Tetra Tech Shares Jump 11.3% After Fourth-Quarter Results and FY2027 Guidance
Key Facts
Tetra Tech shares rose 11.3% in after-hours trading on November 11 after the company reported fourth-quarter and fiscal 2026 results, according to Investing.com. The move followed adjusted earnings per share of $0.49, above analysts’ estimate of $0.47. Quarterly net revenue was $1.15 billion, in line with consensus. The report therefore combined a positive earnings surprise with revenue in line with expectations. The company also issued guidance for fiscal 2027, giving the market a basis to assess current results alongside management’s expected performance range for the coming year.
Tetra Tech set its fiscal 2027 earnings-per-share outlook at $1.65 to $1.80 and its net revenue range at $4.425 billion to $4.625 billion, according to figures reported by Investing.com. The guidance provides an annual framework for comparing upcoming results with management’s expectations, alongside the reported fourth-quarter results. The quarterly comparison, however, reveals a different aspect of the report: adjusted earnings beat analysts’ estimate, while net revenue did not exceed consensus. The share-price response was therefore not tied to both sides of the results exceeding expectations, but came alongside an earnings-per-share beat and the announcement of ranges for the next fiscal year. The after-hours gain was linked to the results and guidance, according to the same source.
CEO Roger Argus said the strength of the quarter was underpinned by the company’s commercial and government work around the world. Argus tied confidence in continued revenue growth and further margin expansion to the momentum in the backlog. He said: "This strong backlog momentum gives us confidence in continued revenue growth and further margin expansion." The remarks put the backlog at the center of management’s assessment of the results and its fiscal 2027 outlook. They also link commercial and government activity worldwide with the company’s expectations for revenue growth and margin improvement, without citing new figures for either measure.
The third-quarter results for fiscal 2026 provide context for the latest figures: the company then reported revenue of $1.31 billion and net revenue of $1.11 billion. Backlog at the end of that quarter reached $4.49 billion, up 5% from the previous quarter, according to the company’s quarterly results. Tetra Tech said third-quarter net revenue rose 8% year over year, excluding USAID and U.S. State Department contracts and extraordinary disaster response. For fiscal 2025, the company reported record revenue of $5.44 billion and record net revenue of $4.62 billion. These figures put the trajectory of revenue and backlog in context ahead of the fourth-quarter results and new guidance.
Before the results announcement, the stock’s last documented close was $40.65 on November 10, according to EL7 data; this was the close of the session before the November 11 announcement, not a subsequent price. After the results report, the stock rose 11.3% in after-hours trading, according to Investing.com. The company also said its board approved a quarterly dividend of $0.072 per share on November 9, up 11% year over year. The dividend is payable on December 11, 2026, to shareholders of record on December 2, 2026. Tetra Tech is scheduled to host a call to discuss its results and outlook on November 12, 2026, at 8:00 a.m. Pacific time.