Maximus announced on December 10, 2024, the completion of the divestiture of all its operations in Australia and South Korea. These businesses were previously reported under the company's Outside the U.S. segment.
The operations, primarily focused on employment services, were sold to Angus Knight, a global provider in the employment and community services sector. The combined annual revenue run-rate for the divested entities was approximately $120 million, with an estimated impact of $100 million to fiscal year 2025 revenue guidance.
This strategic transaction is expected to be slightly accretive to Maximus's fiscal year 2025 adjusted EBITDA margin and adjusted diluted EPS guidance. The divestiture is a key step in optimizing the Outside the U.S. portfolio, aiming to reduce volatility and improve the segment's overall profitability, with the margin outlook for the segment improving to between 3% and 5%.
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