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Broadridge's Q2 Earnings and Revenues Outpace Estimates, Rise Y/Y
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Key Takeaways
BR delivered Q2 fiscal 2026 EPS and revenue beats, with sales up 7.85% and adjusted EPS rising 2% Y/Y.
Broadridge saw recurring revenues rise 9% and growth in the two core segments.
BR raised its adjusted EPS growth outlook to 9-12% and expects recurring revenue growth of 5-7%.
Broadridge Financial Solutions, Inc. (BR - Free Report) reported impressive second-quarter fiscal 2026 results, with earnings and revenues beating the Zacks Consensus Estimate.
Adjusted earnings of $1.59 per share topped the consensus mark by 19% and increased 2% from the year-ago quarter. Total revenues of $1.71 billion surpassed the consensus mark by 7.6% and were up 7.9% year over year.
Recurring revenues of $1.07 billion rose 9% year over year on a reported basis and 8% on a constant-currency basis.
Broadridge Financial Solutions, Inc. Price, Consensus and EPS Surprise
Revenues in the Investor Communication Solutions segment increased 7% from the year-ago quarter’s level to $1.23 billion. The Global Technology and Operations segment’s revenues amounted to $459.5 million, increasing 9% on a year-over-year basis.
Adjusted operating income of $265 million increased 1% year over year. The adjusted operating income margin of 15.5% increased 110 basis points year over year.
Broadridge exited the quarter with a cash and cash equivalents balance of $370.7 million compared with $561.5 million at the end of fiscal 2025. Long-term debt was $2.67 billion compared with $2.75 billion at the end of fiscal 2025.
The company generated $367.1 million of cash from operating activities, and capex was $21.5 million in the quarter. It paid out $216.9 million in dividends.
BR’s Fiscal 2026 Guidance
The company expects recurring revenue growth to be 5-7%. Adjusted EPS growth is expected to be 9-12% as compared with the previous view of 8-12%. The adjusted operating income margin is estimated to be around 20-21%.
ACN’s earnings were $3.94 per share, beating the Zacks Consensus Estimate by 5.6%. The metric increased 9.8% from the year-ago quarter. Total revenues of $18.7 billion beat the consensus estimate by 1% and rose 6% on a year-over-year basis.
Automatic Data Processing, Inc. (ADP - Free Report) reported impressive second-quarter fiscal 2026 results, wherein earnings and revenues outpaced the Zacks Consensus Estimate.
ADP’s earnings per share of $2.62 beat the consensus estimate by 1.6% and increased 11.5% from the year-ago quarter. Total revenues of $5.4 billion missed the consensus estimate by a slight margin but grew 6.2% on a year-over-year basis.
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Broadridge's Q2 Earnings and Revenues Outpace Estimates, Rise Y/Y
Key Takeaways
Broadridge Financial Solutions, Inc. (BR - Free Report) reported impressive second-quarter fiscal 2026 results, with earnings and revenues beating the Zacks Consensus Estimate.
Adjusted earnings of $1.59 per share topped the consensus mark by 19% and increased 2% from the year-ago quarter. Total revenues of $1.71 billion surpassed the consensus mark by 7.6% and were up 7.9% year over year.
Recurring revenues of $1.07 billion rose 9% year over year on a reported basis and 8% on a constant-currency basis.
Broadridge Financial Solutions, Inc. Price, Consensus and EPS Surprise
Broadridge Financial Solutions, Inc. price-consensus-eps-surprise-chart | Broadridge Financial Solutions, Inc. Quote
Other Key Q2 Metrics of BR
Revenues in the Investor Communication Solutions segment increased 7% from the year-ago quarter’s level to $1.23 billion. The Global Technology and Operations segment’s revenues amounted to $459.5 million, increasing 9% on a year-over-year basis.
Adjusted operating income of $265 million increased 1% year over year. The adjusted operating income margin of 15.5% increased 110 basis points year over year.
Broadridge exited the quarter with a cash and cash equivalents balance of $370.7 million compared with $561.5 million at the end of fiscal 2025. Long-term debt was $2.67 billion compared with $2.75 billion at the end of fiscal 2025.
The company generated $367.1 million of cash from operating activities, and capex was $21.5 million in the quarter. It paid out $216.9 million in dividends.
BR’s Fiscal 2026 Guidance
The company expects recurring revenue growth to be 5-7%. Adjusted EPS growth is expected to be 9-12% as compared with the previous view of 8-12%. The adjusted operating income margin is estimated to be around 20-21%.
Broadridge currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Earnings Snapshot
Accenture plc (ACN - Free Report) reported impressive first-quarter fiscal 2026 results.
ACN’s earnings were $3.94 per share, beating the Zacks Consensus Estimate by 5.6%. The metric increased 9.8% from the year-ago quarter. Total revenues of $18.7 billion beat the consensus estimate by 1% and rose 6% on a year-over-year basis.
Automatic Data Processing, Inc. (ADP - Free Report) reported impressive second-quarter fiscal 2026 results, wherein earnings and revenues outpaced the Zacks Consensus Estimate.
ADP’s earnings per share of $2.62 beat the consensus estimate by 1.6% and increased 11.5% from the year-ago quarter. Total revenues of $5.4 billion missed the consensus estimate by a slight margin but grew 6.2% on a year-over-year basis.