Overview
Industrial solutions provider's Q4 revenue rose 35%, beating analyst expectations
Company announced strategic merger with Thermon Group
Raises 2026 revenue outlook by 25% at midpoint, excluding Thermon merger impact
Outlook
CECO raises 2026 revenue outlook to $925-975 mln, up 25% at midpoint
Company expects 2026 adjusted EBITDA of $115-135 mln, up 40% at midpoint
CECO's 2026 outlook excludes impact of proposed Thermon merger
Result Drivers
ORDERS - CECO reported orders of $329.3 mln, driven by a large domestic gas-fired power generation project valued at $135 mln
STRONG BACKLOG - Backlog increased 47% to $793.1 mln, reflecting continued momentum in core markets
REVENUE GROWTH - Q4 revenue rose 35% to $214.7 mln, supported by execution against a growing backlog
Company press release: ID:nGNX8f52LL
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q4 Revenue | Beat | $214.69 mln | $203.79 mln (5 Analysts) |
Q4 EPS | $0.08 | ||
Q4 Adjusted Net Income | Miss | $11.10 mln | $13.63 mln (4 Analysts) |
Q4 Adjusted EBITDA | Miss | $29.80 mln | $30.34 mln (5 Analysts) |
Q4 Adjusted Operating Income | $24 mln | ||
Q4 Free Cash Flow | $8.70 mln |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the environmental services & equipment peer group is "buy"
Wall Street's median 12-month price target for CECO Environmental Corp is $61.50, about 20.8% below its February 23 closing price of $77.68
The stock recently traded at 54 times the next 12-month earnings vs. a P/E of 36 three months ago
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(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.)
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