Parsons Corp

parsons.com

What Do They Do?

Provides advanced technology and mission-support services to U.S. government agencies, including military and intelligence customers; also plans, designs, and manages projects for public and private infrastructure owners.

How Do They Make Money?

Parsons earns money from long-term contracts for planning, design, engineering, technical, construction, and program-management work, priced as fixed-price, time-and-materials, or cost-plus. Fixed-price project revenue builds while work is underway; customer billings may come before or after the related work.

revenue

Segment	Share	Revenue
Federal Solution Segment	51% FY2022: 53%
Critical Infrastructure	49% FY2022: 47%

Who Are Their Customers?

Work is placed through customer-awarded contracts and specific task orders, often under multi-year contracts. Infrastructure projects serve public agencies and private owners.

Customers above 10% of revenue, FY2025

of revenue from one customer

FY2023: 55% from one customer

Do Revenues Turn Into Profits?

Yes. It kept 4 cents of every revenue dollar as net income in FY2025 and turned 6 cents into free cash flow.

Operating income, FY2025

7% of revenue

▼ −2% vs FY2024 ($428.1M, 6%)

Net income, FY2025

4% of revenue

▲ +3% vs FY2024 ($235.1M, 3%)

Free cash flow, FY2025

6% of revenue

▼ −13% vs FY2024 ($474.4M, 7%)

How Are They Changing?

Since the FY2025 annual report

Latest quarter: Q2 FY2026, the three months to Jun 30, 2026

Revenue: ▼ −1%; vs $1.6B in Q2 FY2025
Net income: ▼ Now a loss; vs $55.2M in Q2 FY2025

Federal Solution Segment share of revenue vs 50.8% in Q2 FY2025

Jul 29, 2026 Lowered fiscal-year revenue, adjusted EBITDA, and operating cash flow guidance Revenue guidance moved to $6.2 billion–$6.5 billion from $6.5 billion–$6.8 billion; adjusted EBITDA and operating cash flow ranges also declined.

Growing. Revenue grew 74% in 4 years, from $3.7B in FY2021 to $6.4B in FY2025, about 15% a year.

Revenue over time

Federal Solution Segment Critical Infrastructure

$10B$5B$0

FY2021 FY2022 FY2023 FY2024 FY2025

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