# SHIM earnings call intelligence LOPJLB CallCard / temporal rollup · freemium · [stock page](https://www.lopjlb.com/stock/SHIM) · [Earnings tab](https://www.lopjlb.com/stock/SHIM?tab=earnings) Updated: 2026-08-10T07:56:48 Quarters analyzed: 3 ## Cross-quarter narrative Across the three calls SHIM moved from an early stage of modest growth and ongoing non‑core wind‑down to a phase of accelerated performance and near‑completion of that wind‑down. In Q3 2025 the company reported a 6% rise in core revenue, a 15% backlog lift to $754 M and reaffirmed guidance while noting the non‑core wind‑down would continue through 2026. By Q4 2025 core revenue growth accelerated to 12%, project gross margin rose to 10% and the non‑core wind‑down was 90% complete, prompting higher 2026 revenue and EBITDA guidance anchored in a robust pipeline. In Q1 2026 the backlog reached a two‑year high of $944 M, gross margin expanded to 12%, non‑core exposure fell below 5%, and guidance was reaffirmed with strong growth ranges. Management highlighted operational discipline, talent, technology and collaborative contracting, announced new water‑infrastructure projects, noted active data‑center bids, and disclosed the Chickamauga lock replacement termination that trims $20‑30 M revenue but lifts margins. The overall trajectory shows strengthening revenue, margins and backlog, completion of non‑core exit, and expanding pipeline visibility. ## Latest CallCard · Q1 Shimmick Q1 2026: $88M revenue, 12% gross margin, $3M adj EBITDA; backlog $944M (highest in 2+ yrs), book-to-burn 2.6; noncore <5%; guidance reaffirmed 12-22% revenue growth, 200-500% EBITDA growth. Chickamauga termination reduces revenue $20-30M but margin profile improves. Data center bids active **Guidance:** maintained — Reaffirmed full year 2026 guidance: revenue growth 12-22% YoY ($550-600M work put in place), adjusted EBITDA increase 200-500% YoY ($15-30M range). Management notes may trend toward lower end of revenue guidance due to Chickamauga loss. **Tone:** mgmt 0.7 · Q&A pressure 0.3 · divergence 0.4 Prepared remarks emphasize pride, progress, excitement, and confidence: 'We are excited by the progress we're making on our backlog and have achieved our highest book-to-burn ratio since the company went public' and 'Overall, we are energized by our first quarter performance.' ### Demand visibility Strong backlog growth and pipeline visibility. Backlog $944M (highest in 2+ years), book-to-burn 2.6, 24-month pipeline $600M-$1B/month bidding volumes, multiple pending awards expected to convert in next 1-2 quarters. New projects in CA (flood protection, stormwater) and TX (wastewater) scheduled to ramp this year. ### Margins / costs Gross margin expansion driven by core project mix improvement and noncore wind-down. Shimmick project gross margin 11% (up from 6% YoY), consolidated 12% (up from 4%); noncore backlog <5% removing drag; expect margins to reach 12-13% as 2025 wins burn; commodity costs built into new bid pricing. ### Capital allocation Focus on operational discipline, talent, technology, and collaborative contracting. Appointed COO Sarah Tacker (April 2026); centralized procurement; project controls/tech investment; talent retention priority; shift to progressive design-build and risk-balanced contracts; $50M California Water Service progressive design-build project subsequent to quarter. ### Milestones - **Vista Grande Drainage Basin Improvements (Northern California)** [new]: Large-scale stormwater modernization, complex underground construction, integrated civil/mechanical/electrical scopes. - **Napa Flood Protection Project** [new]: New flood walls as part of county's long-running flood management program. - **Austin Wastewater Treatment Plant Expansion** [new]: Complex concrete structures, underground systems, process infrastructure supporting capacity increase. - **California Water Service Wastewater Treatment Plant (Southern California)** [new]: Progressive design-build, $50M estimated construction value, subsequent to quarter end, not in Q1 backlog. - **Chickamauga Lock Replacement Project** [delayed]: Terminated by US Army Corps; proceeding through federal dispute resolution; $20-30M revenue impact in 2026. - **Two other US Army Corps projects** [on_track] ## Quarter one-liners - **2026 Q1:** Shimmick Q1 2026: $88M revenue, 12% gross margin, $3M adj EBITDA; backlog $944M (highest in 2+ yrs), book-to-burn 2.6; noncore <5%; guidance reaffirmed 12-22% revenue growth, 200-500% EBITDA growth. Chickamauga termination reduces revenue $20-30M but margin profile improves. Data center bids active - **2025 Q4:** Shimmick delivered 2025 in line with expectations, growing core revenue 12% to $395M, expanding project gross margin to 10%, winding down noncore (90% complete), and guiding 2026 revenue $550-600M (+17% mid) with EBITDA $15-30M (+350% mid) on robust pipeline and backlog growth.','tone': {'mgmt': 0.6 - **2025 Q3:** Shimmick Q3'25: core revenue up 6%, backlog +15% to $754M, book-to-burn 1.7x, non-core wind-down continues through 2026, guidance reaffirmed with revenue high-end, EBITDA low-end.','tone': {'mgmt': 0.7, 'mgmt_rationale': 'CEO emphasizes strategy execution progress, backlog growth, bidding strength, ## Theme arcs - **Revenue growth** (improving): Core revenue rose from +6% YoY in Q3 2025 to +12% YoY in Q4 2025 and guidance now targets 12‑22% annual growth. - **Gross margin expansion** (improving): Margin improved from 10% in Q4 2025 to 12% in Q1 2026, driven by core mix and non‑core wind‑down. - **Non‑core wind‑down** (improving): Wind‑down progressed from ongoing in Q3 2025 to 90% complete in Q4 2025 and now <5% of revenue in Q1 2026. - **Backlog expansion** (improving): Backlog grew from $754 M in Q3 2025 to $944 M in Q1 2026, the highest in over two years. - **Guidance confidence** (improving): Guidance was reaffirmed each quarter with increasingly higher revenue and EBITDA ranges. - **Operational focus** (new): Q1 2026 emphasized discipline, talent, technology and collaborative contracting. - **Data‑center bids** (new): Active bids in the data‑center segment were highlighted in Q1 2026. - **Project termination impact** (new): Chickamauga lock replacement termination reduces revenue but improves margin profile. ## Guidance path 2025 Q3:vague → 2025 Q4:vague → 2026 Q1:maintained --- Research context only. Not personalized investment advice. API: `GET /bff/api/bigfive/earnings-intel/SHIM`