Federal Signal Corporation Reports 15% Increase in Q2 Net Sales and 17% Rise in GAAP EPS, Raises 2025 Outlook

Reuters
Jul 30
Federal Signal Corporation Reports 15% Increase in <a href="https://laohu8.com/S/QTWO">Q2</a> Net Sales and 17% Rise in GAAP EPS, Raises 2025 Outlook

Federal Signal Corporation, a leader in environmental and safety solutions, reported record financial results for the second quarter of 2025, showcasing significant growth in key performance metrics. The company achieved net sales of $565 million, marking an increase of $74 million, or 15%, compared to the same quarter last year. Operating income rose by 20% to $97.7 million, reflecting a robust improvement from the previous year. The company reported a net income of $71.4 million, or $1.16 per diluted share, compared to $60.8 million, or $0.99 per diluted share, in the prior-year quarter. Adjusted earnings per share $(EPS)$ stood at $1.17, representing a 23% increase from last year's $0.95. Federal Signal experienced strong customer demand, with orders amounting to $540 million, up by $67 million, or 14%, from the prior year. Operating cash flow also improved significantly, reaching $60 million, a 47% increase from last year. In terms of outlook, the company raised its 2025 net sales guidance to a range of $2.07 billion to $2.13 billion, up from the previous range of $2.02 billion to $2.10 billion. The adjusted EPS outlook was elevated to a new range of $3.92 to $4.10, from the prior range of $3.63 to $3.90. Additionally, Federal Signal increased its consolidated EBITDA margin target to a range of 16% to 22%, from the previous target of 14% to 20%. The Environmental Solutions Group within the company posted an 18% year-over-year net sales growth and a 26% increase in adjusted EBITDA. Meanwhile, the Safety and Security Systems Group achieved a 3% top-line growth with an adjusted EBITDA margin of 27%. Overall, Federal Signal's performance in the second quarter underscores its strong operational execution and strategic initiatives, prompting the upward revision of its financial targets for the year.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Federal Signal Corporation published the original content used to generate this news brief via PR Newswire (Ref. ID: CG40315) on July 30, 2025, and is solely responsible for the information contained therein.

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