NYSE$APG

APi Group Corporation · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

APi Group's financial performance remained strong in Q2 2024, marked by record net income and adjusted EBITDA.

APi Group reported a slight decrease in net revenues but achieved record second quarter net income, adjusted EBITDA, and free cash flow generation. The company reaffirms full year net revenue guidance and narrows full year adjusted EBITDA range.

  • Net revenues were $1.7 billion, a 2.3% decrease year-over-year.
  • Net income reached a record $69 million, representing a 44% increase year-over-year.
  • Adjusted EBITDA was a record $231 million, up 14% year-over-year.
  • Adjusted EBITDA margin increased 190 basis points to a record 13.4%.

Headline financials

Total Revenue

$1.73B

Previous: $1.77B-2.3%
EPS

$0.22

Previous: $0.41-46.3%
Gross Margin

31.4%

No prior period
Adjusted Gross Margin

31.7%

No prior period
Adjusted EBITDA Margin

13.4%

Previous: 11.5%+16.5%
Adj. FCF Conversion

52.8%

No prior period
Capital Expenditures

-$44M

Previous: -$46M+4.3%
Free Cash Flow

$25M

Previous: $2M+1150.0%
Net Income

$69M

Previous: $48M+43.8%
Operating Income

$126M

Previous: $107M+17.8%
Gross Profit

$544M

Previous: $496M+9.7%
Cash & Equivalents

$324M

Previous: $368M-12.0%
Total Assets

$7.96B

Previous: $7.97B-0.2%
Stock-Based Comp

$9M

Previous: $6M+50.0%

Revenue & EPS history

APi Group · Revenue · Quarterly

$1.73B

Q2 2024-2.3%vs Q2 2023
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Revenue by segment

APi Group · $1.79B total across 2 segments · Q3 2023

  • Safety Services
    $1.22B+5.5%
  • Specialty Services
    $569M-3.6%

Forward guidance

APi Group reaffirms full year net revenue guidance and narrows full year adjusted EBITDA range. Net Revenues of $7,150 to $7,350 million and Adjusted EBITDA of $885 to $915 million.

Tailwinds

  • Net Revenues of $7,150 to $7,350 million
  • Adjusted EBITDA of $885 to $915 million
  • Adjusted Free Cash Flow Conversion of approximately 70% of adjusted EBITDA
  • Net Revenues of $1,860 to $1,910 million for Q3 2024
  • Adjusted EBITDA of $240 to $250 million for Q3 2024

Historical earnings impact

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

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2024

Historical avgQ2 2024

+0.4%

Avg return

Earnings day

+1.8%

Avg return

5 days after

+3.9%

Avg return

30 days after

44%

11 / 25 earnings

Positive

+10.7%

Q3 2022

Best reaction

-9.4%

Q2 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-6.0%-6.3%-15.7%
Q4 2025-0.4%+0.5%-7.3%
Q3 2025+1.9%+2.8%+14.8%
Q1 2025+6.6%+12.3%+23.4%
Q4 2024-0.3%+4.7%-0.9%
Q3 2024+6.4%+5.7%+13.8%
Q2 2024-9.4%-12.4%-6.2%
Q1 2024-2.3%-0.0%-5.8%
Q4 2023-1.9%+7.5%+9.9%
Q3 2023+7.2%+4.2%+20.5%
Q2 2023-2.7%-1.6%-1.7%
Q1 2023+1.1%-0.8%+5.4%
Q4 2022+1.0%+7.0%-5.1%
Q3 2022+10.7%+12.7%+23.0%
Q2 2022-5.4%-8.5%-16.9%
Q1 2022-8.6%-14.6%-5.7%
Q4 2021-4.1%+6.0%+5.0%
Q3 2021+9.3%+10.6%+6.2%
Q2 2021-2.7%-0.2%-4.0%
Q1 2021-6.7%-6.9%+7.2%
Q4 2020-2.9%+1.5%+11.5%
Q3 2020+2.5%+1.2%+15.9%
Q2 2020-1.7%+3.3%-3.7%
Q1 2020+9.1%+7.6%+7.1%
Q4 2019+9.1%+7.6%+7.1%
Q3 2019
Q2 2019
Q1 2019

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