Tetra Tech Reports Q1 Revenue of $1.21B
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 28 2026
0mins
Should l Buy TTEK?
Reports Q1 revenue $1.21B, consensus $974.3M. Dan Batrack, Chairman and CEO, commented, "Tetra Tech began fiscal 2026 with a strong first quarter as net revenue was up 8% and EPS up 17%. Subsequent to the first quarter, we announced two strategic acquisitions, further expanding our front-end consulting business for our defense clients. As expected, our margin increased by 80 basis points, with our higher margin front-end advisory and technical consulting business growing at a double-digit rate. With the promotion of Roger Argus to CEO effective after our annual shareholders meeting, I see continued progress toward achieving our 2030 vision and direction and the associated financial targets." Roger Argus, President and CEO-designate, stated, "We continued to see significant demand for our differentiated services in water, environment, and sustainable infrastructure across our global operations. During the quarter, we grew our government business with municipal water and defense clients, and on the commercial side, we saw an increase in power and transmission projects to support energy demand. As a result, we are increasing our guidance for 2026 and are well positioned to achieve our 2030 goals."
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Analyst Views on TTEK
Wall Street analysts forecast TTEK stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for TTEK is 48.00 USD with a low forecast of 48.00 USD and a high forecast of 48.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
4 Analyst Rating
3 Buy
1 Hold
0 Sell
Strong Buy
Current: 40.700
Low
48.00
Averages
48.00
High
48.00
Current: 40.700
Low
48.00
Averages
48.00
High
48.00
About TTEK
Tetra Tech, Inc. is a global provider of consulting and engineering services that is focused on water, environment and sustainable infrastructure. It provides solutions to complex problems by Leading with Science to address the entire water cycle, protect and restore the environment, design sustainable and resilient infrastructure, and support the clean energy transition. It operates through two segments: Government Services Group (GSG) and Commercial/International Services Group (CIG). Its GSG segment provides consulting and engineering services primarily to United States (U.S.) government clients and international development agencies worldwide. CIG segment primarily provides consulting and engineering services to U.S. commercial clients and international clients that include both commercial and government sectors. Its CIG segment also provides sustainable infrastructure and related environmental, engineering and project management services to commercial and local government clients.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Tetra Tech Reports 8% Revenue Growth in Q1
- Revenue Growth: Tetra Tech reported a net revenue of $987 million for Q1, reflecting an 8% year-over-year increase, demonstrating strong market performance driven particularly by international business growth.
- Profitability Improvement: Operating income rose by 12% to $131 million, with adjusted EPS at $0.34, up 17% from the previous year, indicating successful cost control and efficiency enhancements within the company.
- Strong Financial Position: The company maintains a net debt of approximately $565 million with a leverage ratio of 0.86, a 20% decrease from the previous year, providing a solid financial foundation for future strategic investments and acquisitions.
- Guidance Outlook: Tetra Tech's guidance for Q2 2026 revenue is set between $975 million and $1.025 billion, with full-year revenue expectations of $4.15 billion to $4.3 billion, reflecting management's confidence in future growth despite potential risks from government shutdowns.
See More
Tetra Tech (TTEK) Q1 2026 Earnings Call Transcript
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Tetra Tech Announces 12% Increase in Quarterly Dividend
- Dividend Increase: Tetra Tech declares a quarterly dividend of $0.065 per share, representing a 12% year-over-year increase, demonstrating the company's ongoing commitment to stable cash flow and shareholder returns.
- Yield Metrics: The forward yield of 0.7% reflects the company's robust financial health in the current market environment, which is likely to attract income-focused investors seeking reliable returns.
- Payment Schedule: The dividend is payable on February 27, with a record date of February 12 and an ex-dividend date also on February 12, ensuring shareholders receive timely returns on their investments.
- Financial Performance: Tetra Tech's recent earnings report indicates a non-GAAP EPS of $0.35, beating expectations by $0.04, with revenue of $1.04 billion exceeding forecasts by $65.72 million, highlighting the company's strong performance in both revenue and profitability.
See More
Tetra Tech Reports Strong Q1 Results with Increased Guidance
- Revenue Growth: Tetra Tech reported first-quarter revenue of $1.21 billion and net revenue of $1.04 billion, with net revenue up 8% year-over-year excluding USAID/DOS and hurricane impacts, indicating strong demand in the water and environmental consulting sectors.
- Profitability Improvement: Operating income reached $141 million, with adjusted EBITDA at $147 million, reflecting a 140 basis point year-over-year increase in adjusted EBITDA margin, showcasing the company's sustained profitability in high-end consulting services.
- Strategic Acquisitions: The acquisitions of Halvik and Providence further expand Tetra Tech's front-end consulting business for defense clients, expected to drive future revenue growth and enhance market competitiveness.
- Shareholder Returns: The board approved a quarterly dividend of $0.065 per share, a 12% increase year-over-year, while repurchasing $50 million in stock during the first quarter, demonstrating the company's ongoing commitment to shareholders and financial health.
See More
Tetra Tech Set to Announce Q1 Earnings on January 28
- Earnings Announcement: Tetra Tech (TTEK) is set to release its Q1 earnings report on January 28 after market close, with consensus EPS estimate at $0.31, reflecting an 11.4% year-over-year decline, and revenue estimate at $974.28 million, down 18.8% year-over-year.
- Historical Performance: Over the past two years, Tetra Tech has consistently beaten both EPS and revenue estimates, achieving a 100% beat rate, indicating strong financial forecasting reliability.
- Estimate Revision Trends: In the last three months, EPS estimates have seen two upward revisions and one downward revision, while revenue estimates have experienced one upward and two downward revisions, showcasing mixed market sentiment regarding the company's future performance.
- Market Outlook: Despite facing temporary headwinds, analysts believe Tetra Tech has promising medium to long-term growth prospects, particularly driven by ongoing demand in defense and environmental services sectors.
See More
Tetra Tech Secures $151 Billion SHIELD Defense Contract
- Massive Contract Award: Tetra Tech has been awarded a $151 billion indefinite-delivery/indefinite-quantity (IDIQ) contract for the Missile Defense Agency's SHIELD program, significantly enhancing its market position in the defense sector.
- Rapid Delivery Capability: The contract encompasses a broad range of work areas, enabling the rapid delivery of innovative capabilities, which enhances the company's agility and responsiveness to warfighter needs.
- Industry Leadership: As a leader in water, environment, and sustainable infrastructure, Tetra Tech's expertise will be further solidified in the high-end consulting and engineering services market through this contract.
- Future Growth Potential: The contract not only presents substantial revenue potential for the company but also supports its long-term strategic development in defense and infrastructure, enhancing its competitive edge in complex projects.
See More
Tetra Tech Reports 8% Revenue Growth in Q1
- Revenue Growth: Tetra Tech reported a net revenue of $987 million for Q1, reflecting an 8% year-over-year increase, demonstrating strong market performance driven particularly by international business growth.
- Profitability Improvement: Operating income rose by 12% to $131 million, with adjusted EPS at $0.34, up 17% from the previous year, indicating successful cost control and efficiency enhancements within the company.
- Strong Financial Position: The company maintains a net debt of approximately $565 million with a leverage ratio of 0.86, a 20% decrease from the previous year, providing a solid financial foundation for future strategic investments and acquisitions.
- Guidance Outlook: Tetra Tech's guidance for Q2 2026 revenue is set between $975 million and $1.025 billion, with full-year revenue expectations of $4.15 billion to $4.3 billion, reflecting management's confidence in future growth despite potential risks from government shutdowns.
See More
Tetra Tech (TTEK) Q1 2026 Earnings Call Transcript
See More
Tetra Tech Announces 12% Increase in Quarterly Dividend
- Dividend Increase: Tetra Tech declares a quarterly dividend of $0.065 per share, representing a 12% year-over-year increase, demonstrating the company's ongoing commitment to stable cash flow and shareholder returns.
- Yield Metrics: The forward yield of 0.7% reflects the company's robust financial health in the current market environment, which is likely to attract income-focused investors seeking reliable returns.
- Payment Schedule: The dividend is payable on February 27, with a record date of February 12 and an ex-dividend date also on February 12, ensuring shareholders receive timely returns on their investments.
- Financial Performance: Tetra Tech's recent earnings report indicates a non-GAAP EPS of $0.35, beating expectations by $0.04, with revenue of $1.04 billion exceeding forecasts by $65.72 million, highlighting the company's strong performance in both revenue and profitability.
See More
Tetra Tech Reports Strong Q1 Results with Increased Guidance
- Revenue Growth: Tetra Tech reported first-quarter revenue of $1.21 billion and net revenue of $1.04 billion, with net revenue up 8% year-over-year excluding USAID/DOS and hurricane impacts, indicating strong demand in the water and environmental consulting sectors.
- Profitability Improvement: Operating income reached $141 million, with adjusted EBITDA at $147 million, reflecting a 140 basis point year-over-year increase in adjusted EBITDA margin, showcasing the company's sustained profitability in high-end consulting services.
- Strategic Acquisitions: The acquisitions of Halvik and Providence further expand Tetra Tech's front-end consulting business for defense clients, expected to drive future revenue growth and enhance market competitiveness.
- Shareholder Returns: The board approved a quarterly dividend of $0.065 per share, a 12% increase year-over-year, while repurchasing $50 million in stock during the first quarter, demonstrating the company's ongoing commitment to shareholders and financial health.
See More
Tetra Tech Set to Announce Q1 Earnings on January 28
- Earnings Announcement: Tetra Tech (TTEK) is set to release its Q1 earnings report on January 28 after market close, with consensus EPS estimate at $0.31, reflecting an 11.4% year-over-year decline, and revenue estimate at $974.28 million, down 18.8% year-over-year.
- Historical Performance: Over the past two years, Tetra Tech has consistently beaten both EPS and revenue estimates, achieving a 100% beat rate, indicating strong financial forecasting reliability.
- Estimate Revision Trends: In the last three months, EPS estimates have seen two upward revisions and one downward revision, while revenue estimates have experienced one upward and two downward revisions, showcasing mixed market sentiment regarding the company's future performance.
- Market Outlook: Despite facing temporary headwinds, analysts believe Tetra Tech has promising medium to long-term growth prospects, particularly driven by ongoing demand in defense and environmental services sectors.
See More
Tetra Tech Secures $151 Billion SHIELD Defense Contract
- Massive Contract Award: Tetra Tech has been awarded a $151 billion indefinite-delivery/indefinite-quantity (IDIQ) contract for the Missile Defense Agency's SHIELD program, significantly enhancing its market position in the defense sector.
- Rapid Delivery Capability: The contract encompasses a broad range of work areas, enabling the rapid delivery of innovative capabilities, which enhances the company's agility and responsiveness to warfighter needs.
- Industry Leadership: As a leader in water, environment, and sustainable infrastructure, Tetra Tech's expertise will be further solidified in the high-end consulting and engineering services market through this contract.
- Future Growth Potential: The contract not only presents substantial revenue potential for the company but also supports its long-term strategic development in defense and infrastructure, enhancing its competitive edge in complex projects.
See More
