Brookfield Business Partners (NYSE:BBU) Releases Earnings Results, Beats Estimates By $0.13 EPS

Brookfield Business Partners (NYSE:BBU) released its quarterly earnings data on Friday. The business services provider reported $1.51 earnings per share for the quarter, beating the consensus estimate of $1.38 by $0.13, Zacks reports. Brookfield Business Partners had a negative return on equity of 5.59% and a negative net margin of 3.02%.

Here are the key takeaways from Brookfield Business Partners’ conference call:

• Brookfield generated more than $2 billion of proceeds from capital recycling, repaid roughly $1 billion of corporate borrowings, invested $700 million in four acquisitions, and repurchased about $235 million of stock as part of a $250 million buyback program.
• Management is on track to complete a conversion to a single newly listed corporation, which they expect will improve trading liquidity and roughly double index-driven demand for the shares pending final regulatory approval.
• Operational value creation is driving performance at core assets—Clarios has grown underlying EBITDA ~40% (~$700M) since acquisition with a multi‑year growth path, and Nielsen has realized about $800M of cost savings and materially improved margins.
• Reported full‑year Adjusted EBITDA was $2.4 billion (down from $2.6B) but on a comparable basis Adjusted EBITDA rose to $2.1B from $2.0B, and the company finished the year with approximately $2.6 billion of pro forma corporate liquidity and strong access to financing.
• Headwinds persist in parts of the portfolio—European activity remains soft, infrastructure segment EBITDA declined due to disposals, dealer software modernization costs will pressure results through 2026, and Scientific Games received a credit‑rating downgrade despite management’s view that growth will help delever.

Brookfield Business Partners Trading Up 0.9%

Shares of BBU traded up $0.32 during trading hours on Friday, hitting $35.16. 14,505 shares of the stock were exchanged, compared to its average volume of 27,663. Brookfield Business Partners has a fifty-two week low of $18.63 and a fifty-two week high of $37.38. The business has a 50-day moving average of $35.21 and a 200-day moving average of $31.49. The firm has a market capitalization of $3.08 billion, a P/E ratio of -19.44 and a beta of 1.31. The company has a debt-to-equity ratio of 2.84, a current ratio of 1.71 and a quick ratio of 1.41.

Brookfield Business Partners Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, December 31st. Stockholders of record on Friday, November 28th were given a dividend of $0.0625 per share. The ex-dividend date was Friday, November 28th. This represents a $0.25 annualized dividend and a dividend yield of 0.7%. Brookfield Business Partners’s dividend payout ratio is -13.89%.

Institutional Trading of Brookfield Business Partners

A number of large investors have recently bought and sold shares of the business. Bank of Montreal Can lifted its stake in shares of Brookfield Business Partners by 14.4% in the 3rd quarter. Bank of Montreal Can now owns 553,148 shares of the business services provider’s stock valued at $18,140,000 after purchasing an additional 69,657 shares during the period. Legal & General Group Plc boosted its holdings in shares of Brookfield Business Partners by 0.6% during the 3rd quarter. Legal & General Group Plc now owns 130,620 shares of the business services provider’s stock worth $4,285,000 after buying an additional 726 shares in the last quarter. JPMorgan Chase & Co. grew its position in shares of Brookfield Business Partners by 636.4% during the 2nd quarter. JPMorgan Chase & Co. now owns 36,027 shares of the business services provider’s stock worth $934,000 after buying an additional 31,135 shares during the period. Finally, Bank of America Corp DE increased its stake in shares of Brookfield Business Partners by 30,100.0% in the 2nd quarter. Bank of America Corp DE now owns 1,208 shares of the business services provider’s stock valued at $31,000 after acquiring an additional 1,204 shares in the last quarter. 85.04% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

A number of analysts have recently commented on BBU shares. Weiss Ratings reissued a “sell (d+)” rating on shares of Brookfield Business Partners in a research note on Wednesday, January 21st. Zacks Research upgraded shares of Brookfield Business Partners from a “strong sell” rating to a “hold” rating in a research report on Tuesday, November 11th. National Bankshares boosted their target price on shares of Brookfield Business Partners from $39.00 to $43.00 and gave the stock an “outperform” rating in a report on Friday, November 7th. Finally, Scotiabank set a $39.00 price target on shares of Brookfield Business Partners and gave the company an “outperform” rating in a research note on Thursday, October 2nd. Four equities research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, Brookfield Business Partners has a consensus rating of “Moderate Buy” and a consensus price target of $37.00.

Brookfield Business Partners Company Profile

Brookfield Business Partners L.P. (NYSE: BBU) is a publicly traded partnership sponsored by Brookfield Asset Management. The company focuses on acquiring and operating high-quality businesses across a range of industrial and service-oriented sectors. Through a partnership structure, Brookfield Business Partners seeks to provide investors with returns generated from stable, cash-flowing enterprises that benefit from Brookfield Asset Management’s global scale and operational expertise.

The company’s investment strategy centers on businesses within the industrial services, manufacturing, transportation, and business services segments.