Description

Kirby Corporation: A $0.5–$1 Billion Backlog Sounds Great—But Execution Will Make or Break It?

Kirby Corporation’s third quarter 2025 results reflected stable overall performance, supported by strong execution in its coastal marine transportation and power generation businesses, partially offset by near-term softness in inland marine transportation and conventional oil and gas activity. Consolidated revenue grew modestly, while profitability was driven by continued pricing strength in the coastal business and expanding margins in the Distribution and Services segment. Earnings per share were $1.65, a 6% year-over-year increase, highlighting operational resilience despite cyclical challenges in select markets. In the Marine Transportation segment, total revenues were $485 million with an operating margin of 18.3%. The inland business, representing roughly 80% of segment revenue, experienced reduced utilization in the mid-80% range due to favorable weather, lighter refinery feedstocks, and muted petrochemical activity. These factors contributed to a decline in spot market rates by low to mid-single digits both sequentially and year-over-year, while term contract renewals remained flat.