CBIZ Third-Quarter Net Income Rises 56.7% To $47 Million, With No Guidance Or Call Ahead Of Grant Thornton Deal
CBIZ earned $0.79 per share in the third quarter, and its pending sale to Grant Thornton means no forecast and no call.
CBIZ reported third-quarter net income of $47 million, up 56.7%, in an 8-K filed Monday. Because of its pending sale to Grant Thornton, the company said it will give no full-year 2026 guidance and hold no earnings call.
What the results show
Diluted earnings per share were $0.79, up 64.6% from $0.48 a year earlier, on revenue of $702 million, up 1.2%. Adjusted EBITDA, the company's adjusted measure of operating profit, rose 6.3% to $132 million. Adjusted diluted earnings per share rose 14.2% to $1.21.
The nine-month picture is mixed. Net income rose 12.2% to $219 million and earnings per share rose 18.3% to $3.62, on revenue of $2,233 million, up 0.8%. Adjusted EBITDA for the nine months fell 1.2% to $479 million, while adjusted diluted earnings per share rose 5.9% to $4.64.
Cash flow improved. Operating cash flow for the first nine months rose $98 million, to $147.1 million from $48.8 million. Free cash flow was $125.2 million, versus $33.8 million a year earlier, according to the company's reconciliation table.
What the pending deal changes
CBIZ and an affiliate of Grant Thornton, backed by New Mountain Capital, announced a merger agreement on July 29, 2026. Grant Thornton will buy CBIZ in an all-cash deal at $55.00 per share, an enterprise value of $5.0 billion.
The company expects closing in the fourth quarter of 2026. After that, CBIZ stock will no longer be listed on the New York Stock Exchange and the company will become private.
Until then, holders get the release and the filing tables but no management commentary, since the company said it will not host a call to discuss the quarter.
What to watch
The remaining steps are a vote by CBIZ shareholders and the required regulatory approvals. The company's release names both as conditions to closing.
The company's own timetable for the $55.00-per-share deal is the fourth quarter of 2026, pending those two approvals.
Sources
- 8-K Filing — CBIZ, Inc. (CBZ) — SEC EDGAR
- Exhibit d866979dex991.htm — CBIZ, Inc. 8-K exhibit — SEC EDGAR
