Tetra Tech reports record Q1 revenue, raises high-end of FY25 EPS guidance

Published 29/01/2025, 22:46
Tetra Tech reports record Q1 revenue, raises high-end of FY25 EPS guidance

PASADENA, Calif. - Tetra Tech , Inc. (NASDAQ:TTEK) reported record first quarter revenue of $1.42 billion, surpassing analyst estimates and marking a 16% increase YoY. The company also raised the high-end of its fiscal 2025 earnings guidance.

For Q1 ended December 29, 2024, Tetra Tech posted adjusted earnings per share of $0.35, beating the analyst consensus of $0.34. Revenue of $1.42 billion significantly exceeded expectations of $1.1 billion. Net revenue, which excludes subcontractor costs, rose 18% YoY to $1.20 billion.

The company’s backlog grew 15% YoY to a record $5.44 billion, indicating strong future demand for its services. Adjusted operating income increased 24% YoY to $138 million.

"Tetra Tech began fiscal 2025 with a strong first quarter, which included all-time record high quarterly revenue and backlog, and record high first quarter adjusted operating income and EPS," said Dan Batrack, Chairman and CEO.

For fiscal 2025, Tetra Tech now expects net revenue between $4.365 billion and $4.765 billion, with adjusted EPS ranging from $1.37 to $1.52. The raised high-end of EPS guidance compares to the previous analyst consensus of $1.45.

The company noted it has paused some U.S. federal government work, particularly with USAID, while assisting clients with their review of multiple programs across various government agencies.

Tetra Tech’s board approved a 12% increase in its quarterly dividend to $0.058 per share. The company also repurchased $25 million of common stock during Q1.

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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