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2023 ANNUAL REPORT California High-Speed Rail, Central California
Dear Shareholders, We delivered mixed results in 2023, highlighted by record operating cash flow that was nearly 50% better than last year and backlog that grew 28% yearover-year to $10.2 billion. We generated $308 million of operating cash in 2023 compared to $207 million in 2022, with both years setting records as the highest result of any year since the 2008 merger between Tutor-Saliba Corporation and Perini Corporation. Our record cash flow for both years was driven by the resolution of various disputes, as well as overall solid collection activities. Our strong backlog growth was largely driven by the award of the $2.95 billion Brooklyn Jail project in New York, as well as by other significant new awards and contract adjustments, including $788 million of additional funding for certain mass-transit projects in California; $287 million of additional funding for two large health care projects in California; a $222 million military facilities project at Tinian International Airport in the Northern Mariana Islands; and $127 million of additional funding for a light rail project in Minnesota. Our earnings in 2023 were challenged due to certain adverse legal judgments and decisions throughout the year, primarily in the Northeast, and write-downs that resulted from the expedited settlement or resolution of various disputed matters. Our consolidated revenue was up slightly in 2023 compared to 2022, but still dramatically reduced from our typical revenue in the years prior to the pandemic. We made excellent progress in 2023 on claims and dispute settlements, which helped us to deliver the record cash flow and reduce our unbilled receivables, or our costs and estimated earnings in excess of billings, by 17%, or $234 million. We expect to continue resolving most of our remaining legacy disputes over the next several quarters, which should enable us to collect substantial amounts of associated cash in 2024 and 2025.
East Side Access, New York, NY The outlook for our future growth is bright, as we are tracking more than $75 billion of major prospective project opportunities over the next three to four years, $32 billion of which are expected to bid in 2024 and 2025. These projects are supported by strong funding that is in place at the federal, state and local levels, including some with funding from the $1.2 trillion Bipartisan Infrastructure Law that was passed in 2021. As we pursue and capture our share of these projects, we expect that our backlog will grow substantially in 2024 and 2025, providing us with a solid foundation for future revenue growth and profitability. We anticipate significant revenue growth and a return to positive earnings in 2024, and significantly higher earnings in 2025 and 2026. Due to more limited competition and high demand for our services, we have had success in securing improved contractual terms for some of our newer large projects and expect to continue to obtain such terms on other future projects. We believe this will help us to avoid a repeat of some of the problems that have hindered us in the past with regards to the timely resolution of disputed matters and associated cash collections. As I prepare to pass the CEO torch to Gary Smalley in January of next year and assume my new role as Executive Chairman for 2025 and 2026, I will continue to mentor and advise him and other key executives who I am confident will work together to drive Tutor Perini into a new era of growth and profitability, delivering substantial shareholder value along the way. As always, I am thankful to all our employees for their dedicated service and commitment to providing project excellence to our customers. I also appreciate the support and confidence bestowed by our shareholders and other stakeholders. We look forward to working together to achieve new heights of success and profitability over the coming years. Sincerely, Ronald N. Tutor Chairman and Chief Executive Officer
Eagle Mountain - Woodfibre Gas Pipeline, Squamish, BC, Canada Minneapolis Southwest Light Rail Transit, Minneapolis, MN Purple Line Extension, Los Angeles, CA I-70 Rocheport Bridge Replacement, Rocheport, MO
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 highways, bridges, tunnels, mass-transit systems, military facilities, and water management and wastewater treatment facilities. Our ability to complete complex transportation and heavy civil construction projects within budget, on schedule, and with 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. 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. Black Construction Corporation is the largest contractor in Guam and provides a variety of heavy civil, building, mechanical and electrical services in the Asia-Pacific region and other strategic military locations. Civil segment infrastructure projects drive Tutor Perini s profitability. Our Civil segment continues to experience strong demand reflected in a large pipeline of prospective projects and substantial funding associated with various transportation measures enacted over the past several years, including Los Angeles County's Measure M, which is expected to provide $120 billion over 40 years. In addition, the federal government s $1.2 trillion Bipartisan Infrastructure Law is helping to support some of our large current and prospective projects, and should continue to favorably impact Tutor Perini, as much of the spending it will fund over the next decade will be invested in those major markets that align with our market focus. REPRESENTATIVE PROJECTS $3.55B California High-Speed Rail, Central CA $3.50B Purple Line Extension Section 2 and Section 3 Stations and Tunnels, Los Angeles, CA $3.30B East Side Access (multiple projects), New York, NY $1.40B SR 99 Tunnel (Alaskan Way Viaduct Replacement), Seattle, WA $1.35B Minneapolis Southwest Light Rail Transit (multiple projects), Minneapolis, MN $1.25B Third Street Light Rail - Central Subway, San Francisco, CA $920M Eastern Rail Yard Platform & Amtrak Tunnel, Hudson Yards, New York, NY $550M Division 20 Portal Widening & Turnback Facility, Los Angeles, CA $425M I-74 Mississippi River Bridge, Bettendorf, IA - Moline, IL $385M Tinian International Airport (multiple projects), Northern Mariana Islands $360M Naval Base Guam (multiple projects), Guam $360M Marine Corps Base Camp Blaz Facilities (multiple projects), Guam $325M Zoo Interchange (multiple projects), Milwaukee, WI $275M Culver Line Communications-Based Train Control, New York, NY $265M Eagle Mountain - Woodfibre Gas Pipeline, Squamish, BC, Canada $220M I-70 Rocheport Bridge Replacement, Rocheport, MO $190M Friant-Kern Canal Middle Reach Capacity Correction, Central CA $180M Canton Viaduct Replacement, Baltimore, MD $150M Upper Reach - Unit 7, Burbank, CA $125M Northern District Waste Water Treatment Plant, Guam $120M South Coast Rail, Middleborough Secondary & New Bedford Main Line Expansion, MA $100M Rehabilitation of the Broadway Bridge, New York, NY
 • shareholder letter icon 4/12/2024 Letter Continued (Full PDF)
 • stockholder letter icon 4/6/2023 TPC Stockholder Letter
 • stockholder letter icon More "Construction" Category Stockholder Letters
 • Benford's Law Stocks icon TPC Benford's Law Stock Score = 99


TPC Shareholder/Stockholder Letter Transcript:

2023 ANNUAL REPORT
California High-Speed Rail, Central California

Dear Shareholders,
We delivered mixed results in 2023, highlighted by record operating cash flow
that was nearly 50% better than last year and backlog that grew 28% yearover-year to $10.2 billion. We generated $308 million of operating cash in 2023
compared to $207 million in 2022, with both years setting records as the highest
result of any year since the 2008 merger between Tutor-Saliba Corporation
and Perini Corporation. Our record cash flow for both years was driven by the
resolution of various disputes, as well as overall solid collection activities. Our
strong backlog growth was largely driven by the award of the $2.95 billion
Brooklyn Jail project in New York, as well as by other significant new awards and
contract adjustments, including $788 million of additional funding for certain
mass-transit projects in California; $287 million of additional funding for two
large health care projects in California; a $222 million military facilities project at
Tinian International Airport in the Northern Mariana Islands; and $127 million of
additional funding for a light rail project in Minnesota.
Our earnings in 2023 were challenged due to certain adverse legal judgments and decisions throughout the year,
primarily in the Northeast, and write-downs that resulted from the expedited settlement or resolution of various disputed
matters. Our consolidated revenue was up slightly in 2023 compared to 2022, but still dramatically reduced from our
typical revenue in the years prior to the pandemic.
We made excellent progress in 2023 on claims and dispute settlements, which helped us to deliver the record cash flow
and reduce our unbilled receivables, or our costs and estimated earnings in excess of billings, by 17%, or $234 million.
We expect to continue resolving most of our remaining legacy disputes over the next several quarters, which should
enable us to collect substantial amounts of associated cash in 2024 and 2025.

East Side Access, New York, NY
The outlook for our future growth is bright, as we are tracking more than $75 billion of major prospective project
opportunities over the next three to four years, $32 billion of which are expected to bid in 2024 and 2025. These
projects are supported by strong funding that is in place at the federal, state and local levels, including some with
funding from the $1.2 trillion Bipartisan Infrastructure Law that was passed in 2021. As we pursue and capture our
share of these projects, we expect that our backlog will grow substantially in 2024 and 2025, providing us with a solid
foundation for future revenue growth and profitability.
We anticipate significant revenue growth and a return to positive earnings in 2024, and significantly higher earnings in
2025 and 2026. Due to more limited competition and high demand for our services, we have had success in securing
improved contractual terms for some of our newer large projects and expect to continue to obtain such terms on other
future projects. We believe this will help us to avoid a repeat of some of the problems that have hindered us in the past
with regards to the timely resolution of disputed matters and associated cash collections.
As I prepare to pass the CEO torch to Gary Smalley in January of next year and assume my new role as Executive
Chairman for 2025 and 2026, I will continue to mentor and advise him and other key executives who I am confident will
work together to drive Tutor Perini into a new era of growth and profitability, delivering substantial shareholder value
along the way. As always, I am thankful to all our employees for their dedicated service and commitment to providing
project excellence to our customers. I also appreciate the support and confidence bestowed by our shareholders and
other stakeholders. We look forward to working together to achieve new heights of success and profitability over the
coming years.
Sincerely,
Ronald N. Tutor
Chairman and Chief Executive Officer

Eagle Mountain - Woodfibre Gas Pipeline, Squamish, BC, Canada
Minneapolis Southwest Light Rail Transit, Minneapolis, MN
Purple Line Extension, Los Angeles, CA
I-70 Rocheport Bridge Replacement, Rocheport, MO

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 highways,
bridges, tunnels, mass-transit systems, military facilities, and water management and wastewater treatment facilities.
Our ability to complete complex transportation and heavy civil construction projects within budget, on schedule,
and with 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.
    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.
    Black Construction Corporation is the largest contractor in Guam and provides a variety of heavy civil, building,
mechanical and electrical services in the Asia-Pacific region and other strategic military locations.
Civil segment infrastructure projects drive Tutor Perini   s profitability. Our Civil segment continues to experience
strong demand reflected in a large pipeline of prospective projects and substantial funding associated with various
transportation measures enacted over the past several years, including Los Angeles County's Measure M, which
is expected to provide $120 billion over 40 years. In addition, the federal government   s $1.2 trillion Bipartisan
Infrastructure Law is helping to support some of our large current and prospective projects, and should continue to
favorably impact Tutor Perini, as much of the spending it will fund over the next decade will be invested in those major
markets that align with our market focus.
REPRESENTATIVE PROJECTS











$3.55B California High-Speed Rail, Central CA
$3.50B Purple Line Extension Section 2 and Section 3 Stations and Tunnels, Los Angeles, CA
$3.30B East Side Access (multiple projects), New York, NY
$1.40B SR 99 Tunnel (Alaskan Way Viaduct Replacement), Seattle, WA
$1.35B Minneapolis Southwest Light Rail Transit (multiple projects), Minneapolis, MN
$1.25B Third Street Light Rail - Central Subway, San Francisco, CA
$920M Eastern Rail Yard Platform & Amtrak Tunnel, Hudson Yards, New York, NY
$550M Division 20 Portal Widening & Turnback Facility, Los Angeles, CA
$425M I-74 Mississippi River Bridge, Bettendorf, IA - Moline, IL
$385M Tinian International Airport (multiple projects), Northern Mariana Islands
$360M Naval Base Guam (multiple projects), Guam
$360M Marine Corps Base Camp Blaz Facilities (multiple projects), Guam
$325M Zoo Interchange (multiple projects), Milwaukee, WI
$275M Culver Line Communications-Based Train Control, New York, NY
$265M Eagle Mountain - Woodfibre Gas Pipeline, Squamish, BC, Canada
$220M I-70 Rocheport Bridge Replacement, Rocheport, MO
$190M Friant-Kern Canal Middle Reach Capacity Correction, Central CA
$180M Canton Viaduct Replacement, Baltimore, MD
$150M Upper Reach - Unit 7, Burbank, CA
$125M Northern District Waste Water Treatment Plant, Guam
$120M South Coast Rail, Middleborough Secondary & New Bedford Main Line Expansion, MA
$100M Rehabilitation of the Broadway Bridge, New York, NY



shareholder letter icon 4/12/2024 Letter Continued (Full PDF)
 

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