Verra Mobility Q3 revenue beats on government solutions segment growth

Verra Mobility

30/10/2026 12:43

Overview
U.S. smart mobility tech firm's Q3 revenue fell 1% yr/yr but beat analyst expectations
Adjusted EPS for Q3 beat analyst expectations
Company reaffirmed full-year 2026 guidance

Outlook
Verra Mobility reaffirms 2026 full-year revenue guidance of $945 mln to $965 mln
Company expects 2026 adjusted EBITDA of $360 mln to $370 mln
Company sees 2026 adjusted EPS of $1.11 to $1.17

Result Drivers
SEGMENT PERFORMANCE - Co said Q3 revenue decline was due to lower Commercial Services revenue, partly offset by growth in Government Solutions
CONTRACT CHANGES & TRAVEL DEMAND - Commercial Services segment decline driven by less favorable contract terms, fleet volume reductions, and lower travel demand
GOVERNMENT SOLUTIONS EXPANSION - Growth in Government Solutions segment attributed to expanded services and new camera installations

Company press release: ID:nPn5pN9DMa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$258.90 mln
$241.25 mln (7 Analysts)
Q3 Adjusted EPS
Beat
$0.36
$0.26 (8 Analysts)
Q3 Net Income
 
$40.40 mln
 
Q3 Adjusted EBITDA
Beat
$103.90 mln
$88.92 mln (7 Analysts)

Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 8 "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 Corporation is $6.00, about 79.6% above its October 29 closing price of $3.34
The stock recently traded at 3 times the next 12-month earnings vs. a P/E of 4 three months ago

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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.)