MAXIMUS, Inc. Reports Unaudited Consolidated Earnings Results for the Third Quarter and Nine Months Ended June 30, 2017; Revises Earnings Guidance for the Full Year of Fiscal 2017; Provides Effective Tax Rate Guidance for the Fourth Quarter of 2017
August 03, 2017 at 04:00 pm IST
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MAXIMUS, Inc. reported unaudited consolidated earnings results for the third quarter and nine months ended June 30, 2017. For the quarter, the company reported revenue of $600.447 million compared to $617.094 million a year ago. Operating income was $81.811 million compared to $84.609 million a year ago. Income before income taxes was $82.659 million compared to $83.642 million a year ago. Net attributable to company was $56.918 million or $0.86 per diluted share compared to $52.225 million or $0.79 per diluted share a year ago. Cash provided by operating activities was $115.249 million compared to $86.268 million a year ago. Purchases of property and equipment and capitalized software costs were of $6.113 million compared to $14.267 million a year ago.
For nine months, the company reported revenue of $1,830.058 million compared to $1,780.269 million a year ago. Operating income was $235.922 million compared to $205.295 million a year ago. Income before income taxes was $235.857 million compared to $205.406 million a year ago. Net attributable to company was $156.097 million or $2.36 per diluted share compared to $127.619 million or $1.93 per diluted share a year ago. Cash provided by operating activities was $252.097 million compared to $108.132 million a year ago. Purchases of property and equipment and capitalized software costs were of $19.088 million compared to $34.103 million a year ago.
The company is updating its fiscal 2017 revenue and earnings guidance. The company is reiterating its revenue guidance and continues to expect revenue to range between $2.425 billion and $2.475 billion for fiscal 2017 with a bias toward the bottom end of the range. Primarily due to the benefit from the research and development tax credits recorded in the third quarter, MAXIMUS is raising its fiscal 2017 earnings guidance and now expects GAAP diluted earnings per share to range between $3.05 and $3.15 for fiscal 2017. This compares to the company's prior guidance of $3.00 to $3.10. The company expects cash provided by operations to slightly exceed the top end of its range of $230 million to $280 million. The company also expects to exceed free cash flow range of $170 million to $220 million for fiscal year 2017. The company now project effective income tax rate for the fourth quarter and the full fiscal year 2017 to range between 33% and 34%.
The company now project effective income tax rate for the fourth quarter of 2017 in range between 33% and 34%.
Maximus, Inc. is an operator of government health and human services programs and provider of technology solutions to governments. The Company operates through three segments: U.S. Services, U.S. Federal Services, and Outside the U.S. The U.S. Services segment provides a variety of business process services (BPS), such as program administration, appeals and assessments, and related consulting work for United States state and local government programs. The U.S. Federal Services segment delivers end-to-end solutions that help various United States federal government agencies, including program operations and management, clinical services, and technology solutions. The Outside the U.S. segment provides BPS for international governments and commercial clients. The services of this segment include health and disability assessments, program administration for employment services, wellbeing solutions, and other job seeker-related services. It also delivers services in the United Kingdom.
MAXIMUS, Inc. Reports Unaudited Consolidated Earnings Results for the Third Quarter and Nine Months Ended June 30, 2017; Revises Earnings Guidance for the Full Year of Fiscal 2017; Provides Effective Tax Rate Guidance for the Fourth Quarter of 2017
MAXIMUS, INC. 
