Verra Mobility Corporation reported its financial results for the third quarter ended September 30, 2026, showing a slight decrease in revenue and a change in executive leadership. Total revenue for the quarter was $258.9 million, a 1% decline from the $261.9 million reported in the same period of 2025. Net income for the third quarter of 2026 was $40.4 million, or $0.27 per share, compared to $46.8 million, or $0.29 per share, in the prior year.
The company reported a record booking quarter in its Government Solutions segment, excluding the New York City Department of Transportation contract renewal. However, the Commercial Services segment saw a 14% decline in revenue, driven by a 20% reduction in rental car company tolling revenue due to unfavorable contract terms and reduced travel demand. The Parking Solutions segment also reported a 2% decrease in revenue.
On the financial metrics side, Adjusted EBITDA for the third quarter was $103.9 million, with a margin of 40%, down from 43% in the prior year. Free Cash Flow for the quarter was $89.4 million, an increase from $49.0 million in the prior year period. As of September 30, 2026, cash and cash equivalents totaled $137.0 million, and total debt, net, was $1,033 million.
In leadership news, the Board of Directors appointed Matthew Kvarda as Interim Chief Financial Officer, effective November 5, 2026. He succeeds Craig Conti, who is stepping down from the role on November 4, 2026. The company also announced the appointment of Jon Newhard as President and Chief Executive Officer, effective November 1, 2026.
Verra Mobility also disclosed significant contract changes, including the termination of a seven-year agreement with Avis Budget Group effective January 30, 2027, due to a significant reduction in fleet volumes. The company reaffirmed its fiscal year 2026 guidance, projecting total revenue between $945 million and $965 million, Adjusted EBITDA between $360 million and $370 million, and Adjusted EPS between $1.11 and $1.17.
