Dycom Industries, Inc. (NYSE:DY) stock rose Wednesday after the company reported first-quarter results that topped Wall Street expectations and raised its fiscal 2027 revenue outlook above analyst estimates, supported by strong demand for fiber infrastructure and data center construction.

Earnings Details

Contract revenue rose 56.1% year over year to $1.97 billion, beating analyst estimates of $1.67 billion. Organic revenue increased 24.7% during the quarter.

Adjusted EBITDA climbed 74.6% from a year earlier to $262.5 million, representing 13.4% of contract revenue.

Adjusted earnings increased 84.9% year over year to $4.42 per share.

The company ended the quarter with a backlog of $11.9 billion and cash and equivalents of $538.8 million.

Segment Performance

In the Communications segment, contract revenue reached $1.57 billion, with organic growth of 24.7% year over year. The growth was driven by expansion into new markets, faster-than-expected fiber-to-the-home deployments and favorable seasonal conditions.

Adjusted EBITDA margin in the segment increased 31 basis points to 12.3%, reflecting ...