h3 ATS Corporation Reports First Quarter 2025 Financial Resultsh3p ATS Corporation NYSEATS reported
Intellectia.AI Updated: 1970-01-01
ATS Corporation Reports First Quarter 2025 Financial Results
ATS Corporation (NYSE:ATS) reported its financial results for the three months ended June 30, 2024.
Key Financial Metrics
| Metric | Q1 2025 | Q1 2024 | Year-Over-Year Change | Consensus Estimates (if provided) |
|---|---|---|---|---|
| Revenue | $694.3 million | $753.6 million | -7.9% | Not provided |
| Net Income | $35.3 million | $47.7 million | -26.0% | Not provided |
| Basic EPS | $0.36 | $0.50 | -28.0% | Not provided |
| Adjusted EBITDA | $106.0 million | $119.2 million | -11.1% | Not provided |
| Adjusted Basic EPS | $0.50 | $0.69 | -27.5% | Not provided |
ATS Corporation saw a drop in both its revenue and net income compared to the same period last year, driven primarily by a significant reduction in organic revenue and lower Order Backlog at the start of the quarter. Despite these declines, the company posted strong order bookings, indicating a potential for future revenue growth.
Segment Revenue Performance
| Segment | Q1 2025 | Q1 2024 | Year-Over-Year Change |
|---|---|---|---|
| Life Sciences | $328.4 million | $285.0 million | +15.2% |
| Transportation | $144.2 million | $218.3 million | -33.9% |
| Food & Beverage | $96.6 million | $130.4 million | -25.9% |
| Consumer Products | $88.4 million | $84.2 million | +5.0% |
| Energy | $36.7 million | $35.7 million | +2.8% |
Life Sciences was the standout segment with a 15.2% increase in revenue, aided by acquisitions and organic growth. However, Transportation and Food & Beverage segments experienced significant declines, impacting overall performance negatively. Consumer Products and Energy segments maintained relatively stable growth.
Comments from Company's Officers
Andrew Hider, CEO, highlighted the milestones achieved with Order Bookings and Order Backlog, particularly in Life Sciences. He also mentioned strategic actions being taken to align the Transportation segment with a lower demand environment, emphasizing ongoing growth within regulated markets through recent acquisitions like Avidity and Paxiom.
Forward Guidance
ATS expects the Order Backlog to provide good revenue visibility through fiscal 2025. However, the company forecasts continued pressure on Transportation revenues due to reduced investments in Electric Vehicles.
Stock Price Movement
Following the earnings release, ATS Corporation’s stock experienced a decline of approximately 1.84%.
Overall, ATS Corporation faced a challenging first quarter with significant year-over-year declines in revenue and earnings. However, robust order bookings and strategic acquisitions present avenues for future growth, particularly in Life Sciences and other regulated markets.
The report has been organized into a clear and concise format suitable for investors.