Primoris Services Slashes 2026 Guidance by Over 50%, COO Departs Immediately
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Primoris Services fell 32.1% after hours — renewable-energy cost overruns and the immediate departure of COO Jeremy Kinch drove full-year EPS guidance down from $4.80–5.00 to $2.05–2.60, effectively wiping out the Street's earnings outlook overnight.
How deep is the guidance cut?
Adjusted EPS guidance for FY2026 dropped to $2.05–2.60, down from $4.80–5.00 — a cut of more than half.
The FactSet consensus stood at $4.85. The new ceiling barely clears half that number. This means → the earnings power the market had priced in is almost entirely gone.
Net income guidance narrowed to $71 million–$101 million; full-year revenue and gross profit forecasts were cut in tandem.
Where did the problem come from?
The entire drag traces to the renewable-energy segment — additional cost overruns and schedule delays.
Segment revenue guidance fell to $2.1 billion–$3.0 billion, a range so wide it signals deep uncertainty. In plain terms = the company itself does not know how large this business will be this year.
Renewable projects are capital-heavy and long-cycle. Once costs blow out, the hit is hard to absorb quickly. This reflects a systemic project-control failure, not a one-off surprise.
What does the COO departure signal?
Chief Operating Officer Jeremy Kinch left the company immediately, announced alongside the profit warning.
Primoris gave no specific reason for his departure. This means → the market can only read the two events together — operations broke down, and the person who ran operations is gone.
For investors, management upheaval on top of an earnings collapse makes near-term trust rebuilding exceptionally difficult.
Can new contracts offset the damage?
The company also disclosed that it won multiple new projects in Q2, with a combined contract value of roughly $2 billion.
These orders are concentrated in natural-gas power generation, industrial, and electrical construction services, serving power-load growth and data-center demand.
Put simply = Primoris has a healthy new-order pipeline, but those are future revenues. The renewable-energy hole is a cost already incurred. Whether new contracts can offset the ongoing drag is the single most important variable to watch next.
Content is for reference only, not financial advice.