North American utility and energy infrastructure services company Centuri Holdings, Inc. announced today that it has secured new commercial contracts totaling over $300 million. These orders come from clients in the United States and Canada, covering a broad range of capabilities in natural gas, electric power, and comprehensive energy infrastructure services.
Within this contract structure, newly bid projects and newly signed or expanded master service agreements account for approximately 87% of the total contract value, with the remaining 13% representing renewals of existing master service agreements with long-term clients. Specific work scopes include: renewing an agreement with a long-term utility client for natural gas distribution infrastructure upgrades, encompassing expanded work scopes and additional construction crews; a natural gas facility upgrade project; providing assembly and installation services for critical components for a midstream energy infrastructure company; supporting construction services for a transmission infrastructure project; and procuring and constructing electrical infrastructure for the first phase of a wind farm project in Canada.
The company is currently engaged in active negotiations for approximately $400 million in additional contracts, which include business scopes related to data centers. These newly secured contracts, combined with a robust project pipeline, lead Centuri to anticipate a full-year book-to-bill ratio of approximately 1.2x.
Centuri's President and CEO, Christian Brown, stated, "We continue to experience strong commercial momentum, reflecting our clients' trust and the solid reputation we have built in our core end markets." He specifically noted, "We are particularly pleased to have secured a new contract through our recent acquisition in Canada, which demonstrates our ability to win new opportunities with combined capabilities in the expanding Canadian market. Overall, the demand for new and upgraded infrastructure is unprecedented, and we are fully positioned to deliver the value-added solutions our clients require."
The contracts announced today complement previous orders, bringing the company's cumulative commercial contract total to approximately $1.7 billion to date in the current year. According to the company's first-quarter financial report released in early May, Centuri achieved revenue of $723.2 million, a 31% year-over-year increase, with gross profit growing 76% to $35.8 million. The ending backlog reached a record $6.5 billion, a 44% increase compared to the prior year.
Comments