Primoris (PRIM) falls after Q1 earnings miss, solar project issues pressure margins

Primoris Services (PRIM) shares fell 44% to $114.13 from $202.92 before its first-quarter earnings report after the company missed Wall Street revenue and non-GAAP profit estimates. Management attributed the underperformance to execution problems in several solar projects, citing labor issues, project redesigns, sequencing changes and weather disruptions. CEO Koti Vadlamudi said the setbacks were tied to execution-related factors rather than broad demand weakness. The company said rapid expansion into new geographic markets exposed gaps in preconstruction planning and estimating. Primoris is pursuing leadership changes and revised market expansion plans as investors watch margin recovery in renewables projects, new awards in natural gas and data centers, and integration of Paynecrest.