Centuri 2025 Q2 Earnings Revenue Rises 7.7%, Net Income Falls 30.9%

Centuri (CTRI) reported fiscal 2025 Q2 earnings on Aug 07th, 2025. The company raised its full-year revenue guidance amid strong commercial execution and operational performance. However, net income declined significantly compared to the same quarter in 2024, reflecting ongoing financial challenges despite revenue growth.

Revenue
Centuri’s revenue reached $724.05 million in the second quarter, a 7.7% increase from $672.08 million in the prior-year period. The growth was driven by robust performance in the Non-Union and Union Electric segments, with the Non-Union Electric segment posting a 51.1% year-over-year revenue increase of $46.1 million. The Union Electric segment grew by 11.0%, adding $18.0 million. Meanwhile, the Canadian Gas segment reported an 18.1% increase of $8.4 million. The U.S. Gas segment, however, declined by 1.1% to $336.8 million. Master services agreements accounted for $593.81 million, while bid contracts contributed $130.24 million.

Earnings/Net Income
Centuri’s earnings fell in Q2 as EPS dropped 35.7% to $0.09 from $0.14 in the year-ago quarter. Net income also declined to $8.08 million, a 30.9% decrease from $11.70 million in 2024 Q2. The company has reported losses for three consecutive years in the same period, underscoring its financial challenges.

Price Action
On the stock market, Centuri’s shares edged up 1.09% on the latest trading day but declined 0.00% during the most recent full week. The stock has also dropped 1.25% month-to-date.

Post-Earnings Price Action Review
A strategy of purchasing Centuri shares following its Q2 revenue increase and holding for 30 days yielded a modest 0.90% return over the past three years. This outperformed the benchmark of 27.64% but was considered a low-risk, low-return approach with a maximum drawdown of 0.00% and a Sharpe ratio of 0.01.

CEO Commentary
Centuri President & CEO Christian Brown emphasized the company’s strong execution across all business segments, especially in electric operations. He highlighted progress in the U.S. Gas segment and the $1.8 billion in new awards from the integrated commercial strategy. The CEO expressed confidence in Centuri’s ability to raise full-year revenue guidance despite the absence of 2024's storm restoration tailwinds.

Guidance
The company raised its full-year 2025 revenue guidance to $2.70–$2.85 billion from $2.60–$2.80 billion and narrowed its Adjusted EBITDA outlook to $250–$270 million. Additionally, Centuri increased its net capital expenditures outlook to $75–$90 million. The company expects to exceed its book-to-bill ratio target of 1.1x for 2025 and has a backlog of $5.3 billion as of June 29.

Additional News
In the weeks leading up to the earnings report, Centuri executed several strategic initiatives, including new master lease agreements to enhance fleet management flexibility and the appointment of an experienced head of fleet operations. The company also completed a debt refinancing, extending its revolver maturity from 2026 to 2030, increasing its size, and improving interest rates on its Term Loan B. Centuri’s Net Debt to Adjusted EBITDA Ratio rose to 3.7x, reflecting seasonal working capital trends. The company also strengthened its capital structure by expanding credit facilities and extending debt maturities, providing improved financial flexibility for future growth.