Maximus, Inc. (NYSE:MMS) traded higher on Thursday after the government services contractor delivered better-than-expected quarterly results and offered an upbeat outlook for the year ahead. Shares rose 2.88% in pre-market activity following the announcement.
For the fiscal fourth quarter, Maximus reported adjusted EPS of $1.62, comfortably topping Wall Street’s $1.47 estimate. Quarterly revenue reached $1.32 billion, slightly above expectations of $1.31 billion. Full-year fiscal 2025 revenue totaled $5.43 billion, an increase of 2.4% year over year, supported by 3.9% organic growth.
“Fiscal 2025 was a year of significant achievement for Maximus, as our teams skillfully navigated shifting priorities, seized opportunities to step up for our customers, and ultimately delivered revenue growth and profitability well above our expectations at the beginning of the fiscal year,” said Bruce Caswell, President and Chief Executive Officer.
The company’s U.S. Federal Services division continued to lead overall performance, generating $3.07 billion in revenue, up 12.1% YoY. Operating margin in the segment expanded to 15.3%, from 12.2% a year earlier—helped by increased volumes in clinical programs and productivity improvements linked to new technologies.
Looking to fiscal 2026, Maximus projected revenue between $5.225 billion and $5.425 billion. The company expects adjusted EPS of $7.95 to $8.25, comfortably ahead of analysts’ $7.45 estimate, and guided to an adjusted EBITDA margin of roughly 13.7%, marking further anticipated margin gains.
Maximus ended the fiscal year with strong cash generation. Free cash flow reached $642 million in Q4 and $366 million for the full year. The company also finished with a leverage ratio of 1.5x, supporting its solid balance sheet.
The board approved a $0.30 per-share quarterly dividend, payable December 1, 2025, to shareholders of record on November 14, 2025.