CBIZ reported a mixed second quarter, with revenue essentially flat but profit and cash-flow measures moving sharply lower than a year earlier.
For the quarter ended June 30, total revenue was $682 million, down 0.2% from the prior-year period. Financial services revenue also slipped 0.2%. Net income fell to $19 million, a decline of 55.6%, while GAAP earnings per share dropped 53.0% to $0.31. Adjusted EBITDA came in at $103 million, down 14.3%, and adjusted diluted EPS declined 8.1% to $0.91.
For the first half of 2026, the picture was stronger on the top line and in reported earnings. Total revenue rose 0.6% to $1.531 billion, with financial services revenue up 1.1%. Net income increased 4.1% to $171 million, and GAAP EPS climbed 9.7% to $2.83. Adjusted diluted EPS improved 3.6% to $3.44, though adjusted EBITDA fell 3.8% to $347 million.
Cash generation improved significantly in the first half, with operating cash flow up $97 million and free cash flow up $99 million.
Management pointed to ongoing investments in integrating Marcum, expanding AI capabilities and refining its go-to-market approach. The company also said it completed the acquisition of Bindz, adding more than 250 India-based professionals and a global delivery platform.
CBIZ also announced it has entered into a definitive merger agreement with Grant Thornton in the U.S., in an all-cash deal valuing the company at $5.0 billion, or $55.00 per share. The transaction is expected to close in the fourth quarter of 2026. As a result, CBIZ withdrew its 2026 guidance and will not hold an earnings conference call. The market has reacted to these announcements by moving the company's shares 16.83% to a price of $54.56. If you want to know more, read the company's complete 8-K report here.
