J · 10-Q · 2026Q2 · Full report
Interest Rate Environment
JACOBS SOLUTIONS INC. · 2026-08-04 · Importance 71 · Surprise 82 · In source text
Net interest expense increased 61.2% year over year to $46.3 million in the third quarter of fiscal 2026 from $28.8 million. For the nine months, net interest expense increased 26.2% to $104.7 million from $83.0 million. The increase primarily reflected higher average outstanding debt after the PA Consulting Transaction, partly offset by lower interest rates. The nine-month increase reduced earnings from continuing operations before taxes despite the company’s improved operating performance.
Key facts
- Net interest expense for the three and nine months ended June 26, 2026 was $46,346 thousand and $104,746 thousand, respectively, an increase of $17,640 thousand and $21,756 thousand from $28,706 thousand and $82,990 thousand for the corresponding periods last year (61.2% and 26.2% increases) source
- The increase in net interest expense was primarily a result of the Company's higher average levels of outstanding debt compared to the last fiscal year, partially offset by lower interest rates in the current year compared to the prior year period source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| net_income | negative | realized | -0.5% | Net interest expense for the three and nine months ended June 26, 2026 was $46,346 thousand and $104,746 thousand, respectively, an… |
| net_income | negative | realized | -0.4% | Net interest expense for the three and nine months ended June 26, 2026 was $46,346 thousand and $104,746 thousand, respectively, an… |