Dycom Industries (DY) DY quarter Financial Results Summary
QuoteReporter
Dycom Industries, Inc. (DY) Q2 2027: Record Revenue Growth — Strongly Positive
Dycom Industries, Inc. (NYSE: DY) reported exceptional results for the second quarter of fiscal 2027, with contract revenues reaching $2.006 billion, an increase of $628.1 million or 45.6% compared to the same quarter last year. This robust growth reflects both organic expansion and strategic acquisitions, positioning the company favorably in the telecommunications infrastructure sector.
Key Financial Metrics
- Contract Revenues: $2.006 billion, up $628.1 million or +45.6% YoY
- Net Income: $115.6 million, an increase of $18.1 million or +18.6% YoY
- Adjusted Net Income: $160.7 million, up $54.3 million or +51.1% YoY
- Diluted EPS: $3.81, an increase of $0.48 or +14.4% YoY
- Adjusted Diluted EPS: $5.29, up $1.65 or +45.3% YoY
- Adjusted EBITDA: $315.5 million, up $110 million or +53.5% YoY
- Total Backlog: $12.242 billion, an increase of $4.253 billion or +53.2% YoY
Analyst Opinion
This quarter's performance is undoubtedly a positive outcome for shareholders. The significant revenue growth, coupled with a substantial increase in both net income and adjusted EBITDA, indicates that Dycom is effectively capitalizing on the growing demand for digital infrastructure. The company's ability to raise its full-year fiscal 2027 outlook further underscores its strong operational momentum and strategic positioning in the market.
Dividend and Share Buyback
There were no announcements regarding dividends or share buybacks in this quarter's report. However, the focus on growth and strategic acquisitions suggests that capital allocation will prioritize expansion initiatives.
Guidance Update
Dycom has raised its full-year fiscal 2027 outlook, now expecting contract revenues between $7.48 billion and $7.66 billion. This includes:
- Communications Segment: $5.90 billion to $6.01 billion
- Building Systems Segment: $1.58 billion to $1.65 billion
The company anticipates a slight decline in the Non-GAAP Adjusted EBITDA margin for the Communications segment due to investments aimed at scaling operations and the deferral of approximately $150 million in wireless program revenues into fiscal 2028. Conversely, the Building Systems segment is expected to benefit from increased operating leverage and higher revenue contributions from the recently acquired National Technology Integrators.
Forward Catalysts
Investors should closely monitor Dycom's performance in the upcoming third quarter, where the company expects contract revenues between $1.90 billion and $1.98 billion and Non-GAAP Adjusted EBITDA of $281 million to $302 million. Additionally, the anticipated Non-GAAP Adjusted Diluted EPS is projected to be between $4.33 and $4.79. These figures will provide further insight into the company's ability to sustain its growth trajectory and manage operational challenges effectively.
In summary, Dycom's second quarter results reflect a strong operational performance and a positive outlook for the remainder of fiscal 2027, making it an attractive proposition for investors looking for exposure in the telecommunications infrastructure sector.
Here are the extracted tables from the press release, formatted in HTML and labeled accordingly.
DYCOM INDUSTRIES, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Dollars in thousands)
Note: All amounts are in thousands.
| August 1, 2026 | July 26, 2025 | Six Months Ended August 1, 2026 | Six Months Ended July 26, 2025 | |
|---|---|---|---|---|
| Contract Revenues | $ 2,005,886 | $ 1,377,153 | $ 3,970,688 | $ 2,636,525 |
| Costs of Earned Revenues Excl. Depr. and Amortization | 1,565,634 | 1,070,062 | 3,143,665 | 2,081,501 |
| General and Administrative | 115,662 | 60,854 | 227,263 | 119,273 |
| Total | 1,813,198 | 1,238,701 | 3,634,225 | 2,411,305 |
| Interest Expense | (37,914) | (15,549) | (73,592) | (29,622) |
| Other Income | (54) | 6,830 | (1,564) | 14,093 |
| Income Before Income Taxes | 153,939 | 131,122 | 260,629 | 209,760 |
| Provision for Income Taxes | 38,339 | 33,635 | 53,759 | 51,187 |
| Net Income | $ 115,600 | $ 97,483 | $ 206,869 | $ 158,573 |
| Basic Earnings per Common Share | $ 3.84 | $ 3.37 | $ 6.89 | $ 5.48 |
| Diluted Earnings per Common Share | $ 3.81 | $ 3.33 | $ 6.81 | $ 5.42 |
| Basic Shares | 30,854 | 28,943 | 30,022 | 28,935 |
| Diluted Shares | 30,362 | 29,245 | 30,372 | 29,254 |
DYCOM INDUSTRIES, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (Dollars in thousands)
Note: All amounts are in thousands.
| ASSETS | August 1, 2026 | January 31, 2026 |
|---|---|---|
| Cash and equivalents | $ 340,080 | $ 709,165 |
| Accounts receivable, net | 2,277,804 | 1,696,973 |
| Contract assets | 221,211 | 162,327 |
| Inventories | 145,885 | 128,349 |
| Income tax receivable | 15,779 | 19,869 |
| Other current assets | 51,483 | 40,212 |
| Total current assets | 3,052,242 | 2,756,895 |
| Property and equipment, net | 613,593 | 575,376 |
| Operating lease right-of-use assets | 220,735 | 169,648 |
| Goodwill and other intangible assets | 2,534,335 | 2,369,383 |
| Other assets | 119,139 | 107,880 |
| Total assets | $ 6,540,044 | $ 5,979,182 |
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||
| Accounts payable | $ 610,046 | $ 497,263 |
| Current portion of debt | 28,397 | 4,000 |
| Contract liabilities | 241,223 | 158,503 |
| Accrued insurance claims | 51,127 | 47,594 |
| Operating lease liabilities | 43,638 | 42,288 |
| Income taxes payable | — | 771 |
| Other accrued liabilities | 325,454 | 256,481 |
| Total current liabilities | 1,299,885 | 1,006,900 |
| Long-term debt | 2,791,336 | 2,810,497 |
| Accrued insurance claims - non-current | 69,767 | 57,977 |
| Operating lease liabilities - non-current | 185,087 | 135,221 |
| Deferred tax liabilities, net - non-current | 104,809 | 85,159 |
| Other liabilities | 25,254 | 24,292 |
| Total liabilities | 4,476,138 | 4,120,046 |
| Total stockholders’ equity | 2,063,906 | 1,859,136 |
| Total liabilities and stockholders’ equity | $ 6,540,044 | $ 5,979,182 |
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