Smith‑Midland Corporation announced a new contract to manufacture underground precast utility vaults and manholes for a data‑center facility in Mineral, Virginia. The order, valued at more than $1 million, will be produced at the company’s Virginia precast plant and is scheduled for delivery by the beginning of 2026.
The contract requires 5,000‑psi concrete that meets H‑20 highway traffic load ratings and includes 48‑inch heavy‑duty units for access frames and covers. Production is already underway, and the project adds a recurring revenue stream tied to a high‑growth sector that Smith‑Midland is actively pursuing.
Smith‑Midland’s backlog stood near $54.8 million as of the latest quarter, and the company’s 2025 revenue was $21.5 million. The new order represents roughly 2% of the backlog and about 5% of annual revenue, underscoring the company’s ability to secure sizable contracts in the data‑center market. The deal also supports the firm’s broader strategy of shifting toward higher‑margin, recurring‑revenue business models such as barrier rentals and proprietary system sales.
Management highlighted the contract as evidence of strong demand for resilient infrastructure solutions. CEO Ashley Smith said the project “reflects the strong demand we are experiencing for resilient infrastructure solutions and aligns with our strategic plan to expand our presence in high‑growth sectors such as data centers and utilities.” The order is part of a broader trend of data‑center expansion in Northern Virginia, driven in part by the rapid growth of AI workloads that require new facilities.
The contract’s value and the company’s continued focus on high‑margin segments signal confidence in the data‑center infrastructure market. While the order is modest relative to Smith‑Midland’s overall revenue, it demonstrates the firm’s execution capability and its ability to win new work in a niche, high‑growth sector.
The deal is a material operational milestone that adds to Smith‑Midland’s backlog and reinforces its strategy to capture recurring revenue in a growing market. The company’s financial health, with a robust balance sheet and solid profitability, positions it well to capitalize on this and future contracts in the data‑center space.
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