Q2 revenue fell 47% as claims write-down drove gross loss; sureties advanced

Filed August 12, 2026 · Period ending June 30, 2026 · Compared to 10-Q Aug 12, 2025 · ~2 min read

Key Changes

• high

  Revenue fell 47.4% to $113.3M in Q2 FY26 as the company wrote down $102.3M in claims after reassessing recoverability on several projects, driving a $71.2M gross loss (vs. $13.0M profit in Q2 FY25).

  MD&A: Claims reassessment and gross profit verify on EDGAR →
• high

  Operating loss widened 14459% to $87.9M (from $604K in Q2 FY25), but net loss widened only 718% to $84.3M — the net-income change did NOT come from operations. The filing discloses no below-the-line driver for the $3.6M net contribution.

  MD&A: Operating and net loss divergence verify on EDGAR →
• high

  Surety advances ballooned from $14.1M at year-end FY25 to $209.8M by June 30, 2026, as Berkshire, Zurich, and Markel stepped in to fund bonded project obligations. Repayment is deferred until at least August 13, 2027.

  Legal Proceedings & Notes: Surety advances verify on EDGAR →