Dycom Industries (DY) 8-K Dycom Announces Fiscal 2006 First Quarter Earnings and Provides Guidance for the Second Quarter of Fiscal 2006

EXHIBIT 99.1

NEWS RELEASE

FOR IMMEDIATE RELEASE	Contact:	Steven E. Nielsen, President and CEO
		Richard L. Dunn, Senior Vice President
		and CFO
		(561) 627-7171

Palm Beach Gardens, Florida November 21, 2005

DYCOM ANNOUNCES FISCAL 2006 FIRST QUARTER EARNINGS AND PROVIDES GUIDANCE
FOR THE SECOND QUARTER OF FISCAL 2006

Palm Beach Gardens, Florida, November 21, 2005—Dycom Industries, Inc. (NYSE Symbol: “DY”) announced its results today for the fiscal 2006 first quarter ended October 29, 2005. The Company reported net income for the quarter ended October 29, 2005 of $10.7 million, or $0.23 per common share diluted, versus net income for the quarter ended October 30, 2004 of $15.6 million, or $0.32 per common share diluted. Included in net income for the quarter ended October 29, 2005 is non-cash stock-based compensation expense of $1.0 million versus $0.2 million in the quarter ended October 30, 2004. This expense results from the Company’s adoption of SFAS 123(R), “Share-Based Payment.” Total contract revenues for the quarter ended October 29, 2005 were $260.9 million compared to total contract revenues of $263.2 million for the quarter ended October 30, 2004, a decrease of 0.9%.

Dycom also announced its outlook for the second quarter of fiscal 2006. The Company currently expects revenue for the second quarter of fiscal 2006 to range from $195 million to $220 million and diluted earnings per share to range from $0.04 to $0.11.

A Tele-Conference call to review the Company’s results and address its outlook will be hosted at 9:00 a.m. (ET), Tuesday, November 22, 2005; call 888-428-4471 (United States) or 612-332-0632 (International) ten minutes before the call begins and request the “Dycom Earnings” conference call.A live webcast of the conference call will be available at http://www.dycomind.com. If you are unable to attend the conference call at the scheduled time, a replay of the live webcast will also be available at http://www.dycomind.com until Thursday, December 22, 2005.

Dycom is a leading provider of specialty contracting services throughout the United States. These services include engineering, construction, maintenance and installation services to telecommunications providers, underground locating services to various utilities, including telecommunications providers, and other construction and maintenance services to electric utilities and others.

Fiscal 2006 first quarter results are preliminary and are unaudited. This press release contains forward-looking statements as contemplated by the 1995 Private Securities Litigation Reform Act. Such statements include, but are not limited to, the Company’s expectations for revenues and earnings per share. These statements are based on management’s current expectations, estimates and projections. Forward-looking statements are subject to risks and uncertainties that may cause actual results in the future to differ materially from the results projected or implied in any forward-looking statements contained in this press release. Such risks and uncertainties include: business and economic conditions in the telecommunications industry affecting our customers, the adequacy of our insurance and other reserves and allowances for doubtful accounts, whether the carrying value of assets may be impaired, the impact of any future acquisitions, the anticipated outcome of other contingent events, including litigation, liquidity needs and the availability of financing, as well as other risks detailed in our filings with the Securities and Exchange Commission. We do not undertake to update forward-looking statements.

—Tables Follow—

NYSE: “DY”

DYCOM INDUSTRIES, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
October 29, 2005 and July 30, 2005
Unaudited

	October 29,		July 30,
	2005		2005
	($ in 000’s)
ASSETS
Current Assets:
Cash and equivalents	$	61,901	$	83,062
Accounts receivable, net		167,989		161,321
Costs and estimated earnings in excess of billings		79,963		65,559
Deferred tax assets, net		12,052		12,535
Inventories		8,619		8,116
Other current assets		15,616		11,286
Total current assets		346,140		341,879
Property and equipment, net		113,129		117,145
Intangible assets, net		226,607		227,443
Deferred tax assets, net non-current		352		—
Other		14,124		10,242
Total	$	700,352	$	696,709
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current Liabilities:
Accounts payable	$	32,326	$	37,185
Current portion of long-term debt		2,042		2,749
Billings in excess of costs and estimated earnings		280		464
Accrued self-insured claims		27,660		28,166
Income taxes payable		12,313		6,598
Other accrued liabilities		36,367		43,550
Total current liabilities		110,988		118,712
Long-term debt		186,962		4,179
Accrued self-insured claims		26,832		22,652
Deferred tax liabilities, net		—		1,299
Other liabilities		140		57
Stockholders’ Equity		375,430		549,810
Total	$	700,352	$	696,709

NYSE: “DY”

DYCOM INDUSTRIES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
Unaudited

	Three Months			Three Months
	Ended			Ended
	October 29,			October 30,
	2005			2004
	(In 000’s, except per share amounts)
Contract revenues	$	260,898		$	263,166
Cost of earned revenues		213,300			208,670
General and administrative expenses (including stock-based compensation expense of $1.0 million and $0.2 million, respectively)		19,455			17,982
Depreciation and amortization		11,381			11,265
Total		244,136			237,917
Interest income		690			116
Interest expense		(842	)		(162	)
Other income, net		1,131			594
Income before income taxes		17,741			25,797
Provision for income taxes		7,019			10,176
Net income	$	10,722		$	15,621
Earnings per common share:
Basic earnings per share	$	0.23		$	0.32
Diluted earnings per share	$	0.23		$	0.32
Shares used in computing earnings per common share (1):
Basic		47,137			48,604
Diluted		47,305			49,170

(1) At October 29, 2005 there were 40,110,843 common shares outstanding. The Company purchased 8,763,451 common shares on October 11, 2005 pursuant to a “Dutch Auction” tender offer.