$APG · APi Group Corp
APi Group reported Q3 2026 results with record net revenues of $2.554B (+22.5% YoY, 15.7% organic), record adjusted EBITDA of $350M (+24.6%), and adjusted diluted EPS of $0.50 (+22.0%). The company raised full-year 2026 guidance for both net revenues ($9.20B–$9.25B) and adjusted EBITDA ($1.235B–$1.255B), citing strong demand across inspection, service, and project activity.
- Q3 net revenues hit a record $2.554B, up 22.5% YoY with 15.7% organic growth
- Adjusted EBITDA reached a record $350M, up 24.6% YoY, with margin expanding 20 bps to 13.7%
- Adjusted diluted EPS of $0.50 grew 22.0% YoY from $0.41
- Full-year 2026 revenue guidance raised to $9.20B–$9.25B from $8.875B–$9.025B
- Full-year adjusted EBITDA guidance raised to $1.235B–$1.255B from $1.205B–$1.245B
Extended-hours trading shows APG at $42.80, up 3.44% vs the regular close and 4.88% above the filing-time price, reflecting a positive reaction to the double beat and raised guidance. With a $17.88B market cap, the magnitude of the move signals strong investor endorsement of the 15.7% organic growth and margin expansion.
APi posted a rare combination of 15.7% organic growth, margin expansion, and a guidance raise — all in a quarter where gross margins actually contracted, signaling powerful operating leverage.
APi's 15.7% organic growth and margin expansion stand out in the business services sector, where many peers are navigating slower demand. The Specialty Services segment's 29.9% organic surge signals particular strength in infrastructure and project-based work.
Gross profit margin contracted 120 bps YoY to 30.1%, driven by project/business mix and rising material, fuel, and other expenses — a persistent headwind that partially offset SG&A leverage gains. The guidance raise assumes continued ability to manage these input cost pressures.