CBIZ Reports 62.7% Revenue Growth to $683.5 Million in Q2 2025

CBIZ, Inc. reported significant financial growth in its latest quarterly results, with revenue for the second quarter of 2025 reaching $683.5 million, a 62.7% increase from $420.0 million in the same period last year. For the first half of 2025, revenue totaled $1.52 billion, up 66.4% from $914.3 million in the first half of 2024. The company attributed approximately $256.2 million of the quarterly revenue increase and $589.6 million of the half-year increase to contributions from newly acquired operations, primarily stemming from the acquisition of Marcum LLP, which was completed in November 2024.

Net income for the second quarter was $41.9 million, or $0.66 per diluted share, compared to $19.8 million, or $0.39 per diluted share, in the prior year. For the six months ended June 30, 2025, net income was $164.7 million, or $2.58 per diluted share, up from $96.7 million, or $1.92 per diluted share, in the same period of 2024. The increase in profitability was supported by a gross margin of $87.9 million for the quarter and $316.0 million for the half-year, reflecting improved operational efficiency despite rising operating expenses.

Operating expenses for the second quarter increased to $595.6 million, a 62.6% rise from $366.4 million in the previous year, driven largely by personnel costs associated with the Marcum acquisition. The company reported a total of 1,573.7 million in outstanding debt under its 2024 Credit Facilities as of June 30, 2025, which has increased its interest expenses significantly. Interest expense for the quarter was $27.9 million, compared to $5.9 million in the same period last year, reflecting the higher debt levels and interest rates.

CBIZ's operational metrics showed a notable increase in accounts receivable, which rose to $676.1 million from $534.9 million at the end of 2024, indicating strong revenue generation. The company also reported a decrease in days sales outstanding (DSO) to 87 days from 95 days year-over-year, suggesting improved efficiency in collections. The firm continues to focus on strategic acquisitions to enhance its market presence and service offerings, while also managing its capital through share repurchases, having bought back 1.0 million shares at a cost of $71.3 million during the first half of 2025.

Looking ahead, CBIZ anticipates continued challenges in demand for nonrecurring project-based services due to current economic conditions. The company remains committed to maximizing cash flow to reduce debt and maintain liquidity for future acquisitions. Management's outlook reflects cautious optimism, with expectations of ongoing growth driven by the integration of Marcum and the expansion of its service offerings across its three practice groups: Financial Services, Benefits and Insurance Services, and National Practices.