Orion Group Holdings Soars 11.85% on Q1 Earnings Beat

Orion Group Holdings surged 11.85% in pre-market trading on April 30, 2025, driven by a strong first-quarter performance that exceeded Wall Street's expectations.

Orion Group Holdings reported a significant increase in revenue for the first quarter of 2025, with sales up 17.4% year over year to $188.7 million. This performance surpassed analyst estimates of $173.4 million, marking an 8.8% beat. The company's non-GAAP profit of $0.01 per share also exceeded analysts' consensus estimates, which had predicted a loss of $0.07 per share. Orion's adjusted EBITDA for the quarter was $8.17 million, a 20.3% beat over analyst estimates of $6.79 million.

The company's strong performance was attributed to the successful execution of its strategic priorities and the strength of its operating model. Orion's Chief Executive Officer, Travis Boone, highlighted the company's robust start to the year, with revenue increasing 17% and adjusted EBITDA doubling compared to the same period last year. The company also reconfirmed its full-year revenue guidance of $825 million at the midpoint, which is 1.5% above analysts' estimates. EBITDA guidance for the full year is $44 million at the midpoint, slightly above analyst estimates of $43.46 million.

Despite the strong quarterly performance, Orion's long-term revenue growth has been relatively sluggish, with an annualized growth rate of 2.4% over the past five years. However, the company's annualized revenue growth of 6.1% over the last two years indicates a recent improvement in performance. Looking ahead, sell-side analysts expect revenue to grow by 1.1% over the next 12 months, which suggests some potential demand headwinds for the company's products and services.