NASDAQ$FA

First Advantage Corporation · Q2 2025 earnings

Q2 2025 earnings · · Before market open · Investor relations

Briefing

First Advantage Corporation reported Q2 2025 results with significant revenue growth from the Sterling acquisition.

Revenues reached $390.6 million for the three months ended June 30, 2025, more than doubling from the prior year primarily due to the Sterling acquisition completed in October 2024. The company posted net income of $0.3 million and Adjusted EBITDA of $113.9 million at a 29.2% margin amid integration activities and macroeconomic pressures on customer demand.

  • Revenues increased 111.7% year-over-year to $390.6 million, driven by $203.7 million contribution from Sterling.
  • Net income was $0.3 million compared to $1.9 million in Q2 2024, with operating income of $37.7 million.
  • Adjusted EBITDA rose to $113.9 million with a margin of 29.2%, reflecting the larger post-acquisition scale.
  • Cash and cash equivalents stood at $184.3 million at quarter end, supported by $56.8 million in operating cash flow for the first half.

Headline financials

Total Revenue

$391M

Previous: $185M+111.7%
EPS (adj)

$0.00

Previous: $0.01-100.0%
Adjusted EBITDA

$114M

Previous: $55.8M+104.3%
Adjusted EBITDA Margin

29.2%

Previous: 30.2%-3.3%
Capital Expenditures

-$1.72M

Previous: -$970K-77.1%
Net Income

$308K

Previous: $1.86M-83.4%
Operating Income

$37.7M

Previous: $9.9M+281.1%
Cash & Equivalents

$184M

Previous: $270M-31.6%

Revenue & EPS history

First Advantage · Revenue · Quarterly

$391M

Q2 2025+111.7%vs Q2 2024
Beat estimate in 8 of 16 quarters(50%)
ActualEstimate

Revenue by segment

First Advantage · $393M total across 3 segments · Q2 2025

  • Sterling
    $204M
  • First Advantage Americas
    $164M
  • First Advantage International
    $25.9M

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports

Historical avg

+7.9%

Avg return

Earnings day

+6.8%

Avg return

5 days after

+7.3%

Avg return

30 days after

76%

19 / 25 earnings

Positive

+23.0%

Q1 2026

Best reaction

-12.4%

Q4 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2025
Q1 2026+23.0%+21.3%+24.1%
Q4 2025+22.8%+24.3%+17.1%
Q3 2025+6.8%+2.8%+7.0%
Q1 2025+19.0%+19.1%+21.4%
Q4 2024-12.4%-25.7%-25.0%
Q3 2024-3.0%-5.8%+5.2%
Q2 2024+3.2%+5.0%+15.1%
Q1 2024-1.5%-0.7%+1.4%
Q4 2023-6.1%-4.6%-3.7%
Q3 2023+2.2%+5.2%+17.4%
Q2 2023+6.4%+7.1%-8.3%
Q1 2023+0.2%+4.8%+9.5%
Q4 2022+1.4%+2.7%+4.1%
Q3 2022+11.6%+18.4%+29.3%
Q2 2022-2.8%+2.5%-3.0%
Q1 2022-5.4%-1.9%-9.4%
Q4 2021+10.4%+11.0%+1.2%
Q4 2019+10.4%+11.0%+1.2%
Q3 2020+3.3%-4.9%-15.2%
Q3 2021+3.3%-4.9%-15.2%
Q2 2020+20.9%+16.5%+21.9%
Q2 2021+20.9%+16.5%+21.9%
Q4 2020+20.9%+16.5%+21.9%
Q1 2021+20.9%+16.5%+21.9%
Q1 2020+20.9%+16.5%+21.9%

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