CBIZ Reports Record Fourth-Quarter and Full-Year Results for 2024 with Major Acquisition Updates

Overview of CBIZ’s 2024 Financial Results

CBIZ, Inc., a premier national professional services advisor, has disclosed its fourth-quarter and overall annual results for 2024, showcasing significant growth and strategic advancements within the firm. The company finalized its acquisition of Marcum LLP, marking the most considerable acquisition in its history, on November 1, 2024, which has noticeably influenced its performance metrics.

Key Highlights for the Fourth Quarter

The fourth quarter of 2024 proved robust for CBIZ, with total revenue soaring to $460.3 million, reflecting a staggering increase of 40.5% compared to the same period in 2023. This surge is attributed in part to the Marcum acquisition, which accounted for 33.2% of this growth. Importantly, revenue from existing units also rose by 6.4%, underscoring the company's strength beyond acquisitions.

CBIZ's financial indicators indicate healthy growth; excluding the impact of the Marcum transaction, revenue still increased by 7.3%. Moreover, the integration expenses and seasonal results from November and December have already begun to stabilize as the firm adapts to its expanded operations. This performance reflects a solid foundation for sustained future growth.

Annual Performance Review

For the entirety of 2024, CBIZ achieved a total revenue of $1.813 billion, which is an increase of 14% over the prior year, buoyed by the Marcum acquisition. Without this acquisition, same-unit revenue still rose by 4.8%, demonstrating organic growth. The company recorded GAAP earnings per share (EPS) at $0.78, while the adjusted EPS—after accounting for transaction and integration costs—stood at $2.67, marking a 10.8% increase from 2023.

Notably, the strategic integration of Marcum is expected to provide extensive growth opportunities in the coming years. The synergy from this acquisition will amplify CBIZ's service offerings in the middle-market business sector, enhancing its overall operational efficiency and client service capabilities.

Looking Ahead: 2025 Forecast

As CBIZ looks forward to 2025, the outlook remains optimistic. The company estimates total revenue to fall between $2.90 billion and $2.95 billion. Furthermore, both GAAP and adjusted EPS projections are also positive, with a range of $1.97 to $2.02 per diluted share and an adjusted EPS range of $3.60 to $3.65.

Jerry Grisko, President and CEO of CBIZ, expressed excitement regarding the company's trajectory, stating, “The successful close of the Marcum transaction marks a transformative moment for our company, reinforcing our foothold as a leading provider of professional services to the middle-market.”

Moreover, Grisko highlighted the 6.4% same-unit revenue growth during the fourth quarter and noted how the Marcum acquisition largely contributed to the amplified seasonal results typical in the accounting and tax services sector.

In preparation for the 2025 fiscal year, CBIZ has made significant strides in integrating Marcum’s operations, aiming for a seamless blend of expertise and service offerings. This prepares the company to leverage new opportunities and manage anticipated market demands effectively.

Conclusion

CBIZ’s impressive financial outcomes for the fourth quarter and full year of 2024 position it firmly within the competitive landscape of professional service providers. Through strategic acquisitions and a commitment to expanding its capabilities, CBIZ stands ready to achieve even greater heights in 2025 and beyond. Stakeholders and clients alike can anticipate innovative solutions from a firm poised for accelerated growth.

For further details, CBIZ will be hosting a conference call to elaborate more on these results and the strategies moving forward. Participants can join the call and access archived information through the company’s investor relations webpage.