Abm Industries Incorporated · NYSE:ABM
Abm Industries — Q2 2025 Earnings Presentation
17 slides from Abm Industries's earnings presentation, Jun 6, 2025
Slide 1: Second Quarter 2025 Earnings Presentation
Second Quarter 2025 Earnings Presentation June 6, 2025
Slide 2: Forward Looking Statements
Forward Looking Statements This press release contains both historical and forward-looking statements about ABM Industries Incorporated (“ABM”) and its subsidiaries (collectively referred to as “ABM,” “we,” “us,” “our,” or the “Company”). We make forward-looking statements related to future expectat
Slide 3: Use of Non-GAAP Financial Information
Use of Non-GAAP Financial Information To supplement ABM’s consolidated financial information, the Company has presented net income and net income per diluted share as adjusted for items impacting comparability for the second quarter and first six months of fiscal years 2025 and 2024. These adjustmen
Slide 4: Q2 2025 Review
Q2 2025 Review Financial Results Demand Environment Highlights • Revenue of $2.1B • B & I’s Commercial prime • Organic revenue growth in office space markets continue B&I and M&D • 3.8% organic growth to improve • Cash flow from operations • Net income of $42.2M improves $138.5 million • M&D markets
Slide 5: End-to-End Facility Solutions Across Diverse Markets
End-to-End Facility Solutions Across Diverse Markets Business & Industry Aviation Manufacturing & Education Technical Solutions Distribution • Facility cleaning • Facility cleaning • Facility cleaning • Facility cleaning • Cleanroom services • Building engineering & • Building engineering • Building
Slide 6: Q2 2025 Revenue
Q2 2025 Revenue Segment Growth Rates • Revenue increased 4.6% 19.3%(1) $2,112 to $2.1B 2.4% 1.0% • 3.8% organic 9.2% 2.6% growth $2,018 • B&I and M&D return to organic growth • Continued strong growth in Technical Solutions despite project delays • Aviation remains strong Q2 2024 B&I AVI M&D EDU ATS
Slide 7: Q2 2025 Profitability
Q2 2025 Profitability $ in millions NET INCOME (1) EARNINGS PER SHARE (1) • Decreases in GAAP net income and GAAP EPS largely reflects $52.3 $54.1 $0.86 $0.82 higher interest expense and $43.8 $42.2 $0.69 $0.67 higher transformation and integration costs, offset in part by increased segment earnings
Slide 8: Q2 2025 Segment Performance
Q2 2025 Segment Performance Business & Industry Aviation Revenue Operating Profit & Margin Revenue Operating Profit & Margin $16.5 $ in millions $260.1 $ in millions $989.6 $1,015.5 $77.6 $83.0 $238.2 7.7% $13.1 +2.6% 7.8% 8.2% +9.2% 6.3% 5.5% Q2 2024 Q2 2025 Q2 2024 Q2 2025 Q2 2024 Q2 2025 Q2 2024
Slide 9: Q2 2025 Segment Performance
Q2 2025 Segment Performance Manufacturing & Distribution Education Technical Solutions Revenue Operating Profit & Revenue Operating Profit & Revenue Operating Profit & $ in millions Margin $ in millions Margin $ in millions Margin $43.6 $225.6 $227.8 $210.2 $388.6 $398.1 $39.9 7.7% 7.7% +9.5% $17.0
Slide 10: Q2 2025 Leverage & Shareholder Returns
Q2 2025 Leverage & Shareholder Returns Leverage Shareholder Returns 4.0x $ in millions $60 $ in millions $1,600 3.0x $1,200 2.0x $800 $30 $32.0 $23.8 $21.3 1.0x $400 $14.1 $14.1 $14.1 $16.4 $16.5 $14.1 $0 0.0x $0 Total Indebtedness (Incl. LCs) Leverage Ratio Shares Repurchased Dividends Paid • Total
Slide 11: Fiscal 2025 – Reaffirmed FY 2025 Outlook
Fiscal 2025 – Reaffirmed FY 2025 Outlook Metric Outlook Adjusted net income per diluted share (1) $3.65 - $3.80 (2) Adjusted EBITDA Margin(1) 6.3% - 6.5% (2) Tax rate (excl. discrete tax items and impact of non-taxable items) 29% - 30% Interest expense $80M - $84M 2025 Working Days Quarter Q1 Q2 Q3
Slide 12: Appendix
@ ABM Appendix _ ji
Slide 13: Unaudited Reconciliation of Non-GAAP Financial Measures
Unaudited Reconciliation of Non-GAAP Financial Measures $ in millions Three Months Ended April 30, Six Months Ended April 30, 2025 2024 2025 2024 Reconciliation of Net Income to Adjusted Net Income Net income $ 42.2 $ 43.8 $ 85.8 $ 88.4 Items impacting comparability(a)(b) Legal costs and other settl
Slide 14: Unaudited Reconciliation of Non-GAAP Financial Measures - Footnotes
Unaudited Reconciliation of Non-GAAP Financial Measures - Footnotes (a) The Company adjusts income to exclude the impact of certain items that are unusual, non-recurring, or otherwise do not reflect management's views of the underlying operational results and trends of the Company. (b) After communi
Slide 15: Unaudited Reconciliation of Non-GAAP Financial Measures
Unaudited Reconciliation of Non-GAAP Financial Measures $ in millions. except per share amounts Three Months Ended April 30, Six Months Ended April 30, 2025 2024 2025 2024 Reconciliation of Net Income to Adjusted EBITDA Net Income $ 42.2 $ 43.8 $ 85.8 $ 88.4 Items impacting comparability 16.6 11.9 3
Slide 16: Unaudited Reconciliation of Non-GAAP Financial Measures
Unaudited Reconciliation of Non-GAAP Financial Measures $ in millions Three Months Ended April 30, Six Months Ended April 30, 2025 2024 2025 2024 Reconciliation of Net Cash Provided by (Used in) Operating Activities to Free Cash Flow Net cash provided by (used in) operating activities $ 32.3 $ 117.0
Slide 17: Thank You
Thank You Get in touch with us Paul Goldberg Senior Vice President – Investor Relations Paul.Goldberg@ABM.com ABM.com A white letter on a black background Description automatically generated ABM drives possibility through facility, engineering, and infrastructure solutions across a wide range of ind