Construction Partners sees FY25 revenue $2.42B-$2.52B, consensus $2.09B

Sees FY25 adjusted EBITDA $338M-$368M. Sees FY25 adjusted EBITDA margin 14%-14.6%. The company’s outlook for FY25 includes the expected results of Asphalt Inc., d/b/a Lone Star Paving. CPI has assumed for purposes of the FY25 outlook that the pending acquisition of Lone Star Paving will close by the end of the first quarter of fiscal 2025 and begin contributing to the company’s financial results in the second quarter of FY25. Lone Star Paving’s project backlog was approximately $660M at September 30. Smith commented, “As CPI moves into fiscal year 2025, we continue to project growth and enhanced profitability on our path to our ROAD-Map 2027 goals. With the announcement today of our transformational acquisition of Lone Star Paving as our Texas platform company, the anticipated timeline to achieve those ROAD-Map 2027 goals has been accelerated by almost two years. Lone Star’s experienced and talented management team has built a dominant market share in central Texas and serves three of the fastest growing markets in the country, supported by a well-funded state infrastructure program in Texas. The transaction will be immediately accretive to earnings. Moving forward, we will continue to benefit from opportunities afforded by a generational investment in infrastructure, the fast-growing economies in the Sunbelt, and numerous organic and acquisitive growth opportunities to scale our organization and deliver value to our stockholders.”