Slide 1: Q2 2026 Earnings Presentation
Q2 2026 Earnings Presentation © 2026 Granite Construction. All Rights Reserved.
Slide 2: Safe Harbor
Safe Harbor Any statements contained in this presentation that are term growth strategy, including automation and reserve which are beyond our control, which could result in our not based on historical facts, including statements expansion targets, that we expect several more expectations not being
Slide 3: Construction Segment CAP History
Construction Segment CAP History $ in billions • CAP increased $250M sequentially to new Granite $7.4 $7.2 2% 4% record of $7.4B $6.1 $5.6 9% 8% $5.4 2% • Funding levels remain healthy, and bidding pipeline 2% 1% ◼ Bid Build 1% 1% stays robust at the federal, state, local and private 2% 3% 2% 42% 41
Slide 4: Materials Segment
Materials Segment Materials Segment • Aggregate and asphalt volumes increased YOY with demand for construction materials remaining healthy across our footprint • Realizing our targeted mid-single-digit aggregate price increases • Severe weather disrupted production and sales activity across the Sout
Slide 5: Q2 2026 Results
Q2 2026 Results Q2 2026 YOY Change Total Revenue Total Revenue $1,456 M + $330 M Construction Revenue Construction Revenue $1,208 M + $270 M Materials Revenue Materials Revenue $248M + $60 M Adjusted Net Income* Adjusted Net Income* $101 M + $15 M Arlington Avenue River bridge in Reno, NV Adjusted D
Slide 6: 2026 Guidance & 2027 Targets
2026 Guidance & 2027 Targets 10%+ Organic Growth Revenue 2026 12.5% - 14.5% Operating Cash Flow Margin $5.3B - $5.5B Adj. EBITDA Margin Revenue 11% Raising from 10% 12.25% - 13.25% Adj. EBITDA Margin 2027 12.5% - 14.5% Free Cash Flow Margin* 6.5% - 8.5% Strong free cash flow funds growth, 2026 2027
Slide 7: Concluding Remarks
Concluding Remarks • Positive growth outlook supported by strong public and private end markets and our diverse capabilities to deliver for our clients • Confidence in the company’s capabilities and expertise necessary to capitalize on the opportunities ahead • Raising 2026 revenue guidance and incr
Slide 8: Thank you. Questions?
Thank you. Questions? © 2026 Granite Construction. All Rights Reserved.
Slide 9: Appendix
Appendix The tables below contain financial information calculated other than We also provide cash gross profit and cash gross profit per ton for We do not provide a reconciliation of forward-looking adjusted in accordance with U.S. generally accepted accounting principles the materials segment and
Slide 10: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation 1) We define EBITDA as GAAP net income/loss attributable to Granite, adjusted for net interest expense, taxes, depreciation, depletion and amortization. Adjusted EBITDA and adjusted EBITDA margin exclude the impact of stock-based compensation, loss on convertible debt
Slide 11: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation 1) We define EBITDA as GAAP net income attributable to Granite, adjusted for net interest expense, taxes, depreciation, depletion and amortization. Adjusted EBITDA and adjusted EBITDA margin exclude the impact of other costs, net, stock-based compensation and loss on d
Slide 12: Adjusted Net Income Reconciliation
Adjusted Net Income Reconciliation 1) The tax effect of adjusting items was calculated using our estimated annual statutory tax rate. The tax effect of adjusting items for the three and six months ended June 30, 2026 excludes the loss on convertible debt transactions, net and amortization of convert
Slide 13: Materials Segment Product Line Information
Materials Segment Product Line Information NM - not meaningful 1) The Aggregate product line includes aggregates, barge delivery and recycled materials. The Asphalt product line includes asphalt concrete and liquid asphalt. External revenue includes freight and delivery costs that we pass along to o
Slide 14: Materials Segment Product Line Information
Materials Segment Product Line Information NM - not meaningful 1) The Aggregate product line includes aggregates, barge delivery and recycled materials. The Asphalt product line includes asphalt concrete and liquid asphalt. External revenue includes freight and delivery costs that we pass along to o
Slide 15: Materials Segment Product Line Information
Materials Segment Product Line Information NM - not meaningful 1) The Aggregate product line includes aggregates, barge delivery and recycled materials. The Asphalt product line includes asphalt concrete and liquid asphalt. External revenue includes freight and delivery costs that we pass along to o
Slide 16: Why Invest in Granite: We Build Careers, Communities, America's Infrastructure
Why Invest in Granite: We Build Careers, Communities, America’s Infrastructure Margin Expansion & Structural Free Cash Flow Strength & Capital Durable Demand & Growth Visibility Earnings Power Allocation Discipline Record, high-quality CAP and capability to serve across Disciplined project selection
Slide 17: Founded in 1922, Headquartered in Watsonville, CA
• Founded in 1922 • Headquartered in Watsonville, CA • Publicly traded since 1990, NYSE: GVA • One of the largest diversified, vertically integrated civil contractors and construction materials producers in the U.S. • Geographically diverse public and private client base • Thoughtful project pursui
Slide 18: Home Markets: U.S. States, Guam and Canada
29 U.S. states, and operations in Guam, and Canada 9K Employees* 35M+ Tons of asphalt & aggregates produced annually In a home market, Granite’s strong, trusted relationships with vendors, subcontractors, owners, and regulators give us a clear advantage. Our established presence provides market insi
Slide 19: Our Markets & Customers
Our Markets & Customers Granite serves customers in both public and private sectors within our reportable business segments: Construction and Materials. Our expertise allows us to provide infrastructure solutions in a range of markets as a diversified civil contractor and materials producer. ENR | E
Slide 20: Vertical Integration Empowers Home Markets
Vertical Integration Why Vertical Integration? Empowers Home Markets • Compete in markets where owning materials is necessary • Improve margins by reducing reliance on third-party pricing External AGG Sales External HMA Sales • Increase schedule certainty and productivity Aggregate Production HMA Pr
Slide 21: Investing for Long-Term Growth
Investing for Long-Term Growth Generate Cash Reinvest + Acquire Grow Cash Repeat $391M Average Annual Acquisition Spend (2023-2025) at High Teens Acquired Adjusted EBITDA Margins SUPPORT & STRENGTHEN EXPAND & TRANSFORM Strengthen Bolt-on: Civil Automation & Expand Construction & Reserve VI Expansion
Slide 22: High-Quality CAP with Risk-adjusted Procurement Types
High-Quality CAP with Bid-Build Procurement Risk-adjusted Procurement Types • Owner-led design • Single-phase delivery • Low-bid, price-driven selection • Limited contractor input $3,058 41% • Typical duration: several months to 3 years $3,392 Q2’26 46% $7.4B Collaborative Contracting Procurement •
Slide 23: Materials Segment Results
Materials Segment Results Pricing (Internal and External Sales) Volume (Internal and External Sales) Average Selling Price* Q2’25 Q2’26 YOY YTD’25 YTD’26 YOY Sales Volume Q2’25 Q2’26 YOY YTD’25 YTD’26 YOY (per ton) Change Change (tons) Change Change Aggregates $16.76 $19.88 18.6% $16.34 $19.79 21.1%
Slide 24: Capital Allocation Priorities
Capital Allocation Priorities 1 Maintain current level of dividend 2 Support business operations via maintenance capex (1.5% - 2.0% of annual revenue) 3 Focused growth capex and M&A to drive growth and efficiencies 4 Target 2.5x long-term net leverage ratio 5 Opportunistic share repurchase when cash