Dycom Industries, Inc. Reports Fiscal 2026 Third Quarter Results
Third Quarter Highlights
(All metrics compared to the third quarter of fiscal 2025)
- Record Contract Revenues of $1.452 billion, up 14.1%
- Record GAAP Diluted EPS of $3.63, up 35.4% compared to Q3 2025 Non-GAAP Diluted EPS
- Record Net Income of $106.4 million, up 34.4% compared to Q3 2025 Non-GAAP Net Income
- Record Adjusted EBITDA of $219.4 million, up 28.5% and representing 15.1% of contract revenues
- Strong Operating Cash Flows of $220.0 million
- Record Backlog of $8.2 billion as of October 25, 2025
- Increasing Midpoint of Fiscal 2026 Revenue Outlook
WEST PALM BEACH, Fla., Nov. 19, 2025 (GLOBE NEWSWIRE) — Dycom Industries, Inc. (NYSE: DY) announced today its results for the third quarter ended October 25, 2025.
“We delivered an exceptional third quarter with record revenue, profitability and backlog, reinforcing our industry leadership and operational discipline. As a result of our strong performance, we are increasing the midpoint of our full-year revenue outlook,” said Dan Peyovich, Dycom’s President and Chief Executive Officer.
“The demand drivers for telecommunications and digital infrastructure have never been stronger, fueled by accelerating fiber builds, a massive ramp-up in data center needs, and the much anticipated arrival of BEAD. Dycom’s unique scale, expertise, and deep customer relationships position us to lead this significant, long-term deployment of digital infrastructure and deliver substantial value to our shareholders. I want to sincerely thank the Dycom team for their commitment to excellence and their focus on delivering for our customers every day.”
Third Quarter Results
Contract revenues increased 14.1% to $1.452 billion for the quarter ended October 25, 2025, compared to $1.272 billion for the prior year quarter. On an organic basis, contract revenues increased 7.2% after excluding contract revenues from acquired businesses that were not owned for the entirety of both the current and prior year quarters. Total contract revenues from acquired businesses were $110.9 million for the quarter ended October 25, 2025, compared to $21.0 million for the prior year quarter.
Non-GAAP Adjusted EBITDA increased to $219.4 million, or 15.1% of contract revenues, for the quarter ended October 25, 2025, compared to $170.7 million, or 13.4% of contract revenues, for the prior year quarter.
On a GAAP basis, net income increased to $106.4 million, or $3.63 per common share diluted, for the quarter ended October 25, 2025, compared to $69.8 million, or $2.37 per common share diluted, for the prior year quarter. Non-GAAP Adjusted Net Income was $79.2 million, or $2.68 per common share diluted, for the prior year quarter.
Year-to-Date Results
Contract revenues increased 13.0% to $4.088 billion for the nine months ended October 25, 2025, compared to $3.617 billion for the prior year period. On an organic basis, contract revenues increased 3.9% after excluding contract revenues from acquired businesses that were not owned for the entirety of both the current and prior year periods. Total contract revenues from acquired businesses were $377.6 million for the nine months ended October 25, 2025, compared to $47.6 million for the prior year period.
Non-GAAP Adjusted EBITDA increased to $575.3 million, or 14.1% of contract revenues, for the nine months ended October 25, 2025, compared to $460.0 million, or 12.7% of contract revenues, for the prior year period.
On a GAAP basis, net income increased to $264.9 million, or $9.05 per common share diluted, for the nine months ended October 25, 2025, compared to $200.7 million, or $6.81 per common share diluted, for the prior year period. Non-GAAP Adjusted Net Income was $214.2 million, or $7.26 per common share diluted for the prior year period.
Outlook
Fiscal 2026 Annual Outlook
As a result of our strong performance and favorable demand outlook, the Company is increasing the midpoint of its revenue outlook for the year. We now expect total contract revenues for fiscal 2026 to range from $5.350 billion to $5.425 billion, representing a range of 13.8% to 15.4% total growth over the prior year. Fiscal 2026 will include 53 weeks of operations due to our fiscal calendar, with the extra week occurring in the Company’s fiscal fourth quarter when operations are normally seasonally impacted by winter weather.
Fourth Quarter Fiscal 2026 Outlook
For the quarter ending January 31, 2026, the Company expects the following:
| Contract revenues | $1.26 billion to $1.34 billion |
| Non-GAAP Adjusted EBITDA | $140 million to $155 million |
| Diluted Earnings per Common Share | $1.30 to $1.65 |
| Non-GAAP Adjusted Diluted Earnings per Common Share* | $1.62 to $1.97 |
*Beginning in the fiscal fourth quarter ending January 31, 2026, the Company expects to exclude the impact of intangible amortization expense in its calculation of Non-GAAP Adjusted Earnings per Common Share.
For additional information regarding the Company’s outlook, please see the presentation materials available on the Company’s website posted in connection with the conference call discussed below.
Use of Non-GAAP Financial Measures
The Company reports its financial results in accordance with U.S. generally accepted accounting principles (GAAP). In the Company’s quarterly results releases, slide presentations, conference calls, and webcasts, it may use or discuss Non-GAAP financial measures, as defined by Regulation G of the Securities and Exchange Commission. See Reconciliation of Non-GAAP Financial Measures to Comparable GAAP Financial Measures in the press release tables that follow.
Conference Call Information and Other Selected Data
The Company will host a conference call to discuss fiscal 2026 third quarter results on Wednesday, November 19, 2025 at 9:00 a.m. ET. Interested parties may participate in the question and answer session of the conference call by registering at https://register-conf.media-server.com/register/BI9a839022ad944fb09c33dfa69ba71132. Upon registration, participants will receive a dial-in number and unique PIN to access the call. Participants are encouraged to join approximately ten minutes prior to the scheduled start time.
For all other attendees, a live listen-only audio webcast of the call, including an accompanying slide presentation, can be accessed directly at https://edge.media-server.com/mmc/p/uapuurgx/lan/en/. A replay of the live webcast and the related materials will be available on the Company’s Investor Center website at https://dycomind.com/investors for approximately 120 days following the event.
About Dycom Industries, Inc.
Dycom is a leading provider of specialty contracting services to the telecommunications infrastructure and utility industries throughout the United States. These services include program management, planning, engineering and design; aerial, underground, and wireless construction; maintenance; and fulfillment services for telecommunications providers. Additionally, Dycom provides underground facility locating services for various utilities, including telecommunications providers, as well as other construction and maintenance services for electric and gas utilities.
Forward Looking Information
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include those related to the Company’s current assumptions regarding future business and financial performance, including, but not limited to, those statements found under the “Outlook” section of this press release. Forward-looking statements are based on management’s expectations, estimates and projections, are made solely as of the date these statements are made, and are subject to both known and unknown risks and uncertainties that may cause the actual results and occurrences discussed in these forward-looking statements to differ materially from those referenced or implied in the forward-looking statements contained in this press release. The most significant of these known risks and uncertainties are described in the Company’s Form 10-K, Form 10-Q, and Form 8-K reports (including all amendments to those reports) and include future economic conditions and trends including the potential impacts of an inflationary economic environment, changes in government policies and laws affecting our business, including related to funding for infrastructure projects and tariff policies or changes to tax laws, changes to customer capital budgets and spending priorities, the availability and cost of materials, equipment and labor necessary to perform our work, the adequacy of the Company’s insurance and other reserves and allowances for credit losses, whether the carrying value of the Company’s assets may be impaired, the future impact of any acquisitions or dispositions, adjustments and cancellations of the Company’s projects, the impact to the Company’s backlog from project cancellations or postponements, the impacts of pandemics and public health emergencies, the impact of varying climate and weather conditions, the anticipated outcome of other contingent events, including litigation or regulatory actions involving the Company, potential liabilities or other adverse effects arising from occupational health, safety, and other regulatory matters, the adequacy of our liquidity, the availability of financing to address our financials needs, the Company’s ability to generate sufficient cash to service its indebtedness, the impact of restrictions imposed by the Company’s credit agreement, and other risks and uncertainties detailed from time to time in the Company’s filings with the Securities and Exchange Commission. The Company does not undertake any obligation to update its forward-looking statements.
For more information, contact:
Callie Tomasso, Vice President, Investor Relations & Corporate Communications
Email: investorrelations@dycomind.com
Phone: (561) 627-7171
—Tables Follow—
| DYCOM INDUSTRIES, INC. AND SUBSIDIARIES | |||||
| CONDENSED CONSOLIDATED BALANCE SHEETS | |||||
| (Dollars in thousands) | |||||
| Unaudited | |||||
| October 25, 2025 | January 25, 2025 | ||||
| ASSETS | |||||
| Current assets: | |||||
| Cash and equivalents | $ | 110,109 | $ | 92,670 | |
| Accounts receivable, net | 1,586,884 | 1,373,738 | |||
| Contract assets | 147,576 | 63,375 | |||
| Inventories | 120,057 | 127,255 | |||
| Income tax receivable | 19,869 | 2,963 | |||
| Other current assets | 41,475 | 34,629 | |||
| Total current assets | 2,025,970 | 1,694,630 | |||
| Property and equipment, net | 567,918 | 541,921 | |||
| Operating lease right-of-use assets | 118,769 | 112,151 | |||
| Goodwill and other intangible assets, net | 516,644 | 550,076 | |||
| Other assets | 95,523 | 46,589 | |||
| Total assets | $ | 3,324,824 | $ | 2,945,367 | |
| LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||
| Current liabilities: | |||||
| Accounts payable | $ | 297,130 | $ | 223,490 | |
| Current portion of debt | 20,000 | 10,000 | |||
| Contract liabilities | 54,766 | 73,548 | |||
| Accrued insurance claims | 53,060 | 46,686 | |||
| Operating lease liabilities | 38,135 | 35,823 | |||
| Income taxes payable | — | 30,636 | |||
| Other accrued liabilities | 193,367 | 166,970 | |||
| Total current liabilities | 656,458 | 587,153 | |||
| Long-term debt | 919,480 | 933,212 | |||
| Accrued insurance claims – non-current | 66,101 | 49,836 | |||
| Operating lease liabilities – non-current | 87,032 | 76,928 | |||
| Deferred tax liabilities, net – non-current | 85,082 | 32,172 | |||
| Other liabilities | 27,376 | 26,969 | |||
| Total liabilities | 1,841,529 | 1,706,270 | |||
| Total stockholders’ equity | 1,483,295 | 1,239,097 | |||
| Total liabilities and stockholders’ equity | $ | 3,324,824 | $ | 2,945,367 | |
| DYCOM INDUSTRIES, INC. AND SUBSIDIARIES | |||||||||||||||
| CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | |||||||||||||||
| (Dollars in thousands, except share amounts) | |||||||||||||||
| Unaudited | |||||||||||||||
| Quarter | Quarter | Nine Months | Nine Months | ||||||||||||
| Ended | Ended | Ended | Ended | ||||||||||||
| October 25, 2025 | October 26, 2024 | October 25, 2025 | October 26, 2024 | ||||||||||||
| Contract revenues | $ | 1,451,798 | $ | 1,272,007 | $ | 4,088,349 | $ | 3,617,489 | |||||||
| Costs of earned revenues, excluding depreciation and amortization | 1,131,596 | 1,007,412 | 3,213,158 | 2,881,930 | |||||||||||
| General and administrative1 | 107,297 | 110,777 | 317,816 | 304,915 | |||||||||||
| Depreciation and amortization | 62,159 | 52,001 | 181,402 | 143,778 | |||||||||||
| Total | 1,301,052 | 1,170,190 | 3,712,376 | 3,330,623 | |||||||||||
| Interest expense, net | (13,782 | ) | (17,451 | ) | (43,385 | ) | (44,941 | ) | |||||||
| Loss on debt extinguishment2 | — | — | — | (965 | ) | ||||||||||
| Other income, net | 3,298 | 6,926 | 17,391 | 22,595 | |||||||||||
| Income before income taxes | 140,262 | 91,292 | 349,979 | 263,555 | |||||||||||
| Provision for income taxes3 | 33,897 | 21,503 | 85,083 | 62,812 | |||||||||||
| Net income | $ | 106,365 | $ | 69,789 | $ | 264,896 | $ | 200,743 | |||||||
| Earnings per common share: | |||||||||||||||
| Basic earnings per common share | $ | 3.67 | $ | 2.39 | $ | 9.15 | $ | 6.89 | |||||||
| Diluted earnings per common share | $ | 3.63 | $ | 2.37 | $ | 9.05 | $ | 6.81 | |||||||
| Shares used in computing earnings per common share: | |||||||||||||||
| Basic | 28,953,396 | 29,154,262 | 28,941,923 | 29,121,475 | |||||||||||
| Diluted | 29,330,297 | 29,481,003 | 29,278,792 | 29,489,808 | |||||||||||
| DYCOM INDUSTRIES, INC. AND SUBSIDIARIES | |||||||||||||||
| RECONCILIATION OF NON-GAAP FINANCIAL MEASURES TO COMPARABLE GAAP FINANCIAL MEASURES | |||||||||||||||
| (Dollars in thousands) | |||||||||||||||
| Unaudited | |||||||||||||||
| CONTRACT REVENUES, NON-GAAP ORGANIC CONTRACT REVENUES, AND GROWTH % | |||||||||||||||
| Quarter | Quarter | Nine Months | Nine Months | ||||||||||||
| Ended | Ended | Ended | Ended | ||||||||||||
| October 25, 2025 | October 26, 2024 | October 25, 2025 | October 26, 2024 | ||||||||||||
| Contract Revenues – GAAP | $ | 1,451,798 | $ | 1,272,007 | $ | 4,088,349 | $ | 3,617,489 | |||||||
| Contract Revenues – GAAP Growth % | 14.1 | % | 13.0 | % | |||||||||||
| Contract Revenues – GAAP | $ | 1,451,798 | $ | 1,272,007 | $ | 4,088,349 | $ | 3,617,489 | |||||||
| Revenues from acquired businesses4 | (110,907 | ) | (20,993 | ) | (377,581 | ) | (47,613 | ) | |||||||
| Non-GAAP Organic Contract Revenues | $ | 1,340,891 | $ | 1,251,014 | $ | 3,710,768 | $ | 3,569,876 | |||||||
| Non-GAAP Organic Contract Revenues Growth % | 7.2 | % | 3.9 | % | |||||||||||
| NET INCOME AND NON-GAAP ADJUSTED EBITDA | |||||||||||||||
| Quarter | Quarter | Nine Months | Nine Months | ||||||||||||
| Ended | Ended | Ended | Ended | ||||||||||||
| October 25, 2025 | October 26, 2024 | October 25, 2025 | October 26, 2024 | ||||||||||||
| Reconciliation of net income to Non-GAAP Adjusted EBITDA: | |||||||||||||||
| Net income | $ | 106,365 | $ | 69,789 | $ | 264,896 | $ | 200,743 | |||||||
| Interest expense, net | 13,782 | 17,451 | 43,385 | 44,941 | |||||||||||
| Provision for income taxes3 | 33,897 | 21,503 | 85,083 | 62,812 | |||||||||||
| Depreciation and amortization | 62,159 | 52,001 | 181,402 | 143,778 | |||||||||||
| EBITDA | 216,203 | 160,744 | 574,766 | 452,274 | |||||||||||
| Gain on sale of fixed assets | (4,760 | ) | (8,202 | ) | (24,635 | ) | (28,765 | ) | |||||||
| Stock-based compensation expense | 7,986 | 14,024 | 25,185 | 31,329 | |||||||||||
| Acquisition integration costs5 | — | 4,163 | — | 4,163 | |||||||||||
| Loss on debt extinguishment2 | — | — | — | 965 | |||||||||||
| Non-GAAP Adjusted EBITDA | $ | 219,429 | $ | 170,729 | $ | 575,316 | $ | 459,966 | |||||||
| Non-GAAP Adjusted EBITDA % of contract revenues | 15.1 | % | 13.4 | % | 14.1 | % | 12.7 | % | |||||||
| DYCOM INDUSTRIES, INC. AND SUBSIDIARIES | |||||||||||||
| RECONCILIATION OF NON-GAAP FINANCIAL MEASURES TO COMPARABLE GAAP FINANCIAL MEASURES (CONTINUED) | |||||||||||||
| (Dollars in thousands, except share amounts) | |||||||||||||
| Unaudited | |||||||||||||
| NET INCOME, NON-GAAP ADJUSTED NET INCOME, DILUTED EARNINGS PER COMMON SHARE, AND NON-GAAP ADJUSTED DILUTED EARNINGS PER COMMON SHARE | |||||||||||||
| Quarter | Quarter | Nine Months | Nine Months | ||||||||||
| Ended | Ended | Ended | Ended | ||||||||||
| October 25, 2025 | October 26, 2024 | October 25, 2025 | October 26, 2024 | ||||||||||
| Reconciliation of net income to Non-GAAP Adjusted Net Income: | |||||||||||||
| Net income | $ | 106,365 | $ | 69,789 | $ | 264,896 | $ | 200,743 | |||||
| Pre-Tax Adjustments: | |||||||||||||
| Stock-based compensation modification6 | — | 7,066 | — | 9,297 | |||||||||
| Acquisition integration costs5 | — | 4,163 | — | 4,163 | |||||||||
| Loss on debt extinguishment2 | — | — | — | 965 | |||||||||
| Tax Adjustments: | |||||||||||||
| Tax impact of pre-tax adjustments | — | (1,868 | ) | — | (969 | ) | |||||||
| Total adjustments, net of tax | — | 9,361 | — | 13,456 | |||||||||
| Non-GAAP Adjusted Net Income | $ | 106,365 | $ | 79,150 | $ | 264,896 | $ | 214,199 | |||||
| Reconciliation of diluted earnings per common share to Non-GAAP Adjusted Diluted Earnings per Common Share: | |||||||||||||
| GAAP diluted earnings per common share | $ | 3.63 | $ | 2.37 | $ | 9.05 | $ | 6.81 | |||||
| Total adjustments, net of tax | — | 0.31 | — | 0.45 | |||||||||
| Non-GAAP Adjusted Diluted Earnings per Common Share | $ | 3.63 | $ | 2.68 | $ | 9.05 | $ | 7.26 | |||||
| Shares used in computing Non-GAAP Adjusted Diluted Earnings per Common Share | 29,330,297 | 29,481,003 | 29,278,792 | 29,489,808 | |||||||||
| Amounts in tables above may not add due to rounding. | |||||||||||||
| DYCOM INDUSTRIES, INC. AND SUBSIDIARIES RECONCILIATION OF NON-GAAP FINANCIAL MEASURES TO COMPARABLE GAAP FINANCIAL MEASURES (CONTINUED) |
Explanation of Non-GAAP Financial Measures
The Company reports its financial results in accordance with U.S. generally accepted accounting principles (GAAP). In the Company’s quarterly results releases, slide presentations, conference calls, and webcasts, it may use or discuss Non-GAAP financial measures, as defined by Regulation G of the Securities and Exchange Commission. The Company believes that the presentation of certain Non-GAAP financial measures in these materials provides information that is useful to investors because it allows for a more direct comparison of the Company’s performance for the period reported with the Company’s performance in prior periods. The Company cautions that Non-GAAP financial measures should be considered in addition to, but not as a substitute for, the Company’s reported GAAP results. Management defines the Non-GAAP financial measures used as follows:
- Non-GAAP Organic Contract Revenues – contract revenues from businesses that are included for the entirety of both the current and prior year periods, excluding certain non-recurring items. Non-GAAP Organic Contract Revenue change percentage is calculated as the change in Non-GAAP Organic Contract Revenues from the comparable prior year period divided by the comparable prior year period Non-GAAP Organic Contract Revenues. Management believes Non-GAAP Organic Contract Revenues is a helpful measure for comparing the Company’s revenue performance with prior periods.
- Non-GAAP Adjusted EBITDA – EBITDA (earnings before interest, taxes, depreciation and amortization) adjusted for gain on sale of fixed assets, stock-based compensation expense, and certain non-recurring items. Management believes Non-GAAP Adjusted EBITDA is a helpful measure for comparing the Company’s operating performance with prior periods as well as with the performance of other companies with different capital structures or tax rates.
- Non-GAAP Adjusted Net Income – GAAP net income before certain non-recurring items and the related tax impact. Management believes Non-GAAP Adjusted Net Income is a helpful measure for comparing the Company’s operating performance with prior periods. Beginning in the fiscal fourth quarter ending January 31, 2026, the Company expects to exclude the impact of intangible amortization expense in its calculation of Non-GAAP Adjusted Net Income.
- Non-GAAP Adjusted Diluted Earnings per Common Share – Non-GAAP Adjusted Net Income divided by weighted average diluted shares outstanding.
Management excludes or adjusts each of the items identified below from Non-GAAP Adjusted EBITDA, Non-GAAP Adjusted Net Income and Non-GAAP Adjusted Diluted Earnings per Common Share:
- Loss on debt extinguishment – Loss on debt extinguishment includes the write-off of deferred financing fees in connection with the amendment of the Company’s credit agreement during the quarter ended July 27, 2024. Management believes excluding the loss on debt extinguishment from the Company’s Non-GAAP financial measures assists investors’ overall understanding of the Company’s current financial performance and provides management with a consistent measure for assessing the current and historical financial results
- Stock-based compensation modification – In connection with the Company’s CEO succession plan and transition completed in November 2024, the Company incurred stock-based compensation modification expense. The Company excludes the impact of the modification because the Company believes it is not indicative of its underlying results or ongoing operations.
- Acquisition integration costs – The Company incurred costs of approximately $4.2 million in connection with the integration of a business acquired during the quarter ended October 26, 2024. The exclusion of the acquisition integration costs from the Company’s Non-GAAP financial measures provides management with a consistent measure for assessing financial results.
- Tax impact of pre-tax adjustments – The tax impact of pre-tax adjustments reflects the Company’s estimated tax impact of specific adjustments and the effective tax rate used for financial planning for the applicable period.
Notes
1 Includes stock-based compensation expense of $8.0 million and $14.0 million for the quarters ended October 25, 2025 and October 26, 2024, respectively, and $25.2 million and $31.3 million for the nine months ended October 25, 2025 and October 26, 2024, respectively.
2 During the nine months ended October 26, 2024, the Company recognized a loss on debt extinguishment of approximately $1.0 million in connection with the amendment of its credit agreement.
3 Provision for income taxes includes tax benefits resulting from the vesting and exercise of share-based awards of approximately $0.4 million and $3.9 million for the quarters ended October 25, 2025 and October 26, 2024, respectively, and approximately $3.2 million and $9.9 million for the nine months ended October 25, 2025 and October 26, 2024, respectively.
4 Amounts represent contract revenues from acquired businesses that were not owned for the entirety of both the current and prior year periods.
5The Company incurred costs of approximately $4.2 million in connection with the integration of a business acquired during the quarter ended October 26, 2024
6 In connection with the Company’s CEO succession plan and transition completed in November 2024, the Company incurred stock-based compensation modification expense of $7.1 million and $9.3 million during the quarter and nine months ended October 26, 2024, respectively, related to previously issued equity awards.
