Construction Partners, Inc. (ROAD) FY2025 10-K Annual Report

Filed: Nov 25, 2025
Industrials
Heavy Construction Other Than Bldg Const - ContractorsSEC EDGAR

Construction Partners, Inc. (ROAD) 10-K annual report for fiscal year 2025, filed with SEC EDGAR on Nov 25, 2025. This page provides AI-powered analysis including business overview, management discussion & analysis (MD&A), risk factors, and key financial data such as revenue, net income, gross margin, operating margin, and return on equity (ROE) extracted from XBRL.

Construction Partners, Inc. FY2025 10-K Analysis

Business Overview

  • Core business model: vertically integrated civil infrastructure construction specializing in asphalt paving, HMA production, aggregates mining, and site development in the U.S. Sunbelt
  • New strategic plan “ROAD 2030” targeting revenues over $6 billion by fiscal 2030, emphasizing aggressive growth and expansion
  • Fiscal 2025 acquisitions: 5 deals adding 27 HMA plants, 4 aggregate facilities, liquid asphalt and rail terminals; $1.5 billion aggregate consideration
  • Contract backlog increased 50% to $3.0 billion from $2.0 billion in prior year, with 78% expected completion within 12 months
  • Employee count as of Sept 2025: 6,412 total, with hourly workforce up to 4,773 amid seasonal fluctuations

Management Discussion & Analysis

  • Revenue $2.81B, up 54.2% YoY from $1.82B; $835.2M from acquisitions, $153.2M organic growth
  • Gross profit $439.1M (15.6% margin) vs $258.3M (14.2% margin); operating income $224.8M (8.0%) vs $111.2M (6.1%)
  • Best segment: acquisitions adding 27 asphalt plants, 4 aggregates facilities; worst impact from rising interest expense $90.4M vs $19.1M
  • Cash flow: operating $291.3M up from $209.1M; investing -$1.28B due to acquisitions; financing activities $1.07B from debt issuance, net of repayments, $23.5M buybacks
  • Outlook: increased leverage with Term Loan B $850M drawn Nov 2024; risk from weather seasonality and commodity price fluctuations impacting margins

Risk Factors

  • Cybersecurity risk managed by Senior VP IT with 30+ years experience and Director of Info Security with 20+ years and US Air Force background
  • Board Audit Committee oversees IT security controls and receives periodic cybersecurity risk reports from management and third-party providers

Construction Partners, Inc. FY2025 Key Financial Metrics
XBRL

Revenue

$2.8B

+54.2% YoY

Net Income

$102M

+47.6% YoY

Gross Margin

15.6%

+145bp YoY

Operating Margin

8.0%

+189bp YoY

Net Margin

3.6%

-16bp YoY

ROE

11.2%

-85bp YoY

Total Assets

$3.2B

+110.0% YoY

EPS (Diluted)

$1.84

+40.5% YoY

Operating Cash Flow

$291M

+39.3% YoY

Source: XBRL data from Construction Partners, Inc. FY2025 10-K filing on SEC EDGAR. All figures in USD.

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