APi Group shares surge 7.4% on strong Q1 revenue beat and raised guidance

Published 01/05/2025, 16:40
APi Group shares surge 7.4% on strong Q1 revenue beat and raised guidance

Investing.com -- APi Group Corporation (NYSE:APG) reported first-quarter results that exceeded analyst expectations for revenue and raised its full-year guidance, sending shares soaring 7.4% in early trading.

The safety services and specialty solutions provider posted adjusted earnings per share of $0.37, in line with analyst estimates. Revenue for the quarter came in at $1.7 billion, beating the consensus estimate of $1.66 billion and representing a 7.4% YoY increase.

APi Group raised its full-year 2025 revenue guidance to $7.4-$7.6 billion, up from its previous forecast of $7.3-$7.5 billion and above analyst expectations of $7.39 billion. The company also increased its adjusted EBITDA outlook to $985-$1,035 million from $970-$1,020 million previously.

"We are off to a strong start in 2025, with a return to traditional levels of organic growth after our thoughtful and selective pruning of certain customer accounts in 2024," said Russ Becker, APi’s President and CEO. "We’ve also continued to expand margins and deploy capital on M&A and share repurchases to drive shareholder value."

The company’s Safety Services segment saw robust growth, with revenue up 13.4% YoY to $1.27 billion. However, the Specialty Services segment experienced a 6.8% YoY decline in revenue to $453 million.

APi Group’s board authorized a new $1 billion share repurchase program, replacing its previous authorization announced last year.

The company’s stock jumped 7.4% following the earnings release, reflecting investor optimism about the strong results and improved outlook.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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