Jacobs Solutions (US:J) ZACKS·2026-02-04 14:36Core Insights - Jacobs Solutions Inc. reported strong first-quarter fiscal 2026 results, with adjusted earnings and revenues exceeding expectations and showing year-over-year growth [1][4] Financial Performance - Adjusted EPS was $1.53, surpassing the Zacks Consensus Estimate of $1.52 by 0.7%, and increased from $1.33 in the same quarter last year [4] - Gross revenues reached $3.29 billion, exceeding the consensus mark of $3.18 billion by 3.5% and growing 12.3% year over year [4] - Adjusted net revenues were $2.25 billion, up 8.2% year over year [4] - Adjusted operating profit grew 8.2% to $299.6 million, with an adjusted operating margin remaining flat at 13.3% [5] - Adjusted EBITDA was $302.6 million, up 7.3% year over year, with a margin of 13.4%, down 10 basis points from the previous year [5] Segment Performance - Infrastructure & Advanced Facilities segment revenues totaled $2.94 billion, a 12% increase year over year, with adjusted net revenues of $1.9 billion, up 6.9% [6] - PA Consulting segment generated $354.4 million in revenues, a 15.5% increase from the previous year [8] Backlog and Demand - Fiscal first-quarter backlog increased 20.6% year over year to $26.3 billion, indicating strong project wins and a book-to-bill ratio of 1.4x [5][9] - The backlog at the end of the quarter was $25.9 billion, up from $21.48 billion a year ago [7] Cash Flow and Balance Sheet - Cash and cash equivalents at the end of the quarter were $1.55 billion, up from $1.24 billion at the end of fiscal 2025 [11] - Net cash provided by operating activities totaled $380.8 million, significantly up from $107.5 million in the same period last year [12] - Free cash flow was $364.9 million, up from $97.1 million a year ago [12] Future Outlook - Jacobs raised its fiscal 2026 guidance, expecting adjusted net revenues to grow between 6.5% and 10% and adjusted EPS to be between $6.95 and $7.30 [13] - The company anticipates a free cash flow margin ranging from 7% to 8.5% [14]