Revenue accelerated 34.6% YoY to $4.1B in Q3 FY2026, but gross margin compressed to 19.9% from 25.0% a year earlier, indicating lower-quality growth.
Jacobs Solutions Inc. (J) annual income statement — 30-year revenue, gross profit & net income history
| Metric | TTM | Sep'25 | Sep'24 | Sep'23 | Sep'22 | Oct'21 | Oct'20 | Sep'19 | Sep'18 | Sep'17 | Sep'16 | Sep'15 | Sep'14 | Sep'13 | Sep'12 | Sep'11 | Sep'10 | Sep'09 | Sep'08 | Sep'07 | Sep'06 | Sep'05 | Sep'04 | Sep'03 | Sep'02 | Sep'01 | Sep'00 | Sep'99 | Sep'98 | Sep'97 | Sep'96 |
|---|
| Sales/Revenue | 14.22B | 12.03B | 11.5B | 10.85B | 9.78B | 14.09B | 13.57B | 12.74B | 14.98B | 10.02B | 10.96B | 12.11B | 12.7B | 11.82B | 10.89B | 10.38B | 9.92B | 11.47B | 11.25B | 8.47B | 7.42B | 5.64B | 4.59B | 4.62B | 4.56B | 3.96B | 3.42B | 2.88B | 2.1B | 1.78B | 1.8B |
| Revenue Growth % | 84.34% | 4.6% | 5.99% | 10.92% | -30.58% | 3.87% | 6.51% | -14.99% | 49.51% | -8.59% | -9.5% | -4.57% | 7.42% | 8.49% | 4.93% | 4.7% | -13.53% | 1.91% | 32.78% | 14.18% | 31.7% | 22.65% | -0.46% | 1.32% | 15.13% | 15.74% | 18.92% | 36.83% | 18% | -1.02% | 4.4% |
| Cost of Goods Sold | 11.08B | 9.04B | 8.67B | 8.14B | 7.2B | 11.05B | 10.98B | 10.26B | 12.16B | 8.25B | 9.2B | 10.15B | 10.62B | 9.98B | 9.17B | 8.82B | 8.58B | 9.91B | 9.52B | 7.26B | 6.49B | 4.83B | 3.93B | 3.99B | 3.97B | 3.45B | 2.94B | 2.45B | 1.81B | 1.53B | 1.57B |
| COGS % of Revenue | - | 75.19% | 75.37% | 75.02% | 73.63% | 78.4% | 80.93% | 80.55% | 81.12% | 82.32% | 83.88% | 83.75% | 83.66% | 84.41% | 84.15% | 84.98% | 86.56% | 86.39% | 84.59% | 85.71% | 87.41% | 85.69% | 85.53% | 86.44% | 87.19% | 87.25% | 86.08% | 85.08% | 86.03% | 85.82% | 87.47% |
| Gross Profit | 3.14B | 2.98B | 2.83B | 2.71B | 2.58B | 3.04B | 2.59B | 2.48B | 2.83B | 1.77B | 1.77B | 1.97B | 2.07B | 1.84B | 1.73B | 1.56B | 1.33B | 1.56B | 1.73B | 1.21B | 934.25M | 806.3M | 664.67M | 625.89M | 583.68M | 504.67M | 475.79M | 428.9M | 293.5M | 252.5M | 225.4M |
| Gross Margin % | 22.07% | 24.81% | 24.63% | 24.98% | 26.37% | 21.6% | 19.07% | 19.45% | 18.88% | 17.68% | 16.12% | 16.25% | 16.34% | 15.59% | 15.85% | 15.02% | 13.44% | 13.61% | 15.41% | 14.29% | 12.59% | 14.31% | 14.47% | 13.56% | 12.81% | 12.75% | 13.92% | 14.92% | 13.97% | 14.18% | 12.53% |
| Gross Profit Growth % | - | 5.37% | 4.5% | 5.07% | -15.24% | 17.67% | 4.43% | -12.42% | 59.59% | 0.25% | -10.19% | -5.08% | 12.56% | 6.68% | 10.74% | 17.03% | -14.62% | -10.01% | 43.19% | 29.66% | 15.87% | 21.31% | 6.2% | 7.23% | 15.65% | 6.07% | 10.93% | 46.13% | 16.24% | 12.02% | 10.76% |
| Operating Expenses | 2.49B | 2.12B | 2.14B | 2.03B | 2.04B | 2.36B | 2.05B | 2.07B | 2.18B | 1.38B | 1.43B | 1.52B | 1.55B | 1.17B | 1.13B | 1.04B | 932.52M | 940.31M | 1.09B | 769.39M | 632.69M | 564.83M | 466.41M | 428.77M | 411.31M | 360.82M | 351.18M | 320.6M | 207M | 179M | 160.8M |
| OpEx % of Revenue | - | 17.63% | 18.61% | 18.75% | 20.85% | 16.72% | 15.12% | 16.27% | 14.55% | 13.77% | 13.04% | 12.57% | 12.18% | 9.93% | 10.38% | 10.02% | 9.4% | 8.2% | 9.7% | 9.08% | 8.53% | 10.02% | 10.15% | 9.29% | 9.03% | 9.12% | 10.27% | 11.15% | 9.85% | 10.05% | 8.94% |
| Selling, General & Admin | 2.49B | 2.12B | 2.14B | 2.03B | 2.04B | 2.36B | 2.05B | 2.07B | 2.18B | 1.38B | 1.43B | 1.52B | 1.55B | 1.17B | 1.13B | 1.04B | 932.52M | 940.31M | 1.09B | 769.39M | 632.69M | 564.83M | 466.41M | 428.77M | 411.31M | 360.82M | 311.08M | 289M | 184M | 160.2M | 143.5M |
| SG&A % of Revenue | - | 17.63% | 18.61% | 18.75% | 20.85% | 16.72% | 15.12% | 16.27% | 14.55% | 13.77% | 13.04% | 12.57% | 12.18% | 9.93% | 10.38% | 10.02% | 9.4% | 8.2% | 9.7% | 9.08% | 8.53% | 10.02% | 10.15% | 9.29% | 9.03% | 9.12% | 9.1% | 10.05% | 8.76% | 9% | 7.98% |
| Research & Development | 3M | 11.98M | 12.09M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 1.53M | 1.53M | 1.53M | 1.53M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | 0.1% | 0.11% | - | - | - | - | - | - | - | - | 0.01% | 0.01% | 0.01% | 0.01% | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | -1000K | -11.98M | -12.09M | 0 | 0 | 0 | 0 | 0 | -4.52M | -6.64M | -3.05M | -3.15M | 0 | 80K | 2.9M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 40.1M | 31.6M | 23M | 18.8M | 17.3M |
| Operating Income | 649.64M | 863.63M | 692.44M | 676.48M | 539.88M | 688.09M | 535.97M | 404.85M | 647.97M | 392.27M | 338.6M | 445.53M | 528.07M | 668.98M | 596.07M | 518.92M | 400.08M | 620.57M | 643.06M | 441.96M | 301.56M | 241.47M | 198.27M | 197.12M | 172.37M | 143.85M | 124.61M | 108.3M | 86.5M | 73.5M | 64.6M |
| Operating Margin % | 4.57% | 7.18% | 6.02% | 6.23% | 5.52% | 4.88% | 3.95% | 3.18% | 4.32% | 3.91% | 3.09% | 3.68% | 4.16% | 5.66% | 5.47% | 5% | 4.03% | 5.41% | 5.71% | 5.22% | 4.06% | 4.29% | 4.32% | 4.27% | 3.78% | 3.64% | 3.64% | 3.77% | 4.12% | 4.13% | 3.59% |
| Operating Income Growth % | - | 24.72% | 2.36% | 25.3% | -21.54% | 28.38% | 32.39% | -37.52% | 65.19% | 15.85% | -24% | -15.63% | -21.06% | 12.23% | 14.87% | 29.7% | -35.53% | -3.5% | 45.5% | 46.56% | 24.88% | 21.79% | 0.58% | 14.36% | 19.82% | 15.44% | 15.06% | 25.2% | 17.69% | 13.78% | 22.58% |
| EBITDA | 882.3M | 1.1B | 1B | 983.74M | 840.94M | 938.89M | 717.61M | 574.12M | 846.56M | 514.78M | 468.57M | 594.82M | 673.48M | 767.85M | 696.9M | 614.29M | 488.58M | 706.91M | 716.18M | 497.63M | 349.82M | 289.01M | 232.42M | 232.47M | 207.46M | 182.79M | 164.71M | 139.9M | 109.5M | 92.3M | 81.9M |
| EBITDA Margin % | 6.21% | 9.15% | 8.71% | 9.07% | 8.6% | 6.66% | 5.29% | 4.51% | 5.65% | 5.14% | 4.27% | 4.91% | 5.3% | 6.5% | 6.4% | 5.92% | 4.93% | 6.16% | 6.36% | 5.87% | 4.71% | 5.13% | 5.06% | 5.04% | 4.55% | 4.62% | 4.82% | 4.87% | 5.21% | 5.18% | 4.55% |
| EBITDA Growth % | 0.84% | 9.99% | 1.77% | 16.98% | -10.43% | 30.84% | 24.99% | -32.18% | 64.45% | 9.86% | -21.22% | -11.68% | -12.29% | 10.18% | 13.45% | 25.73% | -30.89% | -1.29% | 43.92% | 42.25% | 21.04% | 24.35% | -0.02% | 12.05% | 13.49% | 10.98% | 17.73% | 27.76% | 18.63% | 12.7% | 22.42% |
| D&A (Non-Cash Add-back) | 232.66M | 237.58M | 308.74M | 307.25M | 301.06M | 250.8M | 181.63M | 169.27M | 198.59M | 122.51M | 129.97M | 149.29M | 145.41M | 98.87M | 100.82M | 95.37M | 88.5M | 86.34M | 73.13M | 55.67M | 48.26M | 47.53M | 34.15M | 35.35M | 35.09M | 38.94M | 40.1M | 31.6M | 23M | 18.8M | 17.3M |
| EBIT | 671.59M | 689.26M | 946.34M | 689.06M | 577.68M | 768.32M | 503.41M | 434.83M | 407.74M | 255.19M | 301.98M | 449.64M | 553.6M | 674.45M | 605.02M | 525.46M | 401.81M | 627.05M | 643.06M | 441.96M | 301.56M | 214.89M | 178.55M | 197.12M | 172.37M | 143.85M | 124.61M | 108.3M | 86.5M | 73.5M | 64.6M |
| Net Interest Income | -131.76M | -109.98M | -134.6M | -143.11M | -95.89M | -69.21M | -57.48M | -74.38M | -67.78M | -3.29M | -7.41M | -12.24M | -1.74M | -7.51M | -5.64M | -3.88M | -5.08M | 10.23M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 33.56M | 35.8M | 34.45M | 24.98M | 4.3M | 3.5M | 4.73M | 9.49M | 8.98M | 8.75M | 7.85M | 7.26M | 9.69M | 5.39M | 6.05M | 4.92M | 4.79M | 13.14M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 165.32M | 145.79M | 169.06M | 168.09M | 100.19M | 72.71M | 62.21M | 83.85M | 76.76M | 12.04M | 15.26M | 19.5M | 11.44M | 12.91M | 11.69M | 8.8M | 9.87M | 2.92M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -143.38M | -320.16M | 84.85M | -155.51M | -62.39M | 7.51M | -94.77M | -53.89M | -56.46M | 149.07M | -51.88M | -15.39M | 14.1M | -7.43M | -2.74M | -2.26M | -8.15M | 4.2M | 14.35M | 6.69M | 3.73M | -5.42M | 19.87M | -176K | -3.62M | -5.65M | -43.29M | -3.8M | 2.3M | 4M | 2.3M |
| Pretax Income | 506.27M | 543.48M | 777.29M | 520.98M | 477.5M | 695.6M | 441.2M | 350.96M | 554.71M | 393.22M | 286.72M | 430.14M | 542.17M | 661.55M | 593.34M | 516.66M | 391.93M | 624.77M | 657.41M | 448.64M | 305.29M | 236.06M | 198.42M | 196.94M | 168.75M | 138.21M | 81.32M | 104.5M | 88.8M | 77.5M | 66.9M |
| Pretax Margin % | 3.56% | 4.52% | 6.76% | 4.8% | 4.88% | 4.94% | 3.25% | 2.76% | 3.7% | 3.92% | 2.62% | 3.55% | 4.27% | 5.6% | 5.45% | 4.98% | 3.95% | 5.45% | 5.84% | 5.29% | 4.11% | 4.19% | 4.32% | 4.27% | 3.7% | 3.49% | 2.38% | 3.63% | 4.23% | 4.35% | 3.72% |
| Income Tax | 186.73M | 215.56M | 131.49M | 101.34M | 66.33M | 274.78M | 55.32M | 36.95M | 366.56M | 105.84M | 72.21M | 101.25M | 190.05M | 221.37M | 202.38M | 181.44M | 145.65M | 224.92M | 236.67M | 161.51M | 108.4M | 85.04M | 69.45M | 68.93M | 59.06M | 50.45M | 30.34M | 39.1M | 34.4M | 30.6M | 26.5M |
| Effective Tax Rate % | 36.88% | 39.66% | 16.92% | 19.45% | 13.89% | 39.5% | 12.54% | 10.53% | 66.08% | 26.92% | 25.18% | 23.54% | 35.05% | 33.46% | 34.11% | 35.12% | 37.16% | 36% | 36% | 36% | 35.51% | 36.02% | 35% | 35% | 35% | 36.5% | 37.31% | 37.42% | 38.74% | 39.48% | 39.61% |
| Net Income | 334.61M | 290.25M | 806.09M | 665.78M | 644.04M | 477.03M | 491.85M | 847.98M | 178.43M | 293.73M | 210.46M | 302.97M | 328.11M | 423.09M | 378.95M | 331.03M | 245.97M | 399.85M | 420.74M | 287.13M | 196.88M | 151.02M | 128.97M | 128.01M | 109.69M | 87.76M | 50.98M | 65.4M | 54.4M | 46.9M | 40.4M |
| Net Margin % | 2.35% | 2.41% | 7.01% | 6.14% | 6.58% | 3.38% | 3.63% | 6.66% | 1.19% | 2.93% | 1.92% | 2.5% | 2.58% | 3.58% | 3.48% | 3.19% | 2.48% | 3.49% | 3.74% | 3.39% | 2.65% | 2.68% | 2.81% | 2.77% | 2.41% | 2.22% | 1.49% | 2.27% | 2.59% | 2.63% | 2.25% |
| Net Income Growth % | -32.96% | -63.99% | 21.08% | 3.38% | 35.01% | -3.01% | -42% | 375.24% | -39.25% | 39.56% | -30.53% | -7.66% | -22.45% | 11.65% | 14.48% | 34.58% | -38.48% | -4.96% | 46.53% | 45.84% | 30.37% | 17.09% | 0.75% | 16.7% | 24.99% | 72.14% | -22.05% | 20.22% | 15.99% | 16.09% | 25.47% |
| Net Income (Continuing) | 319.53M | 327.92M | 645.79M | 419.64M | 411.17M | 420.82M | 385.88M | 314M | 5.35M | 170.05M | 214.51M | 328.88M | 352.11M | 440.18M | 390.95M | 335.22M | 246.29M | 399.21M | 420.74M | 287.13M | 196.88M | 131.61M | 128.97M | 128.01M | 109.69M | 87.76M | 50.98M | 65.4M | 54.4M | 46.9M | 40.4M |
| Discontinued Operations | -2.25M | -23.97M | 193.29M | 286.65M | 289.88M | 10.01M | 137.98M | 557.02M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | -13.84M | 1.02B | 838.02M | 686.84M | 676.86M | 692.52M | 39.95M | 53.97M | 90.01M | 59M | 64.91M | 64.71M | 36.41M | 35.24M | 45.31M | 10.4M | 5.88M | 5.56M | 6.18M | 51K | 7.27M | 6.55M | 5.66M | 5.3M | 5.88M | 5.1M | 5.2M | 6.2M | 6.3M | 5.5M | 0 |
| EPS (Diluted) | 2.81 | 2.38 | 6.32 | 5.30 | 4.98 | 3.12 | 2.87 | -0.64 | 1.29 | 2.42 | 1.73 | 2.40 | 2.48 | 3.23 | 2.94 | 2.60 | 1.96 | 3.21 | 3.38 | 2.35 | 1.64 | 1.12 | 1.01 | 1.00 | 0.99 | 0.81 | 0.48 | 0.62 | 0.52 | 0.45 | 0.39 |
| EPS Growth % | -28.85% | -62.34% | 19.25% | 6.43% | 59.62% | 8.71% | 548.44% | -149.61% | -46.69% | 39.88% | -27.92% | -3.23% | -23.22% | 9.86% | 13.08% | 32.65% | -38.94% | -5.03% | 43.83% | 43.29% | 46.43% | 10.89% | 1% | 1.01% | 22.22% | 68.75% | -22.58% | 19.23% | 15.56% | 15.38% | 21.88% |
| EPS (Basic) | - | 2.39 | 6.35 | 5.32 | 5.01 | 3.15 | 2.90 | -0.64 | 1.30 | 2.43 | 1.75 | 2.42 | 2.51 | 3.27 | 2.97 | 2.63 | 1.98 | 3.26 | 3.47 | 2.42 | 1.69 | 1.16 | 1.03 | 1.02 | 1.01 | 0.83 | 0.49 | 0.64 | 0.53 | 0.46 | 0.39 |
| Diluted Shares Outstanding | 119.01M | 120.08M | 125.88M | 127.21M | 129.44M | 131.27M | 132.72M | 137.91M | 138.71M | 120.15M | 121.48M | 126.11M | 132.37M | 130.94M | 128.69M | 127.23M | 125.79M | 124.53M | 124.48M | 122.18M | 120.05M | 117.51M | 114.43M | 128.01M | 110.8M | 109.02M | 105.66M | 105.91M | 104.62M | 104.22M | 103.65M |
| Basic Shares Outstanding | 118.59M | 120.08M | 125.32M | 126.61M | 128.66M | 130.19M | 131.54M | 137.91M | 137.54M | 119.37M | 120.13M | 125.01M | 130.48M | 129.29M | 127.64M | 125.69M | 124.13M | 122.77M | 121.25M | 118.65M | 116.5M | 113.95M | 112.21M | 125.5M | 108.07M | 106.38M | 104.58M | 102.99M | 102.64M | 103.08M | 103.59M |
| Dividend Payout Ratio | - | 52.72% | 17.71% | 19.29% | 18% | 23.39% | 19.9% | 10.71% | 45.89% | 18.46% | 2.78% | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Quick answers to the most common questions about buying J stock.
For fiscal year 2025, Jacobs Solutions Inc. (J) reported total revenue of $12.03B. This represents a 568.7% increase compared to $1.80B in 1996.
Jacobs Solutions Inc. (J) is profitable, generating $290.2M in net income for the fiscal year ending 2025 with a net profit margin of 2.4%.
Jacobs Solutions Inc. (J) reported an operating income of $863.6M, resulting in an operating profit margin of 7.2%. This margin reflects the operational efficiency of the business before interest and taxes.
Jacobs Solutions Inc. (J) generated $2.98B in gross profit for the year, representing a gross profit margin of 24.8%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Margin compression despite revenue surge
Metrics are mathematically derived from official filings.
Revenue Surge Driven by I&AF
Jacobs' revenue accelerated sharply to $4.1B in Q3 FY2026, up 34.6% YoY, driven by organic growth in Infrastructure & Advanced Facilities, as reported in the latest quarterly filing.
The 34.6% year-over-year revenue growth in Q3 FY2026 marks a significant acceleration from the mid-single-digit growth seen in prior quarters. This surge appears to be concentrated in the I&AF segment, which reported 39% gross revenue growth and 10% organic adjusted net revenue growth, suggesting strong demand in semiconductor and life sciences construction. The sustainability of this growth is supported by a favorable backlog-to-revenue ratio, though investors should monitor whether this pace can be maintained as the CHIPS Act funding cycle matures.
Gross Margin Compression Amidst Growth
Gross margin fell to 19.9% in Q3 FY2026 from 25.0% a year earlier, despite revenue growth, indicating that the revenue surge may be coming from lower-margin pass-through work.
The 510 basis point year-over-year decline in gross margin to 19.9% is a red flag, as it suggests that the incremental revenue is not flowing through to gross profit at the same rate as historical business. This could be due to a higher mix of pass-through costs or competitive pricing on new contracts. While operating margin held at 7.0%, the compression in gross margin warrants close monitoring, as it may indicate that the company is sacrificing margin for volume in its growth push.
Operating Leverage Masked by One-Time Charges
Operating income swung to a $81.2M loss in Q2 FY2026 due to a spike in SG&A to $876.1M, but Q3 FY2026 rebounded to $286.7M, suggesting the prior quarter's loss was transitory.
The Q2 FY2026 operating loss appears to be an anomaly, driven by a one-time SG&A charge of $876.1M, likely related to the CMS spin-off. Excluding that quarter, operating income has grown from $208.4M in Q1 FY2025 to $286.7M in Q3 FY2026, indicating that the company is achieving some operating leverage on its revenue growth. However, the volatility in SG&A suggests that management is incurring significant restructuring costs, which may continue to distort quarterly comparisons.
Earnings Volatility from Spin-Off and Tax Items
Net income swung from a $45.9M loss in Q2 FY2026 to a $136.6M profit in Q3 FY2026, with EPS of $1.15, but the prior year's Q4 included a $325.4M gain, distorting trends.
The earnings series is highly volatile, with Q4 FY2024 net income of $325.4M on negative revenue, likely due to a one-time gain from the CMS spin-off. Excluding such items, underlying profitability appears stable, with net margins ranging from 3-6% in recent quarters. Stock-based compensation has been modest, averaging around $18M per quarter, which does not significantly distort EPS. Investors should focus on adjusted earnings to gauge the true earnings power of the continuing operations.
SG&A Spike Reflects Restructuring Costs
SG&A surged to $876.1M in Q2 FY2026, nearly double the typical $500M level, likely due to spin-off-related charges, while R&D has been minimal, indicating a services-led cost structure.
The cost structure is dominated by SG&A, which typically runs around $500M per quarter, reflecting the professional services nature of the business. The Q2 FY2026 spike to $876.1M appears to be a one-time event, as Q3 FY2026 reverted to $524.0M. R&D is negligible, which is consistent with a company that relies on human capital rather than product development. The key cost driver is labor, and any wage inflation could pressure margins if not passed through to clients.
Margin Compression Threatens Growth Story
Despite revenue growth of 34.6% in Q3 FY2026, gross margin fell to 19.9% from 25.0% a year ago, suggesting that the growth may be low-quality and not translating into profits.
Short-sellers would likely highlight the divergence between top-line growth and margin performance. The 510 basis point decline in gross margin indicates that the company may be taking on lower-margin projects to drive growth, possibly due to increased competition or a shift in project mix. Additionally, the operating margin of 7.0% is below the peer average, and the net margin of 3.3% is thin. If this trend continues, the market may re-rate the stock lower, as the current valuation likely assumes margin expansion that has yet to materialize.