Overview

* ATS Corp ( ATS ) fiscal Q2 revenue grows 18.9% yr/yr, beating analyst expectations

* Net income for fiscal Q2 was C$33.6 mln, compared to a net loss last year

* Adjusted EPS for fiscal Q2 rose to C$0.45 from C$0.25 a year ago

Outlook

* ATS expects Q3 fiscal 2026 revenue between C$700 mln and C$740 mln

* Company sees strong opportunities in life sciences and energy sectors

* ATS anticipates restructuring expenses of approximately C$15 mln in fiscal 2026

Result Drivers

* ORGANIC GROWTH - Revenue growth driven by 12.6% increase in organic revenues, alongside foreign exchange and acquisitions

* CONSUMER PRODUCTS - Significant revenue increase of 81.5% in consumer products due to higher order backlog

* ENERGY SECTOR - Energy revenues nearly doubled, increasing by 97.7% due to higher order backlog

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat C$728.50 C$723.40

Revenue mln mln (7

Analysts

)

Q2 Net C$33.60

Income mln

Q2 Basic -C$0.34

EPS

Q2 Order C$2.07

Backlog bln

Q2 C$734

Orders mln

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the industrial machinery & equipment peer group is "buy"

* Wall Street's median 12-month price target for ATS Corp ( ATS ) is C$46.00, about 18% above its November 4 closing price of C$37.74

* The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 20 three months ago

Press Release:

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(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.)