Matrix Service Company Stock Earnings Reports

Matrix Service Company reported a strong start to fiscal 2026 with 28% year-over-year revenue growth to $211.9 million and its highest quarterly gross margin in over two years (6.7%). Performance was driven by larger new construction projects in Storage & Terminal Solutions and Utility & Power Infrastructure. Consolidated gross profit rose 82% to $14.2 million. The company reiterated full-year revenue guidance of $875 million to $925 million and finished the quarter with backlog of $1.2 billion and an opportunity pipeline of $6.7 billion, concentrated in LNG, NGLs and ammonia storage and related infrastructure. Management removed two projects totaling ~$197 million from backlog due to client-driven commercial or execution changes; these removals do not affect FY2026 guidance or Q1 results. Cost actions and restructuring (primarily completed) improved operating leverage: SG&A decreased to 7.7% of revenue, adjusted EBITDA was positive $2.5 million, GAAP EPS loss narrowed to $0.13 (adjusted EPS nearly breakeven), and the company now expects quarterly breakeven at $210–$215 million of revenue (down from ~$225M previously). Cash decreased to $217 million during the quarter as project prepaid positions converted to working capital, but liquidity remains strong at $249 million with no debt. Management expects mid-sized project activity in FY2026 and anticipates a reacceleration of larger multiyear awards late FY2026 into FY2027. They remain disciplined on bidding and capital allocation, focused on safety, execution, and returning to sustained profitability.