Brookfield Business Partners reported its third‑quarter 2025 financial results, posting a net loss attributable to unitholders of $59 million, or $0.28 per unit, compared with a net income of $301 million ($1.39 per unit) in the same quarter a year earlier. Revenue reached $6.92 billion, a 25% decline from $9.23 billion in Q3 2024, yet the figure surpassed the consensus estimate of $3.15 billion, delivering a revenue beat of $3.77 billion. Adjusted EBITDA fell to $575 million from $844 million year‑ago, largely due to a drop in tax recoveries and the impact of partial divestitures.
The revenue decline was driven by lower sales in the infrastructure services segment, offset by a 17% increase in the Industrials segment’s adjusted EBITDA to $316 million—up from $500 million a year earlier—reflecting stronger demand for advanced energy storage and industrial equipment. The business services segment also contributed to the top‑line, but its growth was tempered by higher operating costs and a shift in customer mix toward lower‑margin contracts.
Adjusted EBITDA contraction was mainly caused by a $219 million reduction in tax recoveries ($77 million in Q3 2025 versus $296 million in Q3 2024) and the sale of partial interests in three businesses to a Brookfield‑managed evergreen private‑equity fund. Despite the loss, the company maintained robust liquidity, reporting $2.3 billion in cash and credit facility availability, and declared a quarterly distribution of $0.0625 per unit payable December 31.
Brookfield also highlighted strategic milestones: it completed the acquisition of a Canadian residential and multi‑family mortgage lender, generated $180 million from capital‑recycling initiatives, and advanced its corporate simplification plan to convert into a single Canadian‑listed entity by early 2026. These moves are intended to streamline operations, improve capital efficiency, and enhance investor access.
CEO Anuj Ranjan said the quarter represented “excellent progress” in portfolio rebalancing and capital recycling, noting that the simplification plan had been well received by investors and would support continued growth in intrinsic value. He emphasized the company’s focus on high‑return acquisitions and disciplined cost management as key drivers of future performance.
Analysts had expected earnings of $0.40–$0.46 per unit and revenue of $3.15 billion. Brookfield’s actual EPS of –$0.28 was a miss of $0.68, while the revenue beat of $3.77 billion exceeded expectations by 120%. Investors responded favorably, citing the strong revenue performance, liquidity cushion, and progress on strategic initiatives as reasons for confidence in the company’s long‑term trajectory.
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