Granite Construction reported third‑quarter 2025 revenue of $1.43 billion, a 12% year‑over‑year increase from $1.30 billion in Q3 2024. Net income attributable to the company rose to $103 million, and diluted earnings per share were $1.98, matching the consensus estimate of $2.02. Adjusted net income climbed to $124 million, and adjusted EPS reached $2.70, beating the consensus of $2.36 by $0.34 or 14.5%. The company’s gross profit for the quarter was $261 million, up 12% from $232 million in the same period last year, reflecting stronger pricing power and cost discipline across both its construction and materials segments.
The materials segment drove a significant portion of the earnings beat, with revenue up 39.1% and gross profit more than doubling to $140 million. The acquisition of Cinderlite, completed by subsidiary Centennial Aggregate Inc. on October 6 2025, added a high‑margin aggregate business that immediately contributed to the bottom line. The construction segment’s revenue grew 7.6% to $1.10 billion, while its gross profit margin improved to 16.5% from 15.8% a year earlier, underscoring disciplined cost management amid a challenging construction environment.
Granite’s committed‑and‑awarded‑projects (CAP) reached a record $6.3 billion, up $273 million sequentially and $718 million year‑over‑year. The jump reflects a robust pipeline of public and private infrastructure projects, particularly in the company’s home markets. The record CAP signals strong future revenue potential and positions Granite to accelerate growth in the fourth quarter and into 2026.
Management updated its 2025 fiscal‑year guidance, narrowing the full‑year revenue outlook to $4.35 billion–$4.45 billion from a previously broader range, while raising the adjusted EBITDA margin guidance to 11.5%–12.5% from 11.0%–12.0%. The revenue narrowing reflects a shift in project start dates to the second half of 2025, while the margin increase signals confidence in continued pricing power and cost discipline. The guidance update indicates management’s belief that the company can maintain profitability even with a slightly slower revenue trajectory.
"Our third‑quarter results demonstrate solid progress toward our 2027 financial targets," said CEO Kyle Larkin. "The record CAP and the immediate contribution from the Cinderlite acquisition reinforce our strategy of vertical integration and home‑market expansion. We remain confident in our ability to generate strong earnings as the pipeline continues to ramp up," added CFO Staci Woolsey. These comments highlight Granite’s focus on leveraging its materials business to support construction operations and sustain long‑term upside in a favorable infrastructure tailwind.
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