Jacobs Solutions (J) - 2025 Q1 - Quarterly Results

Financial Performance - Gross revenue for Q1 2025 was $2.93 billion, representing a year-over-year growth of 4.4%[6] - Adjusted net revenue increased to $2.08 billion, up 5.1% year-over-year[6] - Total revenue for the three months ended December 27, 2024, was $2,932,956, an increase of 4.4% compared to $2,810,227 for the same period in 2023[17] - Adjusted net revenue for the same period was $2,082,497, up from $1,980,976, reflecting a growth of 5.1%[17] - Adjusted EPS for Q1 2025 was $1.33, down 8.3% year-over-year, while GAAP EPS was ($0.10)[6] - The company reported a net loss attributable to the Group of $5,003 for the three months ended December 27, 2024, compared to net earnings of $181,454 in the same period of 2023[21] - Adjusted net earnings attributable to Jacobs from continuing operations for the three months ended December 27, 2024, were $165,828,000, down from $183,418,000 in the prior year, representing a decrease of 9.1%[39] - The diluted net loss from continuing operations per share for the three months ended December 27, 2024, was $(0.10), compared to earnings of $1.03 per share for the same period in 2023[42] - For the three months ended December 27, 2024, Jacobs reported a net loss attributable to continuing operations of $17,129,000 compared to a profit of $128,346,000 for the same period in 2023[45] - Basic net loss earnings from continuing operations per share was $(0.10), down from $1.03 in the same quarter of the previous year[45] - Basic (loss) earnings per share for the quarter was $(0.11), compared to $1.37 in the prior year[45] Backlog and Operational Metrics - Backlog reached $21.8 billion, an 18.9% increase compared to the previous year[6] - The backlog as of December 27, 2024, was $21,815 million, up from $18,348 million, indicating a growth of 13.4% year-over-year[22] - The backlog, representing expected revenue from work to be completed, is a key operational metric that the company uses to evaluate business trends and make strategic decisions[31] Shareholder Actions - The company repurchased $202 million of its shares during Q1 2025[2] Profitability and Margins - The adjusted EBITDA margin is projected to range from 13.8% to 14.0% for fiscal 2025[4] - Segment operating profit for Infrastructure & Advanced Facilities increased to $157,776, a rise of 22.4% from $128,892 in the prior year[17] - Total segment operating profit for the three months ended December 27, 2024, was $224,514, an increase of 22.5% from $183,347 in the same period of 2023[17] - Adjusted EBITDA for the three months ended December 27, 2024, was $282,114,000, compared to $228,274,000 for the same period in 2023, reflecting a year-over-year increase of 23.6%[44] - The adjusted operating margin for the company was calculated as a ratio of adjusted operating profit to adjusted net revenue, providing insights into operational efficiency[29] Investment and Losses - The company recorded $145 million in mark-to-market losses on its investment in Amentum, impacting net income[6] - The company incurred $145.2 million in mark-to-market losses associated with its investment in Amentum stock during the quarter[18] Cash and Liabilities - Cash and cash equivalents at the end of the period were $1,300,441, compared to $1,157,256 at the end of the same period last year, representing an increase of 12.3%[21] - Current assets increased to $4,946,964 from $4,895,580, reflecting a growth of 1.0%[20] - Total current liabilities decreased to $3,943,095 from $4,079,741, a reduction of 3.3%[20] Taxation - The adjusted effective tax rate from continuing operations increased to 27.5% for the three months ended December 27, 2024, compared to a negative rate of (6.9)% in the prior year[36] - The adjusted income tax expense from continuing operations for the three months ended December 27, 2024, was $(70,200,000), compared to a benefit of $12,669,000 in the prior year[36] Future Outlook - The company raised its adjusted EPS guidance for fiscal 2025 from $5.80-$6.20 to $5.85-$6.20[4] - Jacobs will host its Investor Day on February 18, 2025, to discuss long-term strategy[5]