What's Happening?
Jacobs Solutions has reported a significant increase in its Q3 2025 earnings, with a 25% rise in adjusted earnings per share (EPS) to $1.62. The company's adjusted net revenue grew by 7% year-over-year, while its gross revenue increased by 5%. The adjusted EBITDA rose by over 13% to $314 million, with a margin of 14.1%. The company's backlog reached nearly $23 billion, marking a 14% increase from the previous year. Jacobs has also raised its fiscal 2025 guidance, projecting adjusted net revenue growth of approximately 5.5% and an adjusted EPS range of $6.00 to $6.10. The company highlighted its strategic partnership with NVIDIA on digital twin technology for AI data centers as a key growth area.
AD
Why It's Important?
The strong financial performance and increased backlog underscore Jacobs Solutions' robust position in the market, driven by demand in sectors such as water, data centers, and life sciences. The partnership with NVIDIA positions Jacobs at the forefront of digital transformation in AI data centers, potentially expanding its market reach. The company's ability to raise its fiscal guidance reflects confidence in its strategic initiatives and market conditions. This growth benefits stakeholders, including investors and clients, by enhancing revenue visibility and profitability.
What's Next?
Jacobs Solutions anticipates continued revenue and margin growth into fiscal 2026, supported by its record backlog and strategic initiatives. The company plans to focus on expanding its digital twin technology offerings and leveraging its partnership with NVIDIA to capture more market opportunities. Jacobs also aims to maintain its strong financial performance by optimizing its project mix and cost management strategies.
