AECOM (ACM) Q2 2026 Financial Results Summary

AECOM (NYSE: ACM) released its second-quarter fiscal 2026 results on May 11, 2026. The report highlighted the company's significant achievements and performance metrics over the quarter. Below is a summary of the key financial results for Q2 2026.

Second Quarter Highlights:

• Revenue: Increased by 1% year-over-year to $3.8 billion.
• Operating Income: Decreased by 4% year-over-year to $248 million.
• Net Income: Increased by 19% year-over-year to $184 million.
• Diluted Earnings Per Share (EPS): Increased by 22% year-over-year to $1.42.
• Net Service Revenue (NSR): Increased by 4% on an as-reported basis, or 2% on a constant-currency basis, reaching $1.95 billion with significant growth observed in the Americas design business (8% constant-currency growth).
• Adjusted Operating Margin: Improved by 50 basis points to 16.5%, setting a new record for the second quarter.
• Adjusted EBITDA Margin: Increased by 20 basis points to 16.5%, also a new record for the second quarter.

Year-to-Date Performance:

• For the first half of the fiscal year, both the adjusted operating margin and adjusted EBITDA margin were 16.5%, reflecting an increase of 70 basis points and 50 basis points, respectively, over the prior year.
• Adjusted EBITDA: Increased by 8% to $312 million.
• Adjusted EPS: Increased by 27% year-over-year, reaching $1.59.

Backlog Metrics:

• Total Backlog: Increased by 8% year-over-year to a record high of $26.2 billion.
• Book-to-Burn Ratio: Reported at 1.2, continuing a streak of 22 consecutive quarters with a ratio exceeding 1.

Business Comparisons:

• Americas Segment:
  • Revenue: $2.9 billion, a 1% increase year-over-year.
  • Net Service Revenue: $1.2 billion, reflecting a 5% increase.
  • Operating income: Increased by 5% year-over-year to $228 million with an adjusted basis increase of 10% to $239 million.
  • Backlog in the Americas: Grew by 2% to new record highs.
• International Segment:
  • Revenue: $890 million, a 2% increase year-over-year.
  • Net Service Revenue: $754 million, representing a 3% decrease year-over-year.
  • Operating income: Decreased by 6% year-over-year to $77 million, while adjusted basis increased by 2% to $84 million.
  • Backlog in the International segment grew by 25% year-over-year.

Cash Flow and Capital Allocation:

• Cash Flow: Underlying cash flow met expectations but was affected by delayed payments and lengthy claims resolution in the Middle East.
• Shareholder Returns: A total of $155 million was returned to shareholders through share repurchases and dividends in the quarter.
  • Total amount returned since repurchase program initiation in September 2020 exceeded $3.5 billion.

Guidance for Fiscal Year 2026:

• Increased adjusted EPS guidance: Now projected between $5.90 and $6.10, up from the previous range of $5.85 to $6.05, indicating a 14% growth year-over-year at mid-range.
• Adjusted EBITDA guidance: Expected between $1,275 million and $1,305 million, reflecting a 7% year-over-year growth at mid-range.
• Organic NSR growth range reiterated at 6% to 8%, and profitable margins expected to reach 16.8% for operating margin and 17.0% for adjusted EBITDA margin.

Tax Rate:

• Effective tax rate: 12.1% for the quarter, with an adjusted tax rate of 13.9%.

Conference Call:

AECOM will hold a conference call to discuss the results and outlook on May 12, 2026, at 8 a.m. Eastern Time.

In conclusion, AECOM demonstrated resilience and steady growth in the second quarter of fiscal 2026, setting new records in key metrics while continuing to prioritize shareholder returns through repurchase programs and dividends.

Note: All amounts in the following tables are in thousands.

	Six Months Ended March 31, 2026	Six Months Ended March 31, 2025	% Change
Revenue	$ 3,...	$ 3,...	0.8 %
Cost of Revenue	3,...	3,...	0.7 %
Gross Profit	29...	29...	2.0 %
Operating Income	10...	(8...)	(2.0)%
Net Income	$ 184	$ 154	19 %
EPS (Fully Diluted)	$ 1.42	$ 1.16	22 %
EBITDA	--	$ 312	8 %
EBITDA Margin	--	16.5 %	+20 bps
Free Cash Flow	$ 4	(27)	NM
Total Backlog	$ 26,204	--	8 %

	March 31, 2026	September 30, 2025
Total cash and cash equivalents	$ 1,034,257	$ 1,585,739
Accounts receivable and contract assets	4,628,940	4,282,326
Working capital	618,264	801,411
Total debt, excluding unamortized debt issuance costs	2,747,720	2,743,719
Total assets	12,007,347	12,200,249
Total AECOM stockholders’ equity	2,270,592	2,492,584

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