Outsourced digital services provider TaskUs Q3 profit beats estimates on AI services demand

Taskus

07/11/2025 12:12

Overview

TaskUs Q3 revenue grows 17% yr/yr, beating analyst expectations

Adjusted EPS for Q3 beats analyst estimates

Adjusted EBITDA for Q3 misses analyst expectations

Outlook

TaskUs expects Q4 revenue between $302.4 mln and $304.4 mln

Company anticipates full-year revenue of $1.173 bln to $1.175 bln

TaskUs projects full-year Adjusted Free Cash Flow of ~$100 mln

Result Drivers

AI SERVICES GROWTH - TaskUs' AI Services segment grew over 50% year-over-year, driving overall revenue growth

TRUST + SAFETY GROWTH - Trust + Safety services saw nearly 20% year-over-year revenue growth, contributing to overall performance

INVESTMENT IN AI - TaskUs plans to increase investments in Generative AI services to support clients in the AI era

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$298.70 mln
$287.40 mln (5 Analysts)
Q3 Adjusted EPS
Beat
$0.42
$0.39 (6 Analysts)
Q3 Adjusted Net Income
Beat
$39 mln
$37.50 mln (2 Analysts)
Q3 Adjusted EBITDA
Miss
$63.50 mln
$66.90 mln (2 Analysts)
Q3 Adjusted EBITDA Margin
21.20%
Q3 Free Cash Flow
$42 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 5 "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 Taskus Inc is $16.50, about 24.3% above its November 6 closing price of $12.49

The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 11 three months ago

Press Release: ID:nBwbbxcVca

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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.)