Maximus Reports Strong Q3 and Raises FY25 Guidance

Maximus ( (MMS) ) has released its Q3 earnings. Here is a breakdown of the information Maximus presented to its investors.

Maximus, a prominent provider of government services, operates in the public sector, delivering essential services and solutions to improve government program efficiency and effectiveness. In its fiscal year 2025 third-quarter earnings report, Maximus announced a 2.5% revenue increase to $1.35 billion, driven by strong performance in its U.S. Federal Services Segment. The company also raised its full-year guidance for revenue, earnings, and free cash flow, reflecting confidence in its business model and market position.

Key financial highlights include a notable rise in diluted earnings per share to $1.86, with adjusted diluted earnings per share reaching $2.16, compared to the previous year’s figures. The U.S. Federal Services Segment experienced an 11.4% revenue growth, attributed to increased volumes in the clinical portfolio, while the U.S. Services Segment saw a decline due to last year’s elevated Medicaid-related activities. The Outside the U.S. Segment reported a decrease in revenue due to divestitures, though it showed improved profitability.

Maximus’s operating margin improved to 12.3%, with an adjusted EBITDA margin of 14.7%. The company’s strategic focus on adaptability and efficiency in delivering government services has been emphasized by its leadership. Additionally, Maximus declared a quarterly cash dividend of $0.30 per share, payable at the end of August 2025.

Looking forward, Maximus remains optimistic about its fiscal year 2025, with increased guidance for revenue and earnings, supported by a robust sales pipeline and improved collections. The company’s management continues to focus on leveraging advanced technologies and adapting to regulatory changes to enhance service delivery and operational excellence.