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Granite Construction Incorporated is a U.S.-focused civil infrastructure contractor and construction-materials producer. It builds and manages public works such as roads, bridges, transit, airports, utilities, dams and tunnels, while also preparing private commercial, industrial, residential, rail and energy sites. Through its Materials segment, Granite sells aggregates and asphalt to outside buyers and supplies some of its own construction projects.
The latest complete figures are for fiscal 2025, the year ended December 31, 2025, reported in Granite’s Form 10-K filed February 12, 2026. The filing shows two reportable segments—Construction and Materials—and explains how project revenue, external material sales and internal transactions combine into consolidated results.
What Granite Construction does
Granite describes its business as delivering infrastructure solutions for public and private clients primarily in the United States. That description covers two connected activities:
- Construction: bidding, managing and performing civil infrastructure and site-development work for government agencies and private customers.
- Materials: producing and selling aggregates and asphalt, both to third parties and for use on Granite’s own projects.
This makes Granite more than a road builder. Its project portfolio can include transportation, water, power, industrial and commercial infrastructure, while its materials operations provide a separate source of customer revenue and an internal supply channel.
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“We deliver infrastructure solutions for public and private clients primarily in the United States.”
Granite Construction Incorporated, 2025 Form 10-K, Business Introduction
What Granite builds and services it provides
Granite’s work differs according to who hires it and what kind of facility is being developed. The following categories summarize the activities described in its annual filing.
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1Fix the driver behind crashes, sound loss and screen glitches2Repair Windows errors before they cause bigger problems3Scan for outdated or missing drivers - takes under a minute| Customer or project area | Examples of work |
|---|---|
| Public infrastructure | Streets, roads, highways, mass-transit systems, airport infrastructure, bridges, dams, power-related facilities, utilities, tunnels and water-well drilling |
| Private site and infrastructure work | Site preparation, mining and infrastructure services for commercial and industrial sites, railways, residential development and energy development |
| Professional services | Construction-management professional services connected with infrastructure and development projects |
| Construction materials | Aggregates, asphalt and other material products sold to outside customers or transferred internally to Granite construction operations |
The list describes service lines rather than a promise that every Granite office performs every type of work. Individual projects depend on location, customer requirements, procurement method and the capabilities of Granite’s operating units.
What kinds of customers hire Granite?
Public agencies commission transportation, utility, airport, water and other civil works. Private owners and developers use Granite for preparing sites and installing infrastructure needed for commercial, industrial, residential, rail, mining and energy projects. A customer can therefore be buying a completed civil facility, a defined phase of site development or construction-management expertise rather than a standardized product.
Does Granite only build roads?
No. Roads and highways are important examples, but the public portfolio also includes bridges, mass transit, airports, dams, utilities, tunnels, power-related facilities and water-well drilling. Private work extends to site preparation, mining, railways, residential development and energy development. Materials sales are another business entirely, supplying aggregates and asphalt to third-party buyers.
How Granite’s business model earns money
Construction project revenue
The Construction segment earns revenue from contracts with public agencies and private owners. Public customers include organizations commissioning transportation, utility, water, airport and other civil works. Private customers hire Granite for site preparation and infrastructure associated with commercial, industrial, residential, rail, mining and energy developments.
Revenue is generated as Granite performs the contracted work. The economic result depends on the amount of work awarded, progress on projects, cost control, changes in estimates and the final settlement of claims or other contract matters. Granite’s filing attributes its 2025 Construction gross-profit improvement to higher revenue, improved project execution and larger net increases from revisions in estimates related to claim settlements. Those are management’s explanations of the reported results, not an independent causal analysis.
Materials sales to external customers
The Materials segment owns or leases aggregate reserves and operates processing plants. It sells the resulting products to outside customers, creating revenue that does not require Granite to win a construction contract. In 2025, its external sales consisted principally of aggregates and asphalt.
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Internal supply and vertical integration
Materials can also supply Granite’s Construction segment. Owning or leasing reserves and processing capacity can give the company a direct source of inputs for projects, while the same plants can serve third-party demand. Internal transfers are useful operationally but are not additional sales to the consolidated company. Granite eliminates those intersegment transactions when it reports consolidated revenue.
What the revenue process looks like
- Demand is identified. A public agency, private owner or outside materials buyer creates a potential contract or order.
- Granite performs or supplies. Construction teams execute the contracted civil work, while Materials plants produce aggregates or asphalt for external customers or Granite projects.
- Progress and quantities are measured. Construction revenue follows performance under the contract; Materials revenue follows external product sales. Volumes, prices, estimates and claims can affect the reported period.
- Internal transactions are removed. Materials transfers to Construction help deliver projects, but the consolidated statements eliminate them so one Granite business unit’s sale is not counted as a sale to the whole company.
Granite’s two reportable segments
| Segment | What it sells | 2025 reporting basis |
|---|---|---|
| Construction | Completed civil infrastructure, site-development and construction-management work for public and private customers | Customer revenue of $3,654.880 million |
| Materials | Aggregates, asphalt and other products sold externally, plus products transferred to Granite projects | External revenue of $769.499 million; internal product-line revenue is disclosed separately and eliminated in consolidation |
The segment figures use different economic descriptions: Construction reports project/customer revenue, while Materials’ headline segment figure is external revenue. Adding internal Materials transfers to the external figures would overstate the consolidated business.
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| Comparison | Construction | Materials |
|---|---|---|
| Primary customer relationship | Public agencies and private owners | Third-party buyers, plus internal Granite operations |
| Revenue source | Contracted infrastructure and site-development work | Aggregates, asphalt and other product sales |
| 2025 external or customer revenue | $3.6549 billion | $769.5 million external |
| Internal activity | Receives materials when appropriate for project delivery | $409.3 million of internal product-line revenue, eliminated on consolidation |
| Main operating questions | Project execution, estimates, claims and contract progress | Volumes, selling prices, reserves, plants and product demand |
Construction was the larger segment by reported customer revenue in 2025. Materials nevertheless matters twice: it sells products to outside customers and can provide an internal supply capability. Neither segment’s reported amount alone describes the entire economic relationship.
How much revenue Granite Construction made in 2025
Granite’s Form 10-K reports the following results for the year ended December 31, 2025. Amounts are shown in millions of dollars and rounded from the filing’s thousands-of-dollars presentation.
| Measure | 2025 | 2024 | 2023 |
|---|---|---|---|
| Consolidated revenue | $4,424.4 million | $4,007.6 million | $3,509.1 million |
| Construction segment revenue | $3,654.9 million | Not stated in the cited 2025 summary | Not stated in the cited 2025 summary |
| Materials external revenue | $769.5 million | Not stated in the cited 2025 summary | Not stated in the cited 2025 summary |
The consolidated total increased by about 10.4% from 2024 to 2025 and about 26.1% from 2023 to 2025, calculated from the reported figures. The 2025 Construction and Materials external amounts reconcile to the consolidated total: $3,654.880 million plus $769.499 million equals $4,424.379 million before rounding.
What does “revenue” mean here?
Revenue is the top line: sales recognized by the consolidated company. It is not the same as the value of every bid, the amount of a project award, Materials’ product-line total including internal transfers, gross profit or cash collected during the year. The fiscal 2025 figure covers the year ended December 31, 2025; it should not be described as a 2026 run rate or current year-to-date result.
Construction segment: public and private customers
Construction generated $3,654.880 million in 2025 customer revenue. Granite separately identified the source of that revenue:
| Construction customer type | 2025 revenue | Approximate share of Construction revenue |
|---|---|---|
| Public | $2,608.431 million | 71.4% |
| Private | $1,046.449 million | 28.6% |
| Total Construction | $3,654.880 million | 100% |
Public work therefore represented the larger portion of the segment, but private projects supplied more than one-quarter of Construction revenue. The mix matters because the two customer groups can differ in project type, procurement process, timing, contract administration and exposure to public-infrastructure budgets.
Public-sector project categories
Granite’s public-sector scope includes transportation corridors and structures—streets, roads, highways, bridges and mass transit—as well as airports, dams, utilities, tunnels, power-related facilities and water-well drilling. These projects can involve substantial earthwork, structural construction, paving, utility installation or specialty civil work, depending on the contract.
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Private-sector project categories
For private owners and developers, Granite provides site preparation and infrastructure services for commercial and industrial facilities, railways, residential development and energy projects. The filing also identifies mining-related work and construction-management professional services within the private-market opportunity.
Public versus private revenue: what can and cannot be inferred
The 71.4% public and 28.6% private shares describe Construction customer revenue for 2025. They do not show the profitability of either customer group, the number of projects, contract sizes or future awards. Nor do they mean Materials sales are public or private Construction revenue; Materials is reported separately. The mix is useful for understanding demand sources, but it should not be treated as a margin comparison.
Materials segment: aggregates, asphalt and internal transfers
Materials produced $769.499 million of external revenue in 2025. Product-line revenue was divided as follows:
| Materials product line | 2025 external revenue | Share of external Materials revenue |
|---|---|---|
| Aggregates | $308.781 million | 40.1% |
| Asphalt | $458.836 million | 59.6% |
| Other | $1.9 million | 0.2% |
| Total external Materials revenue | $769.499 million | 100% |
Percentages are calculated from Granite’s unrounded 2025 figures, so displayed shares may not sum perfectly because of rounding. Asphalt was the larger external product line by revenue.
Internal Materials revenue is not additional consolidated sales
Materials also reported $409.3 million of internal product-line revenue in 2025. That amount represents products transferred to Granite operations rather than sales to an outside customer. It supports Construction activity but is eliminated in the consolidated statements. For this reason, a reader should not describe Materials as having $1.179 billion of consolidated revenue by adding $409.3 million to $769.5 million.
Why the internal-sales distinction matters
At the segment level, internal product-line information helps show how much material Granite moved into its own operations. At the company level, however, counting that transfer as external revenue would count the same economic activity twice: once as a Materials sale and again through the Construction contract that incorporates the work. The proper consolidated comparison is $769.499 million of external Materials revenue plus $3,654.880 million of Construction customer revenue.
Volumes, prices and Materials profitability
Granite reported 2025 operating statistics for its principal Materials products:
| Product | Sales volume | Average selling price | Reporting qualification |
|---|---|---|---|
| Aggregates | 24.629 million tons | $17.63 per ton | The average-price calculation excludes specified barge-delivery revenue in 2025 |
| Asphalt | 8.450 million tons | $82.45 per ton | Product and pricing basis differs from aggregates; do not compare the dollar prices as if they were interchangeable materials |
Materials gross profit was $137.0 million, with a reported gross margin of 17.8%. Granite said the year-over-year increase in Materials gross profit was primarily due to higher volumes and selling prices in both aggregates and asphalt. Because the aggregate price measure excludes specified barge-delivery revenue, it should not be used as a universal price benchmark for every ton sold or compared with another period without checking methodology.
How to read the tonnage figures
Sales volume and average selling price answer different questions. Tonnage indicates the quantity sold; price per ton indicates the average realized price under the company’s stated calculation. Neither number by itself gives total profit, because costs, product mix, plant operations and internal transfers also matter. Aggregates and asphalt are different products, so their dollar-per-ton figures are not a quality ranking or a like-for-like price comparison.
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Revenue, gross profit, operating income and net income are different
A company can report strong revenue while producing a very different result at the profit levels below it. Granite’s 2025 consolidated measures were:
| Measure | 2025 amount | What it means |
|---|---|---|
| Revenue | $4,424.379 million | Top-line sales recognized from consolidated activities |
| Gross profit | $711.216 million | Revenue remaining after cost of revenue |
| Operating income | $282.446 million | Profit after operating expenses, before other items and taxes |
| Net income attributable to Granite Construction Incorporated | $193.003 million | Earnings attributable to Granite’s shareholders after other items and noncontrolling interests |
Using the reported amounts, approximate consolidated margins were 16.1% gross, 6.4% operating and 4.4% net attributable. These percentages are simple calculations from the filing’s figures, not separately reported company metrics.
Which profit number should a reader use?
Use revenue to describe scale, gross profit to discuss what remains after direct cost of revenue, operating income to evaluate the operating business after operating expenses, and net income attributable to discuss earnings assigned to Granite’s shareholders. Substituting one measure for another can make a contractor appear more or less profitable than the filing indicates.
What drove the 2025 change?
Construction
Granite attributed the improvement in Construction gross profit mainly to higher revenue and better project execution across its portfolio. The company also reported more net increases from revisions in estimates associated with claim settlements than in the prior year. Project-estimate revisions can affect recognized revenue and profit, so readers should treat this explanation as management’s characterization of the period.
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For Materials, Granite cited increased sales volumes and higher selling prices in both aggregates and asphalt. The operating data show the scale of those product lines, but the filing’s explanation does not establish that one factor alone caused the entire segment change.
Acquisitions and comparability
The 2025 filing discusses acquisitions including Warren Paving and Papich Construction. Consequently, the increase in consolidated revenue does not necessarily represent purely organic growth from businesses Granite owned throughout every comparison period. A year-over-year analysis should account for acquired operations and their inclusion dates.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.How the vertical-integration model works in practice
- Granite secures a project or serves an outside materials customer. A public agency, private owner or third-party buyer creates the external demand.
- Construction performs project work while Materials produces inputs. Depending on location and requirements, Granite can use its own reserves and plants or obtain materials through other channels.
- Materials can sell externally and transfer internally. External sales remain Materials revenue; internal transfers support project delivery but are not sales to the consolidated company.
- Granite reports consolidated results after eliminations. Intersegment transactions are removed so the company does not count the same material twice.
This structure links the economics of project execution, material volumes and pricing. It does not mean every Construction project uses Granite-produced materials or that every Materials facility serves Granite projects; the filing describes the capability and accounting treatment, not a project-by-project allocation.
Questions to ask when evaluating Granite’s business
- Is the figure consolidated or segment-level? Consolidated revenue is after eliminations; segment disclosures can include internal activity.
- Is Materials revenue external? The comparable external figure is $769.499 million. The $409.3 million internal amount is not an additional company sale.
- What customer mix is being described? Public and private percentages apply to Construction customer revenue, not to all Granite revenue.
- Is growth organic? The 2025 comparison includes acquired businesses discussed in the filing, including Warren Paving and Papich Construction.
- Are management explanations being presented as facts? Statements about execution, claims, prices and volumes are Granite’s explanations for the reported period.
- Is the period clearly identified? The figures are for fiscal 2025, ended December 31, 2025, and are not a 2026 forecast.
How to use Granite’s 2025 figures responsibly
- Use the fiscal period: the cited totals cover the year ended December 31, 2025, not a 2026 year-to-date run rate.
- Keep external and internal Materials sales separate: $769.499 million is external revenue; $409.3 million of internal product-line revenue is eliminated in consolidation.
- Compare like measures: Construction customer revenue, Materials external revenue, consolidated revenue and profit measures answer different questions.
- Attribute explanations correctly: statements about execution, claim settlements, pricing and volumes are Granite’s explanations in its filing.
- Consider acquisitions: reported growth includes acquired businesses discussed in the 2025 filing, so it should not automatically be labeled organic.
The bottom line
Granite Construction makes money in two complementary ways: it performs civil infrastructure and site-development work for public and private customers, and it sells aggregates and asphalt through a vertically integrated Materials business. Construction supplied the majority of 2025 revenue, with public projects larger than private projects, while Materials added a substantial external-sales stream and internal supply capability. The correct consolidated view is the $4.424 billion of fiscal 2025 revenue after eliminating internal transactions—not the sum of external and internal Materials product-line amounts.
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What does Granite Construction do?
Granite is a U.S.-focused civil infrastructure contractor and construction-materials producer. It builds public works, prepares private development sites, provides construction-management services and sells aggregates and asphalt.
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How does Granite Construction make money?
Its Construction segment earns revenue from public- and private-sector project contracts. Its Materials segment earns external revenue from aggregates, asphalt and other products, while also transferring materials internally to Granite projects.
What does Granite Construction build?
Its listed public work includes streets, roads, highways, mass transit, airports, bridges, dams, power-related facilities, utilities, tunnels and water-well drilling. Private work includes commercial, industrial, residential, rail, mining and energy site development.
How much revenue did Granite Construction report in 2025?
Granite reported $4.424 billion in consolidated revenue for the year ended December 31, 2025, up from $4.008 billion in 2024.
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How much of Granite’s Construction revenue came from public customers?
Public customers accounted for $2.608 billion, or about 71.4%, of the $3.655 billion Construction segment revenue in 2025. Private customers supplied the remaining $1.046 billion, or about 28.6%.
What does Granite’s Materials segment sell?
Materials sells aggregates, asphalt and a small amount of other products. In 2025, external revenue was $308.8 million from aggregates, $458.8 million from asphalt and about $1.9 million from other products.
Why is Granite’s internal Materials revenue excluded from consolidated revenue?
The $409.3 million internal product-line amount represents transfers to Granite operations, not sales to an outside customer. It is eliminated in consolidation to prevent double counting.
Was Granite’s 2025 growth entirely organic?
Not necessarily. The 2025 filing discusses acquisitions including Warren Paving and Papich Construction, so comparisons include acquired operations and should not automatically be labeled organic.
The Bottom Line
Granite Construction is both a civil infrastructure builder and a materials producer. Fiscal 2025 revenue was $4.424 billion: $3.655 billion from Construction customer work and $769.5 million of external Materials sales. Public Construction customers generated the larger share, while aggregates and asphalt provided a vertically integrated supply and sales business. Internal Materials transfers support projects but are eliminated, so they should not be added to consolidated revenue.
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