Orion Group Holdings — Third Quarter 2026 Earnings Summary

Financial Performance:

• Revenue for the quarter ended September 30, 2026, was $256.2 million, a 14% increase from $225.1 million in the same period in 2025.
• GAAP net income was $5.5 million ($0.14 per diluted share), compared to $3.3 million ($0.08 per diluted share) in the prior year quarter.
• Adjusted EBITDA increased 37% to $17.9 million, up from $13.1 million in the third quarter of 2025.
• Adjusted EPS was $0.12 per diluted share, compared to $0.09 in the prior year quarter.
• Gross profit was $33.1 million, an 11% increase from $29.8 million in the prior year quarter.
• Selling, general and administrative expenses were $24.7 million, down from $25.1 million in the prior year quarter.
• Working capital was $81 million as of September 30, 2026, including $5.7 million in unrestricted cash and cash equivalents.
• Total debt outstanding was $109 million, with $83 million borrowed under the UMB Credit Facility.

Guidance and Future Outlook:

• The Company reiterated its full-year 2026 financial guidance.
• Full-year 2026 revenue guidance is estimated between $900 million and $950 million, representing 9% growth at the midpoint.
• Full-year 2026 Adjusted EBITDA guidance is estimated between $50 million and $54 million, representing 15% growth at the midpoint.
• Full-year 2026 Adjusted EPS guidance is estimated between $0.23 and $0.30, representing 6% growth at the midpoint.
• Full-year 2026 Capital Expenditures guidance is estimated between $25 million and $35 million.
• Management expects momentum to continue into the fourth quarter.

Business Segments and Product Lines:

• The Concrete segment delivered top- and bottom-line growth with excellent margin expansion driven by strong execution.
• The Marine segment reported strong end markets and active engagement on large, complex projects.
• Third quarter backlog included approximately $179 million in new awards and change orders.
• New awards included a significant U.S. Navy wharf repair, the next phase of the North Jetty project, two projects in Hawaii, a large concrete paving package, new phases of data center campuses, a college research building, and a water treatment plant.
• The Company won positions on two new U.S. Navy Multiple Award Construction Contracts (MACC): the $9 billion VENTI MACC and the $700 million NAVFAC Northwest Waterfront MACC.
• Backlog as of September 30, 2026, was $645 million, compared to $640 million as of December 31, 2025.
• Marine backlog was $506 million (up from $480 million), and Concrete backlog was $139 million (down from $160 million).
• Revenue growth was driven by double-digit growth in both operating segments, highly active projects, disciplined execution, favorable operating conditions, and the acquisition of J.E. McAmis.

Market and Competitive Landscape:

• Activity remains robust across mission-critical and large-scale infrastructure markets.
• The selection on two new MACC contract vehicles broadens access to significant federal opportunities and limits the pool of qualified contractors competing for future task orders.
• Continued investment in defense, port, and maritime infrastructure supports the Company's outlook.

Risks and Challenges:

• Forward-looking statements involve risks including fixed price contracts impacting profits, unforeseen productivity delays, contract cancellations, funding delays, and governmental budgetary constraints.
• Risks include labor availability, labor-cost inflation, subcontractor performance, equipment availability, and supply-chain disruptions.
• Selection as a qualified contractor on MACC contracts does not guarantee the award of work or generation of revenues/profit.
• Past performance is not necessarily an indicator of future results.

Management Commentary and Tone:

• Travis Boone, President and CEO, stated the quarter was "strong," marked by double-digit revenue growth, expanding profitability and margins, and solid bookings.
• Boone highlighted the health of end markets and the Company's commitment to delivering with predictable excellence.
• Boone expressed confidence in Orion's outlook and ability to create long-term shareholder value due to continued investment in defense, port, and maritime infrastructure.

Other Key Points:

• The Company acquired J.E. McAmis, contributing to revenue growth.
• The Company won positions on two new MACC contract vehicles, including the largest procurement action in NAVFAC Northwest's history ($9 billion VENTI MACC).
• The Company reported a reversal of the impact of valuation allowances of $2,625 thousand in the quarter ended September 30, 2026.
• Acquisition and integration costs were $187 thousand in the quarter ended September 30, 2026.
• Non-cash share-based compensation was $2,094 thousand in the quarter ended September 30, 2026.
• The Company's website for investor relations is https://www.oriongroupholdingsinc.com/investor/.