Tutor Perini Corporation’s subsidiary, Perini Management Services, Inc., was awarded a $35.8 million contract by the U.S. Army Corps of Engineers, Omaha District, to build a new Tool and Die Facility at the Iowa Army Ammunition Plant in Middletown, IA. The award was announced on December 11, 2025 and work began in November of the same year, with substantial completion expected in June 2027.
The contract adds a high‑margin opportunity to Tutor Perini’s portfolio and expands its presence in federal infrastructure projects. It is expected to fall under the company’s Specialty Contractors segment, which has been a key driver of backlog growth. The award is part of a broader strategy to secure large, long‑term defense contracts with limited competition, a focus that has helped the company build a record backlog of $21.6 billion as of September 30, 2025—an increase of 54% year‑over‑year.
Financially, Tutor Perini reported Q3 2025 revenue of $1.42 billion, up 31% from the same period in 2024, while net margin slipped to a negative 0.55%. The negative margin reflects higher operating costs and inflationary pressures, but the company’s strong backlog and high‑margin contracts like the Iowa facility help offset these headwinds and support future cash‑flow generation.
Management highlighted the contract’s alignment with the company’s long‑term growth strategy, noting that the new facility will support the Army’s precision‑tool and die production for munitions and that the project’s specialized nature and limited competition reinforce Tutor Perini’s competitive advantage in the defense sector.
The award is expected to contribute to the company’s backlog and cash‑flow generation in the coming quarters, reinforcing its position as a leading contractor for federal infrastructure and defense projects. The project’s completion timeline of roughly 18 months is typical for this type of construction, and the contract’s high‑margin profile is consistent with Tutor Perini’s focus on projects that deliver strong profitability and long‑term revenue streams.
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