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First Advantage Q2 2024 Results: EPS Below Expectations

Posted on by darion

First Advantage (NASDAQ:FA) Q2 2024 Results

Key Financial Results

  • Revenue: $15.1 million (down 92% compared to Q2 2023).

  • Net income: $4.77 million (down 51% compared to Q2 2023).

  • Profit margin: 32% (up from 5.3% in Q2 2023). The margin increase was driven by lower costs.

  • Earnings per share: $0.033 (down from $0.068 in Q2 2023).

profit-and-revenue-growthprofit-and-revenue-growth

profit-and-revenue-growth

All numbers shown in the chart above are for the last 12 months (TTM)

First Advantage EPS does not meet expectations

Revenues were in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 84%.

Revenues are forecast to grow at an average annual rate of 6.8% over the next three years, while the U.S. professional services industry is forecast to grow at 6.1%.

Efficiency American professional services sector.

The company’s share price remained broadly unchanged from last week.

Risk analysis

Before you take the next step, you should know about 1 warning sign for First Advantage that we discovered.

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