Revenue growth has exhibited significant cyclicality, peaking at 16.4% in 2025Q4 before falling to 0.1% in 2026Q1, while operating margins remain volatile, swinging from a negative 19.6% in 2024Q4 to a peak of 28.6% in 2025Q3.
| Sales/Revenue | 979.39M | 979.08M | 879.21M | 817.31M | 741.6M | 550.59M | 393.59M | 448.74M | 370.15M | -780.28K | 230.75M |
| Revenue Growth % | 9.71% | 11.36% | 7.57% | 10.21% | 34.69% | 39.89% | -12.29% | 21.23% | 47537.55% | -100.34% | - |
| Cost of Goods Sold | 24.89M | 30.32M | 18.99M | 43.46M | 47.26M | 35.15M | 33.54M | 145.12M | 9.23M | 51.58M | 95.91M |
| COGS % of Revenue | - | 3.1% | 2.16% | 5.32% | 6.37% | 6.38% | 8.52% | 32.34% | 2.49% | -6610.97% | 41.56% |
| Gross Profit | 954.5M | 948.76M | 860.22M | 773.85M | 694.34M | 515.44M | 360.05M | 303.62M | 360.91M | -52.36M | 134.84M |
| Gross Margin % | 97.46% | 96.9% | 97.84% | 94.68% | 93.63% | 93.62% | 91.48% | 67.66% | 97.51% | 6710.97% | 58.44% |
| Gross Profit Growth % | - | 10.29% | 11.16% | 11.45% | 34.71% | 43.16% | 18.59% | -15.87% | 789.23% | -138.83% | - |
| Operating Expenses | 721.67M | 710.35M | 724.2M | 585.03M | 529.63M | 403.58M | 322.24M | 207.16M | 348.3M | 780.28K | 170.71M |
| OpEx % of Revenue | - | 72.55% | 82.37% | 71.58% | 71.42% | 73.3% | 81.87% | 46.17% | 94.1% | -100% | 73.98% |
| Selling, General & Admin | 204.63M | 215.27M | 195.05M | 166.65M | 163.13M | 123.41M | 89.66M | 85.49M | 136.07M | 580.59K | 53.03M |
| SG&A % of Revenue | - | 21.99% | 22.19% | 20.39% | 22% | 22.41% | 22.78% | 19.05% | 36.76% | -74.41% | 22.98% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 3.8M | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | 0.85% | - | - | - |
| Other Operating Expenses | 4M | 495.07M | 529.14M | 418.38M | 366.5M | 280.17M | 232.57M | 117.87M | 8.79M | 199.69K | 2.47M |
| Operating Income | 232.83M | 238.41M | 136.02M | 188.81M | 164.71M | 111.87M | 37.82M | 96.45M | 12.61M | -780.28K | 47.89M |
| Operating Margin % | 23.77% | 24.35% | 15.47% | 23.1% | 22.21% | 20.32% | 9.61% | 21.49% | 3.41% | 100% | 20.76% |
| Operating Income Growth % | - | 75.28% | -27.96% | 14.64% | 47.23% | 195.82% | -60.79% | 665.14% | 1715.6% | -101.63% | - |
| EBITDA | 350.62M | 354.73M | 245.09M | 301.88M | 304.88M | 228.67M | 154.39M | 208.22M | 115.95M | 44.94M | 81.81M |
| EBITDA Margin % | 35.8% | 36.23% | 27.88% | 36.94% | 41.11% | 41.53% | 39.22% | 46.4% | 31.33% | -5760.08% | 35.45% |
| EBITDA Growth % | 41.01% | 44.73% | -18.81% | -0.98% | 33.33% | 48.11% | -25.85% | 79.57% | 157.99% | -45.06% | - |
| D&A (Non-Cash Add-back) | 117.79M | 116.31M | 109.07M | 113.07M | 140.17M | 116.8M | 116.57M | 111.77M | 103.35M | 45.73M | 33.92M |
| EBIT | 198.13M | 259.6M | 153.01M | 173.7M | 196.48M | 112.84M | 41.72M | 102.35M | 1.82M | 11.79M | 50.36M |
| Net Interest Income | -63.39M | -64.62M | -73.9M | -86.7M | -69.37M | -44.94M | -40.87M | -60.73M | -69.55M | 0 | -2.71M |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 3.02M | 0 |
| Interest Expense | 63.39M | 64.62M | 73.9M | 86.7M | 69.37M | 44.94M | 40.87M | 60.73M | 69.55M | 3.02M | 2.71M |
| Other Income/Expense | -42.19M | -43.43M | -56.91M | -101.82M | -37.6M | -43.97M | -36.96M | -65.8M | -90.48M | 3.02M | -235.72K |
| Pretax Income | 190.64M | 194.98M | 79.11M | 87M | 127.11M | 67.9M | 853K | 30.66M | -74.64M | 2.24M | 47.66M |
| Pretax Margin % | 19.46% | 19.91% | 9% | 10.64% | 17.14% | 12.33% | 0.22% | 6.83% | -20.16% | -286.49% | 20.65% |
| Income Tax | 59.6M | 58.35M | 47.66M | 29.98M | 34.63M | 26.45M | 5.43M | 13.58M | -16.24M | 810.93K | 18.66M |
| Effective Tax Rate % | 31.26% | 29.93% | 60.25% | 34.46% | 27.25% | 38.96% | 636.69% | 44.3% | 21.76% | 36.28% | 39.16% |
| Net Income | 131.04M | 136.63M | 31.45M | 57.02M | 92.47M | 41.45M | -4.58M | 17.08M | -58.39M | 1.42M | 29M |
| Net Margin % | 13.38% | 13.96% | 3.58% | 6.98% | 12.47% | 7.53% | -1.16% | 3.81% | -15.78% | -182.56% | 12.57% |
| Net Income Growth % | 278.31% | 334.47% | -44.84% | -38.35% | 123.11% | 1005.4% | -126.81% | 129.24% | -4199.28% | -95.09% | - |
| Net Income (Continuing) | 131.04M | 136.63M | 31.45M | 57.02M | 92.47M | 41.45M | -4.58M | 17.08M | -51.48M | 19.48M | 29M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 0.85 | 0.85 | 0.19 | 0.36 | 0.58 | 0.25 | -0.02 | 0.21 | -0.67 | 0.03 | 0.72 |
| EPS Growth % | 310% | 347.37% | -47.22% | -37.93% | 132% | 1273.71% | -110.14% | 131.34% | -2363.51% | -95.89% | - |
| EPS (Basic) | - | 0.86 | 0.19 | 0.36 | 0.61 | 0.26 | -0.02 | 0.21 | -0.67 | 0.03 | 0.72 |
| Diluted Shares Outstanding | 153.69M | 161.29M | 167.72M | 160.02M | 159.03M | 163.78M | 161.63M | 160.08M | 87.32M | 48.15M | 40M |
| Basic Shares Outstanding | 151.85M | 159M | 165.09M | 158.78M | 152.85M | 159.98M | 161.63M | 157.89M | 87.16M | 48.15M | 40M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | 162.46% |
Regulatory and legislative contract termination
According to recent financial disclosures, Verra Mobility's revenue growth has fluctuated significantly, peaking at 16.4% in 2025Q4 before decelerating to 0.1% in 2026Q1, suggesting that the company's reliance on transactional volume remains sensitive to broader travel and municipal project cycles rather than consistent organic expansion.
The erratic revenue trajectory indicates that the company's business model is susceptible to timing differences in contract renewals and project-based implementations. Investors should monitor whether the recent stagnation in growth reflects a saturation of the U.S. tolling market or merely a temporary lull in municipal safety program deployments.
As reported in quarterly filings, Verra Mobility maintains gross margins frequently exceeding 95%, which suggests a highly efficient clearinghouse model, though the occasional compression to 60% in periods like 2024Q4 warrants investigation into the underlying accounting treatment of hardware-related costs versus pure software service revenue.
The extreme variance in gross margin suggests that the company's reported figures may be heavily influenced by the mix of hardware installation versus recurring service fees. Analysts should interpret these high margins as a reflection of the company's role as a service intermediary rather than a traditional manufacturer.
Based on the provided income statement data, operating margins have swung from a negative 19.6% in 2024Q4 to a peak of 28.6% in 2025Q3, indicating that the company's cost structure is not yet fully optimized to scale operating income consistently alongside gross profit growth.
The lack of consistent operating leverage suggests that SG&A expenses are not scaling linearly with revenue, potentially due to the integration costs of recent acquisitions. This volatility implies that management may still be in the process of rationalizing the cost base following their aggressive expansion into new mobility verticals.
Data from the last ten quarters reveals that Verra Mobility's profitability is prone to sudden, sharp contractions, such as the net loss observed in 2024Q4, which suggests that the company's earnings quality may be more fragile than the headline high-margin software narrative would otherwise imply.
Short-term fluctuations in net income suggest that the company's reliance on specific municipal contracts and rental car partnerships creates a binary risk profile. Investors should be wary of the potential for margin dilution as the company integrates lower-margin parking solutions into its core high-margin tolling business.
Quick answers to the most common questions about buying VRRM stock.
For fiscal year 2025, Verra Mobility Corporation (VRRM) reported total revenue of $979.1M. This represents a 324.3% increase compared to $230.7M in 2016.
Verra Mobility Corporation (VRRM) is profitable, generating $136.6M in net income for the fiscal year ending 2025 with a net profit margin of 14.0%.
Verra Mobility Corporation (VRRM) reported an operating income of $238.4M, resulting in an operating profit margin of 24.4%. This margin reflects the operational efficiency of the business before interest and taxes.
Verra Mobility Corporation (VRRM) generated $948.8M in gross profit for the year, representing a gross profit margin of 96.9%. This demonstrates the company's core pricing power and production efficiency.