MYR Group Inc. Reports 8.6% Revenue Growth and Net Income Turnaround in Q2 2025

MYR Group Inc. reported significant financial improvements in its latest quarterly results, with consolidated revenues reaching $900.3 million for the three months ended June 30, 2025, an increase of 8.6% from $828.9 million in the same period last year. For the first half of 2025, revenues totaled $1.73 billion, up from $1.64 billion in the prior year. The company achieved a net income of $26.5 million for the second quarter, compared to a net loss of $15.3 million in the same quarter of 2024. This turnaround reflects a gross profit of $103.7 million, a substantial increase from $40.8 million year-over-year, driven by improved margins and higher revenues.

The company’s operational performance showed marked improvement, with gross margins rising to 11.5% in the second quarter of 2025, compared to 4.9% in the same quarter of 2024. This increase was attributed to better-than-expected productivity and favorable job closeouts, despite some negative impacts from project inefficiencies and labor costs. MYR Group's selling, general, and administrative expenses also increased slightly to $63.3 million, reflecting investments in employee compensation and growth initiatives.

In terms of strategic developments, MYR Group has been actively managing its capital structure, repurchasing 639,207 shares of its common stock at an average price of $117.33 per share under its share repurchase program, which has now been exhausted. The company announced a new repurchase program authorizing up to $75 million in additional buybacks. As of June 30, 2025, MYR Group had $72.3 million in borrowings under its $490 million revolving credit facility, which provides liquidity for operations and growth initiatives.

Operationally, MYR Group's backlog increased to $2.64 billion as of June 30, 2025, compared to $2.58 billion at the end of 2024. This backlog includes a mix of projects across its Transmission and Distribution (T&D) and Commercial and Industrial (C&I) segments, with T&D accounting for 55.8% of total revenues in the first half of 2025. The company anticipates continued demand for its services, particularly in the T&D sector, driven by infrastructure investments and the need for utility upgrades.

Looking ahead, MYR Group remains optimistic about its growth prospects, citing ongoing legislative support for infrastructure improvements and the increasing demand for electricity. The company plans to leverage its strong balance sheet and operational capabilities to capitalize on market opportunities while managing rising costs associated with labor and materials. The outlook suggests a focus on maintaining operational efficiency and pursuing strategic growth initiatives in both the T&D and C&I segments.