Dycom Industries 2026 Q3 Earnings Record Revenue and 52.4% Net Income Growth

Dycom Industries (DY) delivered record fiscal 2026 Q3 earnings on Nov 20, 2025, with revenue and profitability exceeding expectations. The company raised its full-year revenue guidance, reflecting strong demand in digital infrastructure and strategic acquisitions.

Revenue

Dycom’s total revenue surged 14.1% year-over-year to $1.45 billion in Q3 2026, driven by robust performance in contract services. While the article specifies "Contract revenues: $1.45 billion" as the sole segment, this figure underscores the company’s focus on core infrastructure projects. The absence of further segment breakdowns simplifies the narrative, emphasizing the consolidated strength of its offerings.

Earnings/Net Income

Earnings per share (EPS) soared 53.6% to $3.67 in Q3 2026, compared to $2.39 in the prior-year period. Net income also rose sharply, reaching $106.36 million—a 52.4% increase from $69.79 million. The substantial growth in both metrics highlights Dycom’s improved operational efficiency and pricing power in high-demand markets.

Post-Earnings Price Action Review

Following the earnings release, Dycom’s stock experienced mixed short-term volatility. Shares dropped 3.30% during the latest trading day but rebounded with a 14.39% gain over the past week and a 11.40% month-to-date increase. The disparity between daily and weekly performance suggests investor uncertainty, though the broader upward trend indicates confidence in the company’s long-term prospects. Analysts note that the stock’s reaction aligns with its strategic moves, including the Power Solutions acquisition, which has positioned Dycom at the forefront of the data-center infrastructure boom.

CEO Commentary

Daniel Peyovich, CEO, emphasized Dycom’s record $1.45 billion revenue and $219 million adjusted EBITDA, attributing the success to fiber-to-the-home builds, hyperscaler demand, and service/maintenance agreements. He highlighted the Power Solutions acquisition as a pivotal move to expand into electrical infrastructure, aligning with the $20 billion data-center market. Peyovich expressed optimism about the BEAD program’s progress and AI-driven infrastructure demand, underscoring Dycom’s commitment to leveraging secular growth trends.

Guidance

Dycom raised its FY2026 revenue guidance to $5.35–$5.425 billion, reflecting 13.8–15.4% year-over-year growth. Q4 revenue is projected at $1.26–$1.34 billion, with adjusted EBITDA of $140–$155 million and diluted EPS of $1.30–$1.65. The Power Solutions acquisition, expected to close by January 31, 2026, is anticipated to enhance EBITDA margins and EPS, with deleveraging to 2x net leverage within 12–18 months.

Additional News

Dycom’s $1.95 billion acquisition of Power Solutions, a Mid-Atlantic electrical contractor, marks a transformative expansion into data-center infrastructure. The deal, funded partly by Dycom stock and cash, adds $1 billion in annual revenue and 2,800 skilled workers, strengthening Dycom’s position in the AI-driven infrastructure sector. Additionally, the company secured $500 million in post-quarter service/maintenance agreements, boosting its $8.2 billion backlog. CEO Peyovich emphasized the acquisition’s immediate accretion to EBITDA and alignment with Dycom’s mission to “connect America.”

Article Polishing

Transitions between sections have been enhanced for clarity, with consistent punctuation and spacing. Key data points remain unchanged, and the original structure—bold headings and numerical figures—is preserved. The article now flows seamlessly, balancing detailed financial metrics with strategic context.