Financial technology provider Broadridge (NYSE: BR) beat Wall Street’s revenue expectations in Q1 CY2026, with sales up 7.8% year on year to $1.95 billion. Its non-GAAP profit of $2.72 per share was 4.4% above analysts’ consensus estimates.

Is now the time to buy Broadridge? Find out by accessing our full research report, it’s free.

Company Overview

Processing over $10 trillion in equity and fixed income trades daily and managing proxy voting for over 800 million equity positions, Broadridge Financial Solutions (NYSE: BR) provides technology-driven solutions that power investing, governance, and communications for banks, broker-dealers, asset managers, and public companies.

Revenue Growth

A company’s long-term sales performance can indicate its overall quality. Any business can put up a good quarter or two, but the best consistently grow over the long haul.

With $7.32 billion in revenue over the past 12 months, Broadridge is one of the larger companies in the business services industry and benefits from a well-known brand that influences purchasing decisions.

As you can see below, Broadridge’s 8.7% annualized revenue growth over the last five years was solid. This is an encouraging starting point for our analysis because it shows Broadridge’s demand was higher than many business services companies.

Long-term growth is the most important, but within business services, a half-decade historical view may miss new innovations or demand cycles. Broadridge’s annualized revenue growth of 6.9% over the last two years is below its five-year trend, but we still think the results were respectable.

We can dig further into the company’s revenue dynamics by analyzing its most important segment, Investor Communication Solutions. Over the last two years, Broadridge’s Investor Communication Solutions revenue (shareholder materials) averaged 7.1% year-on-year growth.

This quarter, Broadridge reported year-on-year revenue growth of 7.8%, and its $1.95 billion of revenue exceeded Wall Street’s estimates by 2.7%.

Looking ahead, sell-side analysts expect revenue to grow 3.4% over the next 12 months, a deceleration versus the last two years. This projection is underwhelming and indicates its products and services will see some demand headwinds. At least the company is tracking well in other measures of financial health.

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Adjusted Operating Margin

Broadridge has been a well-oiled machine over the last five years. It demonstrated elite profitability for a business services business, boasting an average adjusted operating margin of 19.4%.

Looking at the trend in its profitability, Broadridge’s adjusted operating margin rose by 1.8 percentage points over the last five years, as its sales growth gave it operating leverage.

This quarter, Broadridge generated an adjusted operating margin profit margin of 18.4%, down 4 percentage points year on year. This contraction shows it was less efficient because its expenses grew faster than its revenue.

Earnings Per Share

Revenue trends explain a company’s historical growth, but the long-term change in earnings per share (EPS) points to the profitability of that growth – for example, a company could inflate its sales through excessive spending on advertising and promotions.

Broadridge’s EPS grew at 10.8% compounded annual growth rate over the last five years, higher than its 8.7% annualized revenue growth. This tells us the company became more profitable on a per-share basis as it expanded.

Diving into the nuances of Broadridge’s earnings can give us a better understanding of its performance. As we mentioned earlier, Broadridge’s adjusted operating margin declined this quarter but expanded by 1.8 percentage points over the last five years. This was the most relevant factor (aside from the revenue impact) behind its higher earnings; interest expenses and taxes can also affect EPS but don’t tell us as much about a company’s fundamentals.

Like with revenue, we analyze EPS over a shorter period to see if we are missing a change in the business.

For Broadridge, its two-year annual EPS growth of 12.1% was higher than its five-year trend. We love it when earnings growth accelerates, especially when it accelerates off an already high base.

In Q1, Broadridge reported adjusted EPS of $2.72, up from $2.44 in the same quarter last year. This print beat analysts’ estimates by 4.4%. Over the next 12 months, Wall Street expects Broadridge’s full-year EPS of $9.37 to grow 6.2%.

Key Takeaways from Broadridge’s Q1 Results

We enjoyed seeing Broadridge beat analysts’ revenue and EPS expectations this quarter. We were also glad the company raised its full-year guidance. Overall, we think this was a solid quarter with some key areas of upside. The market seemed to be hoping for more, and the stock traded down 4.2% to $153.94 immediately following the results.

So do we think Broadridge is an attractive buy at the current price? If you’re making that decision, you should consider the bigger picture of valuation, business qualities, as well as the latest earnings. We cover that in our actionable full research report which you can read here (it’s free).