Aecon reports year-end 2025 results

Press Release

Toronto, Ontario – March 5, 2026: Aecon Group Inc. (TSX: ARE) (“Aecon” or the “Company”) today reported results for the fourth quarter and year-end 2025, including record full year revenue of $5.4 billion. Aecon’s Board of Directors approved an increase to the quarterly dividend to 19.25 cents per share from 19 cents per share previously.

“2025 was a transformative year marked by the completion of key strategic acquisitions, growth as a nuclear and power company, expansion in U.S. and international markets, and the substantial completion of legacy projects including two modern LRT systems,” said Jean-Louis Servranckx, President and Chief Executive Officer, Aecon Group Inc. “Aecon expects 2026 revenue to exceed 2025 levels on the strength of its record backlog, strategic positioning in sectors with attractive demand profiles, robust recurring revenue programs, and a healthy pipeline of project opportunities tied to power generation, critical resource development, mass transit infrastructure, water, and defence.”

HIGHLIGHTS

All quarterly financial information contained in this news release is unaudited.

• Record revenue for the year ended December 31, 2025 of $5,435 million was $1,192 million, or 28%, higher compared to 2024. Within Aecon’s Construction segment, the nuclear, civil, and utilities sectors generated record revenue levels in the year ended December 31, 2025.
• Operating profit of $87.1 million (operating margin(4) of 1.6%) compared to operating loss of $60.1 million in 2024 (operating margin of -1.4%). Higher year-over-year operating profit was driven by an increase in gross profit of $211.6 million primarily reflecting a decrease in losses related to fixed price legacy projects of $178.4 million (i.e. negative gross profit in 2025 of $94.4 million compared to negative gross profit in 2024 of $272.8 million). These fixed price legacy projects are discussed in Section 5 “Recent Developments”, Section 10.2 “Contingencies”, and Section 13 “Risk Factors” in the Company’s December 31, 2025 Management’s Discussion and Analysis (“MD&A”).
• Adjusted EBITDA(1)(2) of $234.6 million for the year ended December 31, 2025 (Adjusted EBITDA margin(3) of 4.3%) compared to Adjusted EBITDA of $82.6 million (Adjusted EBITDA margin of 1.9%) in 2024.
• Profit attributable to shareholders of $15.2 million (diluted earnings per share of $0.23) for the year ended December 31, 2025 compared to loss attributable to shareholders of $59.5 million (diluted loss per share of $0.95) in 2024.
• Record new contract awards of $9,487 million were booked in 2025 compared to $4,747 million in 2024, resulting in reported backlog at December 31, 2025 of $10,714 million compared to backlog of $6,662 million at December 31, 2024.
• On November 12, 2025, an Aecon consortium achieved substantial completion on the Finch West Light Rail Transit (“Finch West LRT”) Project in Toronto. The line opened to the public on December 7, 2025. Aecon holds a 33.3% interest in the equity and construction of the Finch West LRT and a 50% interest in the 30-year maintenance term.
• On December 5, 2025, an Aecon consortium achieved substantial completion on the Eglinton Crosstown Light Rail Transit (“Eglinton Crosstown LRT”) Project in Toronto. The line opened to the public on February 8, 2026. Aecon holds a 25% interest in the equity, development, construction and 30-year maintenance term of the Eglinton Crosstown LRT.
• Subsequent to year-end:
  • On January 6, 2026 Aecon’s subsidiary, Aecon Utilities Group Inc., completed the previously announced acquisition of K.P.C. Power Electrical Ltd. and K.P.C. Energy Metering Solutions Ltd. (collectively, “KPC”).
  • On February 2, 2026 an Aecon joint venture announced the successful completion of the Darlington Nuclear Refurbishment project in Ontario, under budget and four months ahead of schedule.
  • Aecon was awarded a $205 million contract by the Red-Seine-Rat (“RSR”) Wastewater Cooperative for the first phase of the RSR Wastewater Treatment Facility project in Manitoba. The value of the contract will be added to Aecon’s Construction segment backlog in the first quarter of 2026.
  • An Aecon partnership executed an agreement with Defence Construction Canada to deliver the Arctic Over-the-Horizon Radar Program Stage 1 project in Ontario under a collaborative Integrated Project Delivery model. Aecon holds a 50% interest and is the lead partner in the joint venture responsible for project delivery. A validation phase will commence in the first quarter of 2026. Upon validation and the completion of a design development phase, construction is expected to commence.
  • On March 5, 2026 Aecon appointed Jeff Lyash to its Board of Directors. Mr. Lyash brings four decades of nuclear and power industry experience to Aecon’s Board and will stand for election as a Director at the next Annual General Meeting of the Corporation on June 1, 2026.

Read More

IBF4