Quarterly ResultOct 30, 2026, 08:41 AM
Verra Mobility Q3 Revenue Down 1% to $258.9M; Reaffirms Guidance
AI Summary
Verra Mobility announced its third quarter 2026 financial results, reporting a slight decrease in total revenue to $258.9 million and a drop in net income to $40.4 million. The company saw strong growth in its Government Solutions segment, which was offset by a significant decline in its Commercial Services segment, partly due to unfavorable contract terms and fleet volume reductions with Avis Budget Group, leading to the termination of their contract. Despite these challenges, Verra Mobility reaffirmed its full-year 2026 guidance and reported an increase in Free Cash Flow. The company also announced management changes, including the appointment of Matthew Kvarda as Interim Chief Financial Officer.
Key Highlights
- Verra Mobility reported Q3 2026 total revenue of $258.9 million, a 1% decrease year-over-year.
- Net income for Q3 2026 was $40.4 million ($0.27/share), down from $46.8 million ($0.29/share) in Q3 2025.
- Adjusted EBITDA was $103.9 million, a decrease from $113.3 million in Q3 2025.
- Government Solutions revenue increased 12% to $136.8 million, while Commercial Services revenue decreased 14% to $100.3 million.
- Free Cash Flow increased to $89.4 million in Q3 2026 from $49.0 million in Q3 2025.
- The company reaffirmed its full-year 2026 guidance for revenue, Adjusted EBITDA, Adjusted EPS, and Free Cash Flow.
- Matthew Kvarda appointed Interim Chief Financial Officer, effective November 5, 2026.
- Verra Mobility terminated its contract with Avis Budget Group, effective January 30, 2027.
Price Impact
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