J · 8-K · 20260804PR052563
Acquisition / Partnership / Divestiture
JACOBS SOLUTIONS INC. · 2026-08-04 · Importance 71 · Surprise 60 · In source text
The PA Consulting Transaction closed on March 20, 2026 and generated $123.9 million of nine-month compensation costs plus $20.5 million of foreign-exchange-forward-contract losses. Nine-month restructuring, transaction and other charges included $237.5 million for subsidiary-level compensation agreements and $122.7 million primarily related to consideration costs for specified PA Consulting employees. The Q3 segment tables recorded $13.8 million of PA Consulting transaction-related restructuring and other charges, primarily professional services, integration personnel and employee separation costs. PA Consulting contributed $329.5 million of Q3 revenue and $73.6 million of segment operating profit.
Key facts
- The nine months ended June 26, 2026 included $237.5 million in charges for certain subsidiary level compensation based agreements and $122.7 million primarily relating to consideration costs to specified PA Consulting employees in connection with the PA Consulting Transaction source
- The PA Consulting Transaction closed on March 20, 2026 source
- The three months ended June 26, 2026 primarily include the cash distribution of approximately $102.0 million from specific transaction proceeds from the PA Consulting Transaction to certain eligible PA Consulting employees source
- Loss on the foreign exchange forward contract in connection with the PA Consulting Transaction of $20.5 million was included in the nine months ended June 26, 2026 source
- The nine months ended June 26, 2026 include the cash payout of a portion of transaction proceeds for the vesting of equity-based incentive awards (related to the PA Consulting Transaction) source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| operating_income | negative | realized | -9.8% | The nine months ended June 26, 2026 included $237.5 million in charges for certain subsidiary level compensation based agreements and… |
| operating_income | negative | realized | -5.1% | The nine months ended June 26, 2026 included $237.5 million in charges for certain subsidiary level compensation based agreements and… |
| net_income | negative | realized | -0.8% | Loss on the foreign exchange forward contract in connection with the PA Consulting Transaction of $20.5 million was included in the nine… |
| cash | negative | realized | — | The three months ended June 26, 2026 primarily include the cash distribution of approximately $102.0 million from specific transaction… |