ABM Industries' Bookings Hit a Record in Its Fiscal First Half
ABM Industries (NYSE:ABM) reported its fiscal 2025 second-quarter results on June 5, 2025, achieving 3.8% organic revenue growth, $2.1 billion in revenue, and adjusted EPS of $0.86. The company, which provides a range of services to commercial properties, including custodial, facilities engineering, grounds-keeping, and mechanical and electrical, delivered record bookings of $1.1 billion in the first half, which ended April 30, and reaffirmed its full-year guidance, highlighting its strategic momentum in prime office markets, technical solutions, and M&D (manufacturing & distribution).New bookings accelerated 11% year over year in the first half of fiscal 2025, supported by an approximately $190 million microgrid contract with a large retailer and high-profile client wins across multiple industry segments. Management noted that according to JLL, a giant real estate and investment management firm, in the first quarter, U.S. office leasing activity grew 15.3% year over year to 89% of pre-pandemic levels. It also pointed out that real estate services leader CBRE said that prime commercial vacancy rates were just 14.8%, compared to the overall office market average of 19%.This breadth of contract momentum and sector recovery positions ABM Industries to expand its market share in the premium office segment, while reduced client churn and new wins mitigated recent volatility in its manufacturing and distribution verticals.Continue reading
ABM Industries (NYSE:ABM) reported its fiscal 2025 second-quarter results on June 5, 2025, achieving 3.8% organic revenue growth, $2.1 billion in revenue, and adjusted EPS of $0.86. The company, which provides a range of services to commercial properties, including custodial, facilities engineering, grounds-keeping, and mechanical and electrical, delivered record bookings of $1.1 billion in the first half, which ended April 30, and reaffirmed its full-year guidance, highlighting its strategic momentum in prime office markets, technical solutions, and M&D (manufacturing & distribution).
New bookings accelerated 11% year over year in the first half of fiscal 2025, supported by an approximately $190 million microgrid contract with a large retailer and high-profile client wins across multiple industry segments. Management noted that according to JLL, a giant real estate and investment management firm, in the first quarter, U.S. office leasing activity grew 15.3% year over year to 89% of pre-pandemic levels. It also pointed out that real estate services leader CBRE said that prime commercial vacancy rates were just 14.8%, compared to the overall office market average of 19%.
This breadth of contract momentum and sector recovery positions ABM Industries to expand its market share in the premium office segment, while reduced client churn and new wins mitigated recent volatility in its manufacturing and distribution verticals.
