1) Strong Financial Performance - Adjusted EPS increased by 22% to $1.75, driven by 9% organic net revenue growth. - Gross revenue rose 27% YoY, marking the highest growth since the separation of the government services business in 2024. - Adjusted EBITDA reached $327 million, growing more than 14%, with a margin of 14.1%, up 70 basis points YoY. - Backlog grew 22% YoY to a record $27 billion, with a trailing 12-month book-to-bill ratio of 1.4x.

2) Strategic Acquisitions and Market Leadership - Completed the acquisition of PA Consulting, enhancing capabilities in national security and public investments. - Jacobs ranked as the #1 design firm by Engineering News-Record for the seventh time in eight years, reflecting strong organic growth. - Significant project wins include contracts in water and environmental sectors, and expansions in critical infrastructure, particularly in aviation and data centers.

3) Sector-Specific Growth and Opportunities - Life sciences and advanced manufacturing net revenue grew 12%, the highest since reporting began in late 2024. - Data center business expanded by over 100% YoY, with a strong pipeline driven by AI infrastructure demands. - Critical infrastructure saw 9% net revenue growth, bolstered by transportation and energy sectors.

4) Guidance and Future Outlook - Increased FY '26 guidance for adjusted net revenue growth to 8% to 10.5%, adjusted EBITDA margin to 14.6% to 14.9%, and adjusted EPS to $7.10 to $7.35. - Anticipate continued strong performance in Q3 with an adjusted EBITDA margin of approximately 15% and a margin above 16% in Q4. - Long-term targets reaffirmed, with expectations for 6% to 8% organic growth CAGR through FY '29.

5) Challenges and Considerations - Adjusted free cash outflow of $272 million in Q2 due to timing items related to the PA acquisition, impacting cash flow reporting. - Net leverage at 2.1x, above the target range, but expected to return below 2x by year-end as cash flow strengthens in the second half. - The transcript lacks specific details on the impact of macroeconomic conditions on future performance.

Bottom line: Jacobs is demonstrating robust growth and operational strength, supported by strategic acquisitions and a strong backlog. The company is well-positioned to capitalize on emerging opportunities in AI and infrastructure, making it an attractive prospect for investors looking for growth in the engineering and consulting sectors.