MAXIMUS, INC. (MMS) FY2025 10-K Annual Report

Filed: Nov 20, 2025
Information Technology
Services-Business Services, NECSEC EDGAR

MAXIMUS, INC. (MMS) 10-K annual report for fiscal year 2025, filed with SEC EDGAR on Nov 20, 2025. This page provides AI-powered analysis including business overview, management discussion & analysis (MD&A), risk factors, and key financial data such as revenue, net income, gross margin, operating margin, and return on equity (ROE) extracted from XBRL.

MAXIMUS, INC. FY2025 10-K Analysis

Business Overview

  • Core business: government program operations and management services primarily for U.S. federal, state/local, and select international agencies
  • New emphasis on divesting international assets, including sale of Australia and Korea businesses, improving Outside the U.S. segment margins despite revenue decline
  • Strategic shift: focus on organic growth in U.S. Federal Services segment, expanding clinical programs and FEMA support, while streamlining international operations
  • Backlog remains robust at $15.3B with average contract life ~5 years; U.S. Federal Services backlog ~$9.8B supporting growth outlook
  • Operating margin improvement notable in U.S. Federal Services segment, up to 15.3% from 12.2%, driven by technology initiatives and performance improvements

Risk Factors

  • Regulatory/legal risk: U.S. federal government shutdown risk mitigated by $222.4M cash and credit facility access but exposure remains to potential payment delays
  • Macroeconomic threat: Payment delays during FY2025, with Days Sales Outstanding rising to 62 days vs. 61 days in FY2024, impacting cash collections
  • Operational vulnerability: Dependence on contract renewals amid fluctuating backlog and rebid concentrations causing temporarily reduced backlog balances
  • Competitive risk: Investment of $18M in technology upgrades for federal medical disability examinations contracts to maintain competitiveness
  • Financial risk: $1.35B debt under JPMorgan Credit Agreement with financial covenants requiring leverage ratio ≤4.00 and interest coverage ratio ≥3.00, effective interest rate 5.37%

MAXIMUS, INC. FY2025 Key Financial Metrics
XBRL

Revenue

$5.4B

+2.4% YoY

Net Income

$319M

+3.9% YoY

Gross Margin

24.6%

+96bp YoY

Operating Margin

9.7%

+52bp YoY

Net Margin

5.9%

+9bp YoY

ROE

19.1%

+240bp YoY

Total Assets

$4.1B

-1.5% YoY

EPS (Diluted)

$5.51

+10.4% YoY

Operating Cash Flow

$429M

-16.7% YoY

Source: XBRL data from MAXIMUS, INC. FY2025 10-K filing on SEC EDGAR. All figures in USD.

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