ABM Reports Fiscal Third Quarter 2026 Results
ABM reported fiscal Q3 2026 revenue up 4.2% year over year to a quarterly record of $2.3 billion, with GAAP net income up 19% to $49.7 million ($0.84 diluted EPS) and adjusted EPS up 19% to $1.04 from $0.82. Adjusted EBITDA rose 11% to $139.6 million. Growth was led by Manufacturing & Distribution, up 18% on the WGNstar acquisition and technology-related demand, and Aviation, up 12% on the London Heathrow contract ramp. Technical Solutions came in below expectations due to client project deferrals, while Business & Industry declined 2.6% after the previously announced exit of a large UK-based client.
Key figures
- Eps
- 1.04
- Guidance
- FY26 adjusted EPS $3.95-$4.10 (midpoint raised from prior $3.85-$4.15); operating cash flow ~$300M and free cash flow ~$210M (FCF up ~$25M from prior outlook); segment operating margin 7.7%-7.8% (from 7.8%-8.0%); interest expense ~$110M; normalized tax rate 29%-30%
- Revenue Yoy
- 4.2%
- Leverage ratio
- 2.9x
- Adjusted ebitda
- 139600000
- Gaap net income
- 49700000
- Gaap diluted eps
- 0.84
- Q3 free cash flow
- 128400000
- Dividend per share
- 0.29
- Total indebtedness
- $1.8 billion
- Ytd free cash flow
- 199600000
- Adjusted net income
- 61500000
- Available liquidity
- 605800000
- Organic revenue growth
- 2.1%
- Q3 operating cash flow
- 146800000
- Ytd operating cash flow
- 275000000
- Segment operating margin
- 7.7%
- Acquisition revenue growth
- 2.1%
AI analysis
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