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Verra Mobility (VRRM) investor relations material

Verra Mobility UBS’s 2025 Global Technology and AI Conference summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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UBS’s 2025 Global Technology and AI Conference summary2 Dec, 2025

Business overview and market position

  • Operates in three segments: government solutions, commercial services, and parking, with leading market shares in each.

  • Holds about 70% market share in North American automated enforcement technology, with operations in the US, Australia, New Zealand, and Europe.

  • Commercial services focus on toll management for rental and fleet vehicles, mainly in North America, with some European presence.

  • Parking segment centers on ERP software and hardware for universities and municipalities, acquired through T2.

Financial outlook and growth drivers

  • Government solutions expected to grow revenue at 10%-12% CAGR from 2024-2027, then high single-digit growth beyond.

  • New York City contract renewal is a $963 million, five-year deal with a 1,000-camera expansion, supporting revenue growth.

  • Commercial services revenue projected to grow at mid-single digits, driven by travel trends, growth initiatives, and toll road expansion.

  • Parking segment expected to see low to mid-single digit growth.

Margin trends and contract impacts

  • Adjusted EBITDA margin expected to decline by 250 basis points in 2026, mainly due to NYC contract price rationalization and minority/women-owned business requirements.

  • NYC contract requires $20-$25 million annual investment in minority/women-owned subcontractors, causing a margin step back.

  • Government solutions margins projected to grow 1-1.5 points per year through 2028, reaching high 20%-30%.

NYC MWBE cost impact on future margins
Commercial Services: classic growth initiatives focus
Autonomous vehicles: VM's long-term strategy
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Frequently asked questions

Verra Mobility Corporation operates primarily through two companies, American Traffic Solutions (ATS) and RMV Solutions. ATS is the leading provider of photo traffic enforcement programs and equipment in North America, with clients in more than 400 cities across the US and Canada. Its SafeLight program reduces red-light running at intersections throughout North America by 20-30%. Its experience as a mobility company dates back to 1989. RMV Solutions is one of the largest providers of online motor vehicle registration transactions for governments in the US, with clients in more than 17 states.

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