Granite Construction Targets Up to $4.45 Billion Revenue and 12.5% EBITDA Margin for 2025

Reuters11-07
Granite Construction Targets Up to $4.45 Billion Revenue and 12.5% EBITDA Margin for 2025

Granite Construction Inc. has provided updated financial guidance for 2025 and set new targets for 2027, reflecting strong business performance and recent growth initiatives. For 2025, the company projects revenue between $4.35 billion and $4.45 billion, with an adjusted EBITDA margin expected in the range of 11.5% to 12.5%. The company anticipates organic revenue growth of 6% to 8% CAGR and plans for annual capital expenditures of approximately $130 million. By 2027, Granite Construction aims to achieve an adjusted EBITDA margin of 12.5% to 14.5% and a free cash flow margin between 6.5% and 8.5%. Notably, the company reported a significant year-over-year increase in adjusted EBITDA margin, rising by 330 basis points to 15% in the third quarter of 2025, supported by higher sales prices in aggregates and asphalt, as well as recent acquisitions. The company expects continued growth in volume and profitability, driven by strong demand and ongoing automation initiatives.

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