Knife River Corporation (NYSE:KNF) posted stronger-than-expected fourth-quarter results on Tuesday, with both earnings and revenue beating analyst forecasts as the aggregates-focused construction materials group benefited from supportive weather and recent acquisitions.
Shares edged up 0.17% in after-hours trading following the release.
Adjusted earnings per share came in at $0.56 for the quarter, ahead of the $0.41 consensus estimate.
Revenue reached $755.1 million, comfortably above expectations of $651 million and up 15% from $657.2 million in the same quarter last year.
Adjusted EBITDA rose 47% year over year to $119.4 million, while the adjusted EBITDA margin widened by 340 basis points to 15.8%. The company closed the year with a record backlog of $1 billion.
“Knife River delivered strong second-half results in 2025, including a record fourth quarter that saw a 15% increase in revenue, 47% improvement in adjusted EBITDA and 340 basis-point expansion in adjusted EBITDA margin, year-over-year,” said Knife River President and CEO Brian Gray.
“This strong finish was supported by favorable fourth quarter weather and caps a year of meaningful progress on our Competitive EDGE efforts.”
For full-year 2025, Knife River generated revenue of $3.15 billion, representing 9% growth year over year, while net income declined 22% to $157.1 million. During the year, the company completed five acquisitions, including Texcrete in the fourth quarter, a deal expected to more than double ready-mix volumes in the Texas Triangle region by 2026.
Looking ahead, the company issued 2026 revenue guidance of $3.3 billion to $3.5 billion, broadly in line with analyst expectations of $3.31 billion. Adjusted EBITDA is projected between $520 million and $560 million, with aggregates volumes and pricing anticipated to rise in the mid-single digits and ready-mix volumes forecast to increase in the mid-teens.
Management also signaled continued strategic merger-and-acquisition activity in 2026, with a transaction pipeline comparable to that seen in 2025.