission and distribution, the story leans heavily on data center spending. Management ties the raised EBITDA range to project timing and data center demand, so the outlook is only as firm as those two factors. Watch the integration of Epsilon Industries and how fourth-quarter backlog converts into revenue.