Overview

* Verra Mobility ( VRRM ) Q2 revenue rises 6% yr/yr, beating analyst expectations, per LSEG data

* Adjusted EPS for Q2 beats consensus, reflecting strong operational performance

* Company reaffirms 2025 full-year guidance despite potential travel demand challenges

Outlook

* Verra Mobility ( VRRM ) reaffirms 2025 revenue guidance of $925 mln to $935 mln

* Company maintains 2025 Adjusted EBITDA guidance of $410 mln to $420 mln

* Verra Mobility ( VRRM ) expects 2025 Adjusted EPS of $1.30 to $1.35

* Company anticipates 2025 Free Cash Flow of $175 mln to $185 mln

Result Drivers

* GOVERNMENT SOLUTIONS - Revenue growth driven by expansion of enforcement programs, including bus lane and school bus stop arm initiatives

* COMMERCIAL SERVICES - Increased product adoption and tolling activity contributed to revenue growth, particularly in European operations

* PARKING SOLUTIONS - Revenue decline attributed to decreased subscription and professional services revenue, despite increased SaaS offerings

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $236 mln $232.80

Revenue mln (6

Analysts

)

Q2 Beat $0.34 $0.33 (7

Adjusted Analysts

EPS )

Q2 Net $38.60

Income mln

Q2 Beat $105.30 $103.50

Adjusted mln mln (6

EBITDA Analysts

)

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "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 Verra Mobility Corp ( VRRM ) is $29.75, about 15.5% above its August 5 closing price of $25.14

* The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 16 three months ago

Press Release:

(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.)