Big lineup of projects leads to strong returns
By Dug Begley
STERLING Construction Co. is building on its success, literally, as its portfolio of construction jobs across Texas and the nation grows.
Sterling ranked No. 9 among public companies on the Chronicle 100 list, leaping into the top 10 because of strong total returns to investors. Compared with 2016, its total return was up 92.4 percent, ranking it third among local companies in turning profits for shareholders.
Sterling is the parent company of six building firms, all involved in various aspects of civil construction ranging from road work to water plants and pipeline projects. The company also has a residential housing division, with Dallas and Houston its largest markets.
In Houston, Sterling has worked on the rehab and drainage upgrades along Dallas Street; key intersection work along Metropolitan Transit Authority’s Main Street rail line; and the ongoing construction of an underpass along Lorraine Street, part of Harris County Toll Road Authority’s long-term goal of extending the Hardy Toll Road to downtown.
Sterling reported revenues of $958 million, a 38 percent jump from the previous year. That increase caused more than 200 percent growth in its earnings per share.
CEO Joe Cutillo said in January that the company sees more success ahead.
“Our 2018 first-quarter results represent our best financial results in almost a decade for our seasonally weakest quarter,” Cutillo said. “Sterling’s performance in the period was evidence of the profitable growth potential of the business platform we’ve developed, which is driven by our diverse construction capabilities across a footprint of attractive geographies.”