TIC Solutions Q2 2026 results: NV5 drives revenue as GAAP loss widens

TIC Solutions (NYSE: TIC) reported second-quarter 2026 revenue of $584.3 million, up 86% from $313.9 million, and a diluted loss of $0.06 per share versus $0.00 on a rounded basis a year earlier. The acquisition of NV5 drove most of the reported growth: combined revenue increased 3.3%, including 2.5% organic growth, while the GAAP net loss widened to $13.3 million.

Core financial results

The reported year-over-year comparison is not like for like. The current quarter includes NV5, acquired on August 4, 2025, while the prior-year quarter contains only legacy Acuren; on a combined basis that adds NV5 to the comparison period, revenue increased from $565.9 million to $584.3 million.

Adjusted EBITDA grew substantially in dollar terms but declined as a percentage of reported revenue. GAAP operating income also fell despite the increase in gross profit.

The reported comparisons above are affected materially by the NV5 acquisition. Combined revenue growth, organic growth, adjusted EPS and adjusted EBITDA are non-GAAP measures.

Business and segment performance

Consulting & Engineering was the principal growth driver, while Geospatial also expanded and posted the largest improvement in adjusted gross margin. Inspection & Mitigation remained the weak point, although management said its commercial trends were beginning to improve.

Consulting & Engineering and Geospatial ended the quarter with combined backlog of $1.18 billion, a record and 20% higher year over year. Management identified industrials, power and utilities, and data centers as areas of notable demand, while also pointing to expanding cross-selling between the combined businesses.

Higher gross profit was absorbed by SG&A and interest expense

Gross profit increased by approximately $130.1 million, but selling, general and administrative expenses rose by about $137.6 million to $193.3 million. As a result, operating income declined to $10.8 million even though the enlarged portfolio produced substantially more revenue and gross profit.

Net interest expense increased to $28.4 million from $15.5 million. This pushed the company to a $16.6 million pretax loss, compared with pretax income of $3.7 million in the prior-year quarter. A $3.2 million income tax benefit reduced the resulting GAAP net loss.

The positive $0.14 adjusted EPS excludes categories including acquired intangible amortization, stock compensation, acquisition and integration costs, business transformation expenses, and certain other charges. The disclosed excerpt does not quantify each adjustment, so the gap between adjusted EPS and the GAAP loss cannot be attributed to individual items precisely.

Cash flow and balance sheet

Cash-flow data were provided only for the first six months of 2026, not separately for the second quarter. First-half operating cash flow was just $0.2 million, down from $26.3 million a year earlier, with the increase in contract assets consuming $64.7 million and accounts receivable using another $17.1 million.

Capital expenditures totaled $25.4 million during the first half, while acquisitions used $10.3 million and common-stock repurchases used $15.7 million. Cash consequently declined by $77.1 million from year-end to $362.4 million at June 30.

TIC reported total liquidity of $473.5 million and term-loan debt of approximately $1.6 billion. Balance-sheet debt remained around $1.61 billion, broadly unchanged from December 31, making cash conversion and deleveraging important measures of integration progress.

Full-year guidance

TIC reaffirmed rather than raised or lowered its previously issued fiscal 2026 outlook. The company continues to guide for full-year revenue of $2.15 billion to $2.25 billion and adjusted EBITDA of $330 million to $355 million.

The adjusted EBITDA outlook is non-GAAP, and the company did not provide a reconciliation because it said the timing and amounts of future adjustments could not be predicted without unreasonable effort.

Management commentary

CEO Ben Heraud emphasized the growth of Consulting & Engineering and Geospatial, early signs of improving commercial activity in Inspection & Mitigation, and demand from industrial, utility and data-center customers. Management’s priority for the second half is to convert backlog, cross-selling and integration progress into profitable growth, margin expansion and stronger cash flow.

Executive Chairman Robert A.E. Franklin said TIC continued to execute acquisition synergies and cross-selling initiatives while reducing its cost of debt, repurchasing shares and pursuing strategic acquisitions. He also reiterated the objective of deleveraging the balance sheet.

Recent insider transactions

The supplied insider summary shows no insider purchases or sales in its latest six-month aggregate and total insider holdings of 25.02 million shares. Among the latest ten entries covering two years, the only transaction with clearly disclosed sale terms was by General Counsel Richard Tong; the record does not by itself indicate the reason for the sale.

Risks investors should monitor

• Acquisition comparability and execution: The 86% reported revenue increase was primarily acquisition-driven, while combined growth was 3.3%. Future performance depends on integrating NV5 and realizing the expected cross-selling and cost benefits.
• Leverage and interest costs: TIC carried approximately $1.6 billion of term-loan debt, and quarterly net interest expense rose to $28.4 million. These costs are a material constraint on GAAP profitability.
• Cash conversion: First-half operating cash flow was nearly flat as contract assets and receivables absorbed cash. The record backlog needs to convert into billings and collections for cash generation to improve.
• Inspection & Mitigation weakness: Revenue in TIC’s largest segment declined approximately 5.5% on a combined basis, while its adjusted gross margin slipped to 28.3%. Management’s indication of improving commercial trends has not yet translated into reported growth.

Summary

TIC Solutions’ second-quarter scale increased sharply following the NV5 acquisition, but the underlying combined growth rate was much more moderate. Consulting & Engineering, Geospatial and record backlog supported the operating outlook, while higher SG&A, interest expense, weak first-half cash conversion and softer Inspection & Mitigation results remained the principal pressures. The next indicators are backlog conversion, integration-driven margin improvement, cash generation and progress toward deleveraging, with full-year guidance unchanged.