{"success":true,"data":{"pressRelease":{"id":"16888","rtpr_id":"nGNX9Mby0j","ticker":"IESC","exchange":"NASDAQ","all_tickers":["IESC"],"title":"IES Holdings Reports Fiscal 2026 Second Quarter Results","author":"Globe Newswire","published_at":"2026-05-01T11:45:00.409Z","article_body":"HOUSTON, May 01, 2026 (GLOBE NEWSWIRE) -- IES Holdings, Inc. (or “IES” or\nthe “Company”) (NASDAQ: IESC) today announced financial results for the\nquarter ended March 31, 2026.\n\nSecond Quarter 2026 Highlights and Recent Developments\n* Revenue of $974 million for the second quarter of fiscal 2026, an increase\nof 17% compared with $834 million for the same quarter of fiscal 2025\n* Operating income of $112.3 million for the second quarter of fiscal 2026, an\nincrease of 21% compared with $92.7 million for the same quarter of fiscal\n2025\n* Net income attributable to IES of $109.9 million for the second quarter of\nfiscal 2026, an increase of 56% compared with $70.7 million for the same\nquarter of fiscal 2025, and diluted earnings per share attributable to common\nstockholders of $5.44 for the second quarter of fiscal 2026, compared with\n$3.50 for the same quarter of fiscal 2025\n* Adjusted net income attributable to IES (a non-GAAP financial measure, as\ndefined below) of $84.1 million for the second quarter of fiscal 2026, an\nincrease of 26% compared with $66.6 million for the same quarter of fiscal\n2025, and diluted adjusted earnings per share attributable to common\nstockholders of $4.16 for the second quarter of fiscal 2026, compared with\n$3.30 for the same quarter of fiscal 2025\n* Remaining performance obligations, a GAAP measure of future revenue to be\nrecognized from current contracts with customers, of approximately $2.3\nbillion as of March 31, 2026\n* Backlog (a non-GAAP financial measure, as defined below) of approximately\n$3.9 billion as of March 31, 2026\n* Completed the acquisition of Gulf Island Fabrication, Inc. (\"Gulf Island\"),\na leading steel fabricator and service provider for the industrial, energy and\ngovernment sectors\nOverview of Results\n\n“For the second quarter of fiscal 2026, we delivered a 17% increase in\nrevenue and a 21% increase in operating income compared with the second\nquarter of fiscal 2025,\" said Matt Simmes, President and Chief Executive\nOfficer. \"Strong growth in our Communications and Infrastructure Solutions\nbusinesses has continued, driven by strong demand, particularly in the data\ncenter end market. Outstanding execution by our operating teams contributed to\nimproved operating margin year over year as we effectively delivered results\nin this dynamic environment.\n\n\"We continue to see our customers accelerate their orders and expand the scope\nof their contracts, and we are investing in the business to meet those\ndemands. We have used our strong financial position and operational\nflexibility to broaden our scope on large projects, expand capacity and\nintegrate services among our segments to better serve our customers. Robust\ncustomer demand and the ongoing expansion of our capacity and capabilities\nhelped drive our backlog to $3.9 billion at March 31, 2026, an increase of 62%\nsince the end of fiscal 2025. Our Communications business continues to expand\nits geographic presence and the range of solutions offered to customers. The\ncapacity added by our Infrastructure Solutions business in fiscal 2024 and\n2025 has continued to ramp up, and we expect it will make a more meaningful\ncontribution to the segment's revenue and earnings beginning in the second\nhalf of fiscal 2026. Our Commercial & Industrial business continues to grow,\ninvesting in hiring and training to support larger projects as we execute our\nincreased backlog over the next six to 12 months. While our Residential\nsegment faced continued pressure from weak housing starts and unfavorable\nweather during the second quarter of fiscal 2026, we are continuing to move\nforward with expansion of our Plumbing and HVAC offerings, prioritizing\nmarkets where our single-family electrical business already has a strong\npresence. Furthermore, through the first half of fiscal 2026, we have begun to\nsee growth in our multi-family backlog, which should benefit us in fiscal\n2027.\"\n\nOur Communications segment’s revenue was $367.7 million in the second\nquarter of fiscal 2026, an increase of $94.7 million or 35% compared with the\nsecond quarter of fiscal 2025. Continued strong demand in the data center\nmarket was the primary driver of the increase, and the recent capital\ninvestments we have made have positioned us well to respond to that demand and\ndeliver solutions to our customers. Demand in the distribution center end\nmarket also continued to grow. The segment's operating income increased to\n$61.2 million for the second quarter of fiscal 2026, compared with\n$39.6 million for the second quarter of fiscal 2025, reflecting the increase\nin revenue.\n\nOur Residential segment’s revenue was $287.6 million in the second quarter\nof fiscal 2026, a decrease of $30.4 million or 10% compared with the second\nquarter of fiscal 2025, as a result of the ongoing softness in the housing\nmarket. Home builders have continued to seek price reductions for our\nservices, and some have focused on reducing their existing inventory rather\nthan starting new projects. This continued pressure on pricing, as well as\nincreasing materials costs, resulted in reduced revenue and operating margins\nin our single-family housing business. In our multi-family business, lower\nrevenue in the second quarter of fiscal 2026 compared with the prior year\nreflects the impacts of a decline in backlog during fiscal 2025. As a result\nof these factors, the Residential segment’s operating income decreased to\n$6.4 million for the second quarter of fiscal 2026, compared with\n$22.7 million for the second quarter of fiscal 2025.\n\nOur Infrastructure Solutions segment’s revenue was $192.4 million in the\nsecond quarter of fiscal 2026, an increase of $74.8 million or 64% compared\nwith the second quarter of fiscal 2025, driven by continued strong demand in\nour custom engineered solutions business, primarily in the data center end\nmarket, as well as the continued expansion of our field services offerings.\nGulf Island, which we acquired in January 2026, contributed $37.5 million of\nrevenue during the quarter. Our Infrastructure Solutions segment's operating\nincome for the second quarter of fiscal 2026 was $41.9 million, compared with\n$26.5 million for the second quarter of fiscal 2025. The year-over-year\nprofit improvement reflects the impact of investments we have made over the\nlast several years to increase capacity to meet increasing demand. Improved\npricing and productivity gains as our newer facilities ramp up production also\ncontributed to the increase in operating income.\n\nOur Commercial & Industrial segment’s revenue was $126.5 million in the\nsecond quarter of fiscal 2026, an increase of $1.1 million or 1% compared\nwith the second quarter of fiscal 2025, while segment operating income for the\nsecond quarter of fiscal 2026 was $21.5 million compared with $15.8 million\nfor the second quarter of fiscal 2025. Results for the second quarter of\nfiscal 2026 benefited from successful project execution by our teams and\ncontinuing strong demand in the data center end market.\n\nJeff Gendell, Executive Chairman, commented, “In January, we completed the\nacquisition of Gulf Island to accelerate our capacity expansion plans in the\nInfrastructure Solutions business. For the remainder of fiscal 2026, we expect\nto prioritize capital spending for organic growth, as we believe investing in\ngrowth opportunities within our existing businesses, including capital\nexpenditures, working capital and expansion of our capabilities, will allow us\nto provide additional capacity and new solutions for our customers while\ndelivering attractive returns on invested capital. While we will continue to\nevaluate acquisitions and other investment opportunities, we are substantially\nraising our capital spending outlook for the remainder of fiscal 2026 to\nsupport the organic growth that we believe is a compelling use of our\ncapital.”\n\nCapital Allocation; Stock Buyback Plan\n\n“While we deployed substantial capital during the second quarter of fiscal\n2026 to fund the purchase of Gulf Island and make significant investments in\ncapital expenditures, we ended the quarter with cash, net of debt, of\n$14.5 million,\" added Tracy McLauchlin, Chief Financial Officer. \"While we do\nnot expect Gulf Island to contribute meaningfully to our earnings during the\ncurrent fiscal year as we add equipment and reposition its operations to\nbetter align this additional capacity with our strategic priorities, we do\nexpect our results to benefit from the acquisition in fiscal 2027. We ended\nthe quarter with $49.5 million of cash, $35.0 million debt, and $214.0 million\nof marketable securities.\"\n\nCapital allocation highlights during the second quarter of fiscal 2026 include\nthe following:\n* We used $143.1 million, net of cash acquired, to acquire Gulf Island\n* We supported the growth of our operating businesses with $31.8 million in\ncapital expenditures\n* We used $12.2 million of our excess cash for purchases, net of cash\nreceived from sales, of marketable securities\n* We repurchased 4,112 shares for $1.7 million, or an average price of $418.31\nper share, ending the quarter with $166.2 million remaining under our stock\nrepurchase authorization\nNon-GAAP Financial Measures and Other Adjustments\n\nThis press release includes adjusted net income attributable to IES, adjusted\ndiluted earnings per share attributable to common stockholders, and backlog,\nand, in the non-GAAP reconciliation tables included herein, adjusted net\nincome attributable to common stockholders, EBITDA, adjusted EBITDA and\nadjusted income from operations before income taxes, each of which is a\nfinancial measure not calculated in accordance with generally accepted\naccounting principles in the U.S. (“GAAP”). Management believes that these\nmeasures provide useful information to our investors by, in the case of\nadjusted net income attributable to IES, adjusted net income attributable to\ncommon stockholders, adjusted earnings per share attributable to common\nstockholders, adjusted EBITDA and adjusted income from operations before\nincome taxes, distinguishing certain nonrecurring events such as litigation\nsettlements, significant expenses associated with leadership changes, or gains\nor losses from the sale of a business, or noncash events, such as impairment\ncharges or unrealized gains and losses on our investments, or, in the case of\nbacklog, providing a common measurement used in IES's industry, as described\nfurther below, and that these measures, when reconciled to the most directly\ncomparable GAAP measures, help our investors to better identify underlying\ntrends in the operations of our business and facilitate easier comparisons of\nour financial performance with prior and future periods and to our peers.\nNon-GAAP financial measures should not be considered in isolation from, or as\na substitute for, financial information calculated in accordance with GAAP.\nInvestors are encouraged to review the reconciliation of these non-GAAP\nmeasures to their most directly comparable GAAP financial measures, which has\nbeen provided in the financial tables included in this press release.\n\nRemaining performance obligations represent the unrecognized revenue value of\nour contract commitments. While backlog is not a defined term under GAAP, it\nis a common measurement used in IES’s industry and IES believes this\nnon-GAAP measure enables it to more effectively forecast its future results\nand better identify future operating trends that may not otherwise be\napparent. IES’s remaining performance obligations are a component of IES’s\nbacklog calculation, which also includes signed agreements and letters of\nintent which we do not have a legal right to enforce prior to work starting.\nThese arrangements are excluded from remaining performance obligations until\nwork begins. IES’s methodology for determining backlog may not be comparable\nto the methodologies used by other companies.\n\nFor further details on the Company’s financial results, please refer to the\nCompany’s quarterly report on Form 10-Q for the fiscal quarter ended March\n31, 2026, to be filed with the Securities and Exchange Commission (\"SEC\") by\nMay 1, 2026, and any amendments thereto.\n\nAbout IES Holdings, Inc.\n\nIES designs and installs integrated electrical and technology systems and\nprovides infrastructure products and services to a variety of end markets,\nincluding data centers, residential housing, and commercial and industrial\nfacilities. Our more than 11,000 employees serve clients in the United States.\nFor more information about IES, please visit www.ies-co.com.\n\nCompany Contact:\n\nTracy McLauchlin\nChief Financial Officer\nIES Holdings, Inc.\n(713) 860-1500\n\nInvestor Relations Contact:\n\nRobert Winters \nAlpha IR Group\n(312) 445-2870\nIESC@alpha-ir.com\n\nCertain statements in this release may be deemed “forward-looking\nstatements” within the meaning of Section 27A of the Securities Act of 1933\nand Section 21E of the Securities Exchange Act of 1934, all of which are based\nupon various estimates and assumptions that the Company believes to be\nreasonable as of the date hereof. In some cases, you can identify\nforward-looking statements by terminology such as “may,” “will,”\n“could,” “should,” “expect,” “plan,” “project,”\n“intend,” “anticipate,” “believe,” “seek,” “estimate,”\n“predict,” “potential,” “pursue,” “target,” “continue,”\nthe negative of such terms or other comparable terminology. These statements\ninvolve risks and uncertainties that could cause the Company’s actual future\noutcomes to differ materially from those set forth in such statements. Such\nrisks and uncertainties include, but are not limited to, a general reduction\nin the demand for our products or services; changes in general economic\nconditions, including supply chain constraints, high rates of inflation,\nchanges in consumer sentiment, elevated interest rates, and market disruptions\nresulting from a number of factors, including geo-political events;\ncompetition in the industries in which we operate, which could result in the\nloss of one or more customers or lead to lower margins on new projects; the\nuse of estimates in placing bids on fixed price contracts, variations from\nestimated contract costs and our ability to successfully manage and execute\nprojects, the cost and availability of qualified labor and the ability to\nmaintain positive labor relations, and our ability to pass along increases in\nthe cost of commodities used in our business; our ability to enter into, and\nthe terms of, future contracts; the existence of a small number of customers\nfrom whom we derive a meaningful portion of our revenues; reliance on third\nparties, including subcontractors and suppliers, to complete our projects; the\ninability to carry out plans and strategies as expected, including the\ninability to identify and complete acquisitions that meet our investment\ncriteria, or the subsequent underperformance of those acquisitions; challenges\nintegrating new businesses into the Company or new types of work, products or\nprocesses into our segments; backlog that may not be realized or may not\nresult in profits; failure to adequately recover on contract change orders or\nclaims against customers; closures or sales of our facilities resulting in\nsignificant future charges or a significant disruption of our operations; the\nimpact of future epidemics or pandemics on our business; an increased cost of\nsurety bonds affecting margins on work and the potential for our surety\nproviders to refuse bonding or require additional collateral at their\ndiscretion; the impact of seasonality, adverse weather conditions, and climate\nchange; fluctuations in operating activity due to factors such as cyclicality,\ndownturns in levels of construction or the housing market, and differing\nregional economic conditions; difficulties in managing our billings and\ncollections; accidents resulting from the physical hazards associated with our\nwork and the potential for accidents; the possibility that our current\ninsurance coverage may not be adequate or that we may not be able to obtain\npolicies at acceptable rates; the effect of litigation, claims and\ncontingencies, including warranty losses, damages or other latent defect\nclaims in excess of our existing reserves and accruals; costs and liabilities\nunder existing or potential future laws and regulations, including those laws\nand regulations related to the environment and climate change, as well as the\ninability to transfer, renew and obtain electrical and other professional\nlicenses; interruptions to our information systems and cyber security or data\nbreaches; expenditures to conduct environmental remediation activities\nrequired by certain environmental laws and regulations; loss of key personnel,\nineffective transition of new management, or general labor constraints; credit\nand capital market conditions, including changes in interest rates that affect\nthe cost of construction financing and mortgages, and the inability of some of\nour customers to obtain sufficient financing at acceptable rates, which could\nlead to project delays or cancellations; limitations on our ability to access\ncapital markets and generate cash from operations to fund our capital needs;\nthe impact on our effective tax rate or cash paid for taxes from changes in\ntax positions we have taken or changes in tax laws; difficulty in fulfilling\nthe covenant terms of our revolving credit facility, which could result in a\ndefault and acceleration of any indebtedness under such revolving credit\nfacility; reliance on certain estimates and assumptions that may differ from\nactual results in the preparation of our financial statements and the impacts\nof new accounting, control and operating procedures resulting from new\naccounting pronouncements; uncertainties inherent in the use of\npercentage-of-completion accounting, which could result in the reduction or\nelimination of previously recorded revenues and profits; the recognition of\npotential goodwill, long-lived assets and other investment impairments; the\nexistence of a controlling shareholder, who has the ability to take action not\naligned with other shareholders or to dispose of all or a significant portion\nof the shares of our common stock it holds, which may trigger certain change\nof control provisions in a number of our material agreements; the relatively\nlow trading volume of our common stock, which could increase the volatility of\nour stock price and could make it more difficult for shareholders to sell a\nsubstantial number of shares for the same price at which shareholders could\nsell a smaller number of shares; the possibility that we issue additional\nshares of common stock, preferred stock or convertible securities that will\ndilute the percentage ownership interest of existing stockholders and may\ndilute the value per share of our common stock; the potential for substantial\nsales of our common stock, which could adversely affect our stock price; the\nimpact of increasing scrutiny and changing expectations from investors and\ncustomers, or new or changing regulations, with respect to climate change or\nenvironmental impacts of our operations; the cost or effort required for our\nshareholders to bring certain claims or actions against us, as a result of our\ndesignation of the Court of Chancery of the State of Delaware as the sole and\nexclusive forum for certain types of actions and proceedings; and the\npossibility that our internal controls over financial reporting and our\ndisclosure controls and procedures may not prevent all possible errors that\ncould occur, as well as other risk factors discussed in this document, in the\nCompany’s annual report on Form 10-K for the year ended September 30, 2025\nand in the Company’s other reports on file with the SEC. You should\nunderstand that such risk factors could cause future outcomes to differ\nmaterially from those experienced previously or those expressed in such\nforward-looking statements. The Company undertakes no obligation to publicly\nupdate or revise any information or any forward-looking statements to reflect\nevents or circumstances that may arise after the date of this release.\n\nForward-looking statements are provided in this press release pursuant to the\nsafe harbor established under the Private Securities Litigation Reform Act of\n1995 and should be evaluated in the context of the estimates, assumptions,\nuncertainties, and risks described herein.\n\nGeneral information about IES Holdings, Inc. can be found at\nhttp://www.ies-co.com under \"Investor Relations.\" The Company's annual report\non Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K,\nas well as any amendments to those reports, are available free of charge\nthrough the Company's website as soon as reasonably practicable after they are\nfiled with, or furnished to, the SEC.\n\n\n\n \n IES HOLDINGS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (DOLLARS IN MILLIONS, EXCEPT PER SHARE DATA) (UNAUDITED) \n \n Three Months Ended Six Months Ended \n March 31, March 31, \n 2026 2025 2026 2025 \n Revenues $ 974.2 $ 834.0 $ 1,845.2 $ 1,583.5 \n Cost of services 719.4 625.1 1,370.4 1,196.6 \n Gross profit 254.8 208.9 474.8 386.9 \n Selling, general and administrative expenses 142.5 116.1 264.3 219.1 \n Contingent consideration 0.2 0.3 0.3 0.7 \n (Gain) loss on sale of assets (0.2 ) (0.2 ) 0.2 (0.2 ) \n Operating income 112.3 92.7 210.0 167.3 \n Interest and other income (expense): \n Interest expense (1.5 ) (0.3 ) (2.0 ) (0.8 ) \n Gain on marketable securities 37.3 5.5 54.2 7.9 \n Other income, net 0.6 0.8 2.4 1.9 \n Income from operations before income taxes and equity method investment income 148.7 98.7 264.6 176.3 \n Provision for income taxes (38.3 ) (26.1 ) (66.7 ) (46.1 ) \n Equity method investment income — — 4.2 — \n Net income 110.3 72.6 202.1 130.3 \n Net income attributable to noncontrolling interest (0.3 ) (1.9 ) (0.7 ) (3.3 ) \n Net income attributable to IES Holdings, Inc. $ 109.9 $ 70.7 $ 201.3 $ 127.0 \n \n Computation of earnings per share: \n Net income attributable to IES Holdings, Inc. $ 109.9 $ 70.7 $ 201.3 $ 127.0 \n Increase in noncontrolling interest (0.1 ) — (0.5 ) (1.1 ) \n Net income attributable to common stockholders of IES Holdings, Inc. $ 109.8 $ 70.7 $ 200.8 $ 125.9 \n \n Earnings per share attributable to common stockholders: \n Basic $ 5.51 $ 3.54 $ 10.09 $ 6.30 \n Diluted $ 5.44 $ 3.50 $ 9.95 $ 6.22 \n \n Shares used in the computation of earnings per share: \n Basic (in thousands) 19,926 19,970 19,907 19,980 \n Diluted (in thousands) 20,186 20,213 20,180 20,230 \n\n\n\n \n IES HOLDINGS, INC. AND SUBSIDIARIES NON-GAAP RECONCILIATION OF ADJUSTED NET INCOME ATTRIBUTABLE TO IES HOLDINGS, INC. AND ADJUSTED EARNINGS PER SHARE ATTRIBUTABLE TO COMMON STOCKHOLDERS (DOLLARS IN MILLIONS, EXCEPT PER SHARE DATA) (UNAUDITED) \n \n Three Months Ended Six Months Ended \n March 31, March 31, \n 2026 2025 2026 2025 \n Net income attributable to IES Holdings, Inc. $ 109.9 $ 70.7 $ 201.3 $ 127.0 \n Gain on marketable securities (37.3 ) (5.6 ) (54.2 ) (7.9 ) \n Equity method investment income ((1)) — — (4.2 ) — \n Acquisition-related compensation expense (()(2)()) 2.4 — 2.4 — \n Provision for income taxes 38.3 26.1 66.7 46.1 \n Adjusted income from operations before income taxes 113.4 91.2 212.0 165.2 \n Adjusted tax expense (()(3)()) (29.3 ) (24.6 ) (52.8 ) (44.0 ) \n Adjusted net income attributable to IES Holdings, Inc. 84.1 66.6 159.2 121.2 \n \n Adjustments for computation of earnings per share: \n Increase in noncontrolling interest (0.1 ) — (0.5 ) (1.1 ) \n Adjusted net income attributable to common stockholders $ 84.0 $ 66.6 $ 158.7 $ 120.1 \n \n Adjusted earnings per share attributable to common stockholders: \n Basic $ 4.22 $ 3.34 $ 7.97 $ 6.01 \n Diluted $ 4.16 $ 3.30 $ 7.86 $ 5.94 \n \n Shares used in the computation of earnings per share: \n Basic (in thousands) 19,926 19,970 19,907 19,980 \n Diluted (in thousands) 20,186 20,213 20,180 20,230 \n \n ((1) Represents unrealized gains recorded by our equity investment, Jett Texas Company LLC, related to its investment in the CB&I storage solutions business.) ((2) Represents expense associated with change in control awards and other stock-based compensation for former CEO and CFO of Gulf Island, to be paid out in cash upon completion of their employment agreements.) ((3) Adjusted for the tax impact of adjustments to pretax income above.) \n\n\n\n \n IES HOLDINGS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (DOLLARS IN MILLIONS) (UNAUDITED) \n \n March 31, September 30, \n 2026 2025 \n ASSETS \n CURRENT ASSETS: \n Cash and cash equivalents $ 48.7 $ 127.2 \n Restricted cash 0.9 — \n Marketable securities 214.0 104.6 \n Accounts receivable: \n Trade, net of allowance 656.6 552.2 \n Retainage 117.4 99.9 \n Inventories 126.7 111.5 \n Costs and estimated earnings in excess of billings 100.9 69.2 \n Prepaid expenses and other current assets 29.7 20.9 \n Total current assets 1,294.8 1,085.5 \n Property and equipment, net 320.6 183.2 \n Goodwill 129.2 107.8 \n Intangible assets, net 58.4 41.6 \n Investments 63.9 59.7 \n Deferred tax assets 14.5 16.1 \n Operating right of use assets 100.7 88.4 \n Other non-current assets 12.0 13.3 \n Total assets $ 1,994.0 $ 1,595.7 \n LIABILITIES AND STOCKHOLDERS’ EQUITY \n CURRENT LIABILITIES: \n Accounts payable and accrued expenses $ 511.5 $ 456.5 \n Billings in excess of costs and estimated earnings 286.5 176.8 \n Short-term debt 35.0 — \n Total current liabilities 833.0 633.4 \n Operating long-term lease liabilities 72.4 62.0 \n Other tax liabilities 7.5 6.8 \n Other non-current liabilities 3.9 5.5 \n Total liabilities 916.8 707.7 \n Noncontrolling interest 4.6 4.0 \n STOCKHOLDERS’ EQUITY: \n Preferred stock — — \n Common stock 0.2 0.2 \n Treasury stock, at cost (139.9 ) (127.8 ) \n Additional paid-in capital 210.8 210.7 \n Retained earnings 1,001.6 800.8 \n Total stockholders’ equity 1,072.7 884.0 \n Total liabilities and stockholders’ equity $ 1,994.0 $ 1,595.7 \n\n\n\n \n IES HOLDINGS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (DOLLARS IN MILLIONS) (UNAUDITED) \n \n Six Months Ended \n March 31, \n 2026 2025 \n CASH FLOWS FROM OPERATING ACTIVITIES: \n Net income $ 202.1 $ 130.3 \n Adjustments to reconcile net income to net cash provided by operating activities: \n Bad debt expense (benefit) (0.1 ) 0.3 \n Deferred financing cost amortization 0.3 0.2 \n Depreciation and amortization 28.8 23.0 \n Loss (gain) on sale of assets 0.3 (0.2 ) \n Non-cash compensation expense 7.3 5.1 \n Deferred income tax and other non-cash tax adjustments, net 8.3 0.2 \n Unrealized gain on marketable securities (34.6 ) (7.8 ) \n Gain on remeasurement of previously held investment upon acquisition (2.8 ) — \n Equity method investment income (4.2 ) — \n Changes in operating assets and liabilities: \n Marketable securities (78.8 ) (23.0 ) \n Accounts receivable (82.3 ) (44.0 ) \n Inventories (13.0 ) 5.7 \n Costs and estimated earnings in excess of billings (22.4 ) (27.3 ) \n Prepaid expenses and other current assets (20.6 ) (11.3 ) \n Other non-current assets (0.3 ) (2.9 ) \n Accounts payable and accrued expenses 35.5 8.6 \n Billings in excess of costs and estimated earnings 108.8 4.6 \n Other non-current liabilities (1.2 ) 0.6 \n Net cash provided by operating activities 131.0 62.1 \n CASH FLOWS FROM INVESTING ACTIVITIES: \n Purchases of property and equipment (78.4 ) (30.1 ) \n Proceeds from sale of assets 0.4 0.5 \n Cash paid in conjunction with business combinations, net of cash acquired (143.1 ) (22.6 ) \n Purchases of equity investments — (44.9 ) \n Net cash used in investing activities (221.1 ) (97.1 ) \n CASH FLOWS FROM FINANCING ACTIVITIES: \n Borrowings of debt 90.0 976.4 \n Repayments of debt (55.0 ) (976.4 ) \n Cash paid for finance leases (2.2 ) (2.2 ) \n Distribution to noncontrolling interest (0.9 ) (5.0 ) \n Purchase of treasury stock (19.4 ) (36.3 ) \n Net cash provided by (used in) financing activities 12.5 (43.4 ) \n NET INCREASE IN CASH AND CASH EQUIVALENTS (including restricted) (77.6 ) (78.4 ) \n CASH and CASH EQUIVALENTS, beginning of period (including restricted) 127.2 100.8 \n CASH and CASH EQUIVALENTS, end of period (including restricted) $ 49.5 $ 22.4 \n\n\n\n \n IES HOLDINGS, INC. AND SUBSIDIARIES OPERATING SEGMENT STATEMENT OF OPERATIONS (DOLLARS IN MILLIONS) (UNAUDITED) \n \n Three Months Ended Six Months Ended \n March 31, March 31, \n 2026 2025 2026 2025 \n Revenues \n Communications $ 367.7 $ 273.1 $ 719.6 $ 506.0 \n Residential 287.6 317.9 571.7 637.9 \n Infrastructure Solutions 192.4 117.6 332.6 225.7 \n Commercial & Industrial 126.5 125.4 221.3 213.9 \n Total revenue $ 974.2 $ 834.0 $ 1,845.2 $ 1,583.5 \n \n Operating income (loss) \n Communications $ 61.2 $ 39.6 $ 118.6 $ 68.2 \n Residential 6.4 22.7 15.3 46.5 \n Infrastructure Solutions 41.9 26.5 77.5 49.8 \n Commercial & Industrial 21.5 15.8 31.2 22.9 \n Corporate (18.7 ) (11.9 ) (32.6 ) (20.1 ) \n Total operating income $ 112.3 $ 92.7 $ 210.0 $ 167.3 \n\n\n\n \n IES HOLDINGS, INC. AND SUBSIDIARIES NON-GAAP RECONCILIATION OF ADJUSTED EBITDA (DOLLARS IN MILLIONS) (UNAUDITED) \n \n Three Months Ended Six Months Ended \n March 31, March 31, \n 2026 2025 2026 2025 \n Net income attributable to IES Holdings, Inc. $ 109.9 $ 70.7 $ 201.3 $ 127.0 \n Equity method investment income — — (4.2 ) — \n Provision for income taxes 38.3 26.1 66.7 46.1 \n Interest expense 1.5 0.3 2.0 0.8 \n Gain on marketable securities (37.3 ) (5.5 ) (54.2 ) (7.9 ) \n Other income, net (0.6 ) (0.8 ) (2.4 ) (1.9 ) \n Depreciation and amortization 16.1 11.9 28.8 23.0 \n EBITDA $ 127.9 $ 102.7 $ 238.0 $ 187.0 \n Non-cash equity compensation expense 3.6 3.1 7.3 5.1 \n Acquisition-related compensation expense ((1)) 2.4 — 2.4 — \n Adjusted EBITDA $ 133.9 $ 105.8 $ 247.7 $ 192.1 \n \n ((1) Represents expense associated with change in control awards and other stock-based compensation for former CEO and CFO of Gulf Island, to be paid out in cash upon completion of their employment agreements.) \n\n\n\n \n IES HOLDINGS, INC. AND SUBSIDIARIES SUPPLEMENTAL REMAINING PERFORMANCE OBLIGATIONS AND NON-GAAP RECONCILIATION OF BACKLOG DATA (DOLLARS IN MILLIONS) (UNAUDITED) \n \n March 31, 2026 September 30, 2025 March 31, 2025 \n Remaining Performance Obligations Agreements without an enforceable obligation ((1)) Backlog Remaining Performance Obligations Agreements without an enforceable obligation ((1)) Backlog Remaining Performance Obligations Agreements without an enforceable obligation ((1)) Backlog \n (Dollars in millions) \n Communications $ 954.1 $ 423.2 $ 1,377.3 $ 692.2 $ 63.6 $ 755.8 $ 551.2 $ 129.8 $ 681.0 \n Residential 271.9 110.7 382.6 252.0 121.5 373.6 273.9 90.5 364.4 \n Infrastructure Solutions (()(2)()) 281.5 738.3 1,019.8 128.7 490.6 619.2 134.4 364.0 498.4 \n Commercial & Industrial 839.6 242.8 1,082.4 613.6 11.5 625.2 266.6 2.3 268.9 \n Total $ 2,347.1 $ 1,515.0 $ 3,862.1 $ 1,686.5 $ 687.2 $ 2,373.8 $ 1,226.1 $ 586.6 $ 1,812.7 \n \n ((1) Our backlog contains signed agreements and letters of intent which we do not have a legal right to enforce prior to work starting. These arrangements are excluded from remaining performance obligations until work begins.) \n ((2) During the quarter ended March 31, 2026, Infrastructure Solutions acquired $29.1 million of remaining performance obligations and backlog in connection with the acquisition of Gulf Island.) \n\n\n\n(https://www.globenewswire.com/NewsRoom/AttachmentNg/e147fa9a-445f-47c2-941a-2cd1ae28b2ae)\n\n\n\nGlobeNewswire, Inc. 2026","article_body_html":"","raw_payload":{"data":{"id":"nGNX9Mby0j","title":"IES Holdings Reports Fiscal 2026 Second Quarter Results","author":"Globe Newswire","ticker":"IESC","created":"2026-05-01T11:45:00.409Z","tickers":["IESC"],"exchange":"NASDAQ","article_body":"HOUSTON, May 01, 2026 (GLOBE NEWSWIRE) -- IES Holdings, Inc. (or “IES” or\nthe “Company”) (NASDAQ: IESC) today announced financial results for the\nquarter ended March 31, 2026.\n\nSecond Quarter 2026 Highlights and Recent Developments\n* Revenue of $974 million for the second quarter of fiscal 2026, an increase\nof 17% compared with $834 million for the same quarter of fiscal 2025\n* Operating income of $112.3 million for the second quarter of fiscal 2026, an\nincrease of 21% compared with $92.7 million for the same quarter of fiscal\n2025\n* Net income attributable to IES of $109.9 million for the second quarter of\nfiscal 2026, an increase of 56% compared with $70.7 million for the same\nquarter of fiscal 2025, and diluted earnings per share attributable to common\nstockholders of $5.44 for the second quarter of fiscal 2026, compared with\n$3.50 for the same quarter of fiscal 2025\n* Adjusted net income attributable to IES (a non-GAAP financial measure, as\ndefined below) of $84.1 million for the second quarter of fiscal 2026, an\nincrease of 26% compared with $66.6 million for the same quarter of fiscal\n2025, and diluted adjusted earnings per share attributable to common\nstockholders of $4.16 for the second quarter of fiscal 2026, compared with\n$3.30 for the same quarter of fiscal 2025\n* Remaining performance obligations, a GAAP measure of future revenue to be\nrecognized from current contracts with customers, of approximately $2.3\nbillion as of March 31, 2026\n* Backlog (a non-GAAP financial measure, as defined below) of approximately\n$3.9 billion as of March 31, 2026\n* Completed the acquisition of Gulf Island Fabrication, Inc. (\"Gulf Island\"),\na leading steel fabricator and service provider for the industrial, energy and\ngovernment sectors\nOverview of Results\n\n“For the second quarter of fiscal 2026, we delivered a 17% increase in\nrevenue and a 21% increase in operating income compared with the second\nquarter of fiscal 2025,\" said Matt Simmes, President and Chief Executive\nOfficer. \"Strong growth in our Communications and Infrastructure Solutions\nbusinesses has continued, driven by strong demand, particularly in the data\ncenter end market. Outstanding execution by our operating teams contributed to\nimproved operating margin year over year as we effectively delivered results\nin this dynamic environment.\n\n\"We continue to see our customers accelerate their orders and expand the scope\nof their contracts, and we are investing in the business to meet those\ndemands. We have used our strong financial position and operational\nflexibility to broaden our scope on large projects, expand capacity and\nintegrate services among our segments to better serve our customers. Robust\ncustomer demand and the ongoing expansion of our capacity and capabilities\nhelped drive our backlog to $3.9 billion at March 31, 2026, an increase of 62%\nsince the end of fiscal 2025. Our Communications business continues to expand\nits geographic presence and the range of solutions offered to customers. The\ncapacity added by our Infrastructure Solutions business in fiscal 2024 and\n2025 has continued to ramp up, and we expect it will make a more meaningful\ncontribution to the segment's revenue and earnings beginning in the second\nhalf of fiscal 2026. Our Commercial & Industrial business continues to grow,\ninvesting in hiring and training to support larger projects as we execute our\nincreased backlog over the next six to 12 months. While our Residential\nsegment faced continued pressure from weak housing starts and unfavorable\nweather during the second quarter of fiscal 2026, we are continuing to move\nforward with expansion of our Plumbing and HVAC offerings, prioritizing\nmarkets where our single-family electrical business already has a strong\npresence. Furthermore, through the first half of fiscal 2026, we have begun to\nsee growth in our multi-family backlog, which should benefit us in fiscal\n2027.\"\n\nOur Communications segment’s revenue was $367.7 million in the second\nquarter of fiscal 2026, an increase of $94.7 million or 35% compared with the\nsecond quarter of fiscal 2025. Continued strong demand in the data center\nmarket was the primary driver of the increase, and the recent capital\ninvestments we have made have positioned us well to respond to that demand and\ndeliver solutions to our customers. Demand in the distribution center end\nmarket also continued to grow. The segment's operating income increased to\n$61.2 million for the second quarter of fiscal 2026, compared with\n$39.6 million for the second quarter of fiscal 2025, reflecting the increase\nin revenue.\n\nOur Residential segment’s revenue was $287.6 million in the second quarter\nof fiscal 2026, a decrease of $30.4 million or 10% compared with the second\nquarter of fiscal 2025, as a result of the ongoing softness in the housing\nmarket. Home builders have continued to seek price reductions for our\nservices, and some have focused on reducing their existing inventory rather\nthan starting new projects. This continued pressure on pricing, as well as\nincreasing materials costs, resulted in reduced revenue and operating margins\nin our single-family housing business. In our multi-family business, lower\nrevenue in the second quarter of fiscal 2026 compared with the prior year\nreflects the impacts of a decline in backlog during fiscal 2025. As a result\nof these factors, the Residential segment’s operating income decreased to\n$6.4 million for the second quarter of fiscal 2026, compared with\n$22.7 million for the second quarter of fiscal 2025.\n\nOur Infrastructure Solutions segment’s revenue was $192.4 million in the\nsecond quarter of fiscal 2026, an increase of $74.8 million or 64% compared\nwith the second quarter of fiscal 2025, driven by continued strong demand in\nour custom engineered solutions business, primarily in the data center end\nmarket, as well as the continued expansion of our field services offerings.\nGulf Island, which we acquired in January 2026, contributed $37.5 million of\nrevenue during the quarter. Our Infrastructure Solutions segment's operating\nincome for the second quarter of fiscal 2026 was $41.9 million, compared with\n$26.5 million for the second quarter of fiscal 2025. The year-over-year\nprofit improvement reflects the impact of investments we have made over the\nlast several years to increase capacity to meet increasing demand. Improved\npricing and productivity gains as our newer facilities ramp up production also\ncontributed to the increase in operating income.\n\nOur Commercial & Industrial segment’s revenue was $126.5 million in the\nsecond quarter of fiscal 2026, an increase of $1.1 million or 1% compared\nwith the second quarter of fiscal 2025, while segment operating income for the\nsecond quarter of fiscal 2026 was $21.5 million compared with $15.8 million\nfor the second quarter of fiscal 2025. Results for the second quarter of\nfiscal 2026 benefited from successful project execution by our teams and\ncontinuing strong demand in the data center end market.\n\nJeff Gendell, Executive Chairman, commented, “In January, we completed the\nacquisition of Gulf Island to accelerate our capacity expansion plans in the\nInfrastructure Solutions business. For the remainder of fiscal 2026, we expect\nto prioritize capital spending for organic growth, as we believe investing in\ngrowth opportunities within our existing businesses, including capital\nexpenditures, working capital and expansion of our capabilities, will allow us\nto provide additional capacity and new solutions for our customers while\ndelivering attractive returns on invested capital. While we will continue to\nevaluate acquisitions and other investment opportunities, we are substantially\nraising our capital spending outlook for the remainder of fiscal 2026 to\nsupport the organic growth that we believe is a compelling use of our\ncapital.”\n\nCapital Allocation; Stock Buyback Plan\n\n“While we deployed substantial capital during the second quarter of fiscal\n2026 to fund the purchase of Gulf Island and make significant investments in\ncapital expenditures, we ended the quarter with cash, net of debt, of\n$14.5 million,\" added Tracy McLauchlin, Chief Financial Officer. \"While we do\nnot expect Gulf Island to contribute meaningfully to our earnings during the\ncurrent fiscal year as we add equipment and reposition its operations to\nbetter align this additional capacity with our strategic priorities, we do\nexpect our results to benefit from the acquisition in fiscal 2027. We ended\nthe quarter with $49.5 million of cash, $35.0 million debt, and $214.0 million\nof marketable securities.\"\n\nCapital allocation highlights during the second quarter of fiscal 2026 include\nthe following:\n* We used $143.1 million, net of cash acquired, to acquire Gulf Island\n* We supported the growth of our operating businesses with $31.8 million in\ncapital expenditures\n* We used $12.2 million of our excess cash for purchases, net of cash\nreceived from sales, of marketable securities\n* We repurchased 4,112 shares for $1.7 million, or an average price of $418.31\nper share, ending the quarter with $166.2 million remaining under our stock\nrepurchase authorization\nNon-GAAP Financial Measures and Other Adjustments\n\nThis press release includes adjusted net income attributable to IES, adjusted\ndiluted earnings per share attributable to common stockholders, and backlog,\nand, in the non-GAAP reconciliation tables included herein, adjusted net\nincome attributable to common stockholders, EBITDA, adjusted EBITDA and\nadjusted income from operations before income taxes, each of which is a\nfinancial measure not calculated in accordance with generally accepted\naccounting principles in the U.S. (“GAAP”). Management believes that these\nmeasures provide useful information to our investors by, in the case of\nadjusted net income attributable to IES, adjusted net income attributable to\ncommon stockholders, adjusted earnings per share attributable to common\nstockholders, adjusted EBITDA and adjusted income from operations before\nincome taxes, distinguishing certain nonrecurring events such as litigation\nsettlements, significant expenses associated with leadership changes, or gains\nor losses from the sale of a business, or noncash events, such as impairment\ncharges or unrealized gains and losses on our investments, or, in the case of\nbacklog, providing a common measurement used in IES's industry, as described\nfurther below, and that these measures, when reconciled to the most directly\ncomparable GAAP measures, help our investors to better identify underlying\ntrends in the operations of our business and facilitate easier comparisons of\nour financial performance with prior and future periods and to our peers.\nNon-GAAP financial measures should not be considered in isolation from, or as\na substitute for, financial information calculated in accordance with GAAP.\nInvestors are encouraged to review the reconciliation of these non-GAAP\nmeasures to their most directly comparable GAAP financial measures, which has\nbeen provided in the financial tables included in this press release.\n\nRemaining performance obligations represent the unrecognized revenue value of\nour contract commitments. While backlog is not a defined term under GAAP, it\nis a common measurement used in IES’s industry and IES believes this\nnon-GAAP measure enables it to more effectively forecast its future results\nand better identify future operating trends that may not otherwise be\napparent. IES’s remaining performance obligations are a component of IES’s\nbacklog calculation, which also includes signed agreements and letters of\nintent which we do not have a legal right to enforce prior to work starting.\nThese arrangements are excluded from remaining performance obligations until\nwork begins. IES’s methodology for determining backlog may not be comparable\nto the methodologies used by other companies.\n\nFor further details on the Company’s financial results, please refer to the\nCompany’s quarterly report on Form 10-Q for the fiscal quarter ended March\n31, 2026, to be filed with the Securities and Exchange Commission (\"SEC\") by\nMay 1, 2026, and any amendments thereto.\n\nAbout IES Holdings, Inc.\n\nIES designs and installs integrated electrical and technology systems and\nprovides infrastructure products and services to a variety of end markets,\nincluding data centers, residential housing, and commercial and industrial\nfacilities. Our more than 11,000 employees serve clients in the United States.\nFor more information about IES, please visit www.ies-co.com.\n\nCompany Contact:\n\nTracy McLauchlin\nChief Financial Officer\nIES Holdings, Inc.\n(713) 860-1500\n\nInvestor Relations Contact:\n\nRobert Winters \nAlpha IR Group\n(312) 445-2870\nIESC@alpha-ir.com\n\nCertain statements in this release may be deemed “forward-looking\nstatements” within the meaning of Section 27A of the Securities Act of 1933\nand Section 21E of the Securities Exchange Act of 1934, all of which are based\nupon various estimates and assumptions that the Company believes to be\nreasonable as of the date hereof. In some cases, you can identify\nforward-looking statements by terminology such as “may,” “will,”\n“could,” “should,” “expect,” “plan,” “project,”\n“intend,” “anticipate,” “believe,” “seek,” “estimate,”\n“predict,” “potential,” “pursue,” “target,” “continue,”\nthe negative of such terms or other comparable terminology. These statements\ninvolve risks and uncertainties that could cause the Company’s actual future\noutcomes to differ materially from those set forth in such statements. Such\nrisks and uncertainties include, but are not limited to, a general reduction\nin the demand for our products or services; changes in general economic\nconditions, including supply chain constraints, high rates of inflation,\nchanges in consumer sentiment, elevated interest rates, and market disruptions\nresulting from a number of factors, including geo-political events;\ncompetition in the industries in which we operate, which could result in the\nloss of one or more customers or lead to lower margins on new projects; the\nuse of estimates in placing bids on fixed price contracts, variations from\nestimated contract costs and our ability to successfully manage and execute\nprojects, the cost and availability of qualified labor and the ability to\nmaintain positive labor relations, and our ability to pass along increases in\nthe cost of commodities used in our business; our ability to enter into, and\nthe terms of, future contracts; the existence of a small number of customers\nfrom whom we derive a meaningful portion of our revenues; reliance on third\nparties, including subcontractors and suppliers, to complete our projects; the\ninability to carry out plans and strategies as expected, including the\ninability to identify and complete acquisitions that meet our investment\ncriteria, or the subsequent underperformance of those acquisitions; challenges\nintegrating new businesses into the Company or new types of work, products or\nprocesses into our segments; backlog that may not be realized or may not\nresult in profits; failure to adequately recover on contract change orders or\nclaims against customers; closures or sales of our facilities resulting in\nsignificant future charges or a significant disruption of our operations; the\nimpact of future epidemics or pandemics on our business; an increased cost of\nsurety bonds affecting margins on work and the potential for our surety\nproviders to refuse bonding or require additional collateral at their\ndiscretion; the impact of seasonality, adverse weather conditions, and climate\nchange; fluctuations in operating activity due to factors such as cyclicality,\ndownturns in levels of construction or the housing market, and differing\nregional economic conditions; difficulties in managing our billings and\ncollections; accidents resulting from the physical hazards associated with our\nwork and the potential for accidents; the possibility that our current\ninsurance coverage may not be adequate or that we may not be able to obtain\npolicies at acceptable rates; the effect of litigation, claims and\ncontingencies, including warranty losses, damages or other latent defect\nclaims in excess of our existing reserves and accruals; costs and liabilities\nunder existing or potential future laws and regulations, including those laws\nand regulations related to the environment and climate change, as well as the\ninability to transfer, renew and obtain electrical and other professional\nlicenses; interruptions to our information systems and cyber security or data\nbreaches; expenditures to conduct environmental remediation activities\nrequired by certain environmental laws and regulations; loss of key personnel,\nineffective transition of new management, or general labor constraints; credit\nand capital market conditions, including changes in interest rates that affect\nthe cost of construction financing and mortgages, and the inability of some of\nour customers to obtain sufficient financing at acceptable rates, which could\nlead to project delays or cancellations; limitations on our ability to access\ncapital markets and generate cash from operations to fund our capital needs;\nthe impact on our effective tax rate or cash paid for taxes from changes in\ntax positions we have taken or changes in tax laws; difficulty in fulfilling\nthe covenant terms of our revolving credit facility, which could result in a\ndefault and acceleration of any indebtedness under such revolving credit\nfacility; reliance on certain estimates and assumptions that may differ from\nactual results in the preparation of our financial statements and the impacts\nof new accounting, control and operating procedures resulting from new\naccounting pronouncements; uncertainties inherent in the use of\npercentage-of-completion accounting, which could result in the reduction or\nelimination of previously recorded revenues and profits; the recognition of\npotential goodwill, long-lived assets and other investment impairments; the\nexistence of a controlling shareholder, who has the ability to take action not\naligned with other shareholders or to dispose of all or a significant portion\nof the shares of our common stock it holds, which may trigger certain change\nof control provisions in a number of our material agreements; the relatively\nlow trading volume of our common stock, which could increase the volatility of\nour stock price and could make it more difficult for shareholders to sell a\nsubstantial number of shares for the same price at which shareholders could\nsell a smaller number of shares; the possibility that we issue additional\nshares of common stock, preferred stock or convertible securities that will\ndilute the percentage ownership interest of existing stockholders and may\ndilute the value per share of our common stock; the potential for substantial\nsales of our common stock, which could adversely affect our stock price; the\nimpact of increasing scrutiny and changing expectations from investors and\ncustomers, or new or changing regulations, with respect to climate change or\nenvironmental impacts of our operations; the cost or effort required for our\nshareholders to bring certain claims or actions against us, as a result of our\ndesignation of the Court of Chancery of the State of Delaware as the sole and\nexclusive forum for certain types of actions and proceedings; and the\npossibility that our internal controls over financial reporting and our\ndisclosure controls and procedures may not prevent all possible errors that\ncould occur, as well as other risk factors discussed in this document, in the\nCompany’s annual report on Form 10-K for the year ended September 30, 2025\nand in the Company’s other reports on file with the SEC. You should\nunderstand that such risk factors could cause future outcomes to differ\nmaterially from those experienced previously or those expressed in such\nforward-looking statements. The Company undertakes no obligation to publicly\nupdate or revise any information or any forward-looking statements to reflect\nevents or circumstances that may arise after the date of this release.\n\nForward-looking statements are provided in this press release pursuant to the\nsafe harbor established under the Private Securities Litigation Reform Act of\n1995 and should be evaluated in the context of the estimates, assumptions,\nuncertainties, and risks described herein.\n\nGeneral information about IES Holdings, Inc. can be found at\nhttp://www.ies-co.com under \"Investor Relations.\" The Company's annual report\non Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K,\nas well as any amendments to those reports, are available free of charge\nthrough the Company's website as soon as reasonably practicable after they are\nfiled with, or furnished to, the SEC.\n\n\n\n \n IES HOLDINGS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (DOLLARS IN MILLIONS, EXCEPT PER SHARE DATA) (UNAUDITED) \n \n Three Months Ended Six Months Ended \n March 31, March 31, \n 2026 2025 2026 2025 \n Revenues $ 974.2 $ 834.0 $ 1,845.2 $ 1,583.5 \n Cost of services 719.4 625.1 1,370.4 1,196.6 \n Gross profit 254.8 208.9 474.8 386.9 \n Selling, general and administrative expenses 142.5 116.1 264.3 219.1 \n Contingent consideration 0.2 0.3 0.3 0.7 \n (Gain) loss on sale of assets (0.2 ) (0.2 ) 0.2 (0.2 ) \n Operating income 112.3 92.7 210.0 167.3 \n Interest and other income (expense): \n Interest expense (1.5 ) (0.3 ) (2.0 ) (0.8 ) \n Gain on marketable securities 37.3 5.5 54.2 7.9 \n Other income, net 0.6 0.8 2.4 1.9 \n Income from operations before income taxes and equity method investment income 148.7 98.7 264.6 176.3 \n Provision for income taxes (38.3 ) (26.1 ) (66.7 ) (46.1 ) \n Equity method investment income — — 4.2 — \n Net income 110.3 72.6 202.1 130.3 \n Net income attributable to noncontrolling interest (0.3 ) (1.9 ) (0.7 ) (3.3 ) \n Net income attributable to IES Holdings, Inc. $ 109.9 $ 70.7 $ 201.3 $ 127.0 \n \n Computation of earnings per share: \n Net income attributable to IES Holdings, Inc. $ 109.9 $ 70.7 $ 201.3 $ 127.0 \n Increase in noncontrolling interest (0.1 ) — (0.5 ) (1.1 ) \n Net income attributable to common stockholders of IES Holdings, Inc. $ 109.8 $ 70.7 $ 200.8 $ 125.9 \n \n Earnings per share attributable to common stockholders: \n Basic $ 5.51 $ 3.54 $ 10.09 $ 6.30 \n Diluted $ 5.44 $ 3.50 $ 9.95 $ 6.22 \n \n Shares used in the computation of earnings per share: \n Basic (in thousands) 19,926 19,970 19,907 19,980 \n Diluted (in thousands) 20,186 20,213 20,180 20,230 \n\n\n\n \n IES HOLDINGS, INC. AND SUBSIDIARIES NON-GAAP RECONCILIATION OF ADJUSTED NET INCOME ATTRIBUTABLE TO IES HOLDINGS, INC. AND ADJUSTED EARNINGS PER SHARE ATTRIBUTABLE TO COMMON STOCKHOLDERS (DOLLARS IN MILLIONS, EXCEPT PER SHARE DATA) (UNAUDITED) \n \n Three Months Ended Six Months Ended \n March 31, March 31, \n 2026 2025 2026 2025 \n Net income attributable to IES Holdings, Inc. $ 109.9 $ 70.7 $ 201.3 $ 127.0 \n Gain on marketable securities (37.3 ) (5.6 ) (54.2 ) (7.9 ) \n Equity method investment income ((1)) — — (4.2 ) — \n Acquisition-related compensation expense (()(2)()) 2.4 — 2.4 — \n Provision for income taxes 38.3 26.1 66.7 46.1 \n Adjusted income from operations before income taxes 113.4 91.2 212.0 165.2 \n Adjusted tax expense (()(3)()) (29.3 ) (24.6 ) (52.8 ) (44.0 ) \n Adjusted net income attributable to IES Holdings, Inc. 84.1 66.6 159.2 121.2 \n \n Adjustments for computation of earnings per share: \n Increase in noncontrolling interest (0.1 ) — (0.5 ) (1.1 ) \n Adjusted net income attributable to common stockholders $ 84.0 $ 66.6 $ 158.7 $ 120.1 \n \n Adjusted earnings per share attributable to common stockholders: \n Basic $ 4.22 $ 3.34 $ 7.97 $ 6.01 \n Diluted $ 4.16 $ 3.30 $ 7.86 $ 5.94 \n \n Shares used in the computation of earnings per share: \n Basic (in thousands) 19,926 19,970 19,907 19,980 \n Diluted (in thousands) 20,186 20,213 20,180 20,230 \n \n ((1) Represents unrealized gains recorded by our equity investment, Jett Texas Company LLC, related to its investment in the CB&I storage solutions business.) ((2) Represents expense associated with change in control awards and other stock-based compensation for former CEO and CFO of Gulf Island, to be paid out in cash upon completion of their employment agreements.) ((3) Adjusted for the tax impact of adjustments to pretax income above.) \n\n\n\n \n IES HOLDINGS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (DOLLARS IN MILLIONS) (UNAUDITED) \n \n March 31, September 30, \n 2026 2025 \n ASSETS \n CURRENT ASSETS: \n Cash and cash equivalents $ 48.7 $ 127.2 \n Restricted cash 0.9 — \n Marketable securities 214.0 104.6 \n Accounts receivable: \n Trade, net of allowance 656.6 552.2 \n Retainage 117.4 99.9 \n Inventories 126.7 111.5 \n Costs and estimated earnings in excess of billings 100.9 69.2 \n Prepaid expenses and other current assets 29.7 20.9 \n Total current assets 1,294.8 1,085.5 \n Property and equipment, net 320.6 183.2 \n Goodwill 129.2 107.8 \n Intangible assets, net 58.4 41.6 \n Investments 63.9 59.7 \n Deferred tax assets 14.5 16.1 \n Operating right of use assets 100.7 88.4 \n Other non-current assets 12.0 13.3 \n Total assets $ 1,994.0 $ 1,595.7 \n LIABILITIES AND STOCKHOLDERS’ EQUITY \n CURRENT LIABILITIES: \n Accounts payable and accrued expenses $ 511.5 $ 456.5 \n Billings in excess of costs and estimated earnings 286.5 176.8 \n Short-term debt 35.0 — \n Total current liabilities 833.0 633.4 \n Operating long-term lease liabilities 72.4 62.0 \n Other tax liabilities 7.5 6.8 \n Other non-current liabilities 3.9 5.5 \n Total liabilities 916.8 707.7 \n Noncontrolling interest 4.6 4.0 \n STOCKHOLDERS’ EQUITY: \n Preferred stock — — \n Common stock 0.2 0.2 \n Treasury stock, at cost (139.9 ) (127.8 ) \n Additional paid-in capital 210.8 210.7 \n Retained earnings 1,001.6 800.8 \n Total stockholders’ equity 1,072.7 884.0 \n Total liabilities and stockholders’ equity $ 1,994.0 $ 1,595.7 \n\n\n\n \n IES HOLDINGS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (DOLLARS IN MILLIONS) (UNAUDITED) \n \n Six Months Ended \n March 31, \n 2026 2025 \n CASH FLOWS FROM OPERATING ACTIVITIES: \n Net income $ 202.1 $ 130.3 \n Adjustments to reconcile net income to net cash provided by operating activities: \n Bad debt expense (benefit) (0.1 ) 0.3 \n Deferred financing cost amortization 0.3 0.2 \n Depreciation and amortization 28.8 23.0 \n Loss (gain) on sale of assets 0.3 (0.2 ) \n Non-cash compensation expense 7.3 5.1 \n Deferred income tax and other non-cash tax adjustments, net 8.3 0.2 \n Unrealized gain on marketable securities (34.6 ) (7.8 ) \n Gain on remeasurement of previously held investment upon acquisition (2.8 ) — \n Equity method investment income (4.2 ) — \n Changes in operating assets and liabilities: \n Marketable securities (78.8 ) (23.0 ) \n Accounts receivable (82.3 ) (44.0 ) \n Inventories (13.0 ) 5.7 \n Costs and estimated earnings in excess of billings (22.4 ) (27.3 ) \n Prepaid expenses and other current assets (20.6 ) (11.3 ) \n Other non-current assets (0.3 ) (2.9 ) \n Accounts payable and accrued expenses 35.5 8.6 \n Billings in excess of costs and estimated earnings 108.8 4.6 \n Other non-current liabilities (1.2 ) 0.6 \n Net cash provided by operating activities 131.0 62.1 \n CASH FLOWS FROM INVESTING ACTIVITIES: \n Purchases of property and equipment (78.4 ) (30.1 ) \n Proceeds from sale of assets 0.4 0.5 \n Cash paid in conjunction with business combinations, net of cash acquired (143.1 ) (22.6 ) \n Purchases of equity investments — (44.9 ) \n Net cash used in investing activities (221.1 ) (97.1 ) \n CASH FLOWS FROM FINANCING ACTIVITIES: \n Borrowings of debt 90.0 976.4 \n Repayments of debt (55.0 ) (976.4 ) \n Cash paid for finance leases (2.2 ) (2.2 ) \n Distribution to noncontrolling interest (0.9 ) (5.0 ) \n Purchase of treasury stock (19.4 ) (36.3 ) \n Net cash provided by (used in) financing activities 12.5 (43.4 ) \n NET INCREASE IN CASH AND CASH EQUIVALENTS (including restricted) (77.6 ) (78.4 ) \n CASH and CASH EQUIVALENTS, beginning of period (including restricted) 127.2 100.8 \n CASH and CASH EQUIVALENTS, end of period (including restricted) $ 49.5 $ 22.4 \n\n\n\n \n IES HOLDINGS, INC. AND SUBSIDIARIES OPERATING SEGMENT STATEMENT OF OPERATIONS (DOLLARS IN MILLIONS) (UNAUDITED) \n \n Three Months Ended Six Months Ended \n March 31, March 31, \n 2026 2025 2026 2025 \n Revenues \n Communications $ 367.7 $ 273.1 $ 719.6 $ 506.0 \n Residential 287.6 317.9 571.7 637.9 \n Infrastructure Solutions 192.4 117.6 332.6 225.7 \n Commercial & Industrial 126.5 125.4 221.3 213.9 \n Total revenue $ 974.2 $ 834.0 $ 1,845.2 $ 1,583.5 \n \n Operating income (loss) \n Communications $ 61.2 $ 39.6 $ 118.6 $ 68.2 \n Residential 6.4 22.7 15.3 46.5 \n Infrastructure Solutions 41.9 26.5 77.5 49.8 \n Commercial & Industrial 21.5 15.8 31.2 22.9 \n Corporate (18.7 ) (11.9 ) (32.6 ) (20.1 ) \n Total operating income $ 112.3 $ 92.7 $ 210.0 $ 167.3 \n\n\n\n \n IES HOLDINGS, INC. AND SUBSIDIARIES NON-GAAP RECONCILIATION OF ADJUSTED EBITDA (DOLLARS IN MILLIONS) (UNAUDITED) \n \n Three Months Ended Six Months Ended \n March 31, March 31, \n 2026 2025 2026 2025 \n Net income attributable to IES Holdings, Inc. $ 109.9 $ 70.7 $ 201.3 $ 127.0 \n Equity method investment income — — (4.2 ) — \n Provision for income taxes 38.3 26.1 66.7 46.1 \n Interest expense 1.5 0.3 2.0 0.8 \n Gain on marketable securities (37.3 ) (5.5 ) (54.2 ) (7.9 ) \n Other income, net (0.6 ) (0.8 ) (2.4 ) (1.9 ) \n Depreciation and amortization 16.1 11.9 28.8 23.0 \n EBITDA $ 127.9 $ 102.7 $ 238.0 $ 187.0 \n Non-cash equity compensation expense 3.6 3.1 7.3 5.1 \n Acquisition-related compensation expense ((1)) 2.4 — 2.4 — \n Adjusted EBITDA $ 133.9 $ 105.8 $ 247.7 $ 192.1 \n \n ((1) Represents expense associated with change in control awards and other stock-based compensation for former CEO and CFO of Gulf Island, to be paid out in cash upon completion of their employment agreements.) \n\n\n\n \n IES HOLDINGS, INC. AND SUBSIDIARIES SUPPLEMENTAL REMAINING PERFORMANCE OBLIGATIONS AND NON-GAAP RECONCILIATION OF BACKLOG DATA (DOLLARS IN MILLIONS) (UNAUDITED) \n \n March 31, 2026 September 30, 2025 March 31, 2025 \n Remaining Performance Obligations Agreements without an enforceable obligation ((1)) Backlog Remaining Performance Obligations Agreements without an enforceable obligation ((1)) Backlog Remaining Performance Obligations Agreements without an enforceable obligation ((1)) Backlog \n (Dollars in millions) \n Communications $ 954.1 $ 423.2 $ 1,377.3 $ 692.2 $ 63.6 $ 755.8 $ 551.2 $ 129.8 $ 681.0 \n Residential 271.9 110.7 382.6 252.0 121.5 373.6 273.9 90.5 364.4 \n Infrastructure Solutions (()(2)()) 281.5 738.3 1,019.8 128.7 490.6 619.2 134.4 364.0 498.4 \n Commercial & Industrial 839.6 242.8 1,082.4 613.6 11.5 625.2 266.6 2.3 268.9 \n Total $ 2,347.1 $ 1,515.0 $ 3,862.1 $ 1,686.5 $ 687.2 $ 2,373.8 $ 1,226.1 $ 586.6 $ 1,812.7 \n \n ((1) Our backlog contains signed agreements and letters of intent which we do not have a legal right to enforce prior to work starting. These arrangements are excluded from remaining performance obligations until work begins.) \n ((2) During the quarter ended March 31, 2026, Infrastructure Solutions acquired $29.1 million of remaining performance obligations and backlog in connection with the acquisition of Gulf Island.) \n\n\n\n(https://www.globenewswire.com/NewsRoom/AttachmentNg/e147fa9a-445f-47c2-941a-2cd1ae28b2ae)\n\n\n\nGlobeNewswire, Inc. 2026"},"type":"article","timestamp":"2026-05-01T11:45:00.464729389Z","server_sent_at_ms":1777635900464},"received_at":"2026-05-01T11:45:00.728Z","source_url":null},"analysis":null,"durationMs":null,"modelName":null}}