- Increased fiscal 2025 financial guidance for the second time
this year
- Delivered a strong quarter across all key financial
metrics
- Adjusted EBITDA increased by 8% and adjusted EPS increased
by 20%
- Backlog increased to a new record, driven by a 1.1x
book-to-burn ratio
- Achieved new recognition as the #1 overall design firm as
ranked by ENR, including reaffirmed #1 rankings in the
transportation, water and facilities markets
AECOM (NYSE: ACM), the trusted global infrastructure leader,
today reported second quarter fiscal 2025 results.
(from Continuing Operations; $
in millions, except EPS)
As Reported
Adjusted1
(Non-GAAP)
As Reported YoY %
Change
Adjusted YoY % Change
Revenue
$3,772
--
(4%)
--
Net Service Revenue (NSR)2
--
$1,867
--
4%
Operating Income
$258
$263
28%
9%
Segment Operating Margin3
--
16.1%
--
+90 bps
Net Income
$154
$167
38%
18%
EPS (Fully Diluted)
$1.16
$1.25
43%
20%
EBITDA4
--
$290
--
8%
EBITDA Margin5
--
16.3%
--
+90 bps
Operating Cash Flow
$191
--
102%
--
Free Cash Flow6
--
$178
--
141%
Total Backlog7
$24,269
--
3%
--
“Even with impacts resulting from changing political dynamics
around the world, we continue to deliver on our financial and
strategic objectives, just as we have over the past several years,
and we are increasing our financial guidance for a second
consecutive quarter as a result,” said Troy Rudd, AECOM’s chairman
and chief executive officer. “Through our ongoing investments to
extend our capabilities and expand our addressable market, we have
created a competitive edge platform. This advantage was apparent in
our selection as the Official Venue Infrastructure Partner for the
LA28 Olympic and Paralympic Games, where our ability to deliver
architecture, engineering, planning, construction management and
program management services was the key differentiator.
Importantly, the secular demand drivers of global infrastructure
investment, energy, and sustainability and resilience continue to
underpin our conviction in a multi-decade growth cycle that will
power through any near-term volatility.”
“We continue to win work at a record high rate, which resulted
in quarter-over-quarter backlog growth to a record level and strong
visibility in the second half of fiscal 2025 and beyond,” said Lara
Poloni, AECOM’s president. “The technical expertise we bring to
clients remains our greatest competitive advantage. The strength of
this expertise was further validated by ENR’s most recent rankings,
in which we moved up one spot to become the number one design firm
overall and maintained our number one rankings in the
transportation, water and facilities markets. As a result, we are
poised to lead as our markets continue to grow.”
“As our increased guidance demonstrates, we have outperformed
expectations year to date and have strong visibility created by our
record backlog and pipeline position,” said Gaurav Kapoor, AECOM’s
chief financial and operations officer. “We also further expanded
our industry-leading margins, reflecting the benefits from our
high-returning organic growth investments, growth in our
highest-margin markets, and ongoing continuous improvement
initiatives. As a result, we are well advanced on our 17%+ margin
target and our confidence is increasing in further margin expansion
beyond this target over time. Free cash flow also increased by 141%
in the quarter and is up 80% fiscal year-to-date, which is a
testament to the high earnings quality of the business and our
strong culture of cash generation we consistently deliver.”
Second Quarter
Highlights
- Revenue declined by 4%; net service revenue2 increased by 4%,
highlighted by 6% growth in the Company’s largest and most
profitable region, the Americas.
- Fewer workdays in the quarter resulted in an approximately 100
basis point headwind to year-over-year growth
- Operating income increased by 28%; both the segment adjusted1
operating margin3 and the adjusted1 EBITDA margin5 increased by 90
basis points to 16.1% and 16.3%, respectively, both of which set
second quarter records.
- Net income increased by 38%; adjusted1 EBITDA4 increased by 8%
and adjusted1 EPS increased by 20%.
- Free cash flow6 increased by 141%, and the Company returned
$165 million to shareholders through repurchases and dividends in
the first half of the year.
- Total backlog7 increased by 3% to a record high, driven by a
1.1x book-to-burn8 ratio in each of the Americas design and
International design businesses, contributing to a 1.1x
book-to-burn ratio enterprise wide.
- Design backlog7 increased by 4% to a record high, highlighted
by 5% contracted backlog growth and a 1.2x book-to-burn ratio in
the U.S. design business.
- Delivered an eighteenth consecutive quarter with a book-to-burn
ratio in excess of 1.0.
- The Company’s pipeline of opportunities increased to a new
record, including growth in both segments.
Financial Guidance
- AECOM increased its fiscal 2025 adjusted EBITDA and EPS
guidance, and affirmed its expectation to deliver record net
service revenue, profitability and margins, as well as continued
strong cash flow conversion in fiscal 2025; the Company expects:
- Organic NSR2 growth of 5% to 8%.
- Adjusted1 EBITDA4 of between $1,180 million and $1,210 million,
up 9% at the mid-point.
- Adjusted1 EPS of between $5.10 and $5.20, up 14% at the
mid-point.
- 30 basis points of both segment adjusted1 operating margin3 and
adjusted EBITDA margin5 expansion to 16.1% and 16.3%,
respectively.
- 100%+ free cash flow6 conversion.
- Other assumptions incorporated into fiscal 2025 guidance:
- An average fully diluted share count of 134 million, which
reflects only shares repurchased to-date.
- An adjusted effective tax rate of approximately 24% for the
full year.
- See the Regulation G Information tables at the end of this
release for a reconciliation of non-GAAP measures to the most
directly comparable GAAP measures.
Business Segments
Americas
Revenue in the second quarter was $2.9 billion, a 5% decline
from the prior year. Net service revenue2 was $1.1 billion, a 6%
increase from the prior year. This performance was led by growth in
the design business, and included growth in both the U.S. and
Canada.
Operating income increased by 15% to $217 million and on an
adjusted1 basis increased by 13% to $218 million. The adjusted
operating margin on net service revenue increased by 130 basis
points over the prior year to 19.4%, a new second quarter high,
reflecting high-returning organic growth investments, growth in the
Company’s highest-margin markets, the benefits from ongoing
continuous improvement initiatives, and strong execution.
Backlog in the Americas segment is at a record high, driven by
strong wins in the quarter that resulted in a 1.2x book-to-burn
ratio8.
International
Revenue in the second quarter was $875 million, a 3% decline
from the prior year. Net service revenue2 was $742 million, a 1%
increase from the prior year. Growth was driven by the U.K. and
Hong Kong, which was partially offset by a decline in
Australia.
Both operating income and adjusted1 operating income increased
by 1% to $82 million. The adjusted operating margin on net service
revenue increased by 10 basis points over the prior year to 11.1%,
which reflected strong execution and the Company’s focus on
high-returning markets and opportunities across its largest
geographies.
Backlog in the International segment is at a record high, driven
by a 1.1x book-to-burn ratio8 in the quarter.
Balance Sheet and Capital Allocation
Update
The Company ended the quarter with a strong balance sheet,
including net leverage9 of 0.7x. During the quarter, the Company
returned more than $110 million to shareholders through stock
repurchases and dividend payments. Since the initiation of its
stock repurchase program in September 2020, the Company has
repurchased more than $2.3 billion of stock, which represents
approximately one-third of the Company’s market capitalization at
the time it commenced repurchases.
Tax Rate
The effective tax rate was 23.2% in the second quarter. On an
adjusted1 basis, the effective tax rate was 25.0%. The Company
continues to expect a full year adjusted tax rate of approximately
24%. The adjusted tax rate was derived by re-computing the
quarterly effective tax rate on adjusted net income10. The adjusted
tax expense differs from the GAAP tax expense based on the
taxability or deductibility and tax rate applied to each of the
adjustments.
Conference Call
AECOM is hosting a conference call tomorrow at 8 a.m. Eastern
Time, during which management will make a brief presentation
focusing on the Company's results, strategy and operating trends,
and outlook. Interested parties can listen to the conference call
and view accompanying slides via webcast at
https://investors.aecom.com. The webcast will be available for
replay following the call.
1 Excludes the impact of certain items,
such as restructuring costs, amortization of intangible assets,
non-core AECOM Capital and other items. See Regulation G
Information for a reconciliation of non-GAAP measures to the
comparable GAAP measures.
2 Revenue, less pass-through revenue;
growth rates are presented on a constant-currency basis.
3 Reflects segment operating performance,
excluding AECOM Capital and G&A, and margins are presented on a
net service revenue basis.
4 Net income before interest expense, tax
expense, depreciation and amortization.
5 Adjusted EBITDA margin includes
non-controlling interests in EBITDA and is on a net service revenue
basis.
6 Free cash flow is defined as cash flow
from operations less capital expenditures, net of proceeds from
disposals of property and equipment; free cash flow conversion is
defined as free cash flow divided by adjusted net income
attributable to AECOM.
7 Backlog represents the total value of
work for which AECOM has been selected that is expected to be
completed by consolidated subsidiaries; growth rates are presented
on a constant-currency basis.
8 Book-to-burn ratio is defined as the
dollar amount of wins divided by revenue recognized during the
period.
9 Net leverage is comprised of EBITDA as
defined in the Company’s credit agreement dated October 17, 2014,
as amended, and total debt on the Company’s financial statements,
net of total cash and cash equivalents.
10 Inclusive of non-controlling interest
deduction and adjusted for financing charges in interest expense,
the amortization of intangible assets and is based on continuing
operations. The adjusted tax rate was derived by re-computing the
quarterly effective tax rate on adjusted net income. The adjusted
tax expense differs from the GAAP tax expense based on the
taxability or deductibility and tax rate applied to each of the
adjustments.
About AECOM
AECOM (NYSE: ACM) is the global infrastructure leader, committed
to delivering a better world. As a trusted professional services
firm powered by deep technical abilities, we solve our clients’
complex challenges in water, environment, energy, transportation
and buildings. Our teams partner with public- and private-sector
clients to create innovative, sustainable and resilient solutions
throughout the project lifecycle – from advisory, planning, design
and engineering to program and construction management. AECOM is a
Fortune 500 firm that had revenue of $16.1 billion in fiscal year
2024. Learn more at aecom.com.
Forward-Looking Statements
All statements in this communication other than statements of
historical fact are “forward-looking statements” for purposes of
federal and state securities laws, including any statements of the
plans, strategies and objectives for future operations,
profitability, strategic value creation, capital allocation
strategy including stock repurchases, risk profile and investment
strategies, and any statements regarding future economic conditions
or performance, and the expected financial and operational results
of AECOM. Although we believe that the expectations reflected in
our forward-looking statements are reasonable, actual results could
differ materially from those projected or assumed in any of our
forward-looking statements. Important factors that could cause our
actual results, performance and achievements, or industry results
to differ materially from estimates or projections contained in our
forward-looking statements include, but are not limited to, the
following: our business is cyclical and vulnerable to economic
downturns and client spending reductions; potential government
shutdowns, changes in administration or other funding directives
and circumstances that may cause governmental agencies to modify,
curtail or terminate our contracts; losses under fixed-price
contracts; limited control over operations that run through our
joint venture entities; liability for misconduct by our employees
or consultants; changes in government laws, regulations and
policies, including failure to comply with laws or regulations
applicable to our business; maintaining adequate surety and
financial capacity; potential high leverage and inability to
service our debt and guarantees; ability to continue payment of
dividends; exposure to political and economic risks in different
countries, including tariffs and trade policies, geopolitical
events, and conflicts; inflation, currency exchange rates and
interest rate fluctuations; changes in capital markets and stock
market volatility; retaining and recruiting key technical and
management personnel; legal claims and litigation; inadequate
insurance coverage; environmental law compliance and adequate
nuclear indemnification; unexpected adjustments and cancellations
related to our backlog; partners and third parties who may fail to
satisfy their legal obligations; managing pension costs; AECOM
Capital real estate development projects; cybersecurity issues, IT
outages and data privacy; risks associated with the benefits and
costs of the sale of our Management Services and self-perform
at-risk civil infrastructure, power construction and oil and gas
businesses, including the risk that any purchase adjustments from
those transactions could be unfavorable and result in any future
proceeds owed to us as part of the transactions could be lower than
we expect; as well as other additional risks and factors that could
cause actual results to differ materially from our forward-looking
statements set forth in our reports filed with the Securities and
Exchange Commission. Any forward-looking statements are made as of
the date hereof. We do not intend, and undertake no obligation, to
update any forward-looking statement.
Non-GAAP Financial Information
This communication contains financial information calculated
other than in accordance with U.S. generally accepted accounting
principles (“GAAP”). The Company believes that non-GAAP financial
measures such as adjusted EPS, adjusted EBITDA, adjusted
net/operating income, segment adjusted operating margin, adjusted
tax rate, net service revenue and free cash flow provide a
meaningful perspective on its business results as the Company
utilizes this information to evaluate and manage the business. We
use adjusted operating income, adjusted net income, adjusted EBITDA
and adjusted EPS to exclude the impact of certain items, such as
amortization expense and taxes to aid investors in better
understanding our core performance results. We use free cash flow
to present the cash generated from operations after capital
expenditures to maintain our business. We present net service
revenue (NSR) to exclude pass-through subcontractor costs from
revenue to provide investors with a better understanding of our
operational performance. We present segment adjusted operating
margin to reflect segment operating performance of our Americas and
International segments, excluding AECOM Capital. We present
adjusted tax rate to reflect the tax rate on adjusted earnings. We
also use constant-currency growth rates where appropriate, which
are calculated by conforming the current period results to the
comparable period exchange rates.
Our non-GAAP disclosure has limitations as an analytical tool,
should not be viewed as a substitute for financial information
determined in accordance with GAAP, and should not be considered in
isolation or as a substitute for analysis of our results as
reported under GAAP, nor is it necessarily comparable to non-GAAP
performance measures that may be presented by other companies. A
reconciliation of these non-GAAP measures is found in the
Regulation G Information tables at the back of this communication.
The Company is unable to reconcile certain of its non-GAAP
financial guidance and long-term financial targets due to
uncertainties in these non-operating items as well as other
adjustments to net income. The Company is unable to provide a
reconciliation of its guidance for NSR to GAAP revenue because it
is unable to predict with reasonable certainty its pass-through
revenue.
AECOM
Consolidated Statements of
Income
(unaudited - in thousands,
except per share data)
Three Months Ended
Six Months Ended
March 31, 2025
March 31, 2024
% Change
March 31, 2025
March 31, 2024
% Change
Revenue
$
3,771,613
$
3,943,833
(4.4
)%
$
7,785,765
$
7,843,753
(0.7
)%
Cost of revenue
3,480,852
3,682,659
(5.5
)%
7,226,600
7,338,609
(1.5
)%
Gross profit
290,761
261,174
11.3
%
559,165
505,144
10.7
%
Equity in earnings (losses) of joint
ventures
6,864
19,459
(64.7
)%
16,417
(9,482
)
(273.1
)%
General and administrative expenses
(40,054
)
(44,686
)
(10.4
)%
(80,513
)
(80,410
)
0.1
%
Restructuring costs
-
(35,465
)
(100.0
)%
-
(51,645
)
(100.0
)%
Income from operations
257,571
200,482
28.5
%
495,069
363,607
36.2
%
Other (expense) income
(8,748
)
2,622
(433.6
)%
(1,824
)
5,191
(135.1
)%
Interest income
14,530
15,422
(5.8
)%
31,094
27,524
13.0
%
Interest expense
(42,205
)
(47,723
)
(11.6
)%
(85,239
)
(88,980
)
(4.2
)%
Income from continuing operations before
taxes
221,148
170,803
29.5
%
439,100
307,342
42.9
%
Income tax expense for continuing
operations
51,238
45,385
12.9
%
80,470
72,043
11.7
%
Income from continuing operations
169,910
125,418
35.5
%
358,630
235,299
52.4
%
Loss from discontinued operations
(10,370
)
(109,388
)
(90.5
)%
(19,886
)
(110,675
)
(82.0
)%
Net income
159,540
16,030
895.3
%
338,744
124,624
171.8
%
Net income attributable to noncontrolling
interests from continuing operations
(15,812
)
(14,113
)
12.0
%
(27,182
)
(27,230
)
(0.2
)%
Net income attributable to noncontrolling
interests from discontinued operations
(334
)
(910
)
(63.3
)%
(1,126
)
(1,949
)
(42.2
)%
Net income attributable to noncontrolling
interests
(16,146
)
(15,023
)
7.5
%
(28,308
)
(29,179
)
(3.0
)%
Net income attributable to AECOM from
continuing operations
154,098
111,305
38.4
%
331,448
208,069
59.3
%
Net loss attributable to AECOM from
discontinued operations
(10,704
)
(110,298
)
(90.3
)%
(21,012
)
(112,624
)
(81.3
)%
Net income attributable to AECOM
$
143,394
$
1,007
14139.7
%
$
310,436
$
95,445
225.3
%
Net income (loss) attributable to AECOM
per share:
Basic continuing operations per share
$
1.16
$
0.82
41.5
%
$
2.50
$
1.53
63.4
%
Basic discontinued operations per
share
(0.08
)
(0.81
)
(90.1
)%
(0.16
)
(0.83
)
(80.7
)%
Basic earnings per share
$
1.08
$
0.01
10700.0
%
$
2.34
$
0.70
234.3
%
Diluted continuing operations per
share
$
1.16
$
0.81
43.2
%
$
2.48
$
1.52
63.2
%
Diluted discontinued operations per
share
(0.08
)
(0.80
)
(90.0
)%
(0.15
)
(0.82
)
(81.7
)%
Diluted earnings per share
$
1.08
$
0.01
10700.0
%
$
2.33
$
0.70
232.9
%
Weighted average shares outstanding:
Basic
132,432
136,006
(2.6
)%
132,466
135,952
(2.6
)%
Diluted
133,139
136,712
(2.6
)%
133,382
136,907
(2.6
)%
AECOM
Balance Sheet
Information
(unaudited - in
thousands)
March 31, 2025
September 30, 2024
Balance Sheet Information:
Total cash and cash equivalents
$
1,600,065
$
1,580,877
Accounts receivable and contract assets –
net
4,401,239
4,599,765
Working capital
915,625
801,978
Total debt, excluding unamortized debt
issuance costs
2,546,934
2,539,811
Total assets
11,781,867
12,061,669
Total AECOM stockholders’ equity
2,285,436
2,184,205
AECOM
Reportable Segments
(unaudited - in
thousands)
Americas
International
AECOM Capital
Corporate
Total
Three Months Ended March 31,
2025
Revenue
$
2,896,772
$
874,733
$
108
$
-
$
3,771,613
Cost of revenue
2,684,279
796,573
-
-
3,480,852
Gross profit
212,493
78,160
108
-
290,761
Equity in earnings (losses) of joint
ventures
4,861
4,023
(2,020
)
-
6,864
General and administrative expenses
-
-
(2,807
)
(37,247
)
(40,054
)
Income (loss) from operations
$
217,354
$
82,183
$
(4,719
)
$
(37,247
)
$
257,571
Gross profit as a % of revenue
7.3
%
8.9
%
-
-
7.7
%
Three Months Ended March 31,
2024
Revenue
$
3,038,575
$
904,787
$
471
$
-
$
3,943,833
Cost of revenue
2,854,102
828,557
-
-
3,682,659
Gross profit
184,473
76,230
471
-
261,174
Equity in earnings of joint ventures
4,730
4,948
9,781
-
19,459
General and administrative expenses
-
-
(9,676
)
(35,010
)
(44,686
)
Restructuring costs
-
-
-
(35,465
)
(35,465
)
Income from operations
$
189,203
$
81,178
$
576
$
(70,475
)
$
200,482
Gross profit as a % of revenue
6.1
%
8.4
%
-
-
6.6
%
Six Months Ended March 31, 2025
Revenue
$
6,008,727
$
1,776,743
$
295
$
-
$
7,785,765
Cost of revenue
5,605,974
1,620,626
-
-
7,226,600
Gross profit
402,753
156,117
295
-
559,165
Equity in earnings (losses) of joint
ventures
10,373
6,904
(860
)
-
16,417
General and administrative expenses
-
-
(5,202
)
(75,311
)
(80,513
)
Income (loss) from operations
$
413,126
$
163,021
$
(5,767
)
$
(75,311
)
$
495,069
Gross profit as a % of revenue
6.7
%
8.8
%
-
-
7.2
%
Contracted backlog
$
8,854,297
$
4,475,858
$
-
$
-
$
13,330,155
Awarded backlog
8,930,751
2,007,993
-
-
10,938,744
Total backlog
$
17,785,048
$
6,483,851
$
-
$
-
$
24,268,899
Total backlog – Design only
$
16,458,797
$
6,483,851
$
-
$
-
$
22,942,648
Six Months Ended March 31, 2024
Revenue
$
6,077,258
$
1,765,828
$
667
$
-
$
7,843,753
Cost of revenue
5,721,810
1,616,799
-
-
7,338,609
Gross profit
355,448
149,029
667
-
505,144
Equity in earnings (losses) of joint
ventures
8,388
9,230
(27,100
)
-
(9,482
)
General and administrative expenses
-
-
(12,127
)
(68,283
)
(80,410
)
Restructuring costs
-
-
-
(51,645
)
(51,645
)
Income (loss) from operations
$
363,836
$
158,259
$
(38,560
)
$
(119,928
)
$
363,607
Gross profit as a % of revenue
5.8
%
8.4
%
-
-
6.4
%
Contracted backlog
$
8,760,619
$
4,261,367
$
-
$
-
$
13,021,986
Awarded backlog
8,616,783
2,105,750
-
-
10,722,533
Total backlog
$
17,377,402
$
6,367,117
$
-
$
-
$
23,744,519
Total backlog – Design only
$
15,924,738
$
6,367,117
$
-
$
-
$
22,291,855
AECOM
Regulation G
Information
(in millions)
Reconciliation of
Revenue to Net Service Revenue (NSR)
Three Months Ended
Six Months Ended
Mar 31, 2025
Dec 31, 2024
Mar 31, 2024
Mar 31, 2025
Mar 31, 2024
Americas
Revenue
$
2,896.7
$
3,112.0
$
3,038.6
$
6,008.7
$
6,077.3
Less: Pass-through revenue
1,772.0
2,061.1
1,965.4
3,833.1
4,026.4
Net service revenue
$
1,124.7
$
1,050.9
$
1,073.2
$
2,175.6
$
2,050.9
International
Revenue
$
874.8
$
902.0
$
904.8
$
1,776.8
$
1,765.8
Less: Pass-through revenue
132.5
151.8
159.0
284.3
290.1
Net service revenue
$
742.3
$
750.2
$
745.8
$
1,492.5
$
1,475.7
Segment
Performance (excludes ACAP)
Revenue
$
3,771.5
$
4,014.0
$
3,943.4
$
7,785.5
$
7,843.1
Less: Pass-through revenue
1,904.5
2,212.9
2,124.4
4,117.4
4,316.5
Net service revenue
$
1,867.0
$
1,801.1
$
1,819.0
$
3,668.1
$
3,526.6
Consolidated
Revenue
$
3,771.6
$
4,014.2
$
3,943.9
$
7,785.8
$
7,843.8
Less: Pass-through revenue
1,904.5
2,212.9
2,124.4
4,117.4
4,316.5
Net service revenue
$
1,867.1
$
1,801.3
$
1,819.5
$
3,668.4
$
3,527.3
Reconciliation of
Total Debt to Net Debt
Balances at:
Mar 31, 2025
Dec 31, 2024
Mar 31, 2024
Short-term debt
$
3.2
$
3.5
$
2.9
Current portion of long-term debt
67.1
65.9
88.6
Long-term debt, excluding unamortized debt
issuance costs
2,476.6
2,477.7
2,114.4
Total debt
2,546.9
2,547.1
2,205.9
Less: Total cash and cash equivalents
1,600.1
1,580.7
1,185.8
Net debt
$
946.8
$
966.4
$
1,020.1
Reconciliation of
Net Cash Provided by Operating Activities to Free Cash
Flow
Three Months Ended
Six Months Ended
Mar 31, 2025
Dec 31, 2024
Mar 31, 2024
Mar 31, 2025
Mar 31, 2024
Net cash provided by operating
activities
$
190.7
$
151.1
$
94.3
$
341.8
$
237.4
Capital expenditures, net
(12.3
)
(40.1
)
(20.3
)
(52.4
)
(76.5
)
Free cash flow
$
178.4
$
111.0
$
74.0
$
289.4
$
160.9
AECOM
Regulation G
Information
(in millions, except per share
data)
Three Months Ended
Six Months Ended
Mar 31, 2025
Dec 31, 2024
Mar 31, 2024
Mar 31, 2025
Mar 31, 2024
Reconciliation of
Income from Operations to Adjusted Income from Operations to
Adjusted EBITDA with Noncontrolling Interests (NCI) to Adjusted
EBITDA
Income from operations
$
257.6
$
237.5
$
200.5
$
495.1
$
363.6
Noncore AECOM Capital loss (income)
4.7
1.0
(0.6
)
5.7
38.5
Restructuring costs
-
-
35.5
-
51.7
Amortization of intangible assets
0.4
1.1
4.7
1.5
9.3
Adjusted income from operations
$
262.7
$
239.6
$
240.1
$
502.3
$
463.1
Other (expense) income
(8.7
)
6.9
2.5
(1.8
)
5.1
Fair value adjustment included in other
income
10.5
(5.0
)
-
5.5
-
Depreciation
39.9
39.8
38.3
79.7
75.8
Adjusted EBITDA with noncontrolling
interests (NCI)
$
304.4
$
281.3
$
280.9
$
585.7
$
544.0
Net income attributable to NCI from
continuing operations excluding interest income included in NCI
(14.7
)
(9.9
)
(12.7
)
(24.6
)
(24.4
)
Amortization of intangible assets included
in NCI
-
-
-
-
(0.2
)
Adjusted EBITDA
$
289.7
$
271.4
$
268.2
$
561.1
$
519.4
Reconciliation of
Income from Continuing Operations Before Taxes to Adjusted Income
from Continuing Operations Before Taxes
Income from continuing operations before
taxes
$
221.1
$
218.0
$
170.8
$
439.1
$
307.3
Noncore AECOM Capital loss (income)
4.7
1.0
(0.6
)
5.7
38.5
Fair value adjustment
10.6
(5.6
)
-
5.0
-
Restructuring costs
-
-
35.5
-
51.7
Amortization of intangible assets
0.4
1.1
4.7
1.5
9.3
Financing charges in interest expense
1.2
1.4
1.2
2.6
2.5
Adjusted income from continuing operations
before taxes
$
238.0
$
215.9
$
211.6
$
453.9
$
409.3
Reconciliation of
Income Taxes for Continuing Operations to Adjusted Income Taxes for
Continuing Operations
Income tax expense for continuing
operations
$
51.2
$
29.3
$
45.4
$
80.5
$
72.0
Tax effect of the above adjustments
(1)
4.3
(0.5
)
10.4
3.8
24.4
Valuation allowances and other tax only
items
-
0.5
-
0.5
-
Adjusted income tax expense for continuing
operations
$
55.5
$
29.3
$
55.8
$
84.8
$
96.4
(1)Adjusts the income taxes during the
period to exclude the impact on our effective tax rate of the
pre-tax adjustments shown above.
Reconciliation of
Net Income Attributable to Noncontrolling Interests (NCI) from
Continuing Operations to Adjusted Net Income Attributable to
Noncontrolling Interests from Continuing Operations
Net income attributable to noncontrolling
interests from continuing operations
$
(15.8
)
$
(11.4
)
$
(14.1
)
$
(27.2
)
$
(27.2
)
Amortization of intangible assets included
in NCI
-
-
-
-
(0.2
)
Adjusted net income attributable to
noncontrolling interests from continuing operations
$
(15.8
)
$
(11.4
)
$
(14.1
)
$
(27.2
)
$
(27.4
)
AECOM
Regulation G
Information
(in millions, except per share
data)
Three Months Ended
Six Months Ended
March 31, 2025
Dec 31, 2024
March 31, 2024
March 31, 2025
March 31, 2024
Reconciliation of
Net Income Attributable to AECOM from Continuing Operations to
Adjusted Net Income Attributable to AECOM from Continuing
Operations
Net income attributable to AECOM from
continuing operations
$
154.1
$
177.3
$
111.3
$
331.4
$
208.1
Noncore AECOM Capital loss (income), net
of NCI
4.7
1.0
(0.6
)
5.7
38.5
Fair value adjustment
10.6
(5.6
)
-
5.0
-
Restructuring costs
-
-
35.5
-
51.7
Amortization of intangible assets
0.4
1.1
4.7
1.5
9.3
Financing charges in interest expense
1.2
1.4
1.2
2.6
2.5
Tax effect of the above adjustments
(1)
(4.3
)
0.5
(10.4
)
(3.8
)
(24.4
)
Valuation allowances and other tax only
items
-
(0.5
)
-
(0.5
)
-
Amortization of intangible assets included
in NCI
-
-
-
-
(0.2
)
Adjusted net income attributable to AECOM
from continuing operations
$
166.7
$
175.2
$
141.7
$
341.9
$
285.5
(1) Adjusts the income taxes during the
period to exclude the impact on our effective tax rate of the
pre-tax adjustments shown above
Reconciliation of
Net Income Attributable to AECOM from Continuing Operations per
Diluted Share to Adjusted Net Income Attributable to AECOM from
Continuing Operations per Diluted Share
Net income attributable to AECOM from
continuing operations per diluted share
$
1.16
$
1.33
$
0.81
$
2.48
$
1.52
Per diluted share adjustments:
Noncore AECOM Capital loss, net of NCI
0.04
0.01
-
0.04
0.28
Fair value adjustment
0.08
(0.04
)
-
0.04
-
Restructuring costs
-
-
0.26
-
0.38
Amortization of intangible assets
-
0.01
0.03
0.01
0.07
Financing charges in interest expense
0.01
0.01
0.01
0.02
0.02
Tax effect of the above adjustments
(1)
(0.04
)
(0.01
)
(0.07
)
(0.03
)
(0.18
)
Adjusted net income attributable to AECOM
from continuing operations per diluted share
$
1.25
$
1.31
$
1.04
$
2.56
$
2.09
Weighted average shares outstanding –
basic
132.4
132.5
136.0
132.5
136.0
Weighted average shares outstanding –
diluted
133.1
133.6
136.7
133.4
136.9
(1) Adjusts the income taxes during the
period to exclude the impact on our effective tax rate of the
pre-tax adjustments shown above.
Reconciliation of
Net Income Attributable to AECOM from Continuing Operations to
Adjusted EBITDA
Net income attributable to AECOM from
continuing operations
$
154.1
$
177.3
$
111.3
$
331.4
$
208.1
Income tax expense
51.2
29.3
45.4
80.5
72.0
Depreciation and amortization
41.6
42.3
44.2
83.9
87.3
Interest income, net of NCI
(13.4
)
(15.2
)
(14.1
)
(28.6
)
(24.8
)
Interest expense
42.2
43.0
47.7
85.2
89.0
Amortized bank fees included in interest
expense
(1.3
)
(1.4
)
(1.2
)
(2.7
)
(2.4
)
Noncore AECOM Capital loss (income), net
of NCI
4.7
1.0
(0.6
)
5.7
38.5
Fair value adjustment included in other
income
10.6
(4.9
)
-
5.7
-
Restructuring costs
-
-
35.5
-
51.7
Adjusted EBITDA
$
289.7
$
271.4
$
268.2
$
561.1
$
519.4
AECOM
Regulation G
Information
(in millions, except per share
data)
Three Months Ended
Six Months Ended
March 31, 2025
Dec 31, 2024
Mar 31, 2024
Mar 31, 2025
Mar 31, 2024
Reconciliation of
Segment Income from Operations to Adjusted Segment Income from
Operations
Americas Segment:
Segment Income from operations
$
217.4
$
195.8
$
189.2
$
413.2
$
363.8
Amortization of intangible assets
0.3
1.1
4.3
1.4
8.6
Adjusted segment income from
operations
$
217.7
$
196.9
$
193.5
$
414.6
$
372.4
International Segment:
Segment Income from operations
$
82.2
$
80.8
$
81.2
$
163.0
$
158.3
Amortization of intangible assets
-
-
0.4
-
0.7
Adjusted segment income from
operations
$
82.2
$
80.8
$
81.6
$
163.0
$
159.0
Segment Performance (excludes ACAP
& G&A):
Segment Income from operations
$
299.6
$
276.6
$
270.4
$
576.2
$
522.1
Amortization of intangible assets
0.3
1.1
4.7
1.4
9.3
Adjusted segment income from
operations
$
299.9
$
277.7
$
275.1
$
577.6
$
531.4
AECOM
Regulation G
Information
FY2025 GAAP EPS
Guidance based on Adjusted EPS Guidance
(all figures approximate)
Fiscal Year End 2025
GAAP EPS
guidance
$5.00 to $5.10
Adjusted EPS excludes:
Amortization of intangible assets
$0.01
Amortization of deferred financing
fees
$0.04
Noncore AECOM Capital
$0.04
Fair value adjustment
$0.04
Tax effect of the above items
($0.03) to ($0.03)
Adjusted EPS guidance
$5.10 to $5.20
FY2025 GAAP Net
Income from Continuing Operations Guidance based on Adjusted EBITDA
Guidance
(in millions, all figures approximate)
Fiscal Year End 2025
GAAP net income from continuing operations
guidance
$728 to $734
Net income attributable to noncontrolling
interest from continuing operations
($60) to ($50)
Net income attributable to AECOM from
continuing operations
$668 to $684
Adjusted net income attributable to AECOM
from continuing operations excludes:
Amortization of intangible assets
$2
Amortization of deferred financing
fees
$5
Noncore AECOM Capital
$6
Fair value adjustment
$5
Tax effect of the above items
($5) to ($4)
Adjusted net income attributable to AECOM
from continuing operations
$681 to $698
Adjusted EBITDA excludes:
Depreciation
$164
Adjusted interest expense, net
$120 to $125
Tax expense, including tax effect of above
items
$215 to $223
Adjusted EBITDA guidance
$1,180 to $1,210
FY2025 GAAP
Interest Expense Guidance based on Adjusted Interest Expense
Guidance
(in millions, all figures approximate)
Fiscal Year End 2025
GAAP interest expense guidance
$170 to $175
Finance charges in interest expense
($5)
Interest income, net of NCI
($45)
Adjusted net interest expense guidance
$120 to $125
FY2025 GAAP
Income Tax Guidance based on Adjusted Income Tax
Guidance
(in millions, all figures approximate)
Fiscal Year End 2025
GAAP income tax expense guidance
$210 to $219
Tax effect of adjusting items
$5 to $4
Adjusted income tax expense guidance
$215 to $223
Note: Variances in tables are due to rounding.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20250505571047/en/
Investor Contact: Will Gabrielski Senior Vice President,
Finance, Treasurer 213.593.8208 William.Gabrielski@aecom.com
Media Contact: Brendan Ranson-Walsh Global Head of
Communications 213.996.2367 Brendan.Ranson-Walsh@aecom.com
AECOM (NYSE:ACM)
Historical Stock Chart
From Jun 2025 to Jul 2025
AECOM (NYSE:ACM)
Historical Stock Chart
From Jul 2024 to Jul 2025
