RESTON, Va., May 05, 2026 (GLOBE NEWSWIRE) -- Bowman Consulting Group Ltd. (NASDAQ: BWMN), a national engineering services and program management firm, today announced financial results for the first quarter ended March 31, 2026.
“Bowman is in a strong position coming out of the first quarter with record-setting backlog growth that positions us for outsized organic growth over the next couple of years,” said Gary Bowman, founder and CEO. “Additionally, we delivered double-digit increases in both net service billing and Adjusted EBITDA in the quarter. The strength of demand across our market verticals positions us to achieve continued margin expansion during 2026 and beyond. We are confident in our ability to deliver solid performance this year and have raised full-year 2026 guidance accordingly.”
First Quarter 2026 Compared to First Quarter 2025 Financial Results:
- Gross contract revenue of $126.5 million compared to $112.9 million, a 12.0% increase
- Net service billing1 of $114.2 million compared to $100.1 million, a 14.1% increase
- Organic net service billing2 growth of 6.0% compared to 5.6%
- Net loss of $(3.7) million compared to $(1.7) million
- Basic and Diluted EPS of $(0.22) compared to $(0.11) respectively
- Adjusted EBITDA1 of $16.8 million compared to $14.5 million, a 15.8% increase
- Adjusted EBITDA margin, net 1 of 14.7% compared to 14.5%
- Adjusted Basic and Diluted EPS 3 of $0.14 compared to $0.07 respectively
- Cash from Operations of $11.6 million as compared to $12.0 million
- Gross backlog of $652.7 million compared to $418.8 million, a 55.9% increase
Notable Events:
- The Company executed a $146.7 million contract modification with a U.S. government agency, bringing the total not-to-exceed value of the contract to $177.7 million. The original contract was entered into in December 2025.
- On March 3, 2026, the Company entered into a Third Amendment to the Credit Agreement and Joinder Agreement, which increased the maximum aggregate revolving commitments from $210.0 million to $250.0 million.
- During the three months ended March 31, 2026, the Company repurchased 288,098 shares of its common stock under the 2025 Stock Repurchase Authorization at an average price of $32.03 per share for a total of $9.2 million.
- On May 1, 2026, Bowman acquired Smith & Associates Land Surveying, LLC., expanding service capabilities in the Southwest region and adding $2.0 million of run-rate net service billing.
CFO Commentary
“Our achievements in the quarter position us to generate significant organic growth and meaningful margin expansion this year,” said Bruce Labovitz, CFO. “Our balance sheet strength enables us to make strategic investments aimed at expanding our breadth of services and extending client engagement beyond asset operationalization. Recent acquisitions have provided us an extensive suite of quality enhancement, productivity improvement and client engagement tools that are proving highly impactful on our ability to deliver work more timely, more efficiently and with greater impact. Our investments in infrastructure and automation are designed to ensure the durability of revenue and margins as the industry once again experiences technological inflection.”
Full Year 2026 Guidance
Bowman raised net revenue guidance for full year 2026:
Date IssuedNet RevenueAdjusted EBITDA MarginNovember 2025$465 - $480 MM17.0% - 17.5%March 2026$495 - $510 MM17.0% - 17.5%May 2026$520 - $540 MM17.2% - 17.7%The current outlook for 2026 is based on completed acquisitions as of the date of this release and does not include contributions from future acquisitions.
Conference Call Information
Bowman will host a conference call to discuss financial results tomorrow morning, May 6, 2026, at 9:00 a.m. ET. Access to a live webcast is available through the Investor Relations section of the Company’s website at investors.bowman.com.
About Bowman Consulting Group Ltd.
Headquartered in Reston, Virginia, Bowman is a national engineering services firm offering infrastructure engineering, technical services and project management solutions to owners and operators of the built environment. With over 2,500 employees and over 100 locations throughout the United States, Bowman provides a variety of planning, engineering, geospatial, construction management, commissioning, environmental consulting, land procurement and other technical services to customers operating in a diverse set of regulated end markets. Bowman trades on Nasdaq under the symbol BWMN. For more information, visit bowman.com or investors.bowman.com.
1 Non-GAAP financial metric the Company believes offers valuable perspective on results of operations (see non-GAAP tables below for reconciliations).
2 Organic net service billing growth (also a non-GAAP financial metric) for the three months ended 3/31/26 excludes revenue from acquisitions completed after 3/31/2025. Year over year growth rates only reflect revenue realized post-acquisition.
3 Basic Adjusted EPS and Diluted Adjusted EPS are all non-GAAP financial metrics the Company believes offer valuable perspectives on results of operations (see non-GAAP tables below for reconciliations). Adjusted EPS (Basic and Diluted) include addbacks for non-reoccurring expenses specific to acquisitions, non-cash stock compensation expense associated with pre-IPO grants, and other expenses not in the ordinary course of business. With respect to the elimination of any non-cash stock compensation expense, the Company computes an adjusted tax expense or benefit which accounts for the elimination of any periodic windfall or shortfall tax effects resulting from the difference between grant date fair value and vest date value. With respect to all other eliminations, the Company applies its average marginal statutory tax rate, currently 25.8%, to derive the tax adjustment associated with the elimination of expenses. A reconciliation of non-GAAP Adjusted EPS to GAAP EPS, both basic and diluted, is included with this press release for reference.
Forward-Looking Statements
This press release may contain “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. All statements contained in this press release other than statements of historical fact, including statements regarding our future results of operations and financial position, business strategy and plans and objectives for future operations, are forward-looking statements and represent our views as of the date of this press release. The words “anticipate,” “believe,” “continue,” “estimate,” “expect,” “intend,” “may,” “will,” “goal” and similar expressions are intended to identify forward-looking statements. We have based these forward-looking statements on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy, short-term and long-term business operations and objectives and financial needs. These forward-looking statements are subject to several assumptions and risks and uncertainties, many of which involve factors or circumstances that are beyond our control that could affect our financial results. The Company cautions that these statements are qualified by important factors that could cause actual results to differ materially from those reflected by the forward-looking statements contained in this news release. Such factors include: (a) changes in demand from the local and state government and private clients that we serve; (b) general economic conditions, nationally and globally, and their effect on the market for our services; (c) competitive pressures and trends in our industry and our ability to successfully compete with our competitors; (d) changes in laws, regulations, or policies; and (e) the “Risk Factors” set forth in the Company’s most recent SEC filings. Considering these risks, uncertainties and assumptions, the future events and trends discussed in this press release may not occur and actual results could differ materially and adversely from those anticipated or implied in any forward-looking statements. Except as required by law, we are under no obligation to update these forward-looking statements after the date of this press release, or to update the reasons if actual results differ materially from those anticipated in the forward-looking statements.
Investor Relations Contact:
Betsy Patterson
CONDENSED CONSOLIDATED BALANCE SHEETS
(Amounts in thousands except per share data)
March 31,
2026 December 31,
2025 (Unaudited) ASSETS Current Assets Cash and cash equivalents$12,047 $11,066 Accounts receivable, net 133,888 130,634 Contract assets 57,390 53,512 Notes receivable - officers, employees, affiliates, current portion 237 13 Prepaid and other current assets 18,488 17,730 Total current assets 222,050 212,955 Non-Current Assets Property and equipment, net 53,040 49,206 Operating lease, right-of-use assets 46,072 45,822 Goodwill 173,579 173,579 Notes receivable, less current portion 903 903 Notes receivable - officers, employees, affiliates, less current portion 868 1,108 Other intangible assets, net 85,616 88,580 Deferred tax asset, net 5,822 5,822 Other assets 1,818 1,707 Total Assets$589,768 $579,682 LIABILITIES AND SHAREHOLDERS' EQUITY Current Liabilities Revolving credit facility 108,817 95,350 Accounts payable and accrued liabilities, current portion 67,978 60,035 Contract liabilities 14,185 10,965 Notes payable, current portion 20,840 22,698 Operating lease obligation, current portion 12,130 11,951 Finance lease obligation, current portion 13,979 13,735 Total current liabilities 237,929 214,734 Non-Current Liabilities Other non-current obligations 395 377 Notes payable, less current portion 29,269 34,313 Operating lease obligation, less current portion 40,486 40,430 Finance lease obligation, less current portion 25,850 23,718 Deferred tax liability, net 279 279 Pension and post-retirement obligation, less current portion 4,659 4,726 Total liabilities$338,867 $318,577 Shareholders' Equity Preferred Stock, $0.01 par value; 5,000,000 shares authorized, no shares issued and outstanding – – Common stock, $0.01 par value; 30,000,000 shares authorized as of March 31, 2026 and December 31, 2025; 22,273,373 shares issued and 17,153,424 outstanding, and 21,972,432 shares issued and 17,194,091 outstanding as of March 31, 2026 and December 31, 2025, respectively 223 220 Additional paid-in-capital 360,007 355,458 Accumulated other comprehensive income 869 895 Treasury stock, at cost; 5,119,949 and 4,778,341 shares, respectively (95,959) (84,931)Accumulated deficit (14,239) (10,537)Total shareholders' equity$250,901 $261,105 TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY$589,768 $579,682
CONDENSED CONSOLIDATED INCOME STATEMENTS
(Amounts in thousands except per share data)
(Unaudited)
For the Three Months
Ended March 31, 2026 2025 Gross Contract Revenue$126,479 $112,931 Contract costs:(exclusive of depreciation and amortization below) Direct payroll costs 48,313 41,956 Sub-consultants and expenses 12,275 12,878 Total contract costs 60,588 54,834 Operating Expenses: Selling, general and administrative 57,783 50,490 Depreciation and amortization 8,406 6,521 (Gain) on sale (402) (49)Total operating expenses 65,787 56,962 Income from operations 104 1,135 Other expense 3,401 2,110 Loss before tax expense (3,297) (975)Income tax expense 405 769 Net loss$(3,702) $(1,744)Earnings allocated to non-vested shares – – Net loss attributable to common shareholders$(3,702) $(1,744)Earnings (loss) per share Basic$(0.22) $(0.11)Diluted$(0.22) $(0.11)Weighted average shares outstanding: Basic 16,453,401 16,356,331 Diluted 16,453,401 16,356,331
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Amounts in thousands)
(Unaudited)
For the Three Months Ended March 31, 2026 2025 Cash Flows from Operating Activities: Net loss$(3,702) $(1,744)Adjustments to reconcile net loss to net cash provided by operating activities Depreciation and amortization - property, plant and equipment 5,113 3,904 Amortization of intangible assets 3,292 2,617 Gain on sale of assets (402) (49)Credit losses 374 345 Stock based compensation 4,227 6,630 Deferred taxes – (10,977)Accretion of discounts on notes payable 108 256 Changes in operating assets and liabilities, net of acquisition of businesses Accounts receivable (3,628) (1,896)Contract assets (3,878) (6,340)Prepaid expenses and other assets (812) 615 Accounts payable and accrued expenses 7,666 14,885 Contract liabilities 3,220 3,788 Net cash provided by operating activities 11,578 12,034 Cash Flows from Investing Activities: Purchases of property and equipment (1,933) (1,043)Proceeds from sale of assets and disposal of leases 402 49 Capitalized internal-use software development costs (328) – Proceeds from notes receivable – 718 Acquisitions of businesses, net of cash acquired – (1,479)Collections under stock subscription notes receivable – 11 Net cash used in investing activities (1,859) (1,744)Cash Flows from Financing Activities: Borrowings under revolving credit facility 13,467 8,000 Repayment under notes payable (7,235) (4,377)Payments on finance leases (4,193) (2,702)Payment of contingent consideration from acquisitions (225) (1,016)Payments for purchase of treasury stock (1,801) (2,574)Repurchases of common stock (9,227) (4,103)Proceeds from issuance of common stock 476 484 Net cash used in financing activities (8,738) (6,288)Net increase in cash and cash equivalents 981 4,002 Cash and cash equivalents, beginning of period 11,066 6,698 Cash and cash equivalents, end of period$12,047 $10,700 Supplemental disclosures of cash flow information: Cash paid for interest$2,559 $2,028 Net cash (received from) income taxes$(102) $10 Non-cash investing and financing activities: Property and equipment acquired under finance lease$(6,850) $(2,006)Non-cash additions to property and equipment$(459) $– Note payable converted to common shares$– $(434)Issuance of notes payable for acquisitions$– $(2,056)Settlement of contingent consideration$525 $1,968
RECONCILIATION OF EPS TO ADJUSTED EPS
(Amounts in thousands except per share data)
For the Three Months Ended March 31, 2026 2025 Net loss (GAAP)$(3,702) $(1,744)+ income tax expense (GAAP) 405 769 Loss before tax expense (GAAP)$(3,297) $(975)+ acquisition related expenses 1,540 594 + amortization of intangibles 3,292 2,617 + non-cash stock comp related to pre-IPO 165 493 + other non-core expenses 3,268 143 Adjusted income before tax expense$4,968 $2,872 Adjusted income tax expense 2,564 1,676 Adjusted net income$2,404 $1,196 Adjusted earnings allocated to non-vested shares 91 61 Adjusted net income attributable to common shareholders$2,313 $1,135 Earnings (loss) per share (GAAP) Basic$(0.22) $(0.11)Diluted$(0.22) $(0.11)Adjusted earnings per share (Non-GAAP) Basic$0.14 $0.07 Diluted$0.14 $0.07 Weighted average shares outstanding Basic 16,453,401 16,356,331 Diluted 16,671,910 16,638,334 Basic Adjusted Earnings Per Share Summary - Non-GAAPFor the Three Months Ended March 31, 2026 2025 Earnings (loss) per share (GAAP)$(0.22) $(0.11)Pre-tax basic per share adjustments$0.52 $0.29 Adjusted earnings per share before tax expense$0.30 $0.18 Income tax expense per share adjustment$0.15 $0.11 Adjusted earnings per share - adjusted net income$0.15 $0.07 Adjusted earnings per share allocated to non-vested shares$0.01 $– Adjusted earnings per share attributable to common shareholders$0.14 $0.07 Diluted Adjusted Earnings Per Share Summary - Non-GAAPFor the Three Months Ended March 31, 2026 2025 Earnings (loss) per share (GAAP)$(0.22) $(0.11)Pre-tax diluted per share adjustments$0.52 $0.28 Adjusted earnings per share before tax expense$0.30 $0.17 Income tax expense per share adjustment$0.15 $0.10 Adjusted earnings per share - adjusted net income$0.15 $0.07 Adjusted earnings per share allocated to non-vested shares$0.01 $– Adjusted earnings per share attributable to common shareholders$0.14 $0.07
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES
(Amounts in thousands except per share data)
Combined Statement of Operations ReconciliationFor the Three Months Ended March 31, 2026 2025 Gross contract revenue$126,479 $112,931 Contract costs (exclusive of depreciation and amortization) 60,588 54,834 Operating expense 65,787 56,962 Income from operations 104 1,135 Other expense 3,401 2,110 Income tax expense 405 769 Net loss$(3,702) $(1,744)Net margin(2.9) % (1.5) % Other financial information1 Net service billing$114,204 $100,053 Adjusted EBITDA 16,797 14,505 Adjusted EBITDA margin, net 14.7% 14.5% Gross Contract Revenue to Net Service Billing ReconciliationFor the Three Months Ended March 31, 2026 2025 Gross contract revenue$126,479 $112,931 Less: sub-consultants and other direct expenses 12,275 12,878 Net service billing$114,204 $100,053 Organic net service billing$106,086 $100,053 Acquisition-related net service billing$8,118 $– Adjusted EBITDA ReconciliationFor the Three Months Ended March 31, 2026 2025 Net service billing$114,204 $100,053 Net loss$(3,702) $(1,744)+ interest expense 3,262 2,113 + depreciation & amortization 8,406 6,521 + income tax expense 405 769 EBITDA$8,371 $7,659 + non-cash stock compensation 4,196 6,642 + acquisition and other non-core expenses 4,230 204 Adjusted EBITDA$16,797 $14,505 Adjusted EBITDA margin, net 14.7% 14.5%
1 Non-GAAP financial metrics the Company believes offer valuable perspective on results of operations. See Non-GAAP tables below for reconciliations.
GROSS CONTRACT REVENUE COMPOSITION
(Unaudited) (dollars in thousands)For the Three Months Ended March 31,Consolidated Gross Contract Revenue2026%2025%Change% ChangeBuilding Infrastructure152,34841.4%52,03946.1%309 0.6%Transportation26,60921.0%23,54220.8%3,067 13.0%Power, Utilities & Energy134,73227.5%25,31122.4%9,421 37.2%Natural Resources212,79010.1%12,03910.7%751 6.2%Total126,479100.0%112,931100.0%13,548 12.0% Acquired38,5646.8%11,84210.5%(3,278)(27.7)%
1 Includes periodic reclassifications of revenue between categories from prior periods for consistency of presentation. For the three months ended March 31, 2025, $3.9 million of data center revenue were reclassified from Building Infrastructure to Power, Utilities & Energy.
2 Formerly Emerging Markets which represents environmental, mining, water resources, imaging and mapping, and other.
3 Acquired revenue in prior periods as previously reported; four quarters post-closing, acquired revenue is thereafter reclassified as organic for the purpose of calculating organic growth rates.
ORGANIC GROWTH ANALYSIS
(Unaudited) For the Three Months Ended March 31,(dollars in thousands)2026%2025%ChangeOrganic +/-Gross Revenue, Organic117,915100.0%112,931100.0%4,9844.4%Building Infrastructure52,20044.3%52,03946.1%1610.3%Transportation26,60922.6%23,54220.8%3,06713.0%Power, Utilities & Energy26,31622.3%25,31122.4%1,0054.0%Natural Resources12,79010.8%12,03910.7%7516.2% For the Three Months Ended March 31,(dollars in thousands)2026%2025%ChangeOrganic +/-Net Revenue, Organic106,086100.0%100,053100.0%6,0336.0%Building Infrastructure48,82846.0%48,10048.0%7281.5%Transportation22,17120.9%19,57819.6%2,59313.2%Power, Utilities & Energy24,25722.9%23,07523.1%1,1825.1%Natural Resources10,83010.2%9,3009.3%1,53016.5%
GROSS BACKLOG BY CATEGORY AT MARCH 31, 2026
(Unaudited)
CategoryPercentageBuilding Infrastructure125%Transportation21%Power, Utilities & Energy121%Natural Resources33%TOTAL100%
1 includes reclassification of data center effective June 30, 2025.