Broadridge's Q4 Earnings and Revenues Outpace Estimates

Broadridge Financial Solutions, Inc. BR reported impressive fourth-quarter fiscal 2025 results, with earnings and revenues beating the Zacks Consensus Estimate.

Adjusted earnings of $3.55 per share topped the consensus mark by 1.14% and increased 1.43% from the year-ago quarter. Total revenues of $2.07 billion surpassed the consensus mark by 0.6% and were up 6.2% year over year.

Broadridge Financial Solutions, Inc. Price, Consensus and EPS Surprise

Broadridge Financial Solutions, Inc. price-consensus-eps-surprise-chart | Broadridge Financial Solutions, Inc. Quote

Recurring revenues of $1.42 billion rose 7% year over year on a reported basis and 7% on a constant-currency basis.

The company’s stock has gained 13.7% over the past year compared with the 54.3% rise of the industry it belongs to and the 21.5% growth of the Zacks S&P 500 composite.

Other Key Q4 Metrics of BR

Revenues in the Investor Communication Solutions segment increased 5% from the year-ago quarter’s level to $1.6 billion, above our estimate of $980.4 billion. The Global Technology and Operations segment’s revenues amounted to $465 million, beating our estimate of $440 million and increasing 12% on a year-over-year basis.

Adjusted operating income of $558 million remained flat year over year. Adjusted operating income margin of 27% increased 180 basis points year over year.

Broadridge exited the quarter with a cash and cash equivalents balance of $561.5 million compared with $304.4 million at the end of the preceding quarter. Long-term debt was $2.75 billion compared with $3.36 billion in the prior quarter.

The company generated $1.2 million of cash from operating activities, and capex was $43.8 million in the quarter. It paid out $402.3 million in dividends.

BR’s Fiscal 2025 Guidance

The company expects recurring revenue growth to be 5-7%. Adjusted earnings per share growth is expected to be 8-12%. The adjusted operating income margin is estimated to be around 20%-21%.

Broadridge currently 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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