What To Expect From Matrix Service’s (MTRX) Q2 Earnings

Industrial construction and maintenance company Matrix Service (NASDAQ:MTRX) will be announcing earnings results tomorrow after market hours. Here’s what investors should know.

Matrix Service missed analysts’ revenue expectations by 15% last quarter, reporting revenues of $166 million, down 11.2% year on year. It was a weak quarter for the company, with a miss of analysts’ earnings estimates.

Is Matrix Service a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Matrix Service’s revenue to decline 1.5% year on year to $202.8 million, a reversal from the 2.6% increase it recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.21 per share.

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Matrix Service has missed Wall Street’s revenue estimates five times over the last two years.

Looking at Matrix Service’s peers in the construction and maintenance services segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Great Lakes Dredge & Dock delivered year-on-year revenue growth of 28.2%, beating analysts’ expectations by 3.5%, and Construction Partners reported revenues up 22.7%, topping estimates by 2.7%. Great Lakes Dredge & Dock traded up 5.8% following the results while Construction Partners was also up 3.9%.

Read our full analysis of Great Lakes Dredge & Dock’s results here and Construction Partners’s results here.

Investors in the construction and maintenance services segment have had steady hands going into earnings, with share prices flat over the last month. Matrix Service is up 3.1% during the same time and is heading into earnings with an average analyst price target of $17 (compared to the current share price of $9.37).

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