Willdan Group (NASDAQ:WLDN) Releases Quarterly Earnings Results, Beats Expectations By $0.10 EPS

Key Points

• Willdan Group reported quarterly earnings of $0.91 per share, beating analyst estimates by $0.10, while revenue of $92.43 million also came in slightly above expectations.
• The company raised its FY 2026 guidance to $4.90-$5.05 in adjusted EPS and increased its long-term adjusted EBITDA margin target to the high-20s, signaling confidence in stronger profitability ahead.
• Willdan also completed the Burton Energy Group acquisition, which should add about $103 million in 2025 contract revenue and is expected to boost margins and earnings in 2026.

Willdan Group (NASDAQ:WLDN - Get Free Report) released its quarterly earnings results on Thursday. The construction company reported $0.91 EPS for the quarter, beating the consensus estimate of $0.81 by $0.10, FiscalAI reports. The business had revenue of $92.43 million for the quarter, compared to analyst estimates of $92.17 million. Willdan Group had a net margin of 7.71% and a return on equity of 23.34%. Willdan Group updated its FY 2026 guidance to 4.900-5.050 EPS.

Here are the key takeaways from Willdan Group's conference call:

• Willdan delivered a strong Q1 with normalized contract revenue up ~10%, net revenue up 17%, a record adjusted EBITDA of $18.1M (19.6% of net revenue) and adjusted EBITDA growth of ~35%, driving adjusted EPS to $0.91.
• The company closed the acquisition of Burton Energy Group, which adds ~ $103M in 2025 contract revenue, multi‑year recurring Fortune 500 clients and cross‑selling opportunities, and is expected to be accretive to margins and EPS in 2026.
• Management raised full‑year 2026 guidance (net revenues $410–425M; adjusted EBITDA $100–105M; adj diluted EPS $4.90–5.05) and lifted its long‑term adjusted EBITDA margin target to the high‑twenties percent, citing productivity, favorable mix and operating leverage.
• Operating cash used $24M in Q1 (vs. +$3M prior year), and the company drew $30M on its revolver to fund Burton (bringing net leverage to ~0.6x pro forma), but management highlights $28M deferred tax assets, strong trailing‑12‑month cash generation and an expectation to repay the revolver by year‑end.

Willdan Group Trading Up 15.5%

NASDAQ:WLDN traded up $11.56 during trading hours on Friday, reaching $86.03. 773,408 shares of the company were exchanged, compared to its average volume of 337,387. The company has a debt-to-equity ratio of 0.15, a current ratio of 1.56 and a quick ratio of 1.56. The firm has a market cap of $1.29 billion, a price-to-earnings ratio of 24.72 and a beta of 1.07. Willdan Group has a 52-week low of $40.56 and a 52-week high of $137.00. The stock has a 50 day simple moving average of $80.66 and a 200 day simple moving average of $98.89.

Willdan Group News Summary

Here are the key news stories impacting Willdan Group this week:

• Positive Sentiment: Management raised FY‑2026 EPS guidance to $4.90–$5.05, well above street EPS consensus (~$4.42), signaling confidence in profitability and driving upside for per‑share earnings. Willdan Group Reports First Quarter Results
• Positive Sentiment: Q1 results beat: EPS $0.91 vs. consensus $0.81 and net revenue ~$92.4M slightly above estimates; net income rose ~82% year‑over‑year and margins/ROE improved — evidence of operating leverage on current projects. Willdan Group Reports First Quarter Results
• Positive Sentiment: Analyst commentary views the guidance raise as a potential re‑rating opportunity; a Seeking Alpha piece argues the stock looks mispriced after the guidance boost, which supports further upside if execution continues. Willdan Looks Mispriced After Raising Guidance
• Neutral Sentiment: The earnings call / transcript provides management detail on the quarter and the drivers behind the guidance change; investors should review the call for cadence on backlog, seasonality and cash flow assumptions. Willdan Group, Inc. (WLDN) Q1 2026 Earnings Call Transcript
• Negative Sentiment: FY‑2026 revenue guidance of $410–$425M is materially lower than a cited consensus (~$702.8M), which may concern investors focused on top‑line growth and could cap valuation expansion unless management explains the gap (timing, normalization or portfolio changes). Willdan Group Reports First Quarter Results
• Negative Sentiment: Some market commentary and coverage noted intraday profit‑taking/pullbacks despite strong results, indicating that investors remain sensitive to growth/visibility and the revenue‑guide disconnect. Willdan Group (WLDN) Shares Pulled Back Despite Strong Results

Wall Street Analyst Weigh In

Several analysts have recently commented on the stock. Wall Street Zen lowered shares of Willdan Group from a "strong-buy" rating to a "buy" rating in a research report on Saturday, March 14th. Wedbush began coverage on shares of Willdan Group in a research report on Thursday, April 9th. They set an "outperform" rating and a $110.00 target price on the stock. Finally, Weiss Ratings lowered shares of Willdan Group from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Friday, April 24th. Two investment analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. According to MarketBeat.com, Willdan Group currently has a consensus rating of "Moderate Buy" and an average target price of $112.67.

Insiders Place Their Bets

In other Willdan Group news, Director Steven A. Cohen sold 6,000 shares of the stock in a transaction that occurred on Friday, March 6th. The shares were sold at an average price of $81.82, for a total transaction of $490,920.00. Following the transaction, the director owned 20,849 shares of the company's stock, valued at $1,705,865.18. This trade represents a 22.35% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. 5.60% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Willdan Group

Hedge funds have recently made changes to their positions in the business. Kestra Private Wealth Services LLC purchased a new position in shares of Willdan Group in the 3rd quarter valued at $247,000. CreativeOne Wealth LLC purchased a new position in shares of Willdan Group in the 3rd quarter valued at $233,000. Commonwealth Equity Services LLC purchased a new position in shares of Willdan Group in the 4th quarter valued at $211,000. Principal Securities Inc. raised its stake in shares of Willdan Group by 134.6% in the 4th quarter. Principal Securities Inc. now owns 2,015 shares of the construction company's stock valued at $209,000 after acquiring an additional 1,156 shares during the period. Finally, Polymer Capital Management US LLC purchased a new position in shares of Willdan Group in the 3rd quarter valued at $202,000. Hedge funds and other institutional investors own 72.29% of the company's stock.

About Willdan Group

Willdan Group, Inc provides energy efficiency, infrastructure engineering, and technical consulting services to a diverse range of public and private sector clients. The company works with utilities, municipalities, state and federal agencies, and commercial enterprises to design, implement, and manage programs that promote sustainable energy use, grid modernization, and resilient infrastructure. Willdan's offerings span program design and implementation, energy audits, measurement and verification, and project management for both new construction and retrofit initiatives.

Core services include energy advisory and engineering solutions, including feasibility studies, facility commissioning and retro-commissioning, $0 down financing for energy projects, and demand response program development.