TUTOR PERINI CORPTPC
TUTOR PERINI CORP Segments Disclosure
Business Segments
The Company offers general contracting, pre-construction planning and comprehensive project management services, including planning and scheduling of manpower, equipment, materials and subcontractors required for the timely completion of a project in accordance with the terms and specifications contained in a construction contract. The Company also offers self-performed construction services: site work, concrete forming and placement, steel erection, electrical, mechanical, plumbing, and HVAC (heating, ventilation and air conditioning). As described below, the Company’s business is conducted through three segments: Civil, Building and Specialty Contractors. These segments are determined based on how management aggregates its business units for making operating decisions and assessing performance, which takes into account certain qualitative and quantitative factors. The Company’s Chief Executive Officer and President, who is the Company’s chief operating decision maker
(“CODM”), reviews information for each segment to evaluate performance and allocate resources. The CODM evaluates segment performance by comparing each segment’s historical, actual and forecasted revenue and operating income on a regular basis.
The Civil segment specializes in public works construction and the replacement and reconstruction of infrastructure. The contracting services provided by the Civil segment include construction and rehabilitation of highways, bridges, tunnels, mass-transit systems, military facilities, and water management and wastewater treatment facilities.
The Building segment has significant experience providing services for private and public works customers in a number of specialized building markets, including: hospitality and gaming, transportation, healthcare, commercial offices, government facilities, sports and entertainment, education, correctional and detention facilities, biotech, pharmaceutical, industrial and technology.
The Specialty Contractors segment specializes in electrical, mechanical, plumbing, HVAC and fire protection systems for a full range of civil and building construction projects in the industrial, commercial, hospitality and gaming, and mass-transit end markets. This segment is strategically important to the Company because various business units within the segment participate in many of the Company’s larger Civil and Building segment projects. In addition, the segment provides unique strengths and capabilities that allow the Company to position itself as a full-service contractor in key geographic markets with greater control over scheduled work, project delivery, and cost and risk management.
To the extent that a contract is co-managed and co-executed among segments, the Company allocates the share of revenues and costs of the contract to each segment to reflect the shared responsibilities in the management and execution of the project.
The following tables set forth certain reportable segment information relating to the Company’s operations for the years ended December 31, 2025, 2024 and 2023:
| Reportable Segments | |||||||||||||||||||||||||||||||||||
| (in thousands) | Civil | Building | Specialty Contractors | Total | Corporate | Consolidated Total | |||||||||||||||||||||||||||||
| Year ended December 31, 2025 | |||||||||||||||||||||||||||||||||||
| Total revenue | $ | 3,062,354 | $ | 1,955,446 | $ | 843,972 | $ | 5,861,772 | $ | — | $ | 5,861,772 | |||||||||||||||||||||||
| Elimination of intersegment revenue | (215,524) | (103,209) | — | (318,733) | — | (318,733) | |||||||||||||||||||||||||||||
| Revenue from external customers | $ | 2,846,830 | $ | 1,852,237 | $ | 843,972 | $ | 5,543,039 | $ | — | $ | 5,543,039 | |||||||||||||||||||||||
Reconciliation of revenue to income (loss) from construction operations | |||||||||||||||||||||||||||||||||||
| Less: | |||||||||||||||||||||||||||||||||||
| Cost of operations | $ | 2,366,197 | $ | 1,741,533 | $ | 788,970 | $ | 4,896,700 | $ | (1,176) | $ | 4,895,524 | |||||||||||||||||||||||
General and administrative expenses(a) | 89,756 | 52,473 | 62,482 | 204,711 | 210,843 | 415,554 | |||||||||||||||||||||||||||||
Income (loss) from construction operations(b) | $ | 390,877 | $ | 58,231 | $ | (7,480) | $ | 441,628 | $ | (209,667) | $ | 231,961 | |||||||||||||||||||||||
| Capital expenditures | $ | 125,357 | $ | 1,663 | $ | 6,864 | $ | 133,884 | $ | 46,970 | $ | 180,854 | |||||||||||||||||||||||
Depreciation and amortization(c) | $ | 43,342 | $ | 2,136 | $ | 2,339 | $ | 47,817 | $ | 1,998 | $ | 49,815 | |||||||||||||||||||||||
| Year ended December 31, 2024 | |||||||||||||||||||||||||||||||||||
| Total revenue | $ | 2,248,659 | $ | 1,666,862 | $ | 590,822 | $ | 4,506,343 | $ | — | $ | 4,506,343 | |||||||||||||||||||||||
| Elimination of intersegment revenue | (129,706) | (49,325) | (390) | (179,421) | — | (179,421) | |||||||||||||||||||||||||||||
| Revenue from external customers | $ | 2,118,953 | $ | 1,617,537 | $ | 590,432 | $ | 4,326,922 | $ | — | $ | 4,326,922 | |||||||||||||||||||||||
Reconciliation of revenue to income (loss) from construction operations | |||||||||||||||||||||||||||||||||||
| Less: | |||||||||||||||||||||||||||||||||||
| Cost of operations | $ | 1,897,741 | $ | 1,593,509 | $ | 634,271 | $ | 4,125,521 | $ | 4,363 | $ | 4,129,884 | |||||||||||||||||||||||
General and administrative expenses(a) | 82,951 | 48,165 | 59,506 | 190,622 | 110,169 | 300,791 | |||||||||||||||||||||||||||||
Income (loss) from construction operations(d) | $ | 138,261 | $ | (24,137) | $ | (103,345) | $ | 10,779 | $ | (114,532) | $ | (103,753) | |||||||||||||||||||||||
| Capital expenditures | $ | 27,040 | $ | 613 | $ | 530 | $ | 28,183 | $ | 9,226 | $ | 37,409 | |||||||||||||||||||||||
Depreciation and amortization(c) | $ | 42,521 | $ | 2,270 | $ | 2,333 | $ | 47,124 | $ | 6,663 | $ | 53,787 | |||||||||||||||||||||||
| Year ended December 31, 2023 | |||||||||||||||||||||||||||||||||||
| Total revenue | $ | 1,971,194 | $ | 1,302,636 | $ | 694,038 | $ | 3,967,868 | $ | — | $ | 3,967,868 | |||||||||||||||||||||||
| Elimination of intersegment revenue | (87,329) | (97) | (215) | (87,641) | — | (87,641) | |||||||||||||||||||||||||||||
| Revenue from external customers | $ | 1,883,865 | $ | 1,302,539 | $ | 693,823 | $ | 3,880,227 | $ | — | $ | 3,880,227 | |||||||||||||||||||||||
Reconciliation of revenue to income (loss) from construction operations | |||||||||||||||||||||||||||||||||||
| Less: | |||||||||||||||||||||||||||||||||||
| Cost of operations | $ | 1,614,859 | $ | 1,347,589 | $ | 775,189 | $ | 3,737,637 | $ | 1,966 | $ | 3,739,603 | |||||||||||||||||||||||
General and administrative expenses(a) | 70,397 | 46,156 | 63,456 | 180,009 | 75,212 | 255,221 | |||||||||||||||||||||||||||||
Income (loss) from construction operations(e) | $ | 198,609 | $ | (91,206) | $ | (144,822) | $ | (37,419) | $ | (77,178) | $ | (114,597) | |||||||||||||||||||||||
| Capital expenditures | $ | 41,318 | $ | 3,932 | $ | 1,250 | $ | 46,500 | $ | 6,453 | $ | 52,953 | |||||||||||||||||||||||
Depreciation and amortization(c) | $ | 31,685 | $ | 2,227 | $ | 2,445 | $ | 36,357 | $ | 8,872 | $ | 45,229 | |||||||||||||||||||||||
_____________________________________________________________________________________________________________
(a)General and administrative expenses for the year ended December 31, 2025, 2024 and 2023 included share-based compensation expense of $150.0 million ($148.7 million after tax, or $2.78 per diluted share), $40.4 million ($39.7 million after tax, or $0.76 per diluted share), and $12.3 million ($11.5 million after tax, or $0.22 per diluted share), respectively. The increases in share-based compensation expense in 2025 and 2024 were primarily due to substantial increases in the Company’s stock price during these years, which impacted the fair value of liability-classified awards. These awards are remeasured at fair value at the end of each reporting period with the change recognized in earnings. After the Company’s shareholders approved additional shares under the Plan in May 2025, the Company stopped issuing liability-classified, long-term incentive compensation awards.
(b)During the year ended December 31, 2025, the Company’s income (loss) from construction operations in the Civil segment was impacted by favorable adjustments totaling $57.6 million ($34.6 million attributable to the Company and $24.9 million after tax, or $0.47 per diluted share) that resulted from the settlement of certain change orders and changes in estimates due to improved performance and a favorable project closeout on a domestic Civil segment mass-transit project. The period was also impacted by unfavorable adjustments totaling $54.7 million ($32.8 million attributable to the Company and $23.4 million after tax, or $0.44 per diluted share) due to the settlement of a legacy dispute related to a completed Civil segment tunneling project in Canada.
(c)Depreciation and amortization is included in income (loss) from construction operations.
(d)During the year ended December 31, 2024, the Company’s income (loss) from construction operations in the Civil segment was impacted by unfavorable adjustments of $101.6 million ($74.3 million after tax, or $1.42 per diluted share) pertaining to an unexpected adverse arbitration decision on a legacy dispute related to a completed Civil segment bridge project in California, which the Company is appealing; $31.8 million ($25.4 million after tax, or $0.48 per share) for a project on the West Coast, which primarily resulted from significant changes that have been negotiated and carry lower margin (and lower risk) that reduced the project’s percentage of completion and overall margin percentage; $17.4 million ($12.7 million after tax, or $0.24 per share) due to an unfavorable legal ruling on a completed highway project in Virginia; and $15.1 million ($11.1 million after tax, or $0.21 per diluted share) for changes in estimates on an otherwise profitable mass-transit project in California that is nearly complete. The period was also impacted by a favorable adjustment of $18.4 million ($13.5 million after tax, or $0.26 per diluted share) due to a settlement of a claim associated with a completed Civil segment highway tunneling project in the western United States.
Also in 2024, the Company’s income (loss) from operations in the Building segment was impacted by unfavorable adjustments of $25.9 million ($18.9 million after tax, or $0.36 per diluted share) on a completed government building project in Florida, primarily due to increased costs associated with external subcontractors and resolution of certain delay change orders, and $20.0 million ($14.6 million after tax, or $0.28 per diluted share) associated with the settlement of a legacy dispute related to another completed Building segment government facility project in Florida.
Furthermore, in 2024 the Company’s income (loss) from operations in the Specialty Contractors segment was adversely impacted by $17.7 million ($13.0 million after tax, or $0.25 per diluted share) due to an unfavorable judgment on a completed Specialty Contractors segment mass-transit project in California.
(e)During the year ended December 31, 2023, the Company’s income (loss) from construction operations in the Civil segment was impacted by net unfavorable adjustments related to a settlement that impacted multiple components of a mass-transit project in California. The settlement resolved certain ongoing disputes and increased the expected profit from work to be performed in the future. The settlement resulted in an unfavorable non-cash adjustment of $23.2 million ($17.0 million after tax, or $0.33 per diluted share) to one component of the project that is nearing completion, partially offset by a favorable adjustment of $8.8 million ($7.1 million after tax, or $0.14 per diluted share) on the other component of the project that has substantial scope of work remaining. As a result of the settlement, the net unfavorable impact to the period from these two adjustments is expected to be mitigated by the increased profit generated from future work on the project. The Civil segment was also impacted by net favorable adjustments of $19.0 million ($15.2 million after tax, or $0.29 per diluted share) for a project on the West Coast that primarily resulted from a favorable impact of $58.1 million on the settlement of change orders and changes in estimates due to improved performance, partially offset by a temporary unfavorable non-cash impact of $40.7 million resulting from the successful negotiation of significant lower margin (and lower risk) change orders which increased the project’s overall estimated profit but reduced the project’s percentage of completion and overall margin percentage.
During the year ended December 31, 2023, the Company’s income (loss) from operations in the Building segment was adversely impacted an unfavorable adjustment of $14.6 million ($10.7 million after tax, or $0.21 per diluted share) on a government building project in Florida primarily due to increased costs associated with an external subcontractor.
Also in 2023, the Company’s income (loss) from operations in the Specialty Contractors segment was adversely impacted by $62.2 million ($45.7 million after tax, or $0.88 per diluted share) of unfavorable non-cash adjustments due to changes in estimates on the electrical and mechanical scope of a completed transportation project in the Northeast associated with changes in the expected recovery on certain unapproved change orders resulting from ongoing negotiations; a non-cash charge of $24.7 million ($18.1 million after tax, or $0.35 per diluted share) that resulted from an adverse legal ruling on an educational facilities project in New York; and an unfavorable adjustment of $16.9 million ($12.4 million after tax, or $0.24 per diluted share) on a multi-unit residential project in New York due to changes in estimates resulting from incremental costs to complete the project and ongoing negotiations on unapproved change orders.
Furthermore, in 2023 the Company’s income (loss) from construction operations was also unfavorably impacted by an adverse legal ruling on a completed mixed-use project in New York, which resulted in a non-cash, pre-tax charge of $83.6 million ($60.8 million after tax, or $1.17 per diluted share), of which $72.2 million impacted the Building segment and $11.4 million impacted the Specialty Contractors segment, as well as an unfavorable adjustment of $28.3 million ($22.2 million after tax, or $0.43 per diluted share) on a completed transportation project in the Northeast, split evenly between the Civil and Building segments, primarily due to the settlement of certain change orders, changes in estimates due to recent negotiations and incremental cost incurred during project closeout.
Total assets by segment were as follows:
| As of December 31, | |||||||||||
| (in thousands) | 2025 | 2024 | |||||||||
| Civil | $ | 4,348,288 | $ | 3,636,825 | |||||||
| Building | 1,354,282 | 1,085,998 | |||||||||
| Specialty Contractors | 397,750 | 198,952 | |||||||||
Corporate and other(a) | (939,898) | (679,065) | |||||||||
| Total assets | $ | 5,160,422 | $ | 4,242,710 | |||||||
_____________________________________________________________________________________________________________
(a) Consists principally of cash, equipment, tax-related assets and insurance-related assets, offset by the elimination of assets related to intersegment revenue.
Geographic Information
Information concerning principal geographic areas is as follows:
| Year Ended December 31, | |||||||||||||||||
| (in thousands) | 2025 | 2024 | 2023 | ||||||||||||||
| Revenue: | |||||||||||||||||
| United States | $ | 5,053,306 | $ | 3,743,518 | $ | 3,437,971 | |||||||||||
| Foreign and U.S. territories | 489,733 | 583,404 | 442,256 | ||||||||||||||
| Total revenue | $ | 5,543,039 | $ | 4,326,922 | $ | 3,880,227 | |||||||||||
| As of December 31, | |||||||||||
| (in thousands) | 2025 | 2024 | |||||||||
| Assets: | |||||||||||
| United States | $ | 4,604,866 | $ | 3,759,874 | |||||||
| Foreign and U.S. territories | 555,556 | 482,836 | |||||||||
| Total assets | $ | 5,160,422 | $ | 4,242,710 | |||||||
Major Customers
Revenue from a single customer with multiple projects impacting the Civil, Building and Specialty Contractors segments represented 14.1%, 17.6% and 16.3% of the Company’s consolidated revenue for the years ended December 31, 2025, 2024 and 2023, respectively. Revenue from an additional customer with multiple projects, impacting the Civil, Building and Specialty Contractors segments, represented 11.4% of the Company’s consolidated revenue for the year ended December 31, 2025.
Reconciliation of Segment Information to Consolidated Amounts
A reconciliation of segment results to the consolidated income (loss) before income taxes is as follows:
| Year Ended December 31, | |||||||||||||||||
| (in thousands) | 2025 | 2024 | 2023 | ||||||||||||||
| Income (loss) from construction operations | $ | 231,961 | $ | (103,753) | $ | (114,597) | |||||||||||
| Other income, net | 27,512 | 19,878 | 17,200 | ||||||||||||||
| Interest expense | (54,965) | (89,133) | (85,157) | ||||||||||||||
| Income (loss) before income taxes | $ | 204,508 | $ | (173,008) | $ | (182,554) | |||||||||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 26, 2026 | Showing above |
| 2024 | Feb 27, 2025 | |
| 2023 | Feb 28, 2024 | |
| 2022 | Mar 15, 2023 | |
| 2021 | Feb 24, 2022 | |
| 2020 | Feb 24, 2021 | |
| 2019 | Feb 26, 2020 | |
| 2018 | Feb 27, 2019 | |
| 2017 | Feb 27, 2018 | |
| 2016 | Feb 23, 2017 | |
| 2015 | Feb 29, 2016 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.