ATS Corp Reports Q2 2027 Revenue Decline Amid Life Sciences Growth and Cost Transformation
ATS Corp (ATS) reported second-quarter fiscal 2027 results characterized by a revenue decline to $665.8 million, an 8.6% decrease year-over-year. The downturn was attributed to normalized GLP-1 activity levels and lower volumes in non-life sciences sectors. Despite the top-line contraction, the company saw strong demand in its life sciences division, which contributed to a record $1.2 billion backlog within a total order backlog of $2.009 billion. To combat margin compression and declining earnings, management is executing a fixed cost transformation program aimed at achieving $65 million to $75 million in annualized savings. This restructuring includes a global workforce reduction of 300 to 400 positions and the closure of excess capacity in Europe. While adjusted EPS fell to $0.27 from $0.45 last year, cash flow from operations improved significantly to $81 million.
Tickers: $ATS
Topics: cost savings program earnings report order backlog revenue decline workforce reduction
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