> ## Content Index > Fetch the complete content index at: https://www.bullished.co/llms.txt > Use this file to discover other available public pages before exploring further. # Construction Partners Expects 30% Revenue Growth — But Annual Profit Margin Falls - URL: https://www.bullished.co/construction-partners-expects-30-revenue-growth-but-annual-profit-margin-falls-61951086/ - Published: 2026-11-06T20:50:53.000Z - Updated: 2026-11-06T20:50:53.000Z - Description: The road builder projects $4.175 billion to $4.275 billion in fiscal 2027 revenue as it works higher diesel costs into pricing. - Author: Matteo Parrino - Tags: SEC Filings, ROAD, Industry: Industrials Construction Partners, which builds and maintains roads and supplies asphalt and other construction materials, estimates fiscal 2026 revenue grew [approximately 30%](https://www.prnewswire.com/news-releases/construction-partners-inc-announces-preliminary-fiscal-2026-financial-results-and-introduces-fiscal-2027-outlook-302930312.html?ref=bullished.co), but its adjusted earnings margin fell from 15.1% to a preliminary 14.21%–14.24%. The preliminary, unaudited results announced Thursday put sales at $3.660 billion to $3.680 billion, against $2.812 billion in fiscal 2025, according to its SEC filing. ## Wet July And Diesel Squeeze Margins Higher annual earnings accompanied the lower margin. Construction Partners estimates net income of [$141.5 million](https://www.prnewswire.com/news-releases/construction-partners-inc-announces-preliminary-fiscal-2026-financial-results-and-introduces-fiscal-2027-outlook-302930312.html?ref=bullished.co) to $142.5 million, approximately 40% above fiscal 2025’s $101.8 million; adjusted net income is estimated at $153.3 million to $154.9 million, approximately 26% above $122.0 million. Adjusted earnings before interest, taxes, depreciation and amortization are estimated at $520.0 million to $524.0 million, approximately 23% above $423.7 million. The margin measures those adjusted earnings as a share of revenue; the measure excludes stock-based pay and certain acquisition expenses, among other items. President and CEO Fred J. (Jule) Smith, III attributed the fourth-quarter profitability pressure to unusually wet July weather in several major markets and rapidly increasing diesel costs. Nevertheless, Smith said, “our growth strategy remains firmly intact.” The estimates remain subject to year-end adjustments, and the company’s auditor has not completed its audit or performed procedures on the preliminary figures. ## 2027 Growth Meets A Pricing Reset For fiscal 2027, management forecasts revenue of $4.175 billion to $4.275 billion and net income of $170.9 million to $180.8 million. Adjusted net income is projected at $174.6 million to $185.4 million. The outlook also calls for adjusted earnings before interest, taxes, depreciation and amortization of $585.0 million to $620.0 million, with a margin of 14.0% to 14.5%. Smith said the guidance midpoints represent approximately 15% growth in both revenue and adjusted earnings, including approximately 6% to 8% revenue growth excluding acquisitions. Smith expects profitability improvements in the second half of fiscal 2027 as acquired lower-margin projects finish and higher-margin work replaces them. He also expects project prices to progressively absorb higher diesel costs. Better residential and commercial construction conditions could create additional margin opportunities, he said. ## Piedmont Adds To The Sunbelt Footprint Acquisitions remain central to the expansion: Construction Partners completed seven purchases across four states and opened four new locations in fiscal 2026\. Revenue growth excluding acquisitions reached 7%. Smith said three acquisitions were already complete one month into fiscal 2027. The company announced Wednesday that it bought Piedmont Paving, a Newnan, Georgia, business providing site development and asphalt paving for public and private projects around Atlanta. Its asphalt plant and more than 110 employees joined The Scruggs Company, Construction Partners’ Georgia operation, extending Scruggs’ reach along Interstate 85 between Columbus and Atlanta. Construction Partners operates in Alabama, Florida, Georgia, North Carolina, Oklahoma, South Carolina, Tennessee and Texas. Its work spans paving, site preparation, utility and drainage installation, while materials sales include asphalt, sand, gravel and construction stone. Publicly funded projects and third-party sales accounted for approximately 65% of fiscal 2025 revenue; privately funded projects and third-party sales accounted for approximately 35%. Construction Partners is scheduled to discuss final financial and operating results on November 19. Learn - [Item 2.02: results of operations →](https://www.bullished.co/learn/8-k-items-explained/#item-202-results-of-operations) From 8-K Items Explained: What Every Item Code From 1.01 To 9.01 Tells You, With Examples ### Sources - [8-K Filing — Construction Partners, Inc. (ROAD)](https://www.sec.gov/Archives/edgar/data/0001718227/000162828026070670/road-20261104.htm?ref=bullished.co) — SEC EDGAR - [Exhibit exhibit991\_earningspressre.htm — Construction Partners, Inc. 8-K exhibit](https://www.sec.gov/Archives/edgar/data/0001718227/000162828026070670/exhibit991%5Fearningspressre.htm?ref=bullished.co) — SEC EDGAR - [Exhibit exhibit992\_acquisitionpres.htm — Construction Partners, Inc. 8-K exhibit](https://www.sec.gov/Archives/edgar/data/0001718227/000162828026070670/exhibit992%5Facquisitionpres.htm?ref=bullished.co) — SEC EDGAR - [Construction Partners, Inc. to Participate in the Baird 2026 Global Industrial Conference](https://finance.yahoo.com/markets/stocks/articles/construction-partners-inc-participate-baird-133000570.html?ref=bullished.co) — Yahoo Finance - [Construction Partners, Inc. Announces Preliminary Fiscal 2026 Financial Results and Introduces Fiscal 2027 Outlook](https://www.prnewswire.com/news-releases/construction-partners-inc-announces-preliminary-fiscal-2026-financial-results-and-introduces-fiscal-2027-outlook-302930312.html?ref=bullished.co) — prnewswire.com