Revenue expanded to roughly $2.6B with a 22.5% year-over-year increase, yet a 7.9% operating margin and 4.5% net margin suggest limited operating leverage relative to growth.
APi Group Corporation (APG) annual income statement — 9-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 |
|---|
| Sales/Revenue | 8.91B | 7.91B | 7.02B | 6.93B | 6.56B | 3.94B | 3.59B | 985M | 3.73B | 3.05B |
| Revenue Growth % | 16.36% | 12.72% | 1.3% | 5.64% | 66.45% | 9.84% | -3.78% | -73.58% | 22.39% | - |
| Cost of Goods Sold | 6.26B | 5.42B | 4.84B | 4.99B | 4.84B | 3B | 2.83B | 787M | 2.94B | 2.38B |
| COGS % of Revenue | - | 68.56% | 68.97% | 72% | 73.86% | 76.17% | 78.92% | 79.9% | 78.89% | 78.2% |
| Gross Profit | 2.65B | 2.49B | 2.18B | 1.94B | 1.71B | 939M | 756M | 198M | 787M | 664M |
| Gross Margin % | 29.73% | 31.44% | 31.03% | 28% | 26.14% | 23.83% | 21.08% | 20.1% | 21.11% | 21.8% |
| Gross Profit Growth % | - | 14.19% | 12.27% | 13.19% | 82.53% | 24.21% | -3.94% | -74.84% | 18.52% | - |
| Operating Expenses | 2.03B | 1.93B | 1.69B | 1.58B | 1.55B | 803M | 922M | 359M | 625M | 511M |
| OpEx % of Revenue | - | 24.43% | 24.14% | 22.82% | 23.67% | 20.38% | 25.7% | 36.45% | 16.77% | 16.78% |
| Selling, General & Admin | 2.03B | 1.93B | 1.69B | 1.58B | 1.55B | 803M | 725M | 359M | 625M | 511M |
| SG&A % of Revenue | - | 24.43% | 24.14% | 22.82% | 23.67% | 20.38% | 20.21% | 36.45% | 16.77% | 16.78% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 0 | 0 | 0 | 0 | 0 | 0 | 197M | 0 | 0 | 0 |
| Operating Income | 618M | 554M | 484M | 359M | 162M | 136M | -166M | -161M | 162M | 123M |
| Operating Margin % | 6.94% | 7% | 6.9% | 5.18% | 2.47% | 3.45% | -4.63% | -16.35% | 4.35% | 4.04% |
| Operating Income Growth % | - | 14.46% | 34.82% | 121.6% | 19.12% | 181.93% | -202.47% | -199.38% | 31.71% | - |
| EBITDA | 980M | 881M | 786M | 662M | 466M | 338M | 97M | -92M | 271M | 192M |
| EBITDA Margin % | 11% | 11.14% | 11.2% | 9.56% | 7.11% | 8.58% | 2.7% | -9.34% | 7.27% | 6.3% |
| EBITDA Growth % | 18.07% | 12.09% | 18.73% | 42.06% | 37.87% | 248.45% | -64.21% | -133.95% | 41.15% | - |
| D&A (Non-Cash Add-back) | 362M | 327M | 302M | 303M | 304M | 202M | 263M | 69M | 109M | 69M |
| EBIT | 609M | 655M | 476M | 377M | 218M | 139M | -132M | -136M | 168M | -1.86M |
| Net Interest Income | -114M | -141M | -146M | -145M | -125M | -60M | -52M | -15M | -22M | 0 |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 114M | 141M | 146M | 145M | 125M | 60M | 52M | 15M | 22M | 8M |
| Other Income/Expense | -125M | -141M | -154M | -127M | -69M | -57M | -18M | 10M | -16M | -114.44M |
| Pretax Income | 493M | 413M | 330M | 232M | 93M | 79M | -184M | -151M | 146M | 120M |
| Pretax Margin % | 5.53% | 5.22% | 4.7% | 3.35% | 1.42% | 2.01% | -5.13% | -15.33% | 3.92% | 3.94% |
| Income Tax | 126M | 111M | 80M | 79M | 20M | 32M | -31M | 2M | 10M | 8M |
| Effective Tax Rate % | 25.56% | 26.88% | 24.24% | 34.05% | 21.51% | 40.51% | 16.85% | -1.32% | 6.85% | 6.67% |
| Net Income | 367M | 302M | 250M | 153M | 73M | 47M | -153M | -153M | 136M | 112M |
| Net Margin % | 4.12% | 3.82% | 3.56% | 2.21% | 1.11% | 1.19% | -4.27% | -15.53% | 3.65% | 3.68% |
| Net Income Growth % | 34.93% | 20.8% | 63.4% | 109.59% | 55.32% | 130.72% | -212.5% | -212.5% | 21.43% | - |
| Net Income (Continuing) | 367M | 302M | 250M | 153M | 73M | 47M | -153M | -153M | 136M | 8.56M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 0.85 | -0.69 | -0.56 | -0.46 | 0.07 | -0.44 | -1.48 | -0.59 | 0.78 | 0.07 |
| EPS Growth % | -271.94% | -23.21% | -21.74% | -732.74% | 116.52% | 70.27% | -289.74% | -175.64% | 1038.69% | - |
| EPS (Basic) | - | -0.69 | -0.56 | -0.46 | 0.08 | -0.44 | -1.48 | -1.01 | 0.78 | 0.07 |
| Diluted Shares Outstanding | 432M | 416M | 401.51M | 352.71M | 399.12M | 308.64M | 254.22M | 260.85M | 175.15M | 121.03M |
| Basic Shares Outstanding | 431M | 416M | 401.51M | 352.71M | 349.8M | 308.64M | 254.22M | 151.15M | 175.15M | 121.03M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | 54.41% | 99.11% |
Quick answers to the most common questions about buying APG stock.
For fiscal year 2025, APi Group Corporation (APG) reported total revenue of $7.91B. This represents a 159.7% increase compared to $3.05B in 2017.
APi Group Corporation (APG) is profitable, generating $302.0M in net income for the fiscal year ending 2025 with a net profit margin of 3.8%.
APi Group Corporation (APG) reported an operating income of $554.0M, resulting in an operating profit margin of 7.0%. This margin reflects the operational efficiency of the business before interest and taxes.
APi Group Corporation (APG) generated $2.49B in gross profit for the year, representing a gross profit margin of 31.4%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Margin pressure from integration
Metrics are mathematically derived from official filings.
Top-Line Momentum Remains Strong
Based on reported quarterly figures, APG's revenue grew 22.5% year over year in 2026Q3 to roughly $2.6B, following 13.3% in Q2 and 15.3% in Q1, suggesting growth has been sustained across consecutive periods rather than driven by a single quarter. Investors should monitor how much of this reflects acquisition contribution.
The consistency of double-digit growth across the last three quarters suggests demand in the Safety Services and Specialty segments is holding up. However, the reported figures do not separate organic growth from acquired revenue, so the durability of this trajectory cannot be fully assessed from the income statement alone. Growth appears to be accelerating into 2026Q3, which warrants checking whether backlog conversion supports the pace.
Gross Margin Holds Near Thirty Percent
As reported in the income statement, APG's gross margin ranged from 28.1% to 31.4% across the ten quarters shown, with 30.1% in 2026Q3, indicating a fairly stable but not expanding structural margin profile. This level sits well below the 37.5% reported by Willdan Group.
The narrow band suggests APG's pricing and service mix have not shifted materially despite its move toward inspection-led recurring work. The gap versus higher-margin peers such as Comfort Systems, which reports 24.1% gross margin, is less pronounced, but the contrast with Willdan suggests the Industrial and Specialty mix still weighs on the blended result. Margin stability here is encouraging but does not yet demonstrate meaningful pricing power.
Operating Leverage Remains Limited
Based on reported figures, APG's operating margin moved between 4.3% and 7.9% over the period, with 7.9% in 2026Q3 compared with 7.8% in 2026Q2, indicating that operating income has not yet scaled meaningfully faster than revenue. SG&A consumed roughly 21% of revenue in the latest quarter.
Operating income grew in line with revenue in recent quarters rather than outpacing it, which suggests overhead is absorbing much of the incremental gross profit. The quarter-to-quarter dip to 4.3% in 2025Q4 also points to sensitivity to integration or one-time costs. Investors should watch whether SG&A efficiency improves as the acquired platform is consolidated.
Reported Earnings Volatility Warrants Caution
According to the reported income statement, APG's diluted EPS swung from -1.19 in 2025Q4 to 0.24 in 2026Q3, while net margin fell to 2.9% in 2026Q1, suggesting that GAAP earnings may be distorted by non-recurring items or accounting effects.
The sharp swing in EPS, including a negative quarter, is difficult to reconcile with the relatively steady operating margin and points toward below-the-line charges or tax effects. Stock-based compensation of roughly $10M to $13M per quarter is modest relative to net income, so it does not appear to be the primary driver. Analysts should treat GAAP EPS with caution and focus on operating and cash-based measures.
Growth Quality and Margin Ceiling Concerns
The strongest challenge to the narrative is that APG's roughly 7% to 8% operating margin lags peers like Comfort Systems at 14.4% and Quanta at 5.8%, suggesting that growth may be bought through acquisitions without commensurate profitability improvement.
If a meaningful share of the 22.5% revenue growth is acquired, the reported top line may overstate the underlying business momentum and the margin gap versus Comfort Systems could persist. The flat operating margin despite rising revenue is consistent with integration costs absorbing benefits, though this cannot be confirmed from the data provided. Investors should interrogate organic growth rates and the trajectory of segment-level margins before assuming the inspection-led model is translating into higher quality earnings.