The company reported a $4.4 million loss, or 21 cents a share, for the quarter, compared with profit of $7.1 million a year earlier. Analysts polled by FactSet had expected earnings of 52 cents a share. Revenue rose 65% to $201.9 million, below estimates of $234.8 million.

Chief Executive Jeremy Spivey said results were well below expectations, citing project estimate revisions, pressure on residential prices, lower initial bid margins on some commercial and industrial work, and higher fuel and transportation costs. “These results are not acceptable,” he said, adding that Cardinal needs to improve how it estimates, manages and executes projects.

Cardinal has postponed its planned acquisition of Hughes Brothers Construction, a Florida-based contractor, for nearly $360 million. Announced last month, the deal had been expected to close this year. Spivey said the company’s priority is to improve execution in its existing operations and capture benefits from businesses it has already acquired.

The chief operating officer will take a more direct role in setting and implementing consistent standards across the company, Cardinal said. It has also hired a third-party adviser to support broad operational changes. The company withdrew its revenue and margin forecasts for the year, while saying it expects fourth-quarter adjusted Ebitda to improve from the previous quarter. Cardinal has engaged Spencer Stuart to search for Rowe’s successor.