Overview

* Arcosa ( ACA ) Q2 revenue grows 18% excluding divestitures, misses analyst expectations

* Adjusted EPS for Q2 beats consensus, reflecting successful strategic actions

* Adjusted EBITDA for Q2 exceeds analyst estimates, driven by portfolio transformation

Outlook

* Arcosa ( ACA ) forecasts 2025 revenue between $2.85 bln and $2.95 bln

* Company expects 2025 Adjusted EBITDA between $555 mln and $585 mln

* Guidance includes immaterial impact of tariffs

Result Drivers

* STAVOLA ACQUISITION - Acquisition of Stavola boosted construction materials revenue by $90.3 mln, enhancing EBITDA margin by 360 bps

* GRID EXPANSION - Strong demand for utility structures driven by U.S. grid expansion, resulting in record backlog

* BARGE DELIVERIES - Increased tank barge deliveries contributed to 18% revenue growth in transportation products

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Miss $736.90 $757.80

Revenue mln mln (5

Analysts

)

Q2 Beat $1.27 $1.07 (6

Adjusted Analysts

EPS )

Q2 EPS $1.22

Q2 Beat $62.20 $53.10

Adjusted mln mln (4

Net Analysts

Income )

Q2 Net $59.70

Income mln

Q2 Beat $154.20 $153.70

Adjusted mln mln (5

EBITDA Analysts

)

Q2 20.9%

Adjusted

EBITDA

Margin

Analyst Coverage

* The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 6 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the construction & engineering peer group is "buy."

* Wall Street's median 12-month price target for Arcosa Inc ( ACA ) is $110.00, about 23% above its August 6 closing price of $84.70

* The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 20 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)