AECOM shares rise as strong guidance overshadows mixed Q4 results

EditorRachael Rajan
Published 11/19/2024, 05:20 AM
ACM
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NEW YORK - Engineering and construction firm AECOM (NYSE:ACM) saw its shares gain 1.5% in after-hours trading on Monday after the company issued upbeat fiscal 2025 guidance that overshadowed mixed fourth quarter results.

AECOM reported adjusted earnings per share of $1.27 for its fiscal fourth quarter, topping analyst estimates of $1.24. However, revenue of $1.81 billion fell short of the $1.86 billion consensus forecast.

For fiscal 2025, AECOM expects adjusted earnings per share of $5.00 to $5.20, well above Wall Street's projection of $4.52. The company anticipates organic net service revenue growth of 5% to 8% next year.

"We delivered strong results that reflect the strength of our strategy and our competitive advantage," said Troy Rudd, AECOM's chief executive officer. "As our largest markets now have certainty following recent elections, several growth opportunities are emerging."

AECOM reported record backlog of $23.9 billion at the end of fiscal 2024, up 3% year-over-year. The company's pipeline of opportunities increased by 10% to reach a new high.

For fiscal 2024, AECOM's revenue rose 12% to $16.1 billion while adjusted earnings per share increased 22% to $4.52.

The company also announced an increase to its share repurchase authorization to $1 billion and an 18% hike to its quarterly dividend.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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