Weather Hampers Granite Construction's First Quarter


Granite Construction Inc. reported a net loss of $34.6 million for the quarter ended March 31, compared to a net loss of $11.4 million in the first quarter of 2018. Revenue increased to $619.8 million, compared with $563.4 million last year.

Granite's Materials group revenue was $41.6 million, compared with $45.7 million last year.

Gross loss increased to $3.8 million, compared to $2.5 million last year, due to inclement weather that kept most plants idle during the quarter. 

“Unusually cold and wet weather across the United States in 2019 negatively impacted Granite’s first quarter operations, but it has not dampened demand,” said James H. Roberts, president and chief executive officer of Granite Construction. “Public- and private-market demand remains strong across Granite’s end markets. The company’s continued focus on bidding discipline and end-market diversification resulted in improved positioning for 2019.

“These projects comprise an increasingly strategic portfolio of ‘stored energy’ for the company,” Roberts continued. “Across the enterprise, project demand points to significant opportunities for both near- and mid-term growth opportunities for all segments of our business. We continue our focus on bidding strategies, balancing pricing and project win rates, and positioning our teams to expand Granite’s platforms for growth in the Transportation, Water, Specialty and Materials segments.”