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First Advantage Corporation (NASDAQ: FA), a leading provider of employment background screening, identity, and verification solutions, today announced financial results for the full year and fourth quarter ended December 31, 2023.
Their stock is trading around $16 per share.
Full Year 2023 Highlights1
- Revenues of $763.8 million
- Net Income of $37.3 million; Adjusted Net Income of $145.8 million
- Adjusted EBITDA of $237.6 million
- GAAP Diluted Net Income Per Share of $0.26; Adjusted Diluted Earnings Per Share of $1.00
- Cash Flows from Operations of $162.8 million
- Ended the year with Cash and Cash Equivalents of $213.8 million, after the $217.7 million one-time special dividend payment, $59.0 million in share repurchases, and the $41.0 million acquisition of Infinite ID
Fourth Quarter 2023 Highlights1
- Revenues of $202.6 million
- Net Income of $14.8 million; Adjusted Net Income of $42.6 million
- Adjusted EBITDA of $68.2 million
- GAAP Diluted Net Income Per Share of $0.10; Adjusted Diluted Earnings Per Share of $0.29
- Cash Flows from Operations of $56.7 million
Standalone First Advantage Full Year 2024 Guidance
- Introducing full-year 2024 guidance ranges for Revenues of $750 million to $800 million, Adjusted EBITDA of $228 million to $248 million, Adjusted Net Income of $127 million to $142 million, and Adjusted Diluted Earnings Per Share of $0.88 to $0.982
Acquisition of Sterling Check Corp.
- Announced today a definitive purchase agreement to acquire Sterling Check Corp. (NASDAQ: STER) (“Sterling Check” or “Sterling”) in a cash and stock transaction valued at approximately $2.2 billion. The transaction is expected to drive attractive total shareholder returns, including at least $50 million of synergies, implying expected double-digit Adjusted EPS accretion immediately on a run-rate synergy basis and accelerated earnings growth potential from topline development, synergies, and deleveraging. The related press release is available on First Advantage’s investor relations website.
