07:21 AM EST, 02/05/2025 (MT Newswires) -- ATS (TSX and NYSE: ATS), an automation solutions provider, rose 2.7% in U.S. pre-market on Wednesday despite reporting lower-than-expected third quarter earnings.

Adjusted basic earnings per share fell to $0.32 cents, compared with $0.65 cents a year ago, missing a FactSet forecast of $0.35.

Revenues fell to $652 million, compared to $752 million a year ago, marginally beating the FactSet estimate of $651.1 million.

Q3 order bookings increased 32.2% to $883 million compared with $668 million, a year earlier. Order backlog at three months ended Dec. 29, rose 8% to $2.06 billion from a year earlier figure of $1.91 billion.

The company expects Q4 revenue in the range of $650 million to $710 million. However, ATS also expects lower transportation revenue to continue to negatively impact margins in the short-term, until reorganization actions are fully implemented.

With respect to potential tariffs by the U.S. on goods from Canada, the company said it could see short-term impacts if tariffs are implemented.

"The company's equipment and product revenues from its Canadian operations being sold into the U.S. has represented a mid-teens percentage of the company's total revenues for the nine months ended December 29, 2024," ATS said in a statement. "Management is assessing possible impacts and actively working with ATS' customers and suppliers to mitigate challenges that tariffs could pose."

U.S.-listed shares were last seen up US$0.73 at US$27.40 in pre-market trading.

Shares of ATS closed up $0.08 or 0.2%, to $38.19 on Tuesday on the Toronto Stock Exchange.