Matrix Service Company Reports 21% Revenue Growth and Reduced Net Losses in Q3 2025

Matrix Service Company reported its financial results for the third quarter and nine months ended March 31, 2025, showing a notable increase in revenue and a reduction in net losses compared to the same periods in the previous fiscal year. For the three months ended March 31, 2025, the company generated revenue of $200.2 million, a 21% increase from $166.0 million in the same quarter of 2024. The gross profit for the quarter was $12.9 million, up from $5.6 million, resulting in a gross margin of 6.4%, compared to 3.4% a year earlier. The net loss for the quarter was $3.4 million, significantly improved from a loss of $14.6 million in the prior year.

For the nine-month period, Matrix Service Company reported revenue of $552.9 million, a 3% increase from $538.7 million in the same period last year. The gross profit for this period rose to $31.6 million from $28.0 million, with a gross margin of 5.7%, up from 5.2%. The net loss for the nine months was $18.2 million, compared to a loss of $20.6 million in the previous year. The improvements in revenue and profitability were primarily driven by increased activity in the Storage and Terminal Solutions and Utility and Power Infrastructure segments, which offset declines in the Process and Industrial Facilities segment.

Operationally, Matrix Service Company reported a book-to-bill ratio of 1.5x for the quarter, with project awards totaling $301.2 million. The company’s backlog as of March 31, 2025, stood at $1.4 billion, reflecting strong demand across its segments, particularly in storage infrastructure projects related to natural gas and LNG. The company continues to focus on consolidating its operations to enhance efficiency and align with market demands, which includes reallocating resources to segments with the highest growth potential.

In terms of liquidity, Matrix Service Company reported unrestricted cash and cash equivalents of $185.5 million as of March 31, 2025, with total liquidity of $247.1 million, including availability under its asset-based credit facility. The company generated $76.8 million in cash from operating activities during the nine months, a significant increase from $25.6 million in the prior year. This improvement in cash flow was attributed to better management of working capital, particularly in accounts receivable and contract liabilities.

Looking ahead, Matrix Service Company remains optimistic about its growth prospects, citing strong market drivers such as increased demand for oil and gas, the transition to clean energy, and industrial reshoring. The company anticipates continued project awards and revenue growth, although it acknowledges potential short-term disruptions due to macroeconomic uncertainties and customer decision-making delays. The management is committed to enhancing operational performance and delivering long-term shareholder value through strategic initiatives and resource optimization.