Dycom Industries Inc. (NYSE: DY) reported second-quarter revenue of $2.01 billion, exceeding expectations and rising 45.6% year-over-year, as strong demand for digital infrastructure projects bolstered performance.
Adjusted earnings per share came in at $5.29, surpassing the consensus estimate of $4.70. Organic revenue growth reached 16.7%, while the acquisition of National Technology Integrators added $22.9 million in the quarter. The company’s Communications segment generated $1.61 billion in revenue, up 16.7% organically, though its adjusted EBITDA margin declined to 13.6% from 14.9% a year earlier due to scaling investments and deferred wireless projects.
The Building Systems segment reported revenue of $397.5 million with an adjusted EBITDA margin of 24.5%. Total backlog expanded to a record $12.24 billion, a 53.2% increase from the prior year, reflecting sustained demand for fiber-to-the-home, long-haul and middle-mile fiber infrastructure, and maintenance services.
Third-quarter guidance calls for revenue between $1.90 billion and $1.98 billion, with adjusted EPS expected in the range of $4.33 to $4.79. For the full fiscal year, Dycom raised its revenue outlook to $7.48 billion to $7.66 billion. Shares edged up 1.76% in pre-market trading following the results.
CEO Dan Peyovich noted that the company delivered record organic first-half revenue and above-market growth, attributing the performance to a generational deployment of digital infrastructure projected to extend well into the next decade.
