ABM Q1 Earnings: Sales And EPS Beat, Cash Flow Challenges, Outlook Boost And More

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ABM Industries Inc. (NYSE:ABM) shares are trading higher after the company reported first-quarter FY25 earnings.

Sales grew 2.2% year over year to $2.11 billion, beating the consensus of $2.09 billion.

Revenue growth was driven by Technical Solutions (+22% Y/Y) and Aviation (+8.2% Y/Y), with Education revenue rose 2.4% Y/Y.

Operating profit rose 4.7% Y/Y to $77.6 million in the quarter. Adjusted EBITDA rose to $120.6 million from $116.7 million a year ago quarter, with the adjusted EBITDA margin stood at 5.9% (flat Y/Y).

Adjusted EPS of 87 cents beat the consensus of 78 cents.

Net cash used in operating activities was $106.2 million, and free cash flow was negative $122.9 million, primarily reflecting a temporary increase in working capital due to the transition to the new ERP system.

As of January-end, ABM …

Full story available on Benzinga.com