JBT Marel (JBTM) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue reached $854.1 million, with over half from recurring products and services, driven by the Marel acquisition and strong demand across poultry, meat, beverage, pharma, and pet food markets.

• Adjusted EBITDA was $112.2 million (13.1% margin), up 95.5% year-over-year, but net loss was $173 million due to $147 million pension settlement and $74 million M&A-related charges.

• Orders totaled $916 million, backlog stood at $1.3 billion, and integration of JBT and Marel is progressing with synergy targets on track.

• More than half of total revenue was generated from recurring products and services, supporting resilience and stability.

• Company outperformed internal expectations for the quarter.

Financial highlights

• Q1 2025 revenue was $854.1 million, exceeding guidance midpoint by ~$20 million, with Marel contributing $445.3 million and JBT $409 million.

• Adjusted EBITDA margin was 13.1%, up 120 bps year-over-year for the combined company.

• Adjusted EPS was $0.97, while GAAP EPS was $(3.35) due to significant non-cash and M&A-related charges.

• Free cash flow was $18 million, including ~$42 million in one-time M&A payments; operating cash flow was $34 million.

• Orders totaled $916 million, and backlog stood at $1.3 billion at quarter-end.

Outlook and guidance

• Full-year 2025 guidance suspended due to macroeconomic and tariff uncertainty; only Q2 guidance provided.

• Q2 2025 revenue expected at $885–$915 million, adjusted EBITDA margin 14.5–15.25%, and adjusted EPS $1.20–$1.40.

• Q2 guidance includes $10–$15 million FX tailwind and excludes $11 million restructuring, $18 million M&A, and $41 million amortization from adjusted metrics.

• Estimated Q2 tax rate is 24–25%; interest expense ~$27 million; depreciation and amortization ~$61 million.

• Less visibility for H2 2025 due to potential impacts of slower economic growth, higher prices, and customer investment uncertainty.