APi Group Corporation has announced its new long-term financial targets, revealing significant progress towards its 13/60/80 targets. The company expects to achieve a 13% or higher adjusted EBITDA margin by 2025. The new 10/16/60+ shareholder value creation framework highlights a goal of $10 billion or more in net revenues and an adjusted EBITDA margin of 16% or more by 2028.
The company also expects to achieve 60% or more of net revenues from inspection, service, and monitoring, as well as $3.0 billion or more in cumulative adjusted free cash flow through 2028. APi reaffirmed its second-quarter and 2025 financial guidance.
In addition to these financial targets, APi announced a three-for-two stock split of its outstanding shares of common stock. After the stock split, the company will have approximately 415 million shares of common stock outstanding.
APi's President and CEO, Russ Becker, expressed excitement about the new shareholder value creation framework and the company's next phase of profitable growth. He emphasized the company's proven operating model, purpose-driven leadership, and disciplined approach to capital allocation as factors positioning APi for sustained organic growth, margin expansion, and value-accretive M&A.
The company is confident in its leaders' ability to execute its strategy and deliver against the new long-term financial targets, creating value for all stakeholders. APi will be hosting its 2025 Investor Day at the New York Stock Exchange, providing updates to its strategic plan and introducing the long-term financial targets to investors.
APi Group Corporation, a global business services provider, offers fire and life safety, security, elevator and escalator, and specialty services with a substantial recurring revenue base and over 500 locations worldwide. As a result of these announcements, the company's shares have moved 0.38% on the market, and are now trading at a price of $46.095. Check out the company's full 8-K submission here.
