Brookfield Business Partners (BBU) Q2 2025 earnings summary

Executive summary

• Net income attributable to unitholders was $26 million ($0.12 per unit) for Q2 2025, reversing a net loss of $20 million in Q2 2024, driven by improved operational performance and recent acquisitions.

• Adjusted EBITDA rose to $591 million from $524 million year-over-year, with a margin of 23% versus 19% prior, reflecting same-store growth and contributions from new businesses.

• Revenues for Q2 2025 were $6.7 billion, down from $11.9 billion in Q2 2024, mainly due to the sale of the road fuels operation and shuttle tanker business.

• Major transactions included the sale of partial interests in three businesses to seed a new Evergreen Fund, the acquisition of Antylia Scientific (26% interest), and the pending privatization of First National Financial Corporation.

• Buybacks returned $157 million to owners year-to-date, with 6.5 million units repurchased.

Financial highlights

• Adjusted EBITDA for Q2 2025 was $591 million, up from $524 million in Q2 2024; six-month Adjusted EBITDA was $1.18 billion, up from $1.07 billion in the prior year.

• Net income for Q2 2025 was $135 million, up from $65 million in Q2 2024; net income attributable to unitholders was $26 million ($0.12 per unit) versus a loss of $20 million last year.

• Revenues for Q2 2025 were $6.7 billion; six-month revenues were $13.4 billion, down from $24.0 billion in the prior year period.

• Direct operating costs for Q2 2025 were $5.5 billion, down from $10.9 billion in Q2 2024, reflecting business dispositions and tax benefits.

• Corporate liquidity at quarter-end was $2.3 billion, pro forma $2.9 billion after recent transactions.

Outlook and guidance

• Management targets long-term capital appreciation through operational improvements and disciplined capital allocation.

• The partnership plans to renew its normal course issuer bid after August 2025, with capacity to repurchase additional units.

• Units from the sale of partial interests in three businesses to a new evergreen fund are expected to be redeemed for cash within 18 months.

• The acquisition of Antylia Scientific and the pending privatization of First National Financial Corporation are expected to support future growth.

• Management is focused on repositioning underperforming segments and pursuing value creation initiatives across the portfolio.