First Advantage Q2 Revenue Surpasses Expectations

First Advantage Corp's Q2 revenue of $390.6 million beats analyst expectations, with adjusted EPS of $0.27 and adjusted EBITDA of $113.9 million also exceeding estimates. The company reaffirms its 2025 revenue guidance of $1.5-$1.6 billion and expects adjusted EBITDA of $410-$450 million and adjusted EPS of $0.86-$1.03. Strong international market momentum and a balanced vertical strategy are driving revenue growth.

First Advantage Corporation (NASDAQ: FA) reported its second-quarter (Q2) 2025 financial results, with revenues of $390.6 million, exceeding analyst expectations of $381.8 million [1]. The company also delivered an adjusted earnings per share (EPS) of $0.27 and adjusted EBITDA of $113.9 million, both surpassing estimates. First Advantage reaffirmed its full-year 2025 guidance, projecting revenues of $1.5 billion to $1.6 billion, adjusted EBITDA of $410 million to $450 million, and adjusted EPS of $0.86 to $1.03.

Key highlights of the Q2 2025 results include:
- Revenue Growth: Revenues increased by 103.4% year-over-year (YoY), driven by strong performance in international markets and a balanced vertical strategy.
- Adjusted EPS: The adjusted EPS of $0.27 was higher than the FactSet estimate of $0.21.
- Adjusted EBITDA: The adjusted EBITDA of $113.9 million exceeded the FactSet estimate of $55.8 million, reflecting the company's operational efficiency.
- Acquisition Expenses: The company incurred $7.3 million in expenses related to the acquisition of Sterling Check Corp. and related integration, and $41.3 million in Sterling depreciation and amortization.

First Advantage's Chief Executive Officer, Scott Staples, commented, "During the second quarter, we delivered solid financial performance at the top end of our previously stated expectations, despite continuing uncertainty within macroeconomic trends." The company's Chief Financial Officer, Steven Marks, reaffirmed the full-year 2025 guidance, stating, "Given our solid performance through the first half of the year and our latest view of the macroeconomic environment, we are reaffirming our full year 2025 guidance."

First Advantage will host a conference call to review its Q2 2025 results today, August 7, 2025, at 8:30 a.m. ET. The call will be webcast live on the Company’s investor relations website.

References:
[1] https://www.marketscreener.com/news/earnings-flash-fa-first-advantage-corporation-reports-q2-revenue-390-6m-vs-factset-est-of-381-ce7c5edfdb8bf621
[2] https://www.globenewswire.com/news-release/2025/08/07/3128989/0/en/First-Advantage-Reports-Second-Quarter-2025-Results.html