CBIZ Q4 revenue misses estimates

Reuters02-26
CBIZ Q4 revenue misses estimates

Overview

  • Professional services advisor's Q4 revenue missed analyst expectations

  • Full-year revenue rose 52% to $2.8 bln, driven by acquisitions

  • Company authorized repurchase of an additional 5 mln shares in February

Outlook

  • CBIZ expects 2026 revenue growth of 2% to 5%

  • Company projects 2026 adjusted EPS of $3.75 to $3.85

  • CBIZ forecasts 2026 free cash flow of $270 mln to $290 mln

Result Drivers

  • ACQUISITION IMPACT - Revenue and EPS growth attributed to Marcum integration and acquisition

  • STRATEGIC INITIATIVES - Offshoring and AI investments transformed cost structure

Company press release: ID:nGNXbqTLgR

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q4 Revenue

Miss

$542.66 mln

$578.03 mln (3 Analysts)

Q4 Adjusted EPS

Miss

-$0.70

-$0.66 (3 Analysts)

Q4 Net Income

-$79.42 mln

Q4 Adjusted EBITDA

-$28.70 mln

Q4 Operating Expenses

$593.41 mln

Q4 Operating Income

-$85.16 mln

Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the business support services peer group is "buy"

  • Wall Street's median 12-month price target for CBIZ Inc is $67.50, about 143% above its February 24 closing price of $27.78

  • The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 14 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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