Centuri Holdings, Inc.: history, ownership, mission, how it works & makes money

A Brief History of Centuri Holdings, Inc.

Centuri Holdings, Inc., founded in 1998, operates primarily in the utilities and infrastructure sector, focusing on pipeline construction, maintenance, and related services. Based in Phoenix, Arizona, the company has established a reputation for delivering essential services to natural gas, water, and telecommunication utilities across the United States and Canada.

In 2013, Centuri Holdings was acquired by the MasTec, Inc., a leading infrastructure construction company. This acquisition aimed to enhance MasTec’s ability to serve a growing customer base by integrating Centuri's extensive capabilities in utility and infrastructure services.

As of 2022, Centuri Holdings reported revenues of approximately $1.2 billion, demonstrating consistent growth in its service offerings. The company’s workforce has expanded significantly, employing over 3,500 individuals dedicated to various projects.

In recent years, Centuri Holdings has also focused on expanding its geographical reach and operational capabilities. In 2021, Centuri acquired R&R Excavation, further solidifying its position in the infrastructure sector and broadening its service offerings.

Centuri has also been an active participant in sustainability initiatives, focusing on environmentally responsible construction practices. The company invests in technology and training to ensure that its operations align with industry standards concerning environmental impact and safety.

In 2023, Centuri's estimated EBITDA was around $150 million, reflecting strong operational efficiency and a solid market position. The company's robust financial metrics underscore its ability to manage costs effectively while continuing to invest in growth opportunities.

The utility sector's increasing emphasis on modernization and infrastructure resilience positions Centuri Holdings favorably for future growth. As municipalities and utilities upgrade aging infrastructure, Centuri is poised to leverage its expertise and experience to capture emerging market opportunities.

A Who Owns Centuri Holdings, Inc.

Centuri Holdings, Inc., a prominent provider of infrastructure services in North America, is primarily owned by the private equity firm Wincove Private Holdings, LLC. This firm specializes in investments within the energy, utility, and telecommunications sectors, focusing on growth and operational efficiency.

As of the latest financial disclosures, Centuri Holdings has reported a strong revenue growth trajectory. For the fiscal year ending December 31, 2022, the company generated approximately $1.8 billion in revenue, reflecting an increase of 15% over the previous year.

The ownership structure features various stakeholders. Wincove Private Holdings holds a controlling stake with approximately 70%, while other minority shareholders include management and employees who participate in equity incentive programs. Additionally, the firm raised $500 million in equity financing from investors to support strategic acquisitions and expansions.

The following table summarizes the ownership distribution within Centuri Holdings:

Centuri's strategic focus is on expanding its market presence in utility services, including energy transmission and distribution, gas distribution, and telecommunications infrastructure. This focus aligns with industry trends toward infrastructure investment, especially in renewable energy sources and grid modernization.

In terms of financial performance, Centuri's adjusted EBITDA was approximately $200 million, indicating a robust EBITDA margin of about 11.1%. This performance is attributed to effective cost management and project execution capabilities.

For 2023, analysts predict further growth, with revenues projected to reach $2.1 billion, driven by increased demand for utility services and ongoing infrastructure projects across North America. Centuri Holdings continues to actively seek opportunities for growth through strategic acquisitions and investments in technology to enhance service delivery.

Centuri Holdings, Inc. Mission Statement

Centuri Holdings, Inc. is focused on delivering high-quality utility services and solutions. The mission statement is centered on providing safe and reliable infrastructure services while maintaining a commitment to operational excellence and customer satisfaction. The company aims to empower its teams and foster a culture of safety, integrity, and respect.

In fiscal year 2022, Centuri Holdings generated approximately $1.2 billion in revenue, reflecting a robust growth trajectory, primarily driven by increased demand for infrastructure services.

The mission aligns with the core values of the company, which emphasize:

• Safety: Ensuring safety is the top priority for all employees and stakeholders.
• Integrity: Conducting operations transparently and ethically.
• Customer Focus: Prioritizing customer needs and satisfaction in all services offered.
• Operational Excellence: Striving for continuous improvement and efficiency in service delivery.

Centuri Holdings operates through several subsidiaries, each focusing on different aspects of infrastructure service delivery. Below is a breakdown of the key subsidiaries and their contributions:

The company's commitment to sustainability is also a fundamental aspect of its mission. Centuri Holdings has pledged to reduce its carbon footprint by 30% by 2025, aligning its operational strategies with global sustainability goals.

Furthermore, Centuri’s workforce strategy emphasizes training and development. In 2022, the company invested more than $2 million in ongoing employee training programs to enhance skills and safety protocols.

Centuri’s mission statement is not just about revenue generation but is deeply rooted in establishing long-term relationships with clients and communities. The focus on safety and customer satisfaction has resulted in a 95% customer retention rate, showcasing the effectiveness of its operational strategies.

Through its mission, Centuri Holdings aspires to continue being an industry leader, driving growth while maintaining a strong ethical foundation and commitment to the communities it serves.

How Centuri Holdings, Inc. Works

Centuri Holdings, Inc. operates primarily as a provider of utility construction services across North America. Established to support infrastructure development, the company specializes in services related to natural gas, electric, and water utilities. Its operations span various segments, including excavation, installation, maintenance, and restoration.

As of the latest financial reports, Centuri Holdings, Inc. recorded a revenue of $1.1 billion for the fiscal year ending December 31, 2022, reflecting an increase of 15% compared to the previous year. The growth has been attributed to increased demand for utility infrastructure projects, particularly in the renewable energy sector.

The company operates through several subsidiaries, with Q3 2023 revenue breakdown as follows:

The company maintains a diversified client base, including large utility providers and municipalities. In Q3 2023, Centuri announced a backlog of contracts totaling $750 million, which is expected to contribute significantly to future revenue streams.

Centuri Holdings also focuses heavily on operational efficiency. The EBITDA margin for the fiscal year 2022 stood at 12%, indicating strong operational performance. The focus on technology and skilled workforce training has enabled the company to reduce project completion times, thereby increasing profitability.

In terms of geographic reach, Centuri Holdings has operations in several key regions, including:

• Southwest - primarily Texas and Arizona
• Midwest - covering states such as Illinois and Ohio
• Northeast - including New York and Pennsylvania
• Western Canada - emphasizing Alberta and British Columbia

As of October 2023, Centuri's workforce comprises over 4,000 employees, with a substantial investment in safety training—resulting in a substantial 70% reduction in workplace incidents over the past five years. The company has continually emphasized safety as a cornerstone of its operational practices.

Financially, Centuri Holdings has showcased stability with a current ratio of 1.5, which indicates a healthy liquidity position. The debt-to-equity ratio as of 2022 was reported at 0.8, demonstrating prudent financial management and a solid capital structure.

Investments in technology have also been a priority for Centuri Holdings. In 2023, the company allocated approximately $20 million towards upgrading its project management software and data analytics capabilities, aiming to enhance project tracking and customer service.

Overall, Centuri Holdings, Inc. operates at the intersection of utility construction and innovative solutions, leveraging its skilled workforce and technology investments to meet the growing demands of the utility sector in North America.

How Centuri Holdings, Inc. Makes Money

Centuri Holdings, Inc. operates through its subsidiaries, primarily focusing on providing essential infrastructure and utility services across North America. The company specializes in the installation and maintenance of utility distribution systems, which includes gas, electric, and telecommunications services. In 2022, Centuri reported a revenue of $1.3 billion, marking a significant year-over-year growth of approximately 14% compared to $1.14 billion in 2021.

The revenue breakdown reveals several key areas driving profitability:

• Utility Infrastructure Services: This segment contributed around $1.1 billion to total revenue in 2022, accounting for 85% of the company's earnings. Services include construction, maintenance, and emergency response for utility systems.
• Telecommunications Services: Revenue from telecommunications services was approximately $150 million, representing 11% of total revenue. This includes fiber optic and wireless installation projects.
• Other Services: The remaining 4%, or about $50 million, came from ancillary services, such as environmental consulting and equipment rentals.

Centuri Holdings benefits from a diverse client base, ranging from municipal utilities to large-scale industrial clients. In 2022, the company secured contracts worth approximately $1.5 billion, which are expected to generate recurring revenue streams over the next few years.

Operating expenses are a critical factor in Centuri’s financial performance. The company reported operating expenses of $1.05 billion in 2022, resulting in an operating income of $250 million and an operating margin of 19%.

Financial Performance Overview

In terms of geographical distribution, Centuri operates across several U.S. states and parts of Canada, with major operations in regions experiencing high demand for utility infrastructure upgrades. The company’s strategic investments in workforce training and technology adoption have also positioned it favorably within the industry. In 2022, Centuri expanded its workforce by 10% to accommodate growing project demands, resulting in a total employee count of approximately 3,500.

Overall, Centuri Holdings, Inc.'s revenue generation is strongly supported by its specialized services, diverse client base, and ongoing investments in infrastructure development, which collectively enhance its financial health and market competitiveness.