ICF International Stock Rises 5.4% Since Q2 Earnings Beat

ICF International, Inc. ICFI reported mixed second-quarter 2025 results. Earnings surpassed the Zacks Consensus Estimate, but revenues missed the same.

However, the earnings beat positively impressed the market as the company’s shares gained 5.4% since the earnings release on July 31.

Quarterly earnings per share of $1.66 beat the Zacks Consensus Estimate by 1.8% but declined 1.8% from the year-ago reported figure. Total revenues of $476.2 million missed the Zacks Consensus Estimate by 0.4% and decreased 7% year over year.

ICF International, Inc. Price, Consensus and EPS Surprise

ICF International, Inc. price-consensus-eps-surprise-chart | ICF International, Inc. Quote

ICFI’s Segmental Revenues

Revenues from government clients decreased 18.2% from the year-ago quarter’s level to $319.6 million, below our estimate of $350.2 million. The U.S. state and local government revenues of $85.6 million, representing 20.1% of total revenues, lagged our prediction of $95.8 million and declined 1.02% year over year.

International government revenues reached $29.3 million, representing 6.2% of the total revenues, lagging our anticipated $40.7 million. However, it increased 2% from the year-ago quarter’s actual.

U.S. federal government revenues of $204.7 million contributed 43% to the total revenues, which missed our estimate of $213.7 million but decreased 25.2% on a year-over-year basis.

Commercial revenues, representing 32.9% of the total revenues, amounted to $156.6 million. The figure outpaced our expectation of $125.9 million, up 24.4% from the year-ago quarter.

Operating Performance of ICFI

Adjusted EBITDA fell 5.6% year over year to 52.9 million. The current adjusted EBITDA margin of 11.12% increased 18 basis points from the year-ago quarter.

ICFI’s Balance Sheet and Cash Flow

ICF International exited the quarter with cash and cash equivalents of $1.28 billion compared with $4.96 billion in the December-end quarter of 2024. Long-term debt at the end of the quarter was $462.3 million, up from $411.7 million in the December-end quarter of 2024.

ICFI used $18.9 million in cash from operating activities. CapEx was $3.84 million.

Guidance by ICFI

For 2025, the company continues to expect full-year operating cash flow to be approximately $150. The capital expenditures are anticipated to be approximately in between $26 million to $28 million.

The full-year tax rate is now expected to be approximately 18.5%.

Currently, ICF International carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Earnings Snapshot

Fiserv, Inc. FI reported mixed second-quarter 2025 results, wherein earnings beat the Zacks Consensus Estimate, but revenues missed the same.

FI’s adjusted EPS of $2.47 topped the consensus mark by 2.5% and rose 16% year over year. Adjusted revenues of $5.2 billion missed the consensus estimate by a slight margin but gained 1.7% on a year-over-year basis.

The Interpublic Group of Companies, Inc. IPG reported impressive second-quarter 2025 results. Both earnings and revenues beat the Zacks Consensus Estimate.

IPG’s adjusted earnings of 75 cents per share surpassed the Zacks Consensus Estimate by 36.4% and jumped 23% from the year-ago quarter. Revenues before billable expenses (net revenues) of $2.2 billion beat the consensus estimate by a slight margin but declined 19.8% year over year. Total revenues of $2.5 billion decreased 7.2% year over year but outpaced the Zacks Consensus Estimate of $2.2 billion.

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This article originally published on Zacks Investment Research (zacks.com).

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