ATS Corporation's Q3 Fiscal 2025 Earnings Overview

    • ATS Corporation reported lower-than-expected earnings per share (EPS) and revenue for the third quarter of fiscal 2025.
    • The company saw a significant decrease in net income and adjusted EBITDA compared to the same period last year.
    • Despite financial declines, ATS experienced a positive trend in order bookings and backlog, indicating potential future growth.

    ATS Corporation, listed on the NYSE:ATS, operates in the industrial automation sector, providing systems and services to various industries, including life sciences, transportation, and consumer products. Competing with firms like Rockwell Automation and Siemens, ATS reported its earnings for the third quarter of fiscal 2025 on February 5, 2025.

    ATS reported earnings per share (EPS) of $0.07, slightly below the estimated $0.23. The company's revenue was approximately $652 million, falling short of the estimated $694.60 million. During the earnings call, CEO Andrew Hider and CFO Ryan McLeod discussed these results with analysts from Stifel, TD Cowen, and J.P. Morgan, as highlighted by Seeking Alpha.

    The company's revenue for Q3 2025 was $652 million, a decrease from $752 million in the same period last year. Net income dropped significantly to $6.5 million from $47.2 million a year ago. Basic earnings per share fell to 7 cents from 48 cents. Adjusted EBITDA was $87.5 million, down from $119.3 million, and adjusted basic earnings per share decreased to 32 cents from 65 cents.

    ATS has a price-to-earnings (P/E) ratio of approximately 36.14, indicating that investors are willing to pay over 36 times the company's earnings over the past twelve months. The price-to-sales ratio is about 1.46, and the enterprise value to sales ratio is around 2.01. The enterprise value to operating cash flow ratio is notably high at 121.03, suggesting less cash flow relative to its enterprise value. The debt-to-equity ratio is about 1.03, and the current ratio is approximately 2.08, indicating good short-term financial health.