Joint Ventures with a Controlling Interest—We consolidate any venture that is determined to be a VIE for which we are the primary beneficiary, or which we otherwise effectively control. The equity held by the remaining owners and their portions of net income (loss) are reflected in stockholders’ equity on the Condensed Consolidated Balance Sheets line item “Noncontrolling interests” and in the Condensed Consolidated Statements of Operations line item “Net income attributable to noncontrolling interests,” respectively.

Joint Ventures with a Noncontrolling Interest—The Company accounts for unconsolidated joint ventures using a pro-rata basis in the Condensed Consolidated Statements of Operations and as a single line item (“Receivables from and equity in construction joint ventures”) in the Condensed Consolidated Balance Sheets. This method is a permissible modification of the equity method of accounting which is a common practice in the construction industry. Combined financial amounts of joint ventures in which the Company has a noncontrolling interest and the Company’s share of such amounts which are included in the Company’s Condensed Consolidated Financial Statements are shown below:


(In thousands)	September 30, 2026		December 31, 2025
Current assets - Joint Ventures’ Balance Sheets	$	68,539	$	33,326
Current liabilities - Joint Ventures’ Balance Sheets	$	44,983	$	17,877
Receivables from and equity in construction joint ventures - Sterling's Balance Sheets	$	9,422	$	6,179


	Three Months Ended September 30,				Nine Months Ended September 30,
(In thousands)	2026		2025		2026		2025
Joint Ventures’ Statements of Operations:
Revenues	$	31,790	$	13,595	$	76,423	$	48,479
Income before tax	$	6,103	$	(410)	$	8,107	$	2,394
Sterling’s noncontrolling interest:
Revenues	$	12,716	$	5,438	$	30,569	$	19,392
Income before tax	$	2,441	$	(164)	$	3,242	$	958

The caption “Receivables from and equity in construction joint ventures” includes undistributed earnings and receivables owed to the Company. Undistributed earnings are typically released to the joint venture partners after the customer accepts the project as completed and the warranty period, if any, has passed.