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Sterling Infrastructure, Inc. is a company that operates through various subsidiaries, focusing on infrastructure development and construction services. The company provides advanced site development services for sectors such as manufacturing, data centers, and power generation. Sterling also engages in infrastructure projects for highways, roads, and bridges, as well as residential and commercial construction.
- E-Infrastructure Solutions - Provides advanced, large-scale site development services for sectors such as manufacturing, data centers, e-commerce distribution centers, warehousing, and power generation, serving large, blue-chip end users.
- Transportation Solutions - Focuses on infrastructure and rehabilitation projects for highways, roads, bridges, airports, ports, rail, and storm drainage systems, relying heavily on federal and state infrastructure spending.
- Building Solutions - Includes residential and commercial concrete foundations for single-family and multi-family homes, parking structures, elevated slabs, and other concrete work, with a principal market in Texas and expansions into the Phoenix area.
| Name | Position | External Roles | Short Bio | |
|---|---|---|---|---|
Joseph A. Cutillo ExecutiveBoard | CEO and Director | Advisory Board Member at Commonwealth LNG, LLC; Board Member of the American Road and Transportation Builders Association; Member of Northeastern University Civil and Environmental Engineering Industry Advisory Board. | CEO since April 2017, joined STRL in October 2015. Over 30 years of experience in heavy civil construction, industrial, and water infrastructure markets. | View Report → |
Mark D. Wolf Executive | General Counsel, Chief Compliance Officer, and Corporate Secretary | None. | Joined STRL in August 2020. Previously held legal leadership roles at US Well Services, TechnipFMC, and FMC Technologies. | |
Sharon R. Villaverde Executive | CFO and CAO | None. | Appointed CFO and CAO effective May 13, 2024, succeeding Ronald A. Ballschmiede. Extensive financial leadership experience. | |
Dwayne A. Wilson Board | Director | Director at Crown Holdings, Inc.; Director at Ingredion, Inc.; Director at DT Midstream, Inc. (Chair of Compensation Committee). | Director since 2020. Over 35 years of experience in engineering, procurement, and construction industries, including leadership roles at Fluor Corporation. | |
Julie A. Dill Board | Director | Director at Rayonier Advanced Materials, Inc. (Chair of Compensation Committee); Chair of Southern Star Central Gas Pipeline Board; Advisory Board Member at Centuri Group. | Director since 2021. Former executive at Spectra Energy Corporation and Duke Energy. Extensive experience in energy and infrastructure sectors. | |
Roger A. Cregg Board | Director | Director at Comerica Incorporated (Chair of Audit and Qualified Legal Compliance Committees); Advisory Board Member at Camden Homes, LLC (2020–2023). | Director since 2019. Former President and CEO of AV Homes, Inc. and held senior executive roles at PulteGroup, Inc. and other companies. | |
William T. Bosway Board | Director | CEO and Chairman of Gibraltar Industries, Inc.. | Appointed to STRL board in March 2024. Extensive leadership experience in manufacturing and distribution industries, including roles at Dover Corporation and Emerson Electric. |
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Given your strong cash flow and the comment that you are "working hard on what to do with all that cash" , can you provide more detail on your capital allocation strategy and specific plans for deploying this cash to maximize shareholder value?
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With a 29% decline in your residential concrete slab business driven by softness in the Dallas market , how confident are you in the anticipated significant rebound in 2025, and what measures are you taking if the market remains challenging?
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You mentioned that your backlog does not fully capture the magnitude of future phased projects, with an anticipated $0.5 billion in incremental work not yet reflected ; can you quantify how this impacts your revenue visibility and explain how you are planning for these projects?
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Given the exceptional margin expansion in E-Infrastructure to 25.8% , largely driven by large mission-critical projects, how do you plan to sustain these margins as smaller projects with lower margins return ?
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As you consider acquisitions to expand your E-Infrastructure segment into new regions , can you elaborate on the potential integration risks and how you plan to ensure that these acquisitions deliver growth and margins consistent with your current performance?
Notable M&A activity and strategic investments in the past 3 years.
| Company | Year | Details |
|---|---|---|
Professional Plumbers Group (PPG) | 2023 | Acquired through a deal valued at $50 million in cash with an earnout based on future EBITDA targets; the acquisition bolsters Sterling’s Building Solutions segment with PPG’s residential plumbing capabilities and outsourced labor model for new homes in the Dallas market. |
Concrete Construction Services of Arizona L.L.C. (CCS) | 2022 | Acquired via a $22 million transaction involving cash and Sterling common stock with a purchase price multiple of 2.5-3.5x EBITDA; the deal adds significant residential foundation production capability in the Greater Phoenix area, aligning with Sterling’s strategy to expand its residential services. |
Recent press releases and 8-K filings for STRL.
- Adjusted EPS rose 29% to $1.63 with adjusted EBITDA of $80 million and revenue up 7% on a pro forma basis, driven by strong performance in key segments.
- Acquisition of Drake Concrete for $25 million is expected to add $55 million in revenue and $6.5 million in EBITDA in 2025, bolstering geographic and customer reach.
- The quarter ended with a robust backlog of $2.1 billion and strong operating cash flow of $85 million, while full-year 2025 guidance projects revenue between $2.05 and $2.15 billion and adjusted EPS of $8.40 to $8.90.
- Q1 2025 results: Sterling Infrastructure reported $430.9M in revenues (7% growth excluding RHB), a gross margin of 22.0%, net income of $39.5M and adjusted net income of $50.2M .
- Full-year guidance raised: Revised revenue projection is $2.05–2.15B with expectations for improved net income, EPS, and EBITDA performance .
- Drake Concrete acquisition: Closed the acquisition expected to add approximately $55M in revenue and $6.5M in adjusted EBITDA for 2025 .
- Robust cash flows supported a $44M share buyback .
- Sterling Infrastructure Inc reported 2024 revenue of $2.12 billion with an 8-year CAGR of 20%, underscoring strong, profitable growth.
- The company highlighted a robust $1.69 billion backlog and a net cash position of $348 million as of 12/31/2024, reflecting a solid balance sheet and strong cash flow profile.
- Emphasis was placed on the diversified focus across E-Infrastructure, Transportation, and Building Solutions, with each segment delivering attractive margins and growth opportunities.
- Ronald A. Ballschmiede has been appointed as interim Principal Financial Officer and Principal Accounting Officer effective March 14, 2025, resuming his CFO responsibilities during the transition period.
- Sharon Villaverde has departed from her role as CFO to pursue other opportunities, marking a management change at Sterling Infrastructure.
- Ronald Ballschmiede has been appointed as the interim Chief Financial Officer and Chief Accounting Officer, effective March 14, 2025, resuming his previous role in the company.
- Sharon Villaverde has departed from her role as Chief Financial Officer and Chief Accounting Officer on March 14, 2025 to pursue other opportunities.