Jacobs Solutions Inc. Q3 FY2026 Earnings Call

· Earnings call transcript and AI-powered summary

Jacobs Fiscal Q3 2026 Earnings Summary

  • Adjusted EPS: $1.84, up 14% year-over-year (sixth consecutive quarter of double-digit growth); supported by organic growth and margin expansion. This compares to prior year Q3 results.
  • Adjusted Net Revenue: Grew >8% YoY (all organic); I&AF segment reached record ~$2.1 billion (+10% YoY).
  • Adjusted EBITDA: $367 million (+17% YoY); margin 15.2% (+109 bps YoY and nearly +200 bps vs. Q3 2024).
  • Backlog: Record $29 billion (+27% YoY); TTM book-to-bill 1.4x gross revenue / 1.2x net revenue. Net revenue in backlog +11% YoY; gross profit in backlog +14% YoY.
  • AI Exposure: Direct AI build-out represented 11% of adjusted net revenue (+100 bps from prior quarter).
  • Free Cash Flow: Q3 adjusted FCF $541 million (YTD $633 million); on track for >100% FCF return to shareholders for second straight year via $614 million in repurchases YTD.
  • Balance Sheet: Net leverage 1.8x (target achieved one quarter early); targeting ~1.5x by end of FY27.

Segment & End Market Performance (Q3 2026 vs. Q3 2025)

Continue Reading

Unlock the full AI-powered summary with key highlights, financial performance, and analyst Q&A.

Upgrade to Professional
Operator: Hello everyone. Thank you for joining us, and welcome to the Jacobs Fiscal Third Quarter 2026 Earnings Conference Call and Webcast. I will now hand the conference over to Bert Subin, Senior Vice President of Investor Relations. Please go ahead. Bert Subin: Thank you, operator, and welcome, everyone. Following market close, we issued our earnings announcement, filed our Form 10-Q and posted a slide presentation on our website, which we'll reference during the call. I would like to refer you to Slide 2 of the presentation for information about our forward-looking statements, non-GAAP financial measures and operating metrics. Now let's turn to the agenda on Slide 3. Speaking on today's call will be Jacobs' Chair and CEO, Bob Pragada; and CFO, Venk Nathamuni. Bob will begin by providing comments on the business as well as highlights of our third quarter results, and a recap of notable awards. Venk will then provide a detailed review of our financial performance, including commentary on end market trends, cash flow and balance sheet data as well as our updated outlook. Finally, Bob will provide closing remarks. Then we'll open up the call for questions. With that, I'll turn it over to our Chair and CEO, Bob Pragada. Robert Pragada: Good afternoon, everyone, and thank you for joining us to discuss our third quarter 2026 business performance. We delivered strong results in Q3. I'll quickly highlight a few key takeaways. First, adjusted EPS grew approximately 14% to $1.84

Continue Reading

Unlock the full earnings call transcript with speaker labels and formatted dialogue.

Upgrade to Professional