Filing Flows › Maximus (MMS) › Q2 FY25
Maximus (MMS) Q2 FY25 earnings results (second quarter fiscal 2025)
10-Q filed May 8, 2025
Maximus (MMS) reported revenue of $1.4B for the second quarter fiscal 2025 (Q2 FY25), +1% from a year earlier and -3% from the quarter before. Operating margin was 11.2%, net earnings $96.6M (7.1% of revenue).
Maximus, Q2 FY25: revenue $1.4B (+1% year over year), operating margin 11.2%, net earnings $96.6M, operating cash flow $42.7M. The chart follows the revenue to costs, profit and cash.
| Q2 FY25 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $1.4B | -3% | +1% |
| Gross profit | $339M | +12% | +7% |
| Operating profit | $153M | +76% | +20% |
| Net earnings | $96.6M | +134% | +20% |
| Operating cash flow | $42.7M | — | -67% |
| Free cash flow | $25.5M | — | -76% |
What changed
Revenue was $1.4B in Q2 FY25, up 1% year over year and down 3% from the previous quarter. Program Operations was the largest line at 51% of revenue. Clinical Services added $0.04B year over year (up 8%), 278% of the total change. Employment & Other declined 32%.
Gross margin was 24.9%, up 1.3 points from a year earlier. Operating profit was $0.15B, a 11.2% margin (up 1.8 points year over year). Of the extra revenue versus a year earlier, 190% reached operating profit, above the 9% margin then. Operating expenses fell 2% while revenue rose 1%. Net earnings were $0.10B, up 20% year over year. The effective tax rate was 27.1%.
Operating cash flow was $0.04B (down 67% year over year), 44% of net earnings. Non-cash charges added back $0.01B of depreciation and amortization and $0.01B of share-based compensation. Working capital and other items used $0.08B. Capital expenditures of $0.02B left free cash flow of $0.03B.
Questions
What was Maximus' revenue in the second quarter fiscal 2025?
Maximus (MMS) reported revenue of $1.4B for the second quarter fiscal 2025 (Q2 FY25), +1% from a year earlier and -3% from the quarter before.
Was Maximus profitable in the second quarter fiscal 2025?
Operating profit was $153M (11.2% of revenue) and net earnings $96.6M.
Source: Maximus 10-Q on SEC EDGAR.