Concrete Pumping Q3 2026 Earnings Report

Concrete Pumping EPS Results

• Actual EPS: $0.09
• Consensus EPS: $0.08
• Beat/Miss: Beat by +$0.01
• One Year Ago EPS: N/A

Concrete Pumping Revenue Results

• Actual Revenue: $116.77 million
• Expected Revenue: $110.20 million
• Beat/Miss: Beat by +$6.57 million
• YoY Revenue Growth: N/A

Concrete Pumping Announcement Details

• Quarter: Q3 2026
• Date: 9/3/2026
• Time: After Market Closes
• Conference Call Date: Thursday, September 3, 2026
• Conference Call Time: 5:00PM ET

Concrete Pumping (NASDAQ:BBCP) (NASDAQ: BBCP) provides concrete pumping and related services to the construction industry. Through its operating businesses, the company supplies equipment and trained personnel to place concrete on residential, commercial, infrastructure, and other construction projects.

The company operates primarily through Brundage-Bone Concrete Pumping, a provider of concrete placement services in the United States, and Camfaud Group, which serves the United Kingdom. Its fleet includes truck-mounted boom pumps, line pumps, and other specialized equipment designed to deliver concrete efficiently to locations that may be difficult to access using conventional methods.

Concrete Pumping Holdings also operates Eco-Pan, which provides concrete washout containment, collection, and disposal services. These services help construction companies manage concrete waste and comply with environmental and site-management requirements. The company’s operations serve customers across multiple markets in the United States and the United Kingdom.

Concrete Pumping Q3 2026 Earnings Call Transcript

Key Takeaways

• Positive Sentiment: Third-quarter revenue and adjusted EBITDA both increased 13% year over year to $116.8 million and $30.4 million, respectively, driven by strong U.S. commercial and infrastructure demand, especially data centers.
• Positive Sentiment: Management raised fiscal 2026 guidance, now expecting revenue of $425 million–$435 million, adjusted EBITDA of $103 million–$108 million, and approximately $50 million of free cash flow.
• Positive Sentiment: The company initiated a quarterly cash dividend of $0.13 per share, equivalent to $0.52 annually and an estimated 5.6% yield, while maintaining its ability to invest in growth and pursue acquisitions.
• Positive Sentiment: Net leverage declined to approximately 3.6 times adjusted EBITDA, with about $357 million of liquidity; management remains committed to reaching its 3.0-times leverage target, potentially within roughly 18 months absent major investments.
• Negative Sentiment: Light commercial and residential construction remain pressured by elevated interest rates and economic uncertainty, while the U.K. business continues to face weak demand, inflation, and lower labor efficiency despite recent signs of improvement.

Presentation

[Operator]

Good afternoon, everyone, and thank you for participating in today's conference call to discuss Concrete Pumping Holdings' financial results for the third quarter ended July 31st, 2026. Joining us today are Concrete Pumping Holdings CEO, Bruce Young, CFO, Iain Humphries, and the company's External Director of Investor Relations, Cody Slach. Before we go further, I would like to turn the call over to Mr. Slach to read the company's Safe Harbor statement, within the meaning of the Private Securities Litigation Reform Act of 1995, that provides important cautions regarding forward-looking statements. Cody, please go ahead.

[Cody Slach, External Director of Investor Relations at Concrete Pumping]

Thank you. I'd like to remind everyone that during this call, to give you a better understanding of our operations, we will be making certain forward-looking statements regarding our business and outlook. These statements are subject to numerous risks and uncertainties that could cause actual results to differ materially from such statements. For information concerning these risks and uncertainties, see Concrete Pumping Holdings annual report on Form 10-K, quarterly report on Form 10-Q, and other publicly available filings with the SEC. The company disclaims any intention or obligation to update or revise any forward-looking statements, whether because of new information, future events, or otherwise. On today's call, we will also reference certain non-GAAP financial measures, including adjusted EBITDA, net debt, and free cash flow, which we believe provide useful information for investors.

[Cody Slach, External Director of Investor Relations at Concrete Pumping]

We provide further information about these non-GAAP financial measures and reconciliations with comparable GAAP measures in our press release issued today or the investor presentation posted on the company's website. I'd like to remind everyone that this call will be available for replay later this evening. A webcast replay will also be available via the link provided in today's press release, as well as on the company's website. Additionally, we have posted an updated investor presentation to the company's website. Now I'd like to turn the call over to the CEO of Concrete Pumping Holdings, Bruce Young. Bruce?

[Bruce Young, CEO at Concrete Pumping]

Thank you, Cody, and good afternoon, everyone. 2026 remains on track to be a strong year for our company as we continue to execute our strategy and prove ourselves to be the partner of choice of our customers, particularly in large, more complex projects. I'm pleased to report that we delivered another strong quarter, with revenue increasing 13% year-over-year and adjusted EBITDA also growing 13%, reflecting continued momentum across our U.S. operations, disciplined operational execution, and healthy demand across several of our key end markets. Our performance during the quarter continued to be led by large-scale commercial and infrastructure construction activity. As we have discussed in the last couple of quarters, data centers and other large-scale commercial projects remain the primary driver of growth. In addition, we are also seeing encouraging activity across education, utilities, energy, and other infrastructure-related projects.

[Bruce Young, CEO at Concrete Pumping]

These larger, more complex projects continue to support healthy fleet utilization across both our Brundage-Bone and Eco-Pan businesses and reinforce the competitive advantages created by our national footprint, scale, and operational expertise. We remain optimistic about the continued growth in these segments for the foreseeable future. The broader construction backdrop remains largely unchanged. Heavy commercial construction has remained relatively resilient, while light commercial activity continues to be pressured by elevated interest rates and economic uncertainty. Residential construction also remains soft as affordability challenges continue to weigh on new home construction, despite favorable long-term housing fundamentals. Our Eco-Pan Concrete Waste Management Services business again delivered an excellent quarter and remains on track for another record year, benefiting from continued strength in commercial construction activity, pricing execution, and ongoing penetration into new customer accounts.

[Bruce Young, CEO at Concrete Pumping]

Eco-Pan continues to demonstrate the attractive operating characteristics of the business and remains an important differentiator for our overall platform. Turning to our U.K. operations, market conditions remain more challenging than those in the U.S., with inflation, elevated interest rates, and slower commercial construction environment continuing to pressure demand. That said, we were encouraged to see commercial activity improve during the months of July and August, and while it's too early to call an inflection point, the trends are encouraging. In addition to our recent expansion into the temporary power market, Templant is performing well, is executing in line with our strategy to build a diversified multi-service platform supporting the construction and infrastructure sectors. Along with our Republic of Ireland expansion, these strategic growth investments continue to strengthen our long-term platform. Overall, we are pleased with our performance through the first nine months of fiscal 2026.

[Bruce Young, CEO at Concrete Pumping]

We continue to grow profitably and generate meaningful free cash flow, and our balance sheet is in an excellent position as we have driven net leverage down to 3.6x, on track towards our near-term target of three times. Liquidity is also very strong at about $357 million, giving us tremendous flexibility to grow shareholder value through accelerated organic growth opportunities, M&A, and other capital allocation strategies. The consistency of our execution, the durability of demand across large commercial and infrastructure projects, and the strength of our operating model give us confidence as we enter the final quarter of fiscal 2026. As a result, we are once again raising our full-year revenue, adjusted EBITDA, and free cash flow outlook while remaining focused on disciplined execution, free cash flow generation, and long-term value creation for our shareholders.

[Bruce Young, CEO at Concrete Pumping]

Looking out longer term, we are excited about the opportunities we see in front of us. We believe these opportunities, coupled with our differentiated business model, will translate to profitable growth across all segments, both organically and through potential M&A. Today, we made an important update regarding capital allocation, and we are pleased to announce that our Board of Directors has approved the initiation of a regular quarterly cash dividend. The first expected payment of $0.13 per share is to be paid on October 2nd, 2026, and on an annualized basis, this equates to $0.52 per share, representing a yield of approximately 5.6% based on our current stock price. The dividend does not change our growth investment priorities and our ability to pursue strategic initiatives.

[Bruce Young, CEO at Concrete Pumping]

Rather, it reflects our confidence in the durability of our free cash flow and our commitment to returning capital to shareholders through multiple channels. I will now turn the call over to Iain to walk through financial results in more detail. Iain?

[Iain Humphries, CFO at Concrete Pumping]

Thanks, Bruce, and good afternoon, everyone. Moving directly into our third quarter results. Revenue increased 13% to $116.8 million compared to $103.7 million in the prior year quarter. The increase was driven by continued strength in U.S. commercial and infrastructure activity, particularly large-scale data center and infrastructure projects, along with pricing improvement and mostly stable weather conditions across our U.S. markets. Revenue in our U.S. Concrete Pumping segment increased 10% to $76.2 million, compared to $69.3 million in the prior year quarter. Commercial and infrastructure activity remained healthy, led by continued demand from data centers, while utilities, education, and energy-related projects also contributed to growth. These gains were partially offset by continued softness in light commercial construction and subdued residential demand resulting from elevated interest rates and ongoing economic uncertainty.

[Iain Humphries, CFO at Concrete Pumping]

Revenue in our Eco-Pan Concrete Waste Management Services business increased 14% to $21.9 million, compared to $19.3 million in the prior year quarter. Growth was driven by organic volume increases, pricing improvements, and continued success expanding relationships with new customers, demonstrating the scalability and resiliency of the business. Turning to our U.K. operations, revenue increased 24% to $18.7 million. The increase primarily reflected the contribution from the Templant temporary power acquisition, while underlying commercial construction activity remained relatively soft. Although inflationary pressures continued to impact fuel costs, we were encouraged by the improving commercial demand activity during July and August and continue to believe our strategic investments are positioning the business for long-term growth. At a consolidated level, gross margin was 38.7%, compared to 39% in the prior year quarter. Pricing execution largely offset inflationary pressures with a modest decline, primarily reflecting higher fuel costs during the quarter.

[Iain Humphries, CFO at Concrete Pumping]

General and administrative expenses increased to $30.1 million, compared to $27.5 million in the prior year quarter, reflecting higher stock compensation and costs from recent acquisitions. However, G&A, as a percentage of revenue, improved to 25.8% from 26.5%, demonstrating continued operating leverage. Net income attributable to common shareholders increased to $4.5 million, or $0.09 per diluted share, compared to $3.3 million or $0.07 per diluted share last year. Adjusted EBITDA increased 13% to $30.4 million, with margin improving to 26%. Within U.S. Concrete Pumping, adjusted EBITDA increased 18% to $18.4 million, while Eco-Pan adjusted EBITDA increased 19% to $8.8 million, reflecting continued operating leverage from higher volumes and improved pricing.

[Iain Humphries, CFO at Concrete Pumping]

Turning to liquidity, as Bruce mentioned earlier, we ended the quarter with total debt of $425 million and net debt of approximately $382 million, reducing our net leverage ratio to approximately 3.6x adjusted EBITDA, compared to 3.8x last quarter. We also ended the quarter with approximately $357 million of available liquidity. The continued reduction in leverage reflects our strong free cash flow generation and disciplined capital allocation strategy and positions us well to continue investing in the business while maintaining balance sheet flexibility. Turning now to our outlook for fiscal 2026. Based on our continued strong performance through the first nine months of the year, we are once again increasing our 2026 full year guidance. We now expect revenue between $425 million and $435 million, compared to our prior range of $410 million-$425 million.

[Iain Humphries, CFO at Concrete Pumping]

We are also raising our adjusted EBITDA outlook to a range of $103 million-$108 million, from our prior range of $98 million-$105 million. Lastly, we are also increasing our free cash flow expectation to approximately $50 million from our prior expectation of at least $45 million. Turning to capital allocation. Over the last four years, we have returned approximately $91 million to shareholders through share repurchases and a special dividend. As Bruce mentioned earlier, today, we have added to our capital allocation strategy by initiating a regular quarterly cash dividend program. The first expected payment of $0.13 per share is to be paid on October 2nd, 2026, to shareholders of record as of September 18th, 2026. On an annualized basis, this equates to $0.52 per share, representing a yield of approximately 5.6% based on our current stock price.

[Iain Humphries, CFO at Concrete Pumping]

As always, the declaration and payment of any future dividends remains subject to the discretion and approval of our Board of Directors each quarter based on our financial position, cash flow generation, and capital needs at the time. As a reminder from last quarter, since the initiation of our share repurchase program in 2022, we have repurchased approximately 5.9 million shares for $38.1 million. There is $11.9 million remaining under the current authorization, and the Board of Directors recently extended its authorization through November 30th of 2028. These items, in addition to our strategic growth initiatives, reflects our confidence in our business model and ability to generate healthy free cash flow as we remain committed to our near-term net leverage target of 3x. With that, I'll turn the call back to Bruce.

[Bruce Young, CEO at Concrete Pumping]

Thanks, Iain. As we look toward the remainder of the year, we remain encouraged by both the consistency of our execution and the resilience of our business. Demand across large commercial and infrastructure projects continues to provide a solid foundation for growth, while our diversified service offering and disciplined operating model continues to differentiate us in the marketplace. Our priorities remain unchanged. We will continue to execute with discipline, investing strategically in our fleet, expanding complementary service offerings, and maintaining a strong balance sheet. The progress we've made, reducing leverage to 3.6x while continuing to invest in the business, demonstrates the strength of our cash generation and provides additional flexibility to pursue active growth opportunities. Our newly established regular dividend program sits alongside our disciplined capital allocation commitment to continued investment in growth opportunities, providing superior shareholder value and lower leverage.

[Bruce Young, CEO at Concrete Pumping]

While remaining mindful of ongoing softness in residential construction and the uncertainty that persists in portions of the U.K. market, we believe our diversified end markets, operational discipline, and strategic investment positions us well to continue delivering long-term value for our customers and shareholders. With that, I'd like to turn the call back over to the operator for Q&A. Shamali?

[Operator]

Thank you, sir. We will now be conducting a question and answer session. If you would like to ask a question, please press star one on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star two to remove yourself from the queue. For participants using speaker equipment, it may be necessary to pick up the handset before pressing the star keys. Our first question comes from the line of Andy Wittmann with Baird. Please proceed with your question.

[Andy Wittmann, Analyst at Baird]

Great. Good afternoon. Thanks, guys, for taking my questions. Iain, I guess I wanted to just start a little bit on the cash flow dividend here. Was interesting news. Was a little surprised by it, but I'm sure the market will like that. I'm not sure, but I think it will. We'll see. I guess my question has to do with the free cash flow guidance here. Year to date, you're already free cash flow, like $40 million. So 4Q is like $10 million. I guess you pay the coupon on some of the debt, or paid it in August. It kind of feels like that's not just a lot of cash flow in the fourth quarter. Can you maybe talk through some of the moving pieces?

[Andy Wittmann, Analyst at Baird]

I know you're pulling forward some of the I don't know if you consider the CapEx for the fleet that you're pulling forward to get ahead of the emission stuff. Is that the reason why free cash flow is not better? Are you considering that growth or maintenance CapEx? Because I guess your free cash flow definition is only including the maintenance side of that. Anyway, can you just clarify what the fourth quarter looks like and the CapEx numbers in the fourth quarter, maybe?

[Iain Humphries, CFO at Concrete Pumping]

Yeah. Thanks for the question, Andy. I will start with the pull forward of the 2027 CapEx. It is mostly a replacement that we are pulling forward into 2026. So that would be reversed in next year's free cash flow update. I guess the best way to think about the free cash flow guide update for the full year, as you know, if you work from the midpoint of the EBITDA guide, so call it $105 million or $106 million, the difference between that and the $50 million is approximately $32 million of interest and about $23 million of replacement CapEx. So there is a small amount of replacement CapEx in the fourth quarter. And that replacement CapEx is about 5% of revenue, which is in line with our normal run rate. So there is probably like $2 million or $3 million of replacement CapEx in the fourth quarter.

[Andy Wittmann, Analyst at Baird]

Got it. So as we look forward then, with the pull forward, what is a right number for replacement CapEx that you are thinking kind of broad strokes for 2027? I am not looking for decimal points. We are not going to hold I know you are not giving 2027 guide. Just want to make sure we are thinking like you are thinking.

[Iain Humphries, CFO at Concrete Pumping]

Yeah. So, excluding the pull forward piece, it will be to a low single digits in next year.

[Andy Wittmann, Analyst at Baird]

Excluding the pull forward. Got it. Okay.

[Iain Humphries, CFO at Concrete Pumping]

Yeah. You might remember, we had $22 million of pull forward.

[Andy Wittmann, Analyst at Baird]

Yeah.

[Iain Humphries, CFO at Concrete Pumping]

About 18 of that was for U.S. Concrete Pumping and about 4 for Eco-Pan. Depending on how much of the replacement comes through in the fourth quarter, the expectation for next year on replacement would be low percentage single digits for the U.S. Concrete Pumping business.

[Andy Wittmann, Analyst at Baird]

Yeah. With the dividend, how does that work against the Nuveen preferred? Does that preferred conversion ratio change as a result of this? Can you just update us on that? Because it used to have a mandatory conversion trigger and all these things, so does that start moving now that you're paying the dividend on the common?

[Iain Humphries, CFO at Concrete Pumping]

It doesn't change anything on the preferred.

[Andy Wittmann, Analyst at Baird]

Okay. Got it. That makes sense. Just as it relates to the 3.0 target now with a decent sized dividend here, what's a realistic timeframe to think to consider getting down to that 3.0 target, understanding obviously that you're always looking at M&A, but maybe you could look, say, like, if you don't do M&A, X is the date we think is realistic or something like that.

[Iain Humphries, CFO at Concrete Pumping]

Yeah. It's a good question. So obviously, it depends on the investments that we make in growth initiatives. But as you remember, we've had a healthy share repurchase in prior years. From last year, I want to say it was around $12 million to $14 million. I think in the year prior to that, it was around $10 million. So, depending on where the share price is, it would depend on what goes into share repurchases. From a cash perspective, we've always thought that it's not a stretch for us to turn leverage down by at least half a turn in 12 months. But obviously, it's dependent on what we do on the growth side as well. But a reasonable expectation, I would say, around 18 months, barring anything extraordinary on the investment side.

[Andy Wittmann, Analyst at Baird]

Okay, and then my last question is just on the margins in the U.K. segment. It was a lower number than I think I expected here, and I was just wondering if there was a mix impact from the acquisition in there or something else that we should know about, just because that one just stood out a little bit, and I wanted to understand. Thank you.

[Iain Humphries, CFO at Concrete Pumping]

Yeah. Nothing really from the acquisition side that we've impacted margin. As you'll know, we've had some demand headwinds in the U.K. slightly. So there's been a slight loss of labor efficiency. But as Bruce mentioned in his comments, we've seen a bit of a pickup in the volume side in July in demand. So it's slightly from the labor component in the third quarter, just really based on demand.

[Andy Wittmann, Analyst at Baird]

Yep. Okay.

[Bruce Young, CEO at Concrete Pumping]

Yeah, I think what I would add to that, Andy, in the U.K., labor isn't as variable as what we see in the U.S., so we need to keep our team intact, and we pay them while we have them employed for us. We are seeing really strong signs of that market starting to come back, so we think that'll improve.

[Andy Wittmann, Analyst at Baird]

Yeah. Okay, that's good context. I appreciate you flagging the difference in the labor force there, Bruce. Thank you very much, guys. I'll leave it there.

[Bruce Young, CEO at Concrete Pumping]

All right. Thanks, Andy.

[Iain Humphries, CFO at Concrete Pumping]

Okay. Bye, Andy.

[Operator]

Thank you. At this time, this concludes our question and answer session. I would now like to turn the call back over to Mr. Young for closing remarks.

[Bruce Young, CEO at Concrete Pumping]

Thank you, Shamali. We'd like to thank everyone for listening to today's call, and we look forward to speaking with you when we report our fourth quarter and full year 2026 results in January. Thank you.

[Operator]

Ladies and gentlemen, this does conclude today's teleconference. You may disconnect your lines at this time. Thank you for your participation.

Participants

Executives

• Cody Slach, External Director of Investor Relations
• Iain Humphries, CFO

Analysts

• Bruce Young, CEO at Concrete Pumping
• Andy Wittmann, Analyst at Baird