| Metric | Value ($ M) | Q2 FY25 | Q3 FY24 |
|---|---|---|---|
| Revenue | 1.6K | 2.4% | 10.4% |
| Total Income | 1.6K | 2.4% | 10.4% |
| Expenditure | 1.5K | 1.7% | 10.7% |
| PBT | 97.83 | 9.7% | 9.5% |
| Net Profit | 64.12 | 16.1% | 10.9% |
| OPM | 6.66% | 0.62pp | 0.30pp |
| NPM | 3.95% | 0.47pp | 0.02pp |
| EPS | 0.60 | 15.4% | 11.8% |
Parsons Reports Q3 2025 Results: Revenue $1.6 Billion
04 May 2026 · 4 May, 7:57 am
Summary
Parsons Corporation announced its Q3 2025 financial results, with total revenue at $1.6 billion, a 10% decrease year-over-year. Excluding a confidential contract, revenue grew by 14%. Net income decreased to $64 million, while adjusted EBITDA decreased 5% to $158 million, but the adjusted EBITDA margin expanded to 9.8%. The company's total backlog increased to $8.8 billion. The company is modifying its fiscal year 2025 revenue outlook and reiterating its adjusted EBITDA and operating cash flow guidance ranges at the mid-point.
Key Highlights
- 1
Parsons' Q3 2025 revenue was $1.6 billion, a decrease of 10% year-over-year.
- 2
Excluding a confidential contract, revenue grew by 14% in Q3 2025.
- 3
Net income for Q3 2025 decreased by $8 million year-over-year to $64 million.
- 4
Adjusted EBITDA for Q3 2025 decreased 5% to $158 million, while adjusted EBITDA margin increased 60 basis points to 9.8%.
- 5
The company's total backlog increased to $8.8 billion, with 72% funded, the highest level since its IPO.
- 6
Critical Infrastructure revenue increased by 18% to $833 million in Q3 2025.
- 7
The company modifies its fiscal year 2025 revenue outlook and reiterates its adjusted EBITDA and operating cash flow guidance ranges at the mid-point.
Management Comments
Carey Smith
We are pleased with our third quarter results. We delivered double-digit revenue growth, achieved 60 basis points of margin expansion, exceeded our cash flow expectation, secured defense contracts in the Administration's priority areas, and continued to deliver outstanding results in our Critical Infrastructure segment. In addition, our win rates and hiring and retention remain strong, and we completed another accretive acquisition after the quarter ended. Given our healthy forward-looking financial metrics, team's strong execution, recent large contract wins, and the tailwinds we have in both segments, we remain optimistic that we will continue to deliver industry leading organic growth rates and drive long-term shareholder value.”
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