FirstService (FSV) Q3 2026 earnings summary

Executive summary

• Q3 revenue grew 6% YoY, including 4% organic growth; Adjusted EBITDA rose 3% and Adjusted EPS increased 7%. Sequential organic growth improved amid macroeconomic challenges.

• Operating teams’ execution supported confidence in previously communicated full-year targets; results met expectations, with organic top-line performance exceeding expectations.

Financial highlights

• Q3 revenue was $1.532B, up 6% YoY; Adjusted EBITDA was $169.7M, up 3%, and Adjusted EPS was $1.89, up 7%.

• Q3 consolidated EBITDA margin was 11.1%, down 30 bps YoY; GAAP operating earnings were $107.4M vs. $115.6M, and diluted EPS was $0.99 vs. $1.24.

• 9M revenue was $4.298B, up 4%; Adjusted EBITDA was $437.1M, up 3%, and Adjusted EPS was $4.57, up 4%.

• 9M GAAP operating earnings were $253.7M vs. $252.2M; net earnings were $149.1M vs. $140.4M, and diluted EPS was $2.41 vs. $2.32.

Outlook and guidance

• Full-year revenue growth is expected at mid-single digits, at the upper end of the range provided at mid-year; management remained confident in previously communicated FY targets.

• FY Adjusted EBITDA growth target remains mid-single digits, with margins relatively in line YoY; Q4 consolidated EBITDA margin is expected slightly above the prior year.

• Residential expects Q4 revenue growth similar to Q3; margin improvement is expected to be at least double the 30 bps achieved year to date.

• Restoration Brands expect mid- to high-single-digit Q4 growth; roofing expects mid-single-digit reported growth and organic growth flat to slightly down.

• Home Services expects Q4 revenue flat in aggregate and down low-single digits organically; Century Fire expects to finish the year with 10%+ revenue growth.