Sterling Infrastructure, Inc. (NASDAQ:STRL) reported first-quarter results that topped expectations and raised its full-year 2026 guidance, sending shares higher in premarket trading Tuesday.

Earnings

Revenue rose to $825.7 million, up 92% from a year earlier and above the $603.6 million consensus estimate.

The increase was aided by the recently acquired CEC business, which contributed $156.1 million.

Adjusted earnings were $3.59 per share, exceeding analysts' estimate of $2.01.

Operating cash flow was $165.6 million. Cash and equivalents totaled $511.9 million as of March 31, 2026.

Backlog climbed to $3.80 billion, up 78% year over year, including a $592.0 million contribution from CEC. Excluding CEC, backlog rose 51%.

Combined backlog increased 131% to $5.15 billion, or 46% on an organic basis.

The company repurchased $12.3 million of shares during the quarter at an average price of $305.14.

Segments

E-Infrastructure Solutions revenue increased 174%, while adjusted operating income rose 177%, driven by organic growth and the CEC acquisition. The legacy site development business reported 102% revenue growth with margin expansion.

Signed backlog in the segment rose 123% year over year, or 74% excluding CEC, with more than 90% tied to mission-critical projects such as data centers, manufacturing and semiconductors.

Transportation Solutions revenue rose 10%, and adjusted operating income increased 26%, supported by strong performance in the Rocky Mountain region and a shift toward higher-margin projects.

Building Solutions revenue increased 3% on a modest pickup in homebuilder activity, while adjusted operating income fell 42% due to a tough comparison with the prior year.

Outlook

The company raised its fiscal 2026 outlook, projecting adjusted earnings of $18.40 to $19.05 per share, up from prior guidance of $13.45 to $14.05 and above the $12.72 consensus estimate.

Revenue is now expected to be $3.7 billion to $3.8 billion, compared with prior guidance of $3.05 billion to $3.2 billion and a $3.10 billion consensus estimate.

Chief Executive Officer Joe Cutillo said strong bidding and award activity early in 2026 has improved visibility into future growth. He added the company secured initial site development work for a large, multi-year semiconductor fabrication campus and that CEC won several large projects, contributing to a $1.2 billion increase in combined backlog.

STRL Price Action: Sterling Infrastructure shares were up 29.46% at $685.48 during premarket trading on Tuesday. The stock is trading at a new 52-week high, according to Benzinga Pro data.

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