On this page of StockholderLetter.com we present the latest annual shareholder letter from TUTOR PERINI CORP — ticker symbol TPC. Reading current and past TPC letters to shareholders can bring important insights into the investment thesis.

 •  4/4/2025 Letter Continued (Full PDF)
 •  4/6/2023 TPC Stockholder Letter
 •  4/12/2024 TPC Stockholder Letter
 •  More "Construction" Category Stockholder Letters
 •  TPC Benford's Law Stock Score = 97

TPC Shareholder/Stockholder Letter Transcript:

2024 ANNUAL REPORT
Minneapolis Southwest Light Rail Transit, Minneapolis, MN

(dollars in millions)
Revenue

$3,790.8
$3,880.2
$4,326.9
+12
   22
   23
   24
New Awards
(1)
Dear Fellow Shareholders,
$3,484.2
$6,109.5
$12,842.4
+1
10

(a record for 2024)
   22
   23
   24
I am pleased to be writing to you for the first time as Tutor Perini   s
new CEO and with a lot of great news to share. We made excellent
progress in 2024, winning an unprecedented $12.8 billion of new awards,
including several megaprojects. These new project wins enabled us
to grow our backlog by 84% to an all-time record of $18.7 billion. We
generated an unprecedented $504 million of operating cash flow, up
63% compared to 2023 and marking our third consecutive year of record
operating cash flow. As promised, we utilized much of the cash we
generated in 2024 and early 2025 to pay down $477 million, or 52%, of
our total debt since the end of 2023. This has strengthened our balance
sheet and will save us considerable interest expense going forward,
which will contribute towards higher earnings in 2025 and beyond.
Backlog
$7,929.1
$10,158.4
$18,673.9
+8
4%
(a record for 2024)
   22
   23
   24
The largest projects we won in 2024 included:
    $3.76 billion Manhattan Jail project in New York;
    $1.66 billion City Center Guideway and Stations project in Hawaii;
(a record for each year shown)
    $1.4 billion healthcare campus project in California;
3%
Operating Cash Flow
+6
    $1.13 billion Newark AirTrain Replacement project in New Jersey;
$207.0
$308.5
$503.5
    $1.1 billion Kensico-Eastview Connection Tunnel project in New York;
   22
   23
   24
    $479 million of additional funding for certain mass-transit projects in
California;
    $449 million for two healthcare facility projects in California; and
    $331 million for the initial award of the Apra Harbor Waterfront
Repairs project in Guam (for which we were awarded $232 million
of additional scope options in the first quarter of 2025, bringing the
project   s total value to $563 million).
Total Debt (principal value)
-5
$972.4
$910.7
$556.1
$434.2
2%
12/31/22
12/31/23
12/31/24
2/19/25
(2)
(pro forma)
(1) Includes adjustments to contract value for existing contracts
(2) Represents the 12/31/24 balance reduced by $121.9M of
Term Loan B repayments made in January and February 2025
Our revenue grew 12% year-over-year to reach $4.3 billion in 2024.
While our earnings in 2024 were negatively impacted by settlement
activity and certain adverse legal judgments, our steady progress on
claims and dispute resolutions throughout the year helped drive our
record operating cash flow. We expect to resolve the majority of our
remaining legacy disputes over the next couple of years, which should

"There has never been a
better time to be a Tutor Perini
shareholder, as we believe we
are at the dawn of a new era for
the Company."
- Gary G. Smalley
enable us to collect substantial amounts of associated cash to supplement the strong cash flow we expect to generate
from our new and existing projects.
Our stock price grew at a compounded annual rate of 25% between December 31, 2021 and December 31, 2024, with
exceptional growth of 166% in 2024 alone. As we execute our work in backlog and significantly grow our revenue and
earnings, we are confident in our ability to continue generating significant value for shareholders. There has never been a
better time to be a Tutor Perini shareholder, as we believe we are at the dawn of a new era for the Company.
We have carried our commercial momentum forward to start 2025, with the award of new projects such as the $1.18
billion Manhattan Tunnel project and the previously mentioned Apra Harbor project scope options. Our record backlog
has been largely built on new awards with better margins and improved contractual terms, which we believe will drive
significant double-digit revenue growth and solid earnings generation for the foreseeable future, while also serving
as a catalyst for continued strong cash flow. We anticipate a return to solid earnings in 2025 with significantly higher
profitability in 2026 and 2027. Our preliminary estimates point to earnings in 2026 and 2027 that are more than double
the EPS guidance range of $1.50 to $1.90 that we have announced for 2025. On top of this, we have the healthiest
balance sheet we have ever had.
After having successfully built and led our Company for more than 61 years, Ron Tutor has moved into a new role as our
Executive Chairman. Through the end of 2026, Ron will continue to provide valuable guidance and advice, particularly
with respect to our major bidding opportunities, the resolution of our remaining legacy disputes and the setup of major
projects. Ron is certainly an icon of the construction industry, and his tremendous knowledge and experience will
continue to serve us well.
In closing, our employees are the lifeblood of our Company, and I want to thank all of them for their ongoing dedication
and hard work towards making Tutor Perini the great company that we are and for their commitment to project quality,
safety and excellence. I also appreciate the continued support of our shareholders, customers and other stakeholders. We
look forward to many successful years ahead, delivering on our project commitments to our customers and producing
strong financial results that will create long-term value for our shareholders.
Sincerely,
Gary G. Smalley
Chief Executive Officer and President
Tutor Perini Corporation

Purple Line Extension, Los Angeles, CA
California High-Speed Rail, Central CA
Lance Corporal Leon Deraps I-70 Missouri River Bridge, Rocheport, MO
Eagle Mountain - Woodfibre Gas Pipeline, Squamish, BC, Canada

CIVIL SEGMENT
Our Civil segment specializes in public works construction and the replacement and reconstruction of infrastructure
across several major geographic regions of the United States, including construction and rehabilitation of masstransit systems, tunnels, military facilities, bridges, highways, and water management and wastewater treatment
facilities. Our ability to complete complex transportation and heavy civil construction projects within budget, on
schedule, and with safety, quality and integrity makes us a preferred contractor for large, sophisticated infrastructure
projects. The Civil segment is enhanced by subsidiary companies that bring multiple capabilities and geographic
reach to Tutor Perini's offerings.
    Tutor Perini Civil construction operations dates back to 1894, with the founding of Perini Corporation in
Framingham, Massachusetts and further strengthened by the merger with Tutor-Saliba Corporation in 2008.
    Black Construction Corporation is the largest contractor in Guam and provides a variety of heavy civil, building,
mechanical and electrical services throughout the Indo-Pacific region and other strategic military locations.
    Lunda Construction performs construction of highways, bridges, railroads and other civil structures throughout
the United States.
    Frontier-Kemper builds tunnels for highways, railroads, subways and rapid transit systems, as well as shafts and
other facilities for water supply, wastewater transport and hydroelectric projects. Through FKC-Lake Shore, we
develop and equip mines with innovative hoisting, elevator and vertical conveyance systems.
    Becho provides drilling, foundation and excavation services for shoring, bridges, piers, tunnels, roads and highway
projects primarily in the southwestern United States.
Civil segment infrastructure projects drive Tutor Perini   s profitability. Our Civil segment continues to experience strong
demand reflected in a record backlog of $8.9 billion, a large pipeline of prospective projects and substantial funding
associated with various transportation measures enacted over the past decade, including Los Angeles County's
Measure M, which is expected to provide $120 billion over 40 years from its passage in 2016. In addition, the federal
government   s $1.2 trillion Bipartisan Infrastructure Law continues to support some of our large current and prospective
projects, and much of the spending it will fund over the next several years will be invested in those major markets that
align with our market focus. In addition, various major projects in the Indo-Pacific region are being driven by substantial
funding associated with the Pacific Deterrence Initiative to enhance U.S. military posture, infrastructure and readiness.
REPRESENTATIVE PROJECTS











$3.88B California High-Speed Rail, Central CA
$3.63B Purple Line Extension Section 2 and Section 3 Stations and Tunnels, Los Angeles, CA
$3.28B East Side Access (multiple projects), New York, NY
$1.64B Honolulu Authority for Rapid Transportation City Center Guideway and Stations, Honolulu, HI
$1.39B SR 99 Tunnel (Alaskan Way Viaduct Replacement), Seattle, WA
$1.37B Minneapolis Southwest Light Rail Transit (multiple projects), Minneapolis, MN
$1.30B Connecticut River Bridge, Old Saybrook, CT
$1.21B Third Street Light Rail - Central Subway, San Francisco, CA
$1.18B Manhattan Tunnel, New York, NY
$1.13B Newark Liberty International Airport AirTrain Replacement, Newark, NJ
$1.09B Kensico - Eastview Connection Tunnel, Westchester County, NY
$924M Eastern Rail Yard Platform & Amtrak Tunnel, Hudson Yards, New York, NY
$578M Division 20 Portal Widening & Turnback Facility, Los Angeles, CA
$563M Apra Harbor Waterfront Repairs, Guam
$426M I-74 Mississippi River Bridge, Bettendorf, IA - Moline, IL
$387M Tinian International Airport (multiple projects), Northern Mariana Islands
$367M Naval Base Guam (multiple projects), Guam
$364M Marine Corps Base Camp Blaz Facilities (multiple projects), Guam
$326M Zoo Interchange (multiple projects), Milwaukee, WI
$290M Culver Line Communications-Based Train Control, New York, NY
$280M Eagle Mountain - Woodfibre Gas Pipeline, Squamish, BC, Canada
$221M Lance Corporal Leon Deraps I-70 Missouri River Bridge, Rocheport, MO



 4/4/2025 Letter Continued (Full PDF)