Energy Services Q4 revenue rises

Overview

• Energy services contractor's Q4 revenue rose 24.2% yr/yr to record high

• Net income for Q4 fell to $4.2 mln from $6.7 mln yr/yr

• Company completed acquisition of Rigney Digital Systems

Outlook

• Energy Services expects strong demand in water and wastewater segments for fiscal 2026

• Company sees increased opportunities in electrical, mechanical, and general segments

• Acquisition of Rigney Digital Systems expected to boost margin profile

Result Drivers

• SEGMENT DEMAND - Increased work in Gas & Water Distribution and Electrical, Mechanical and General segments drove Q4 revenue growth

• ACQUISITION IMPACT - Acquisition of Rigney Digital Systems expected to enhance service offerings and boost margins

• WEATHER IMPACT - Unfavorable winter weather delayed projects, affecting full-year profitability

Key Details

Analyst Coverage

• The one available analyst rating on the shares is "buy"

• The average consensus recommendation for the construction & engineering peer group is "buy"

• Wall Street's median 12-month price target for Energy Services Of America Corp is $21.00, about 146.2% above its December 8 closing price of $8.53

• The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 17 three months ago

Press Release: ID:nPn5YPbKXa

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)