Primoris Lowers 2026 EPS Outlook, Sees Energy Margins Recovering in 2027

Primoris Services Corporation lowered its 2026 earnings-per-share guidance to $1.20 to $1.35, citing delayed solar project starts, Utilities seasonality and a higher effective tax rate. The company expects Energy segment margins to return to 10% to 12% in 2027 as challenged projects are completed and renewable-related effects fade.

About $450 million in revenue was deferred beyond 2026. Most of the shift reflected project starts moving from 2026 into 2027, changing when the revenue is expected to be recognized.

Gas operations and power delivery contributed to the Utilities segment. Management also highlighted gas-generation growth and the PayneCrest backlog. Funding delays and customer consolidation continued to weigh on Primoris’ Communications business.

Primoris recorded sequential improvement in third-quarter margins, earnings and cash flow. Its backlog set a record for the second consecutive quarter.