| Q3 2024 Financial Highlights |
| § Record revenue of $1.8 billion increases 28% year-over-year |
| § Record organic revenue growth of 26%, including six consecutive quarters with year-over-year organic growth above 20% |
| § Record net income increases 52% to $72 million |
| § Record adjusted EBITDA increases 31% to $167 million |
| § Record cash flow from operations increases by $95 million to $299 million; record trailing twelve-month operating cash flow of $587 million increases 91% over the prior twelve-month period |
| § Contract awards increase 24% to $1.8 billion, a third-quarter record |
| § Announced and closed BlackSignal Technologies acquisition |
| § After Q3 2024 ended, Parsons entered into a definitive agreement to acquire BCC Engineering, LLC |
| § Increasing the fiscal year 2024 guidance ranges for all financial metrics |
| Parsons Corporation (NYSE: PSN) today announced financial results for the third quarter ended September 30, 2024. |
| CEO Commentary |
| “We delivered record third-quarter results for total revenue, organic revenue growth, net income, adjusted EBITDA, operating cash flow, and contract awards. We also achieved over 20% organic growth for the sixth consecutive quarter, while efficiently managing the business as bottom-line growth continues to outpace our strong top-line growth,” said Carey Smith, chair, president, and chief executive officer. |
| "In addition, we continue to leverage our strong balance sheet to invest in software and integrated solutions, as well as execute accretive acquisitions that either provide distinguished defence capabilities to counter near-peer threats or strengthen our engineering expertise and increase our geographical footprint in high-growth infrastructure markets. As a result of our strong operating performance and our BlackSignal acquisition, we are raising our full-year revenue, adjusted EBITDA, and cash flow guidance ranges.” |
| Third Quarter 2024 Results |
| Year-over-Year Comparisons (Q3 2024 vs. Q3 2023) |
| Total revenue for the third quarter of 2024 increased by $392 million, or 28%, to $1.8 billion. This increase was primarily driven by organic growth of 26% due to the ramp-up of recent contract wins and growth on existing contracts in the company's critical infrastructure protection and cyber and intelligence markets. Operating income increased 38% to $115 million primarily due to the ramp-up of new and existing contracts. Net income increased 52% to $72 million. |
| GAAP diluted earnings per share (EPS) attributable to Parsons was $0.65 in the third quarter of 2024, compared to $0.42 in the prior year period. |
| Adjusted EBITDA including noncontrolling interests for the third quarter of 2024 was $167 million, a 31% increase over the prior year period. Adjusted EBITDA margin expanded 20 basis points to 9.2% in the third quarter of 2024, compared to 9.0% in the third quarter of 2023. The year-over-year adjusted EBITDA and margin increases were driven primarily by higher volume on margin accretive contracts and a deliberate focus on indirect cost management. |
| Adjusted EPS was $0.95 in the third quarter of 2024, compared to $0.69 in the third quarter of 2023. The year-over-year adjusted EPS increase was driven by the previously mentioned adjusted EBITDA increase noted above. |
| For the full document click the link below: |
| Parsons Corporation |
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