Here are 1-2 brief analogies for Shimmick (SHIM):

• A publicly-traded version of a heavy civil construction giant like Bechtel, specializing in major public infrastructure projects.
• Similar to the infrastructure construction divisions of larger engineering and construction firms like Jacobs (J) or Fluor (FLR), focusing on building complex heavy civil structures.

• Heavy Civil Infrastructure Construction: Comprehensive services encompassing large-scale public and private infrastructure projects.
• Bridge Construction & Rehabilitation: Building, repairing, and upgrading various types of bridges and complex structural systems.
• Water & Wastewater Infrastructure: Developing and improving facilities for water treatment, storage, conveyance, and wastewater collection and treatment systems.
• Transportation Infrastructure: Constructing and enhancing roads, highways, mass transit systems, and airport facilities.
• Marine Construction: Building and maintaining waterfront structures, including ports, docks, piers, and other coastal facilities.
• Tunneling: Expertise in constructing tunnels for transportation, utilities, and other specialized underground applications.

• State and Local Government Agencies: These are significant customers, encompassing State Departments of Transportation (e.g., Caltrans in California, where Shimmick has a strong presence), city and county public works departments, metropolitan planning organizations, water and sewer districts, port authorities, and public transit agencies (e.g., BART, LA Metro). They commission projects such as highways, bridges, tunnels, water treatment facilities, transit lines, and port improvements.
• Federal Government Agencies: Shimmick also undertakes projects for various federal government bodies, including the U.S. Army Corps of Engineers and the Bureau of Reclamation. These contracts typically involve flood control, navigation, dams, and other federal infrastructure initiatives.
• Other Public and Private Entities: While a smaller portion of their business compared to government contracts, Shimmick may also serve other large public utilities or, in some cases, private developers requiring significant civil infrastructure for major industrial, energy, or large-scale development projects.

Shimmick (symbol: SHIM) provides infrastructure solutions across several key sectors, primarily focusing on the United States.

Addressable Markets for Shimmick's Main Products and Services:

• Water Infrastructure Solutions (U.S.): The U.S. water infrastructure and management market was valued at approximately USD 120.2 billion in 2024 and is projected to reach USD 179.6 billion by 2032, growing at a Compound Annual Growth Rate (CAGR) of 5.3%. Within this, the U.S. water and wastewater treatment market was approximately USD 64.27 billion in 2024, with projections to increase to USD 123.76 billion by 2034 at a CAGR of 6.80%. Additionally, the U.S. sewage treatment market was valued at USD 38.8 billion in 2024 and is expected to grow to USD 81.3 billion by 2032, with a CAGR of 9.9%.
• Transportation Infrastructure (U.S.): The U.S. transportation infrastructure market was valued at USD 380.4 billion in 2024 and is anticipated to reach USD 550.5 billion by 2032, exhibiting a CAGR of 4.9%. The roadways segment accounted for 55% of this market in 2024. More specifically, the U.S. bridge and elevated highway construction market was valued at USD 16.1 billion in 2024 and is projected to reach USD 24.3 billion by 2032, with a CAGR of 5.4%. Another estimate places the U.S. bridge and elevated highway construction market size at USD 17.0 billion in 2025. The United States holds a significant share of the North American bridge construction market, accounting for 85.10% of the total.
• Heavy Civil Construction (Global & U.S.): The global heavy and civil engineering construction market was valued at USD 2.01 trillion in 2024 and is projected to grow to USD 2.48 trillion by 2029, at a CAGR of 4.7%. The U.S. heavy engineering construction industry revenue is estimated to be $49.2 billion in 2025.

Expected Drivers of Future Revenue Growth for Shimmick (SHIM)

Over the next 2-3 years, Shimmick (SHIM) is anticipated to drive revenue growth through several key initiatives and market trends:

1. Strategic Expansion into Electrical Contracting and Technology Infrastructure: Shimmick has launched a new electrical subsidiary and is strategically expanding its presence in the electrical and technology infrastructure markets. This expansion into new service areas is expected to contribute to future revenue.
2. Increased Demand and Investment in Core Infrastructure Sectors: The company is well-positioned in growing sectors such as sustainable water management, climate resilience, and infrastructure modernization. Shimmick has noted strong investment in water, industrial, power, data center, and manufacturing sectors, which are key target markets for its core "Shimmick Projects."
3. Growth in Project Backlog and New Project Awards: A robust and expanding project backlog is a significant indicator of future revenue. Shimmick has reported strong momentum in securing new project awards and maintaining a healthy pipeline of upcoming work.
4. Focus on Higher-Margin Core Projects: Shimmick is actively transitioning its business focus to higher-margin "Shimmick Projects" while winding down its legacy, lower-margin non-core projects. This strategic shift is designed to improve overall profitability and contribute to more sustainable revenue growth.
5. Operational Improvements and Execution of Transformation Plan: The company's ongoing Transformation Plan includes initiatives aimed at optimizing operating costs and improving efficiency, such as reducing selling, general, and administrative (SG&A) expenses. These operational enhancements are expected to bolster the company's competitiveness and support long-term revenue expansion.

Share Issuance

• Shimmick completed its initial public offering (IPO) on November 16, 2023, issuing 3,575,000 shares of common stock at $7.00 per share. The net proceeds to Shimmick from the IPO were approximately $19 million after deducting underwriting discounts and commissions and other offering expenses of $6 million.
• For the fiscal year ended January 3, 2025, Shimmick issued an additional 8,777,337 shares of common stock, which increased additional paid-in capital by $12.778 million.
• In resolution of a previous lawsuit with AECOM related to the 2021 divestiture, Shimmick issued an aggregate of 7,745,000 shares of common stock to AECOM as consideration.

Inbound Investments

• In January 2021, Shimmick became an independent company following an investment from Oroco Capital, a private equity firm, after being sold by AECOM. The purchase price for this transaction was not explicitly disclosed in the provided information.

Outbound Investments

• In August 2025, Shimmick launched Axia Electric, a new subsidiary focused on complex electrical and power distribution solutions, targeting high-growth segments such as industrial and data center markets, in addition to its core water and wastewater sectors.
• Shimmick has an investment in a Joint Venture with Shimmick/Traylor/Granite (STG), noted as of September 2025.

Capital Expenditures

• For the fiscal year ended January 3, 2025, Shimmick's cash flow statement reported purchases of property, plant and equipment totaling $7 million.