ABM Industries reported second-quarter fiscal 2025 revenue of $2.1 billion, a 4.6% increase over the prior year period, driven by 3.8% organic growth. Adjusted earnings per diluted share were $0.86, up from $0.82 last year.
The Business & Industry (B&I) segment returned to organic growth, increasing 3%, supported by improving conditions in prime commercial office markets. The Manufacturing & Distribution (M&D) segment also saw organic growth of 2%, reflecting new business wins and favorable comparisons.
Technical Solutions (ATS) revenue grew 19% and Aviation revenue grew 9%, continuing their strong performance. The company secured $1.1 billion in new bookings through the first half of the year, an 11% increase year-over-year, underscoring market position strength.
Net cash provided by operating activities was $32.3 million, and free cash flow was $15.2 million, showing significant sequential improvement from the previous quarter's negative cash flow. This improvement reflects important strides in deploying the enterprise resource planning (ERP) system across B&I and M&D segments.
ABM reaffirmed its fiscal year 2025 adjusted EPS guidance of $3.65 to $3.80 and adjusted EBITDA margin of 6.3% to 6.5%. The company also revised its non-GAAP financial measures definition to no longer exclude 'prior year self-insurance adjustments,' applied retroactively to ensure comparability.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.