CBIZ Reports Second-Quarter 2025 Results
CBIZ (NYSE:CBZ) reported exceptional second-quarter 2025 results, with total revenue surging 62.7% to $683.5 million. The company's net income more than doubled, reaching $41.9 million, with GAAP EPS of $0.66, up 69.2%. Adjusted EBITDA showed remarkable growth of 127.9% to $117.2 million.
For the first six months of 2025, CBIZ achieved total revenue of $1.5 billion, representing a 66.4% increase. The company's performance was notably bolstered by the strategic Marcum acquisition, which management described as one of the most value-creating decisions in company history.
Looking ahead, CBIZ provided its 2025 outlook, projecting total revenue between $2.8-2.95 billion, with adjusted EPS expected in the range of $3.60-3.65 and adjusted EBITDA between $450-456 million.
CBIZ (NYSE:CBZ) ha riportato risultati eccezionali nel secondo trimestre del 2025, con un fatturato totale in crescita del 62,7% a 683,5 milioni di dollari. L'utile netto della società è più che raddoppiato, raggiungendo i 41,9 milioni di dollari, con un EPS GAAP di 0,66 dollari, in aumento del 69,2%. L'EBITDA rettificato ha mostrato una crescita notevole del 127,9%, arrivando a 117,2 milioni di dollari.
Nei primi sei mesi del 2025, CBIZ ha raggiunto un fatturato totale di 1,5 miliardi di dollari, con un aumento del 66,4%. Le performance dell'azienda sono state significativamente rafforzate dall'acquisizione strategica di Marcum, definita dal management come una delle decisioni più generatrici di valore nella storia della società.
Guardando al futuro, CBIZ ha fornito le previsioni per il 2025, stimando un fatturato totale tra 2,8 e 2,95 miliardi di dollari, con un EPS rettificato previsto tra 3,60 e 3,65 dollari e un EBITDA rettificato compreso tra 450 e 456 milioni di dollari.
CBIZ (NYSE:CBZ) reportó resultados excepcionales en el segundo trimestre de 2025, con ingresos totales que aumentaron un 62,7% hasta 683,5 millones de dólares. El ingreso neto de la compañía más que se duplicó, alcanzando los 41,9 millones de dólares, con un EPS GAAP de 0,66 dólares, un aumento del 69,2%. El EBITDA ajustado mostró un crecimiento notable del 127,9%, llegando a 117,2 millones de dólares.
En los primeros seis meses de 2025, CBIZ logró unos ingresos totales de 1,5 mil millones de dólares, lo que representa un aumento del 66,4%. El desempeño de la compañía se vio notablemente impulsado por la adquisición estratégica de Marcum, que la dirección describió como una de las decisiones que más valor han creado en la historia de la empresa.
De cara al futuro, CBIZ proporcionó sus perspectivas para 2025, proyectando unos ingresos totales entre 2,8 y 2,95 mil millones de dólares, con un EPS ajustado esperado en el rango de 3,60 a 3,65 y un EBITDA ajustado entre 450 y 456 millones de dólares.
CBIZ (NYSE:CBZ)는 2025년 2분기 뛰어난 실적을 보고했으며, 총수익이 62.7% 증가한 6억 8,350만 달러에 달했습니다. 회사의 순이익은 두 배 이상 증가하여 4,190만 달러를 기록했으며, GAAP 주당순이익(EPS)은 0.66달러로 69.2% 상승했습니다. 조정 EBITDA는 127.9%의 놀라운 성장으로 1억 1,720만 달러에 달했습니다.
2025년 상반기 동안 CBIZ는 총수익 15억 달러를 달성하며 66.4% 증가했습니다. 경영진은 전략적 인수인 Marcum이 회사 역사상 가장 가치 창출이 큰 결정 중 하나라고 평가했습니다.
앞으로 CBIZ는 2025년 전망을 제시하며, 총수익을 28억~29억 5천만 달러로 예상하고, 조정 EPS는 3.60~3.65달러, 조정 EBITDA는 4억 5,000만~4억 5,600만 달러 사이가 될 것으로 전망했습니다.
CBIZ (NYSE:CBZ) a annoncé des résultats exceptionnels pour le deuxième trimestre 2025, avec un chiffre d'affaires total en hausse de 62,7 % à 683,5 millions de dollars. Le bénéfice net de la société a plus que doublé, atteignant 41,9 millions de dollars, avec un BPA GAAP de 0,66 $, en hausse de 69,2 %. L'EBITDA ajusté a connu une croissance remarquable de 127,9 % pour atteindre 117,2 millions de dollars.
Au cours des six premiers mois de 2025, CBIZ a réalisé un chiffre d'affaires total de 1,5 milliard de dollars, soit une augmentation de 66,4 %. La performance de la société a été particulièrement renforcée par l'acquisition stratégique de Marcum, que la direction a qualifiée de l'une des décisions les plus créatrices de valeur de l'histoire de l'entreprise.
Pour l'avenir, CBIZ a présenté ses perspectives pour 2025, prévoyant un chiffre d'affaires total compris entre 2,8 et 2,95 milliards de dollars, avec un BPA ajusté attendu dans une fourchette de 3,60 à 3,65 $ et un EBITDA ajusté entre 450 et 456 millions de dollars.
CBIZ (NYSE:CBZ) meldete herausragende Ergebnisse für das zweite Quartal 2025, mit einem Gesamtumsatz, der um 62,7 % auf 683,5 Millionen US-Dollar anstieg. Der Nettogewinn des Unternehmens verdoppelte sich mehr als und erreichte 41,9 Millionen US-Dollar, mit einem GAAP-Gewinn je Aktie (EPS) von 0,66 US-Dollar, ein Anstieg von 69,2 %. Das bereinigte EBITDA verzeichnete ein bemerkenswertes Wachstum von 127,9 % auf 117,2 Millionen US-Dollar.
Für die ersten sechs Monate des Jahres 2025 erzielte CBIZ einen Gesamtumsatz von 1,5 Milliarden US-Dollar, was einer Steigerung von 66,4 % entspricht. Die Leistung des Unternehmens wurde maßgeblich durch die strategische Übernahme von Marcum gestärkt, die vom Management als eine der wertschöpfendsten Entscheidungen in der Unternehmensgeschichte bezeichnet wurde.
Mit Blick auf die Zukunft gab CBIZ seine Prognose für 2025 bekannt und erwartet einen Gesamtumsatz zwischen 2,8 und 2,95 Milliarden US-Dollar, mit einem bereinigten EPS im Bereich von 3,60 bis 3,65 und einem bereinigten EBITDA zwischen 450 und 456 Millionen US-Dollar.
- Revenue surged 62.7% year-over-year to $683.5M in Q2 2025
- Net income more than doubled with 111.9% growth to $41.9M
- Adjusted EBITDA showed exceptional growth of 127.9% to $117.2M
- Strong client retention and robust free cash flow reported
- Strategic Marcum acquisition delivering significant value
- Higher effective tax rate expected at approximately 29%
- Challenging market conditions acknowledged by management
Insights
CBIZ delivered exceptional Q2 2025 results with substantial revenue and profit growth, largely driven by the Marcum acquisition.
CBIZ has posted remarkably strong financial results for Q2 2025, with total revenue surging
The company's adjusted EBITDA showed exceptional improvement, reaching
These results underscore the transformative impact of CBIZ's acquisition of Marcum, which management described as "among the most important and value-creating strategic decisions in our history." The integration appears to be progressing well, contributing significantly to the company's expanded scale and profitability.
For the first half of 2025, CBIZ maintained this strong momentum with six-month revenue of
The company's business model appears particularly resilient during challenging market conditions, supported by a high proportion of essential, recurring services, strong client retention, robust free cash flow, and disciplined cost management. These fundamentals, combined with the successful integration of Marcum, position CBIZ well for sustained growth and improved profitability.
SECOND-QUARTER HIGHLIGHTS:
- TOTAL REVENUE OF
$683.5M , UP62.7% - NET INCOME OF
$41.9M , UP111.9% ; GAAP EPS OF$0.66 , UP69.2% ; - ADJUSTED EBITDA OF
$117.2M , UP127.9% ; ADJUSTED DILUTED EPS OF$0.95 , UP63.8%
SIX-MONTH HIGHLIGHTS:
- TOTAL REVENUE OF
$1.5B , UP66.4% - NET INCOME OF
$164.7M , UP70.4% ; GAAP EPS OF$2.58 , UP34.4% ; - ADJUSTED EBITDA OF
$355.6M , UP108.9% ; ADJUSTED DILUTED EPS OF$3.26 , UP46.8%
CLEVELAND, July 30, 2025 (GLOBE NEWSWIRE) -- CBIZ, Inc., (NYSE: CBZ) (“CBIZ” or the “Company”), a leading national professional services advisor, today announced results for the second quarter ended June 30, 2025.
“We’re pleased to deliver strong earnings in the second quarter and year-to-date demonstrating the strength and resilience of our business model amidst challenging market conditions,” said Jerry Grisko, CBIZ President and CEO.
“This has been a monumental time for our business, our clients, our industry and especially our team members with the Marcum acquisition being among the most important and value-creating strategic decisions in our history. With a high proportion of essential, recurring services, strong client retention, robust free cash flow, and disciplined cost management, we’re well-positioned for future growth.”
For the second quarter of 2025, CBIZ recorded revenue of
Excluding acquisition-related integration expenses, amortization of intangible assets, and other non-recurring gains and losses, Adjusted net income was
For the six months ended June 30, 2025, CBIZ recorded revenue of
For the six months ended June 30, 2025, Adjusted net income was
2025 Outlook
The Company expects:
- Total revenue within a range of
$2.8 billion to$2.95 billion - Effective tax rate of approximately
29% - Weighted average fully diluted share count within a range of 64.5 to 65.0 million shares
- GAAP fully diluted earnings per share to be within a range of
$1.97 t o$2.02 - Adjusted fully diluted earnings per share within a range of
$3.60 t o$3.65 - Adjusted EBITDA within a range of
$450 million to$456 million
Conference Call
CBIZ will host a conference call today at 5 p.m. (ET) to discuss its second-quarter financial results. The call will be webcast, and an archived replay will be available at https://cbiz.gcs-web.com/investor-overview. Participants can register for the conference call at https://dpregister.com/sreg/10201105/ff7ebe5f63.
About CBIZ
CBIZ, Inc. (NYSE: CBZ) is a leading professional services advisor to middle-market businesses nationwide. With industry knowledge and expertise in accounting, tax, advisory, benefits, insurance, and technology, CBIZ delivers actionable insights to help clients anticipate what is next and discover new ways to accelerate growth. CBIZ has more than 10,000 team members across more than 160 locations in 22 major markets coast to coast. For more information, visit www.cbiz.com.
Forward-Looking Statements
This release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). All statements other than statements of historical fact included in this release, including, without limitation, our “2025 Outlook,” regarding our financial position, business strategy and plans and objectives for future performance are forward-looking statements. You can identify these statements by the fact that they do not relate strictly to historical or current facts. Forward-looking statements are commonly identified by the use of such terms and phrases as “will,” “could,” “can,” “may,” “strive,” “hope,” “intend,” “believe,” “estimate,” “continue,” “plan,” “expect,” “project,” “anticipate,” “outlook,” “foreseeable future,” “seek” and words or phrases of similar import in connection with any discussion of future operating or financial performance. In particular, these include statements relating to future actions, future performance or results of current and anticipated services, sales efforts, expenses, and financial results.
From time to time, we may also provide oral or written forward-looking statements in other materials we release to the public. Any or all of our forward-looking statements in this release and in any other public statements that we make, are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected. Such risks and uncertainties include, but are not limited to: payments on accounts receivable may be slower than expected, or amounts due on receivables or notes may not be fully collectible; our business could be adversely affected if Marcum does not perform to our expectations or we underestimate the liabilities we have assumed; we are dependent on the services of our executive officers, and other key employees, the loss of whom may have a material adverse effect on our business, financial condition and results of operations; restrictions imposed by independence requirements and conflict of interest rules, as well as the nature and terms of our current administrative service agreements, limit our ability to provide services to clients of the attest firms with which we have contractual relationships and the ability of such attest firms to provide attestation services to our clients; our goodwill and other intangible assets could become impaired, which could lead to material non-cash charges against earnings and a material impact on our results of operations and financial condition; certain liabilities resulting from acquisitions are estimated and could lead to a material impact on our results of operations; we may fail to realize the anticipated benefits of acquisitions, or they may prove disruptive and could result in the combined business failing to meet our expectations; recent Securities & Exchange Commission ("SEC") and Public Company Accounting Oversight Board sanctions against Marcum may adversely impact our performance and reputation; if we are unable to implement and maintain effective internal control over financial reporting following the acquisition of Marcum (the Transaction), we may fail to prevent or detect material misstatements in our financial statements, in which case investors could lose confidence in the accuracy and completeness of our financial reports and the market price of our common stock may decline; we may not be able to acquire and finance additional businesses, which could limit our ability to pursue our business strategy; we will incur transaction, integration, and restructuring costs in connection with our acquisition program; governmental regulations and interpretations are subject to changes, which could have a material adverse effect on our financial condition; changes in the United States healthcare environment, including new healthcare legislation, may adversely affect the revenue and margins in our healthcare benefit business; we are subject to risks relating to processing customer transactions for our payroll and other transaction processing businesses; cyberattacks or other security breaches involving our computer systems or the systems of one or more of our vendors could materially and adversely affect our business; we are subject to risk as it relates to software that we license from third parties; we are reliant on information processing systems and any failure or disruptions of these systems could have a material adverse effect on our business, financial condition and results of operations; we could be held liable for errors and omissions; the business services industry is competitive and fragmented, if we are unable to compete effectively, our business, financial condition and results of operations could be negatively impacted; given our levels of share-based compensation, our tax rate may vary significantly depending on our stock price; rapid technological changes could significantly impact our competitive position, client relationships and operating results and our ability to realize the anticipated benefits of the Transaction; climate change legislation or regulations restricting emissions of greenhouse gases could result in increased operating costs; the widespread outbreak of a communicable illness or any other public health crisis could adversely affect our business, financial condition and results of operations; we require a significant amount of cash for interest payments on our debt and to expand our business as planned; terms of our amended and restated credit agreement providing for
Such forward-looking statements can be affected by inaccurate assumptions we might make or by known or unknown risks and uncertainties. Should one or more of these risks materialize, or should the underlying assumptions prove incorrect, actual results may vary materially from those anticipated, estimated, projected or implied.
Consequently, no forward-looking statement can be guaranteed. A more detailed description of risk factors may be found in our periodic filings with the SEC, including in “Item 1A. Risk Factors” of our Annual Report on Form 10-K for the year ended December 31, 2024. All forward-looking statements made in this release are made only as of the date hereof, and we undertake no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. You are advised, however, to consult any further disclosures we make on related subjects in the current, quarterly, periodic and annual reports we file with the SEC.
Non-GAAP Financial Measures
To supplement our consolidated financial statements, which are prepared and presented in accordance with GAAP, we also present Adjusted Net Income (Loss), Adjusted Diluted Earnings Per Share (“EPS”), and Adjusted EBITDA, which are non-GAAP measures. These non-GAAP measures are adjusted to exclude the impact of the Transaction, integration costs, amortization of acquired intangible assets, and other significant non-operating related gains and losses management does not consider ongoing in nature.
The presentation of non-GAAP financial information is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP. We use these non-GAAP financial measures for financial and operational decision-making, and to evaluate results relative to employee compensation targets. We believe that these non-GAAP financial measures provide meaningful supplemental information to stockholders, debt holders, and other interested parties in assessing our performance. These non-GAAP financial measures also facilitate management’s internal comparisons to our historical performance by excluding significant acquisition expenses, certain one-time non-recurring items, and gains and losses that management does not consider ongoing in nature. We believe these non-GAAP financial measures are useful to investors both because (1) they allow for greater transparency with respect to key measures used by management in its financial and operational decision-making and (2) they are used by our stockholders and analyst community to determine the health of our business.
Management provides specific information regarding the GAAP amounts excluded from or included in these non-GAAP financial measures. Additionally, management provides reconciliations of these non-GAAP financial measures to their most comparable financial measures in accordance with GAAP. Please see the sections captioned “GAAP Reconciliation” within the Appendix for the reconciliations.
| CBIZ, INC. FINANCIAL HIGHLIGHTS (UNAUDITED) THREE MONTHS ENDED JUNE 30, 2025 AND 2024 (In thousands, except percentages and per share data) | ||||||||||||||
| Three Months Ended June 30, | ||||||||||||||
| 2025 | % | 2024 | % | |||||||||||
| Revenue | $ | 683,496 | 100.0 | % | $ | 420,012 | 100.0 | % | ||||||
| Operating expenses(1) | 595,587 | 87.1 | 366,368 | 87.2 | ||||||||||
| Gross margin | 87,909 | 12.9 | 53,644 | 12.8 | ||||||||||
| Corporate general and administrative expenses(1) | 27,637 | 4.0 | 22,050 | 5.2 | ||||||||||
| Operating income | 60,272 | 8.9 | 31,594 | 7.6 | ||||||||||
| Other (expense) income: | ||||||||||||||
| Interest expense | (27,867 | ) | (4.1 | ) | (5,884 | ) | (1.4 | ) | ||||||
| Other income, net(1) (2) | 25,374 | 3.7 | 2,483 | 0.6 | ||||||||||
| Total other expense, net | (2,493 | ) | (0.4 | ) | (3,401 | ) | (0.8 | ) | ||||||
| Income before income tax expense | 57,779 | 8.5 | 28,193 | 6.8 | ||||||||||
| Income tax expense | 15,837 | 8,400 | ||||||||||||
| Net income | $ | 41,942 | 6.1 | % | $ | 19,793 | 4.7 | % | ||||||
| Diluted earnings per share | $ | 0.66 | $ | 0.39 | ||||||||||
| Diluted weighted average common shares outstanding | 63,784 | 50,276 | ||||||||||||
| Other data: | ||||||||||||||
| Adjusted EBITDA(3) | $ | 117,153 | 17.1 | % | $ | 51,406 | 12.2 | % | ||||||
| Adjusted Diluted EPS(3) | $ | 0.95 | $ | 0.58 | ||||||||||
| (1) | CBIZ sponsors a deferred compensation plan, under which a CBIZ employee's compensation deferral is held in a rabbi trust and invested as directed by the employee. Income and expenses related to the deferred compensation plan are included in "Operating expenses" and "Corporate general and administrative expenses," and are directly offset by deferred compensation gains or losses in "Other income (expense), net." The deferred compensation plan has no impact on "Income before income tax expense." | |
| Income and expenses related to the deferred compensation plan for the three months ended June 30, 2025, and 2024, are as follows (in thousands, except percentages): |
| Three Months Ended June 30, | |||||||||||||||
| 2025 | % of Revenue | 2024 | % of Revenue | ||||||||||||
| Operating expenses | $ | 11,717 | 1.7 | % | $ | 2,283 | 0.5 | % | |||||||
| Corporate general & administrative expenses | 1,458 | 0.2 | % | 323 | 0.1 | % | |||||||||
| Other income, net | 13,175 | 1.9 | % | 2,606 | 0.6 | % | |||||||||
| Excluding the impact of the above-mentioned income and expenses related to the deferred compensation plan, the operating results for the three months ended June 30, 2025, and 2024, are as follows (in thousands, except percentages): |
| Three Months Ended June 30, | |||||||||||||||||||||||||||
| 2025 | 2024 | ||||||||||||||||||||||||||
| As Reported | Deferred Compensation Plan | Adjusted | % of Revenue | As Reported | Deferred Compensation Plan | Adjusted | % of Revenue | ||||||||||||||||||||
| Gross margin | $ | 87,909 | $ | 11,717 | $ | 99,626 | 14.6 | % | $ | 53,644 | $ | 2,283 | $ | 55,927 | 13.3 | % | |||||||||||
| Operating income | 60,272 | 13,175 | 73,447 | 10.7 | % | 31,594 | 2,606 | 34,200 | 8.1 | % | |||||||||||||||||
| Other income, net | 25,374 | (13,175 | ) | 12,199 | 1.8 | % | 2,483 | (2,606 | ) | (123 | ) | — | % | ||||||||||||||
| Income before income tax expense | 57,779 | — | 57,779 | 8.5 | % | 28,193 | — | 28,193 | 6.8 | % | |||||||||||||||||
| (2) | Included in "Other income, net" for the three months ended June 30, 2025, and 2024, is expense of | |
| (3) | Refer to the schedules reconciling Adjusted Diluted EPS and Adjusted EBITDA to the most directly comparable GAAP financial measures at the end of this release, and for additional information as to the usefulness of the non-GAAP financial measures to stockholders and investors. | |
| CBIZ, INC. FINANCIAL HIGHLIGHTS (UNAUDITED) SIX MONTHS ENDED JUNE 30, 2025 AND 2024 (In thousands, except percentages and per share data) | ||||||||||||||
| Six Months Ended June 30, | ||||||||||||||
| 2025 | % | 2024 | % | |||||||||||
| Revenue | $ | 1,521,510 | 100.0 | % | $ | 914,309 | 100.0 | % | ||||||
| Operating expenses(1) | 1,205,499 | 79.2 | 742,853 | 81.2 | ||||||||||
| Gross margin | 316,011 | 20.8 | 171,456 | 18.8 | ||||||||||
| Corporate general and administrative expenses(1) | 55,707 | 3.7 | 40,761 | 4.5 | ||||||||||
| Operating income | 260,304 | 17.1 | 130,695 | 14.3 | ||||||||||
| Other (expense) income: | ||||||||||||||
| Interest expense | (53,023 | ) | (3.5 | ) | (10,395 | ) | (1.1 | ) | ||||||
| Other income, net(1) (2) | 23,408 | 1.5 | 11,907 | 1.3 | ||||||||||
| Total other (expense) income, net | (29,615 | ) | (2.0 | ) | 1,512 | 0.2 | ||||||||
| Income before income tax expense | 230,689 | 15.1 | 132,207 | 14.5 | ||||||||||
| Income tax expense | 65,974 | 35,530 | ||||||||||||
| Net income | $ | 164,715 | 10.8 | % | $ | 96,677 | 10.6 | % | ||||||
| Diluted earnings per share | $ | 2.58 | $ | 1.92 | ||||||||||
| Diluted weighted average common shares outstanding | 63,960 | 50,248 | ||||||||||||
| Other data: | ||||||||||||||
| Adjusted EBITDA(3) | $ | 355,569 | 23.4 | % | $ | 170,236 | 18.6 | % | ||||||
| Adjusted EPS(3) | $ | 3.26 | $ | 2.22 | ||||||||||
| (1) | CBIZ sponsors a deferred compensation plan, under which a CBIZ employee's compensation deferral is held in a rabbi trust and invested as directed by the employee. Income and expenses related to the deferred compensation plan are included in "Operating expenses" and "Corporate general and administrative expenses," and are directly offset by deferred compensation gains or losses in "Other income (expense), net." The deferred compensation plan has no impact on "Income before income tax expense." | |
| Income and expenses related to the deferred compensation plan for the six months ended June 30, 2025, and 2024, are as follows (in thousands, except percentages): |
| Six Months Ended June 30, | |||||||||||||||
| 2025 | % of Revenue | 2024 | % of Revenue | ||||||||||||
| Operating expenses | $ | 9,285 | 0.6 | % | $ | 10,859 | 1.2 | % | |||||||
| Corporate general and administrative expenses | 1,339 | 0.1 | % | 1,380 | 0.2 | % | |||||||||
| Other income, net | 10,624 | 0.7 | % | 12,239 | 1.3 | % | |||||||||
| Excluding the impact of the above-mentioned income and expenses related to the deferred compensation plan, the operating results for the six months ended June 30, 2025, and 2024, are as follows (in thousands, except percentages): |
| Six Months Ended June 30, | |||||||||||||||||||||||||||
| 2025 | 2024 | ||||||||||||||||||||||||||
| As Reported | Deferred Compensation Plan | Adjusted | % of Revenue | As Reported | Deferred Compensation Plan | Adjusted | % of Revenue | ||||||||||||||||||||
| Gross margin | $ | 316,011 | $ | 9,285 | $ | 325,296 | 21.4 | % | $ | 171,456 | $ | 10,859 | $ | 182,315 | 19.9 | % | |||||||||||
| Operating income | 260,304 | 10,624 | 270,928 | 17.8 | % | 130,695 | 12,239 | 142,934 | 15.6 | % | |||||||||||||||||
| Other income, net | 23,408 | (10,624 | ) | 12,784 | 0.8 | % | 11,907 | (12,239 | ) | (332 | ) | — | % | ||||||||||||||
| Income before income tax expense | 230,689 | — | 230,689 | 15.2 | % | 132,207 | — | 132,207 | 14.5 | % | |||||||||||||||||
| (2) | Included in "Other income, net" for the six months ended June 30, 2025, and 2024, is expense of | |
| (3) | Refer to the schedules reconciling Adjusted earnings per share and Adjusted EBITDA to the most directly comparable GAAP financial measures at the end of this release and for additional information as to the usefulness of the non-GAAP financial measures to stockholders and investors. | |
| CBIZ, INC. FINANCIAL HIGHLIGHTS (UNAUDITED) SELECT SEGMENT DATA (In thousands) | ||||||||||||||||
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Revenue | ||||||||||||||||
| Financial Services | $ | 569,819 | $ | 309,233 | $ | 1,283,480 | $ | 681,863 | ||||||||
| Benefits and Insurance Services | 101,929 | 97,419 | 214,905 | 205,827 | ||||||||||||
| National Practices | 11,748 | 13,360 | 23,125 | 26,619 | ||||||||||||
| Total Revenue | $ | 683,496 | $ | 420,012 | $ | 1,521,510 | $ | 914,309 | ||||||||
| Gross Margin | ||||||||||||||||
| Financial Services | $ | 85,361 | $ | 46,424 | $ | 288,529 | $ | 153,493 | ||||||||
| Benefits and Insurance Services | 17,922 | 14,176 | 45,540 | 38,947 | ||||||||||||
| National Practices | 1,267 | 1,332 | 2,379 | 2,658 | ||||||||||||
| Operating expenses - unallocated(1): | ||||||||||||||||
| Other expense | (4,924 | ) | (6,005 | ) | (11,152 | ) | (12,783 | ) | ||||||||
| Deferred compensation | (11,717 | ) | (2,283 | ) | (9,285 | ) | (10,859 | ) | ||||||||
| Total Gross Margin | $ | 87,909 | $ | 53,644 | $ | 316,011 | $ | 171,456 | ||||||||
| As a % of Revenue | 12.9 | % | 12.8 | % | 20.8 | % | 18.8 | % | ||||||||
| (1) | Represents operating expenses not directly allocated to individual businesses, including stock-based compensation, consolidation and integration charges, and certain advertising expenses. "Operating expenses - unallocated" also includes gains or losses attributable to the assets held in a rabbi trust associated with the Company's deferred compensation plan. These gains or losses do not impact "Income before income tax expense" as they are directly offset by the same adjustment to "Other income (expense), net" in the Consolidated Statements of Comprehensive Income. Net gains or losses recognized from adjustments to the fair value of the assets held in the rabbi trust are recorded as compensation expense (income) in "Operating expenses" and “Corporate, general and administrative expenses,” and offset in "Other income (expense), net." | |
| CBIZ, INC. SELECT CASH FLOW DATA (UNAUDITED) (In thousands) | ||||||||
| Six Months Ended June 30, | ||||||||
| 2025 | 2024 | |||||||
| Net income | $ | 164,715 | $ | 96,677 | ||||
| Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||
| Depreciation and amortization expense | 49,858 | 19,008 | ||||||
| Bad debt expense, net of recoveries | 1,862 | 1,244 | ||||||
| Adjustments to contingent earnout liability, net | 1,487 | 638 | ||||||
| Stock-based compensation expense | 12,239 | 5,016 | ||||||
| Other noncash adjustments | 19,831 | 3,401 | ||||||
| Net income, after adjustments to reconcile net income to net cash provided by operating activities | 249,992 | 125,984 | ||||||
| Changes in assets and liabilities, net of acquisitions and divestitures | (225,112 | ) | (101,545 | ) | ||||
| Net cash provided by operating activities | 24,880 | 24,439 | ||||||
| Net cash used in investing activities | (12,299 | ) | (33,247 | ) | ||||
| Net cash used in financing activities | (33,249 | ) | (11,920 | ) | ||||
| Net decrease in cash, cash equivalents and restricted cash | (20,668 | ) | (20,728 | ) | ||||
| Cash, cash equivalents and restricted cash at beginning of year | $ | 187,170 | $ | 157,148 | ||||
| Cash, cash equivalents and restricted cash at end of period | $ | 166,502 | $ | 136,420 | ||||
| Reconciliation of cash, cash equivalents and restricted cash to the consolidated balance sheet: | ||||||||
| Cash and cash equivalents | $ | 39,817 | $ | 1,128 | ||||
| Restricted cash | 49,145 | 44,947 | ||||||
| Cash equivalents included in funds held for clients | 77,540 | 90,345 | ||||||
| Total cash, cash equivalents and restricted cash | $ | 166,502 | $ | 136,420 | ||||
| CBIZ, INC. SELECT FINANCIAL DATA AND RATIOS (UNAUDITED) (In thousands, except percentages, DSO, and per share data) | ||||||||
| June 30, 2025 | December 31, 2024 | |||||||
| Cash and cash equivalents | $ | 39,817 | $ | 13,826 | ||||
| Restricted cash | 49,145 | 38,661 | ||||||
| Accounts receivable, net | 676,054 | 534,858 | ||||||
| Other current assets | 82,142 | 72,528 | ||||||
| Current assets before funds held for clients | 847,158 | 659,873 | ||||||
| Funds held for clients | 118,877 | 175,853 | ||||||
| Goodwill and other intangible assets, net | 2,899,958 | 2,945,470 | ||||||
| Total assets | 4,537,973 | 4,470,883 | ||||||
| Current liabilities before client fund obligations, excluding short-term debt | 417,342 | 463,697 | ||||||
| Client fund obligations | 118,705 | 175,928 | ||||||
| Total short-term debt, net | 66,274 | 66,177 | ||||||
| Total long-term debt, net | 1,488,215 | 1,333,755 | ||||||
| Total liabilities | 2,646,130 | 2,690,900 | ||||||
| Treasury stock | (989,680 | ) | (910,601 | ) | ||||
| Total stockholders' equity | 1,891,843 | 1,779,983 | ||||||
| Debt to equity | 82.2 | % | 78.6 | % | ||||
| Days sales outstanding (DSO)(1) | 87 | 73 | ||||||
| Shares outstanding | 54,024 | 50,198 | ||||||
| Basic weighted average common shares outstanding | 63,542 | 52,375 | ||||||
| Diluted weighted average common shares outstanding | 63,784 | 52,661 | ||||||
| (1) | DSO is provided for continuing operations and represents accounts receivable, net, at the end of the period, divided by trailing twelve-months daily revenue. The Company has included DSO data because such data is commonly used as a performance measure by analysts and investors and as a measure of the Company's ability to collect on receivables in a timely manner. DSO should not be regarded as an alternative or replacement to any measurement of performance under GAAP. DSO on June 30, 2024, was 95. | |
| CBIZ, INC. GAAP RECONCILIATION Net Income (Loss) and Diluted Earnings Per Share (“EPS”) to Adjusted Net Income (Loss), Adjusted Diluted EPS and Adjusted EBITDA(1) (Unaudited. Amounts in thousands, except per share data) | |||||||||||||||||||||||
| Three Months Ended June 30, 2025 | |||||||||||||||||||||||
| Financial Services | Benefits and Insurance Services | National Practices | Corporate & Other | Consolidated | EPS | ||||||||||||||||||
| Net income (loss) | $ | 85,335 | $ | 17,968 | $ | 1,267 | $ | (62,628 | ) | $ | 41,942 | $ | 0.66 | ||||||||||
| Adjustments: | |||||||||||||||||||||||
| Integration costs related to acquisitions(2) | 4,987 | 226 | — | 13,950 | 19,163 | 0.31 | |||||||||||||||||
| Amortization of acquired intangible assets | 17,091 | 1,699 | — | — | 18,790 | 0.29 | |||||||||||||||||
| Litigation gain, net(3) | — | — | — | (11,859 | ) | (11,859 | ) | (0.19 | ) | ||||||||||||||
| Income tax effect related to adjustments | — | — | — | (7,552 | ) | (7,552 | ) | (0.12 | ) | ||||||||||||||
| Adjusted net income (loss) | $ | 107,413 | $ | 19,893 | $ | 1,267 | $ | (68,089 | ) | $ | 60,484 | $ | 0.95 | ||||||||||
| Interest expense | — | — | — | 27,867 | 27,867 | ||||||||||||||||||
| Income tax expense | — | — | — | 15,837 | 15,837 | ||||||||||||||||||
| Tax effect related to the adjustments above | — | — | — | 7,552 | 7,552 | ||||||||||||||||||
| Depreciation(4) | 3,789 | 534 | 2 | 1,088 | 5,413 | ||||||||||||||||||
| Adjusted EBITDA | $ | 111,202 | $ | 20,427 | $ | 1,269 | $ | (15,745 | ) | $ | 117,153 | ||||||||||||
| As a % of Revenue | 19.5 | % | 20.0 | % | 10.8 | % | N/A | 17.1 | % | ||||||||||||||
| Three Months Ended June 30, 2024 | |||||||||||||||||||||||
| Financial Services | Benefits and Insurance Services | National Practices | Corporate & Other | Consolidated | EPS | ||||||||||||||||||
| Net income (loss) | $ | 46,552 | $ | 14,219 | $ | 1,328 | $ | (42,306 | ) | $ | 19,793 | $ | 0.39 | ||||||||||
| Adjustments: | |||||||||||||||||||||||
| Integration costs related to acquisitions(2) | 162 | 169 | — | 6,650 | 6,981 | 0.14 | |||||||||||||||||
| Amortization of acquired intangible assets | 4,021 | 1,999 | — | — | 6,020 | 0.12 | |||||||||||||||||
| Facility optimization costs(5) | — | — | — | 85 | 85 | — | |||||||||||||||||
| Litigation cost(3) | — | — | — | 723 | 723 | 0.01 | |||||||||||||||||
| Income tax effect related to adjustments | — | — | — | (4,114 | ) | (4,114 | ) | (0.08 | ) | ||||||||||||||
| Adjusted net income (loss) | $ | 50,735 | $ | 16,387 | $ | 1,328 | $ | (38,962 | ) | $ | 29,488 | $ | 0.58 | ||||||||||
| Interest expense | — | — | — | 5,884 | 5,884 | ||||||||||||||||||
| Income tax expense | — | — | — | 8,400 | 8,400 | ||||||||||||||||||
| Tax effect related to the adjustments above | — | — | — | 4,114 | 4,114 | ||||||||||||||||||
| Depreciation | 1,784 | 558 | 9 | 1,169 | 3,520 | ||||||||||||||||||
| Adjusted EBITDA | $ | 52,519 | $ | 16,945 | $ | 1,337 | $ | (19,395 | ) | $ | 51,406 | ||||||||||||
| As a % of Revenue | 17.0 | % | 17.4 | % | 10.0 | % | N/A | 12.2 | % | ||||||||||||||
| (1) | This table reconciles Adjusted net income (loss), Adjusted diluted EPS, and Adjusted EBITDA to the most directly comparable GAAP financial measures. Adjusted net income (loss), Adjusted diluted EPS, and Adjusted EBITDA exclude the impact of Marcum acquisition and other significant non-operating related gains and losses that management does not consider on-going in nature. Please refer to the 'Non-GAAP Financial Measures' section for further management discussion. | |
| (2) | These costs include, but are not limited to, certain consulting, technology, personnel, as well as other integration costs related to acquisitions. Amounts reported for 2025 relate to the costs associated with the acquisition of Marcum, and amounts reported in 2024 relate to the costs associated with the acquisitions of Erickson, Brown & Kloster, LLC and CompuData, Inc. | |
| (3) | During the three months ended June 30, 2025, the Company recorded a gain of | |
| (4) | Depreciation expense reported for 2025 excluded | |
| (5) | These costs related to incremental non-recurring lease expenses incurred as a result of CBIZ's real estate optimization efforts. | |
| Six months ended June 30, 2025 | |||||||||||||||||||||||
| Financial Services | Benefits and Insurance Services | National Practices | Corporate & Other | Consolidated | EPS | ||||||||||||||||||
| Net income (loss) | $ | 288,688 | $ | 45,913 | $ | 2,379 | $ | (172,265 | ) | $ | 164,715 | $ | 2.58 | ||||||||||
| Adjustments: | |||||||||||||||||||||||
| Integration costs related to acquisitions(2) | 7,500 | 381 | — | 26,974 | 34,855 | 0.54 | |||||||||||||||||
| Amortization of acquired intangible assets | 33,981 | 3,475 | — | — | 37,456 | 0.59 | |||||||||||||||||
| Litigation gain, net(3) | — | — | — | (11,063 | ) | (11,063 | ) | (0.17 | ) | ||||||||||||||
| Income tax effect related to adjustments | — | — | — | (17,516 | ) | (17,516 | ) | (0.28 | ) | ||||||||||||||
| Adjusted net income (loss) | $ | 330,169 | $ | 49,769 | $ | 2,379 | $ | (173,870 | ) | $ | 208,447 | $ | 3.26 | ||||||||||
| Interest expense | — | — | — | 53,023 | 53,023 | ||||||||||||||||||
| Income tax expense | — | — | — | 65,974 | 65,974 | ||||||||||||||||||
| Tax effect related to the adjustments above | — | — | — | 17,516 | 17,516 | ||||||||||||||||||
| Depreciation(4) | 7,346 | 1,083 | 3 | 2,177 | 10,609 | ||||||||||||||||||
| Adjusted EBITDA | $ | 337,515 | $ | 50,852 | $ | 2,382 | $ | (35,180 | ) | $ | 355,569 | ||||||||||||
| As a % of Revenue | 26.3 | % | 23.7 | % | 10.3 | % | N/A | 23.4 | % | ||||||||||||||
| Six months ended June 30, 2024 | |||||||||||||||||||||||
| Financial Services | Benefits and Insurance Services | National Practices | Corporate & Other | Consolidated | EPS | ||||||||||||||||||
| Net income (loss) | $ | 153,707 | $ | 39,034 | $ | 2,654 | $ | (98,718 | ) | $ | 96,677 | $ | 1.92 | ||||||||||
| Adjustments: | |||||||||||||||||||||||
| Integration costs related to acquisitions(2) | 257 | 169 | — | 7,137 | 7,563 | 0.15 | |||||||||||||||||
| Amortization of acquired intangible assets | 7,916 | 4,048 | — | 1 | 11,965 | 0.24 | |||||||||||||||||
| Facility optimization costs(5) | — | — | — | 340 | 340 | 0.01 | |||||||||||||||||
| Litigation cost(3) | — | — | — | 723 | 723 | 0.01 | |||||||||||||||||
| Income tax effect related to adjustments | — | — | — | (5,534 | ) | (5,534 | ) | (0.11 | ) | ||||||||||||||
| Adjusted net income (loss) | $ | 161,880 | $ | 43,251 | $ | 2,654 | $ | (96,051 | ) | $ | 111,734 | $ | 2.22 | ||||||||||
| Interest expense | — | — | — | 10,395 | 10,395 | ||||||||||||||||||
| Income tax expense | — | — | — | 35,530 | 35,530 | ||||||||||||||||||
| Tax effect related to the adjustments above | — | — | — | 5,534 | 5,534 | ||||||||||||||||||
| Depreciation | 3,581 | 1,148 | 18 | 2,296 | 7,043 | ||||||||||||||||||
| Adjusted EBITDA | $ | 165,461 | $ | 44,399 | $ | 2,672 | $ | (42,296 | ) | 170,236 | |||||||||||||
| As a % of Revenue | 24.3 | % | 21.6 | % | 10.0 | % | N/A | 18.6 | % | ||||||||||||||
| (1) | This table reconciles Adjusted net income (loss), Adjusted diluted EPS, and Adjusted EBITDA to the most directly comparable GAAP financial measures. Adjusted net income (loss), Adjusted diluted EPS, and Adjusted EBITDA exclude the impact of Marcum acquisition and other significant non-operating related gains and losses that management does not consider on-going in nature. Please refer to the 'Non-GAAP Financial Measures' section for further management discussion. | |
| (2) | These costs include, but are not limited to, certain consulting, technology, personnel, as well as other integration costs related to acquisitions. Amounts reported for 2025 relate to the costs associated with the acquisition of Marcum, and amounts reported in 2024 relate to the costs associated with the acquisitions of Erickson, Brown & Kloster, LLC and CompuData, Inc. | |
| (3) | During the six months ended June 30, 2025, the Company recorded a gain of | |
| (4) | Depreciation expense reported for 2025 excluded | |
| (5) | These costs related to incremental non-recurring lease expenses incurred as a result of CBIZ's real estate optimization efforts. | |
| CBIZ, INC. GAAP RECONCILIATION Full Year 2025 Net Income and Diluted Earnings Per Share (“EPS”) to Adjusted Net Income, Adjusted Diluted EPS, and Adjusted EBITDA Guidance | |||||||||||||||
| Full Year 2025 Guidance | |||||||||||||||
| (Amounts in millions except per share data) | |||||||||||||||
| Low | High | ||||||||||||||
| Amounts | EPS | Amounts | EPS | ||||||||||||
| GAAP Net Income | $ | 127.9 | $ | 1.97 | $ | 131.1 | $ | 2.02 | |||||||
| Amortization of acquired intangible assets(1) | 75.1 | 1.15 | 75.1 | 1.15 | |||||||||||
| Integration costs related to acquisitions(2) | 75.0 | 1.15 | 75.0 | 1.15 | |||||||||||
| Income tax effect related to adjustments | (43.5 | ) | (0.67 | ) | (43.5 | ) | (0.67 | ) | |||||||
| Adjusted Net Income | $ | 234.5 | $ | 3.60 | $ | 237.7 | $ | 3.65 | |||||||
| Depreciation | 22.1 | 22.1 | |||||||||||||
| Interest expense | 99.3 | 99.3 | |||||||||||||
| Income tax expense included the tax effect related to the adjustments above | 94.5 | 97.1 | |||||||||||||
| Adjusted EBITDA | $ | 450.4 | $ | 456.2 | |||||||||||
| (1) | These costs represent the amortization of the intangible assets, such as client lists, recognized as a result of applying Accounting Standards Codification Topic 850, Business Combinations. The amount of amortization expense recorded in each period is significantly affected by the size and timing of our acquisitions. | |
| (2) | These costs include, but are not limited to, certain consulting, technology, personnel, as well as other operating and general administrative costs associated with the integration of the Marcum business. | |
Contacts:
Media: Amy McGahan, Director of Corporate & Strategic Communications, amy.mcgahan@cbiz.com
Investor Relations: Lori Novickis, Director, Corporate Relations, lnovickis@cbiz.com
CBIZ, Inc., Cleveland, Ohio, (216) 447-9000
FAQ
What were CBIZ's Q2 2025 earnings results?
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