First Advantage Corporation (FA)

First Advantage beat expectations on both the top and bottom line in the second fiscal quarter of 2026, reported August 6, 2026, with adjusted EPS of $0.35 topping the $0.29 estimate (+20%) and revenue of $448.8 million topping the $415.0 million estimate (+8.1%). Revenue rose ~15% to roughly $448.8 million (up from about $390.6 million a year ago), reflecting demand across its screening and identity-related services that support hiring and compliance workflows. Profitability held at a mid-40s gross profile, with gross margin at ~46% on roughly $204.0 million of gross profit, while operating income came in at about $57.0 million and operating margin was near 13%. On the bottom line, adjusted EPS increased ~30% to $0.35 (up from $0.27 a year ago). The company generated about $73.6 million of operating cash flow during the quarter and repurchased roughly $18.7 million of stock. For the next period, consensus calls for EPS of $0.34 on revenue of $437.6 million.