What changed in this filing

/stocks — the workspaceLOADING

Item 1. Financial Statements

2026-02-03 compared with 2025-08-05 · 289 added, 373 removed, 540 unchanged (55% of the section changed)

4 unchanged sentences

(In thousands, except share information)

June 27, 2025 September 27, 2024

December 26, 2025 September 26, 2025

Current Assets:

2 unchanged sentences

Prepaid expenses and other 144,016 134,804

Investment in equity securities — 749,468

Total current assets 4,756,698 4,359,319

10 unchanged sentences

Current Liabilities:

Current maturities of long-term debt $ — $ 875,760

Accounts payable $ 1,262,870 $ 1,261,489

16 unchanged sentences

Common stock, $ 1 par value, authorized - 240,000,000 shares;

issued and outstanding - 119,704,769 shares and 124,253,511 shares as of June 27, 2025 and September 27, 2024, respectively

issued and outstanding - 117,586,748 shares and 119,081,294 shares as of December 26, 2025 and September 26, 2025, respectively

117,587 119,081

10 unchanged sentences

CONSOLIDATED STATEMENTS OF EARNINGS

Three and Nine Months Ended June 27, 2025 and June 28, 2024

Three Months Ended December 26, 2025 and December 27, 2024

(In thousands, except per share information)

For the Three Months Ended For the Nine Months Ended

June 27, 2025 June 28, 2024 June 27, 2025 June 28, 2024

For the Three Months Ended

December 26, 2025 December 27, 2024

Revenues $ 3,293,281 $ 2,932,956

6 unchanged sentences

Interest expense ( 34,254 ) ( 34,820 )

Loss on extinguishment of debt — — ( 20,510 ) —

Miscellaneous income (expense), net 287 ( 130,107 )

Total other income (expense), net 10,090 ( 34,521 ) ( 298,006 ) ( 112,551 )

Total other expense, net ( 26,338 ) ( 155,271 )

Earnings from Continuing Operations Before Taxes 206,223 53,147

Income Tax Expense from Continuing Operations ( 73,109 ) ( 57,149 )

Net Earnings of the Group from Continuing Operations 191,352 91,193 192,596 326,654

Net (Loss) Earnings of the Group from Discontinued Operations, net of tax ( 1,629 ) 67,703 ( 8,180 ) 187,232

Net Earnings of the Group 189,723 158,896 184,416 513,886

Net (Earnings) Loss Attributable to Noncontrolling Interests from Continuing Operations ( 4,442 ) ( 4,858 ) 1,209 ( 13,037 )

Net Earnings (Loss) of the Group from Continuing Operations 133,114 ( 4,002 )

Net Earnings (Loss) of the Group from Discontinued Operations, net of tax 554 ( 1,001 )

Net Earnings (Loss) of the Group 133,668 ( 5,003 )

Net Earnings Attributable to Noncontrolling Interests from Continuing Operations ( 2,440 ) ( 6,080 )

Net Earnings Attributable to Redeemable Noncontrolling Interests ( 5,720 ) ( 7,047 )

Net Earnings Attributable to Jacobs from Continuing Operations 181,234 82,924 175,266 303,505

Net Earnings Attributable to Noncontrolling Interests from Discontinued Operations — ( 3,693 ) — ( 10,080 )

Net (Loss) Earnings Attributable to Jacobs from Discontinued Operations ( 1,629 ) 64,010 ( 8,180 ) 177,152

Net Earnings Attributable to Jacobs $ 179,605 $ 146,934 $ 167,086 $ 480,657

Net Earnings (Loss) Attributable to Jacobs from Continuing Operations 124,954 ( 17,129 )

Net Earnings (Loss) Attributable to Jacobs from Discontinued Operations 554 ( 1,001 )

Net Earnings (Loss) Attributable to Jacobs $ 125,508 $ ( 18,130 )

Net Earnings Per Share:

Basic Net Earnings from Continuing Operations Per Share $ 1.56 $ 0.66 $ 1.54 $ 2.43

Basic Net (Loss) Earnings from Discontinued Operations Per Share $ ( 0.01 ) $ 0.51 $ ( 0.07 ) $ 1.41

Basic Earnings Per Share $ 1.55 $ 1.17 $ 1.47 $ 3.84

Diluted Net Earnings from Continuing Operations Per Share $ 1.56 $ 0.66 $ 1.53 $ 2.42

Diluted Net (Loss) Earnings from Discontinued Operations Per Share $ ( 0.01 ) $ 0.51 $ ( 0.07 ) $ 1.40

Diluted Earnings Per Share $ 1.55 $ 1.17 $ 1.46 $ 3.82

Basic Net Earnings (Loss) from Continuing Operations Per Share $ 1.12 $ ( 0.10 )

Basic Net Earnings (Loss) from Discontinued Operations Per Share $ — $ ( 0.01 )

Basic Earnings (Loss) Per Share $ 1.12 $ ( 0.11 )

Diluted Net Earnings (Loss) from Continuing Operations Per Share $ 1.11 $ ( 0.10 )

Diluted Net Earnings (Loss) from Discontinued Operations Per Share $ — $ ( 0.01 )

Diluted Earnings (Loss) Per Share $ 1.12 $ ( 0.11 )

See the accompanying Notes to Consolidated Financial Statements - Unaudited.

1 unchanged sentence

AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

Three and Nine Months Ended June 27, 2025 and June 28, 2024

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

Three Months Ended December 26, 2025 and December 27, 2024

(In thousands)

For the Three Months Ended For the Nine Months Ended

June 27, 2025 June 28, 2024 June 27, 2025 June 28, 2024

Net Earnings of the Group $ 189,723 $ 158,896 $ 184,416 $ 513,886

Other Comprehensive Income:

For the Three Months Ended

December 26, 2025 December 27, 2024

Net Earnings (Loss) of the Group $ 133,668 $ ( 5,003 )

Other Comprehensive Income (Loss):

Foreign currency translation adjustments 25,517 ( 160,148 )

1 unchanged sentence

Change in pension plan liabilities 1,357 24,176

Other comprehensive income before taxes 117,751 4 38,739 40,983

Other Comprehensive Income (Loss) Before Taxes 24,753 ( 130,151 )

Income Tax Benefit (Expense):

Foreign currency translation adjustments 4,558 4,390 4,558 4,390

Cash flow hedges 541 ( 1,484 )

Change in pension plan liabilities ( 946 ) ( 1,132 )

Income Tax Benefit:

Income Tax Expense:

( 405 ) ( 2,616 )

Net other comprehensive Income 122,403 4,828 41,810 51,539

Net Comprehensive Income of the Group 312,126 163,724 226,226 565,425

Net (Earnings) Loss Attributable to Noncontrolling Interests ( 4,442 ) ( 8,551 ) 1,209 ( 23,117 )

Net Other Comprehensive Income (Loss) 24,348 ( 132,767 )

Net Comprehensive Income (Loss) of the Group 158,016 ( 137,770 )

Net Earnings Attributable to Noncontrolling Interests ( 2,440 ) ( 6,080 )

Net Earnings Attributable to Redeemable Noncontrolling Interests ( 5,720 ) ( 7,047 )

Net Comprehensive Income Attributable to Jacobs $ 302,008 $ 151,762 $ 208,896 $ 532,196

Net Comprehensive Income (Loss) Attributable to Jacobs $ 149,856 $ ( 150,897 )

See the accompanying Notes to Consolidated Financial Statements - Unaudited.

2 unchanged sentences

CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

For the Three Months Ended June 27, 2025 and June 28, 2024

For the Three Months Ended December 26, 2025 and December 27, 2024

(In thousands)

Common Stock Additional Paid-in Capital Retained Earnings Accumulated Other Comprehensive Income (Loss) Total Jacobs Stockholders’ Equity Noncontrolling Interests Total Group Stockholders’ Equity

Balances at March 29, 2024 $ 125,216 $ 2,733,758 $ 4,576,383 $ ( 811,243 ) $ 6,624,114 $ 54,348 $ 6,678,462

Net earnings — — 146,934 — 146,934 8,551 155,485

Balances at September 27, 2024 $ 124,084 $ 2,758,064 $ 2,366,769 $ ( 699,450 ) $ 4,549,467 $ 17,836 $ 4,567,303

Net (loss) earnings — — ( 18,130 ) — ( 18,130 ) 6,080 ( 12,050 )

Foreign currency translation adjustments net of deferred taxes of $ —

7 unchanged sentences

Repurchase and issuance of redeemable noncontrolling interests — — 983 — 983 — 983

Distribution of SpinCo Business — — 1,000 — 1,000 — 1,000

Noncontrolling interests - distributions and other — — — — — ( 2,309 ) ( 2,309 )

2 unchanged sentences

Repurchases of equity securities ( 1,456 ) ( 32,359 ) ( 167,811 ) — ( 201,626 ) — ( 201,626 )

Balances at June 28, 2024

$ 124,254 $ 2,741,750 $ 4,557,204 $ ( 806,415 ) $ 6,616,793 $ 59,637 $ 6,676,430

Balances at March 28, 2025 $ 120,379 $ 2,699,690 $ 1,824,418 $ ( 780,043 ) $ 3,864,444 $ 8,716 $ 3,873,160

179,605 — 179,605 4,442 184,047

Foreign currency translation adjustments, net of deferred taxes of $( 4,558 )

— — — 141,387 141,387 — 141,387

Pension plan liability, net of deferred taxes of $ 762

— — — ( 16,483 ) ( 16,483 ) — ( 16,483 )

Change in cash flow hedges, net of deferred taxes of $( 856 )

Balances at December 27, 2024

$ 122,912 $ 2,735,155 $ 2,179,509 $ ( 832,217 ) $ 4,205,359 $ 21,607 $ 4,226,966

Dividends — — ( 39,731 ) — ( 39,731 ) — ( 39,731 )

Dividend in kind — — ( 159,266 ) — ( 159,266 ) — ( 159,266 )

Redeemable Noncontrolling interests redemption value adjustment — — ( 59,540 ) — ( 59,540 ) — ( 59,540 )

Repurchase and issuance of redeemable noncontrolling interests — — 1,450 — 1,450 — 1,450

Noncontrolling interests - distributions and other — — — — — ( 3,929 ) ( 3,929 )

Distribution adjustments relating to SpinCo Business — — ( 1,955 ) — ( 1,955 ) — ( 1,955 )

Stock based compensation — 13,079 — — 13,079 — 13,079

Issuances of equity securities including shares withheld for taxes 136 5,186 ( 2,945 ) — 2,377 — 2,377

Repurchases of equity securities ( 810 ) ( 18,185 ) ( 81,850 ) — ( 100,845 ) — ( 100,845 )

Balances at June 27, 2025 $ 119,705 $ 2,699,770 $ 1,660,186 $ ( 657,640 ) $ 3,822,021 $ 9,229 $ 3,831,250

See the accompanying Notes to Consolidated Financial Statements – Unaudited.

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

For the Nine Months Ended June 27, 2025 and June 28, 2024

(In thousands)

Common Stock Additional Paid-in Capital Retained Earnings Accumulated Other Comprehensive Income (Loss) Total Jacobs Stockholders’ Equity Noncontrolling Interests Total Group Stockholders’ Equity

Balances at September 26, 2025 $ 119,081 $ 2,706,376 $ 1,525,760 $ ( 710,410 ) $ 3,640,807 $ 7,098 $ 3,647,905

Net earnings — — 480,657 — 480,657 23,117 503,774

Foreign currency translation adjustments net of deferred taxes of $( 4,390 )

— — 125,508 — 125,508 2,440 127,948

Pension liability, net of deferred taxes of $ 1,407

— — — ( 5,621 ) ( 5,621 ) — ( 5,621 )

Change in cash flow hedges, net of deferred taxes of $( 7,573 )

— — — ( 21,825 ) ( 21,825 ) — ( 21,825 )

Dividends — — ( 73,638 ) — ( 73,638 ) — ( 73,638 )

Redeemable Noncontrolling interests redemption value adjustment — — ( 99,358 ) — ( 99,358 ) — ( 99,358 )

Repurchase of redeemable noncontrolling interests — — 1,560 — 1,560 — 1,560

Noncontrolling interests - distributions and other — — — — — ( 17,342 ) ( 17,342 )

Stock based compensation — 54,170 — — 54,170 — 54,170

Issuances of equity securities including shares withheld for taxes 779 6,742 ( 5,496 ) — 2,025 — 2,025

Repurchases of equity securities ( 2,502 ) ( 54,487 ) ( 289,393 ) — ( 346,382 ) — ( 346,382 )

Balances at June 28, 2024 $ 124,254 $ 2,741,750 $ 4,557,204 $ ( 806,415 ) $ 6,616,793 $ 59,637 $ 6,676,430

Balances at September 27, 2024 $ 124,084 $ 2,758,064 $ 2,366,769 $ ( 699,450 ) $ 4,549,467 $ 17,836 $ 4,567,303

Net earnings — — 167,086 — 167,086 ( 1,209 ) 165,877

Foreign currency translation adjustments, net of deferred taxes of $ —

— — — 25,517 25,517 — 25,517

Pension liability, net of deferred taxes of $ 2,594

Pension plan liability, net of deferred taxes of $ 946

— — — 411 411 — 411

2 unchanged sentences

Dividends — — ( 38,009 ) — ( 38,009 ) — ( 38,009 )

Dividend in kind — — ( 159,266 ) — ( 159,266 ) — ( 159,266 )

Redeemable Noncontrolling interests redemption value adjustment — — ( 65,590 ) — ( 65,590 ) — ( 65,590 )

1 unchanged sentence

Noncontrolling interests - distributions and other — — — — — ( 5,207 ) ( 5,207 )

Distribution adjustments relating to SpinCo Business — — ( 24,600 ) — ( 24,600 ) — ( 24,600 )

Stock based compensation — 17,287 — — 17,287 — 17,287

1 unchanged sentence

Repurchases of equity securities ( 1,774 ) ( 40,332 ) ( 209,976 ) — ( 252,082 ) — ( 252,082 )

Balances at June 27, 2025 $ 119,705 $ 2,699,770 $ 1,660,186 $ ( 657,640 ) $ 3,822,021 $ 9,229 $ 3,831,250

Balances at December 26, 2025 $ 117,587 $ 2,678,370 $ 1,334,005 $ ( 686,062 ) $ 3,443,900 $ 4,331 $ 3,448,231

See the accompanying Notes to Consolidated Financial Statements – Unaudited.

2 unchanged sentences

CONSOLIDATED STATEMENTS OF CASH FLOWS

For the Nine Months Ended June 27, 2025 and June 28, 2024

For the Three Months Ended December 26, 2025 and December 27, 2024

(In thousands)

For the Nine Months Ended

June 27, 2025 June 28, 2024

For the Three Months Ended

December 26, 2025 December 27, 2024

Cash Flows from Operating Activities:

Net earnings of the Group $ 184,416 $ 513,886

Adjustments to reconcile net earnings to net cash flows provided by operations:

Net Earnings (Loss) of the Group $ 133,668 $ ( 5,003 )

Adjustments to reconcile net earnings (loss) to net cash flows provided by operations:

Depreciation and amortization:

1 unchanged sentence

Intangible assets 37,996 38,661

Loss on extinguishment of debt 20,510 —

Loss on investment in equity securities — 145,215

1 unchanged sentence

Equity in earnings of operating ventures, net of return on capital distributions ( 3,245 ) ( 2,236 )

(Gain) loss on disposals of assets, net ( 777 ) 1,033

Loss (gain) on disposals of assets, net 267 ( 622 )

Deferred income taxes 6,156 20,253

8 unchanged sentences

Net cash provided by operating activities

380,760 107,456

Cash Flows from Investing Activities:

2 unchanged sentences

Capital contributions to equity investees, net of return of capital distributions 334 932

Acquisitions of businesses, net of cash acquired — ( 14,000 )

Net cash used for investing activities

( 15,487 ) ( 7,920 )

Cash Flows from Financing Activities:

1 unchanged sentence

Repayments of long-term borrowings ( 474,000 ) ( 221,000 )

Proceeds from short-term borrowings — 1,106

Repayments of short-term borrowings — ( 5,345 )

Debt issuance costs ( 92 ) ( 1,606 )

Proceeds from issuances of common stock 7,741 7,984

4 unchanged sentences

Repurchase of redeemable noncontrolling interests ( 403 ) ( 3,729 )

Proceeds from issuances of redeemable noncontrolling interests — 19,761

Cash Impact from Distribution of SpinCo Business

Net cash used for financing activities

Net cash (used for) provided by financing activities

( 59,849 ) 112,154

3 unchanged sentences

Cash and Cash Equivalents, including Restricted Cash, at the End of the Period $ 1,553,904 $ 1,300,441

Less Cash and Cash Equivalents included in Assets held for spin $ — $ ( 195,915 )

Cash and Cash Equivalents, including Restricted Cash of Continuing Operations at the End of the Period $ 1,295,980 $ 1,016,365

See the accompanying Notes to Consolidated Financial Statements – Unaudited.

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Readers of this Quarterly Report on Form 10-Q should also read our consolidated financial statements and the notes thereto included in our Annual Report on Form 10-K for the fiscal year ended September 26, 2025 (“2025 Form 10-K”).

In the opinion of management, the accompanying unaudited consolidated financial statements contain all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of our consolidated financial statements as of June 27, 2025, and for the three and nine months ended June 27, 2025.

In the opinion of management, the accompanying unaudited consolidated financial statements contain all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of our consolidated financial statements as of December 26, 2025, and for the three months ended December 26, 2025.

Our interim results of operations are not necessarily indicative of the results to be expected for the full fiscal year.

6 unchanged sentences

See Note 14- Discontinued Operations for more information.

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

Use of Estimates and Assumptions

3 unchanged sentences

and certain amounts disclosed in these Notes to the Consolidated Financial Statements.

Although such estimates and assumptions are based on management’s most recent assessment of the underlying facts and circumstances utilizing the most current information available and past experience, actual results

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

could differ significantly from those estimates and assumptions.

Our estimates, judgments and assumptions are evaluated periodically and adjusted accordingly.

14 unchanged sentences

See Note 12- Borrowings for a discussion of the fair value of long-term debt.

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

New Accounting Pronouncements

ASU 2025-12, Accounting Standards Codification ("Codification") Improvements, represents changes to the Codification that clarify, correct errors or make minor improvements to U.S.

The amendments in this update are effective for annual reporting periods beginning after December 15, 2026, and interim periods within those annual reporting periods, with early adoption permitted.

ASU 2025-12 will be effective for the Company in first quarter of fiscal 2028.

The Company is evaluating the impact of this guidance on its consolidated financial statements and related disclosures.

ASU 2025-11, Interim Reporting (Topic 270):

Narrow-Scope Improvements, clarifies the applicability of Topic 270, the types of interim reporting, and the form and content of interim financial statements in accordance with U.S.

GAAP, as well as includes a disclosure principle that requires entities to disclose events since the end of the last annual reporting period that have a material impact on the entity.

The amendments in this update are effective for interim reporting periods within annual reporting periods beginning after December 15, 2027, with early adoption permitted.

ASU 2025-11 will be effective for the Company in first quarter of fiscal 2029.

The Company is evaluating the impact of this guidance on its consolidated financial statements and related disclosures.

ASU 2025-09, Derivatives and Hedging, (Topic 815):

Hedge Accounting Improvements, clarifies certain aspects of the guidance on hedge accounting to address several incremental hedge accounting issues arising from the global reference rate reform initiative.

The amendments in this update are effective for annual reporting periods beginning after December 15, 2026, and interim periods within those annual reporting periods, with early adoption permitted.

ASU 2025-09 will be effective for the Company in first quarter of fiscal 2028.

The Company is evaluating the impact of this guidance on its consolidated financial statements and related disclosures.

ASU 2025-05, Financial Instruments—Credit Losses, (Topic 326):

Measurement of Credit Losses for Accounts Receivable and Contract Assets , provides all entities with a practical expedient option when estimating expected credit losses for current accounts receivable and current contract assets arising from transactions accounted for under Topic 606.

The amendments in this update are effective for annual reporting periods beginning after December 15, 2025, including interim periods within those annual periods, with early adoption permitted.

ASU 2025-05 will be effective for the Company in first quarter of fiscal 2027.

The Company is evaluating the impact of this guidance on its consolidated financial statements and related disclosures.

ASU 2025-03, Business Combinations, (Topic 805) and Consolidation (Topic 810):

20 unchanged sentences

however, retrospective application is also permitted.

ASU 2023-09 will be effective for the Company in the first quarter of fiscal 2026.

The Company is evaluating the impact of this guidance on its consolidated financial statements and related disclosures.

ASU 2023-07, Segment Reporting, (Topic 280):

Improvements to Reportable Segment Disclosures , requires disclosure of significant segment expenses that are regularly provided to the chief operating decision maker (“CODM”) and included within each reported measure of segment profit or loss, an amount and description of its composition for other segment items to reconcile to segment profit or loss, and the title and position of the entity’s CODM.

The amendments in this update also expand the interim segment disclosure requirements.

ASU 2023-07 is effective for annual periods beginning after December 15, 2023 and interim periods within fiscal years beginning after December 15, 2024.

Early adoption is permitted and the amendments in this update are required to be applied on a retrospective basis.

ASU 2023-07 will be effective for the Company's annual fiscal 2025 period.

ASU 2023-09 will be effective for the Company in the fourth quarter of fiscal 2026 .

The Company is evaluating the impact of this guidance on its consolidated financial statements and related disclosures.

1 unchanged sentence

Amendments - Codification Amendments in Response to the Disclosure Update and Simplification Initiative of the Securities and Exchange Commission ("SEC") .

The Financial Accounting Standards Board issued the standard to introduce changes to US GAAP that originate in either SEC Regulation S-X or S-K, which are rules about the form and content of financial reports filed with the SEC.

The Financial Accounting Standards Board issued the standard to introduce changes to U.S.

GAAP that originate in either SEC Regulation S-X or S-K, which are rules about the form and content of financial reports filed with the SEC.

The provisions of the standard are contingent upon instances where the SEC removes the related disclosure provisions from Regulation S-X and S-K.

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We provide our services through offices and subsidiaries located primarily in North America, Europe, the Middle East, India, Australia, Africa, and Asia.

We provide our services under cost-reimbursable and fixed-price contracts.

We provide our services under cost-reimbursable (including limited amounts of guaranteed maximum price) and fixed-price contracts.

Our contracts are with many different customers in numerous industries.

Refer to Note 18- Segment Information for additional information on how we disaggregate our revenues by reportable segment.

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

The following table further disaggregates our revenue by geographic area for the three and nine months ended June 27, 2025 and June 28, 2024 (in thousands):

Three Months Ended Nine Months Ended

June 27, 2025 June 28, 2024 June 27, 2025 June 28, 2024

The following table further disaggregates our revenue by geographic area for the three months ended December 26, 2025 and December 27, 2024 (in thousands):

Three Months Ended

December 26, 2025 December 27, 2024

United States $ 2,059,773 $ 1,812,830

8 unchanged sentences

Contract liabilities represent amounts billed to clients in excess of revenue recognized to date.

Revenue recognized for the three and nine months ended June 27, 2025 that was previously included in the contract liability balance on September 27, 2024 was $ 97.0 million and $ 680.0 million, respectively.

Revenue recognized for the three and nine months ended June 28, 2024 that was included in the contract liability balance on September 29, 2023 was $ 49.6 million and $ 487.0 million, respectively.

Revenue recognized for the three months ended December 26, 2025 that was previously included in the contract liability balance on September 26, 2025 was $ 448.8 million.

Revenue recognized for the three months ended December 27, 2024 that was included in the contract liability balance on September 27, 2024 was $ 410.7 million.

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

Remaining Performance Obligations

The Company’s remaining performance obligations as of June 27, 2025 represent a measure of the total dollar value of work to be performed on contracts awarded and in progress.

The Company had approximately $ 15.2 billion in remaining performance obligations as of June 27, 2025.

The Company’s remaining performance obligations as of December 26, 2025 represent a measure of the total dollar value of work to be performed on contracts awarded and in progress.

The Company had approximately $ 18.5 billion in remaining performance obligations as of December 26, 2025.

The Company expects to recognize approximately 46 % of its remaining performance obligations into revenue within the next twelve months and the remaining 54 % thereafter.

6 unchanged sentences

Participating securities and common shares have equal rights to undistributed earnings.

Net earnings used for the purpose of determining basic and diluted EPS is determined by taking net earnings, less earnings available to participating securities and the preferred redeemable noncontrolling interests redemption value adjustment associated with the PA Consulting transaction.

The following table reconciles the denominator used to compute basic EPS to the denominator used to compute diluted EPS for the three and nine months ended June 27, 2025 and June 28, 2024 (in thousands):

Net earnings used for the purpose of determining basic and diluted EPS is determined by taking net earnings, less earnings available to participating securities and the redeemable noncontrolling interests redemption value adjustment associated with the PA Consulting transaction.

JACOBS SOLUTIONS INC.

1 unchanged sentence

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

Three Months Ended Nine Months Ended

June 27, 2025 June 28, 2024 June 27, 2025 June 28, 2024

The following table reconciles the numerator and denominator used to compute basic EPS to the numerator and denominator used to compute diluted EPS for the three months ended December 26, 2025 and December 27, 2024 (in thousands):

Three Months Ended

December 26, 2025 December 27, 2024

Numerator for Basic and Diluted EPS:

Net earnings attributable to Jacobs from continuing operations $ 181,234 $ 82,924 $ 175,266 $ 303,505

Net Earnings (Loss) Attributable to Jacobs from Continuing Operations $ 124,954 $ ( 17,129 )

Redeemable Noncontrolling interests redemption value adjustment (See Note 15 - PA Consulting Redeemable Noncontrolling Interests )

6,605 ( 20 ) 12,417 1,746

Net earnings from continuing operations allocated to common stock for EPS calculation $ 187,839 $ 82,904 $ 187,683 $ 305,251

Net (loss) earnings from discontinued operations allocated to common stock for EPS calculation $ ( 1,629 ) $ 64,010 $ ( 8,180 ) $ 177,152

Net earnings allocated to common stock for EPS calculation $ 186,210 $ 146,914 $ 179,503 $ 482,403

Net earnings (loss) from continuing operations allocated to common stock for EPS calculation $ 132,642 $ ( 12,561 )

Net earnings (loss) from discontinued operations allocated to common stock for EPS calculation $ 554 $ ( 1,001 )

Net earnings (loss) allocated to common stock for EPS calculation $ 133,196 $ ( 13,562 )

Denominator for Basic and Diluted EPS:

4 unchanged sentences

Net Earnings Per Share:

Basic Net Earnings from Continuing Operations Per Share $ 1.56 $ 0.66 $ 1.54 $ 2.43

Basic Net (Loss) Earnings from Discontinued Operations Per Share $ ( 0.01 ) $ 0.51 $ ( 0.07 ) $ 1.41

Basic Net Earnings (Loss) from Continuing Operations Per Share $ 1.12 $ ( 0.10 )

Basic Net Earnings (Loss) from Discontinued Operations Per Share $ — $ ( 0.01 )

Basic Earnings Per Share $ 1.12 $ ( 0.11 )

Diluted Net Earnings from Continuing Operations Per Share $ 1.56 $ 0.66 $ 1.53 $ 2.42

Diluted Net (Loss) Earnings from Discontinued Operations Per Share $ ( 0.01 ) $ 0.51 $ ( 0.07 ) $ 1.40

Diluted Earnings Per Share $ 1.55 $ 1.17 $ 1.46 $ 3.82

Diluted Net Earnings (Loss) from Continuing Operations Per Share $ 1.11 $ ( 0.10 )

Diluted Net Earnings (Loss) from Discontinued Operations Per Share $ — $ ( 0.01 )

Diluted Earnings (Loss) Per Share $ 1.12 $ ( 0.11 )

Per share amounts may not add due to rounding.

Share Repurchases

On January 16, 2020, the Company's Board of Directors authorized a share repurchase program of up to $ 1.0 billion of the Company's common stock (the "2020 Repurchase Authorization").

The 2020 Repurchase Authorization expired on January 15, 2023.

On January 25, 2023, the Company's Board of Directors authorized an incremental share repurchase program of up to $ 1.0 billion of the Company's common stock, to expire on January 25, 2026 (the "2023 Repurchase Authorization").

During the second fiscal quarter of 2025, the Company repurchased the remaining amount of common stock authorized under the 2023 Repurchase Authorization.

On January 30, 2025, the Company's Board of Directors authorized an incremental share repurchase program of up to $ 1.5 billion of the Company's common stock, to expire on January 30, 2028 (the "2025 Repurchase Authorization").

At June 27, 2025, the Company had $ 1.3 billion remaining under the 2025 Repurchase Authorization.

The following table summarizes repurchase ac tivity for fiscal 2025 un der the 2023 Repurchase Authorization through the third fiscal quarter of 2025:

(1) For the three months ended December 27, 2024, because Net Earnings (Loss) Attributable to Jacobs from Continuing Operations was a loss, the effect of antidilutive securities of 576 was excluded from the denominator in calculating diluted EPS.

JACOBS SOLUTIONS INC.

1 unchanged sentence

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

Amount Authorized

(2023 Repurchase Authorization) Average Price Per Share (1) Total Shares Repurchased and Retired

$ 1,000,000,000 $ 133.51 3,570,275

(1) Includes commissions paid and excise tax due under the Inflation Reduction Act of 2022 and calculated at the average price per share.

The following table summarizes repurchase ac tivity for fiscal 2025 u nder the 2025 Repurchase Authorization through the third fiscal quarter of 2025:

Share Repurchases

On January 25, 2023, the Company's Board of Directors authorized a share repurchase program of up to $ 1.0 billion of the Company's common stock, which expired on January 25, 2026 (the "2023 Repurchase Authorization").

By the end of the second fiscal quarter of 2025, the Company had repurchased the full amount of common stock authorized under the 2023 Repurchase Authorization.

At December 26, 2025, the Company had $ 966.2 million remaining under the 2025 Repurchase Authorization.

The following table summarizes repurchase ac tivity for fiscal 2026 u nder the 2025 Repurchase Authorization for the three months ended December 26, 2025 :

Amount Authorized

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Cash Dividends

On July 31, 2025, the Company’s Board of Directors declared a quarterly dividend of $ 0.32 per share of the Company’s common stock to be paid on September 19, 2025, to shareholders of record on the close of business on August 22, 2025.

On January 29, 2026, the Company’s Board of Directors declared a quarterly dividend of $ 0.36 per share of the Company’s common stock to be paid on March 20, 2026, to shareholders of record on the close of business on February 20, 2026.

Future dividend declarations are subject to review and approval by the Company’s Board of Directors.

Dividends paid through the third fiscal quarter of 2025 and the preceding fiscal year are as follows:

Dividends paid through the first fiscal quarter of 2026 and the preceding fiscal year are as follows:

Declaration Date Record Date Payment Date Cash Amount (per share)

November 18, 2025 December 2, 2025 December 19, 2025 $ 0.32

July 31, 2025 August 22, 2025 September 19, 2025 $ 0.32

April 30, 2025 May 23, 2025 June 20, 2025 $ 0.32

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September 26, 2024 October 25, 2024 November 22, 2024 $ 0.29

July 11, 2024 July 26, 2024 August 23, 2024 $ 0.29

May 2, 2024 May 24, 2024 June 21, 2024 $ 0.29

January 25, 2024 February 23, 2024 March 22, 2024 $ 0.29

September 28, 2023 October 27, 2023 November 9, 2023 $ 0.26

JACOBS SOLUTIONS INC.

2 unchanged sentences

Goodwill and Intangibles

The carrying value of goodwill appearing in the accompanying Consolidated Balance Sheets at June 27, 2025 and September 27, 2024 was as follows (in thousands):

The carrying value of goodwill appearing in the accompanying Consolidated Balance Sheets at December 26, 2025 and September 26, 2025 was as follows (in thousands):

Infrastructure & Advanced Facilities PA Consulting Total

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Foreign currency translation adjustments and other 2,249 10,570 12,819

Balance June 27, 2025 $ 3,358,059 $ 1,462,114 $ 4,820,173

The following table provides certain information related to the Company’s acquired intangibles in the accompanying Consolidated Balance Sheets at June 27, 2025 and September 27, 2024 (in thousands):

Balance December 26, 2025 $ 3,353,739 $ 1,439,898 $ 4,793,637

The following table provides certain information related to the Company’s acquired intangibles in the accompanying Consolidated Balance Sheets at December 26, 2025 and September 26, 2025 (in thousands):

Customer Relationships, Contracts and Backlog Developed Technology Trade Names Total

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Foreign currency translation adjustments and other 2,766 1 1,207 3,974

Balance June 27, 2025 $ 563,993 $ 22,536 $ 184,612 $ 771,141

Balance December 26, 2025 $ 492,772 $ 16,527 $ 174,349 $ 683,648

The following table presents estimated amortization expense of intangible assets for the remainder of fiscal 2026 and for the succeeding years.

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Receivables and Contract Assets

The following table presents the components of receivables and contract assets appearing in the accompanying Consolidated Balance Sheets at June 27, 2025 and September 27, 2024, as well as certain other related information (in thousands):

June 27, 2025 September 27, 2024

The following table presents the components of receivables and contract assets appearing in the accompanying Consolidated Balance Sheets at December 26, 2025 and September 26, 2025, as well as certain other related information (in thousands):

December 26, 2025 September 26, 2025

Components of receivables and contract assets:

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Accumulated Other Comprehensive Income (Loss)

The following table presents the Company's roll forward of accumulated other comprehensive loss after-tax as of June 27, 2025 (in thousands):

The following table presents the Company's roll forward of accumulated other comprehensive loss after-tax as of December 26, 2025 (in thousands):

Change in Net Pension Obligation Foreign Currency Translation Adjustments

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$ ( 372,910 ) $ ( 373,969 ) $ 36,469 $ ( 710,410 )

Other comprehensive (loss) income ( 811 ) 45,279 3,274 47,742

Other comprehensive income 643 25,517 235 26,395

Reclassifications from accumulated other comprehensive loss ( 232 ) — ( 1,815 ) ( 2,047 )

Balance at June 27, 2025

Balance at December 26, 2025

$ ( 372,499 ) $ ( 348,452 ) $ 34,889 $ ( 686,062 )

( 1) Included in foreign currency translation adjustments were $( 1.0 ) million and $( 9.8 ) million in unrealized losses on long-term foreign currency denominated intercompany loans not anticipated to be settled in the foreseeable future for the nine months ended June 27, 2025 and June 28, 2024.

(2) Included in the Company’s cumulative net unrealized gains from interest rate and cross currency swaps recorded in accumulated other comprehensive loss as of June 27, 2025 were approximately $ 6.3 million in unrealized gains, net of taxes, which are expected to be realized in earnings during the twelve months subsequent to June 27, 2025.

( 1) Included in the Company’s cumulative net unrealized gains from interest rate and cross currency swaps recorded in accumulated other comprehensive loss as of December 26, 2025 were approximately $ 6.2 million in unrealized gains, net of taxes, which are expected to be realized in earnings during the twelve months subsequent to December 26, 2025.

JACOBS SOLUTIONS INC.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

The Company’s effective tax rates from continuing operations for the three months ended June 27, 2025 and June 28, 2024 were 21.9 % and 33.2 %, respectively.

The Company’s effective tax rates from continuing operations for the three months ended December 26, 2025 and December 27, 2024 were 35.5 % and 107.5 %, respectively.

Significant items contributing to differences between the statutory U.S.

federal corporate tax rate of 21.0% and the Company's effective tax rate for the three-month period ended June 27, 2025 were U.S.

state income tax expense and U.S.

tax on foreign earnings.

These expense items were offset by a return-to-provision income tax benefit, mainly attributable to additional research and development credits claimed on the U.S.

federal tax return.

The U.S state income tax and U.S.

tax on foreign earnings are expected to have a continuing impact on the Company's effective tax rate for the remainder of the fiscal year.

The most significant items contributing to the difference between the statutory U.S.

federal corporate tax rate of 21.0% and the Company's effective tax rate of 33.2 % for the three-month period ended June 28, 2024 were related to U.S.

state income tax expense, U.S.

tax on foreign earnings and income tax expense related to foreign exchange gains associated with change in assertion on intercompany loans that were previously indefinitely reinvested.

These expense items were partly offset by a return-to-provision income tax benefit, mainly attributable to additional research and development credits claimed on the U.S.

federal tax return.

The Company’s effective tax rates from continuing operations for the nine months ended June 27, 2025 and June 28, 2024 were 45.6 % and 14.9 %, respectively.

federal corporate tax rate of 21.0% and the Company's effective tax rate for the three-month period ended December 26, 2025 were $ 16.6 million of unfavorable tax impacts related to non-deductible incentive compensation associated with the Company's PA Consulting investment, as well as U.S.

state income tax expense of $ 5.8 million and U.S.

tax on foreign earnings of $ 4.6 million.

These expense items are expected to have a continuing impact on the Company's effective tax rate for the remainder of the fiscal year.

The most significant items contributing to the difference between the statutory U.S.

federal corporate tax rate of 21.0% and the Company's effective tax rate for the nine-month period ended June 27, 2025 were related to $ 63.1 million in unfavorable tax impacts associated with the non-deductibility of losses from the Company's investment in Amentum stock, as well as U.S.

state income tax expense and U.S.

tax on foreign earnings.

These expense items were partly offset by a return-to-provision income tax benefit mainly attributable to additional research and development credits claimed on the U.S.

federal tax return.

The U.S state income tax and U.S.

tax on foreign earnings are expected to have a continuing impact on the Company's effective tax rate for the remainder of the fiscal year.

The most significant item contributing to the difference between the statutory U.S.

federal corporate tax rate of 21.0% and the Company's effective tax rate of 14.9 % for the nine-month period ended June 28, 2024 were related to the election to treat an Australian subsidiary as a corporation versus a partnership for U.S.

tax purposes, which resulted in the derecognition of a deferred tax liability and yielded a discrete income tax benefit of $ 61.6 million as the Company asserted that a component of the investment will be indefinitely reinvested.

This benefit was partly offset by U.S.

state income tax expense, U.S.

tax on foreign earnings and income tax related to foreign exchange gains associated with change in assertion on intercompany loans that were previously indefinitely reinvested.

federal corporate tax rate of 21.0% and the Company's effective tax rate of 107.5 % for the three-month period ended December 27, 2024 were $ 37.0 million in unfavorable tax impacts associated with the non-deductibility of losses from the Company's investment in Amentum stock as well as U.S.

state income tax expense of $ 5.4 million and U.S.

tax on foreign earnings of $ 4.9 million.

On July 4, 2025, H.R.

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The OBBBA has multiple effective dates, with certain provisions effective in 2025 and others implemented through 2027.

The Company is currently assessing its impact on the consolidated financial statements which will be recorded during the fourth quarter of fiscal 2025.

In December 2021, the Organization for Economic Cooperation and Development ("OECD") released the Pillar Two Model Rules (also referred to as the global minimum tax or Global Anti-Base Erosion "GloBE" rules), which were designed to ensure large multinational enterprises pay a minimum 15 percent level of tax on the income arising in each jurisdiction in which they operate.

Several jurisdictions in which we operate have enacted these rules, which were effective for the first quarter of the fiscal year ending September 26, 2025.

The Company is continually monitoring developments and evaluating the potential impacts.

At this time, implementation of these rules has not generated a material impact on consolidated income taxes.

The Company is currently assessing its impact on the consolidated financial statements for the provisions that will be effective in future periods.

The amount of income taxes the Company pays is subject to ongoing audits by tax jurisdictions around the world.

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However, future results may include favorable or unfavorable adjustments to our estimated tax liabilities in the period the assessments are made or resolved, which may impact our effective tax rate.

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

Joint Ventures, VIEs and Other Investments

For the Company's consolidated variable interest entities ("VIE") joint ventures, the carrying value of assets and liabilities was $ 157.2 million and $ 132.9 million, respectively, as of June 27, 2025 and $ 161.9 million and $ 122.7 million, respectively, as of September 27, 2024.

For the Company's consolidated variable interest entities ("VIE") joint ventures, the carrying value of assets and liabilities was $ 155.9 million and $ 140.9 million, respectively, as of December 26, 2025 and $ 163.4 million and $ 144.7 million, respectively, as of September 26, 2025.

There are no consolidated VIEs that have debt or credit facilities.

For the Company's proportionate consolidated VIEs, the carrying value of assets and liabilities was $ 141.0 million and $ 129.0 million, respectively, as of June 27, 2025, and $ 138.8 million and $ 138.0 million, respectively, as of September 27, 2024.

For the Company's proportionate consolidated VIEs, the carrying value of assets and liabilities was $ 146.7 million and $ 138.6 million, respectively, as of December 26, 2025, and $ 143.9 million and $ 131.9 million, respectively, as of September 26, 2025.

The carrying values of our investments in equity method joint ventures in the Consolidated Balance Sheets (reported in Other Noncurrent Assets:

Miscellaneous) as of June 27, 2025 and September 27, 2024 were $ 36.4 million and $ 36.6 million, respectively.

Additionally, income from equity method joint ventures (reported in Revenue) was $ 2.6 million and $ 2.1 million, respectively, during the three months ended June 27, 2025 and June 28, 2024, with $ 6.1 million and $ 8.6 million, respectively, for the corresponding nine-month periods.

As of June 27, 2025, the Company's equity method investment carrying values do not include material amounts exceeding their share of the respective joint ventures' reported net assets.

Accounts receivable from unconsolidated joint ventures accounted for under the equity method was $ 14.7 million and $ 12.3 million as of June 27, 2025 and September 27, 2024, respectively.

At June 27, 2025 and September 27, 2024, long-term debt consisted of the following (principal amounts in thousands):

Interest Rate Maturity June 27, 2025 September 27, 2024

Miscellaneous) as of December 26, 2025 and September 26, 2025 were $ 39.3 million and $ 36.3 million, respectively.

Additionally, income from equity method joint ventures (reported in Revenue) was $ 4.2 million and $ 3.7 million, respectively, during the three months ended December 26, 2025 and December 27, 2024.

As of December 26, 2025, the Company's equity method investment carrying values do not include material amounts exceeding their share of the respective joint ventures' reported net assets.

Accounts receivable from unconsolidated joint ventures accounted for under the equity method was $ 12.8 million and $ 13.6 million as of December 26, 2025 and September 26, 2025, respectively.

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

At December 26, 2025 and September 26, 2025, long-term debt consisted of the following (principal amounts in thousands):

Interest Rate Maturity December 26, 2025 September 26, 2025

Revolving Credit Facility Benchmark + applicable margin (1) February 2028 $ 640,000 $ 395,000

2025 Term Loan Facility - USD Portion Benchmark + applicable margin (2)

February 2026 — 120,000

2021 Term Loan Facility - GBP Portion Benchmark + applicable margin (2)

September 2025 — 870,415

2025 Term Loan Facility - USD Portion Benchmark + applicable margin (3)

March 2027 200,000 200,000

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August 2028 600,000 600,000

Current Portion (5) — ( 870,415 )

Deferred Financing Fees ( 8,298 ) ( 8,805 )

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The interest rate under the Revolving Credit Agreement also incorporates a modest sustainability-linked pricing adjustment, which resulted in a favorable interest rate adjustment to the Company in February 2025.

The applicable SOFR rates, including applicable margins, at June 27, 2025 and September 27, 2024 were approximately 5.49 % and 6.64 %.

The applicable SOFR rates, including applicable margins, at December 26, 2025 and September 26, 2025 were approximately 5.04 % and 5.37 %.

Borrowings denominated in British pounds bear interest at an adjusted SONIA rate plus a margin of between 0.908 % and 1.658 %.

There were no amounts drawn in British pounds as of June 27, 2025.

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

dollar denominated borrowings under the 2021 Term Loan Facility bear interest at either a SOFR rate plus a margin of between 0.975 % and 1.725 % or a base rate plus a margin of betwee n 0 % and 0.625 % depending on the Company’s Consolidated Leverage Ratio or Debt Rating (each as defined in the Amended and Restated Term Loan Agreement (defined below)).

The applicable SOFR rate, including applicable margins, for borrowings denominated in U.S.

dollars at September 27, 2024 was approximately 6.52 %.

Borrowings denominated in British pounds bear interest at an adjusted SONIA rate plus a margin of between 0.908 % and 1.658 %, which was approximately 6.23 % at September 27, 2024.

(3) Borrowings under the 2025 Term Loan Facility will bear interest at either a SONIA rate or term SOFR rate plus a margin of between 0.975 % and 1.60 % or a base rate plus a margin of between 0 % and 0.50 % depending on the Company’s Consolidated Leverage Ratio.

The applicable SOFR and SONIA rates, including applicable margins, at June 27, 2025 were approximately 5.43 % for borrowings denominated in U.S.

dollars and 5.22 % f or borrowings denominated in British pounds.

There were no amounts drawn in British pounds as of December 26, 2025.

(2) Borrowings under the 2025 Term Loan Facility bear interest at either a SONIA rate or term SOFR rate plus a margin of between 0.975 % and 1.60 % or a base rate plus a margin of between 0 % and 0.50 % depending on the Company’s Consolidated Leverage Ratio or Debt Rating.

The applicable SOFR and SONIA rates, including applicable margins, at December 26, 2025 and September 26, 2025 were approximately 5.02 % and 5.42 % for borrowings denominated in U.S.

dollars and 4.72 % and 4.97 % for borrowings denominated in British pounds.

(3) The interest rate payable on the 5.90 % Bonds (as defined below) may be increased by an additional 12.5 basis points on each of September 1, 2028 and September 1, 2030, based on whether or not the Company achieves the key performance indicators set forth in the First Supplemental Indenture (as defined below).

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Therefore, we may achieve one, both, or neither.

(5) Balance as of September 27, 2024 is associated with the September 1, 2025 scheduled maturity of the 2021 Term Loan Facility, which was reclassified from long-term debt in September 2024 and subsequently extinguished before March 28, 2025.

We believe the carrying values of the Revolving Credit Facility and the 2025 Term Loan Facility approximates fair value based on the interest rates and scheduled maturities applicable to the outstanding borrowings.

At June 27, 2025, the fair value of the 5.90 % Bonds and the 6.35 % bonds is estimated to be $ 516.3 million and $ 627.3 million , respectively, based on Level 2 inputs.

At December 26, 2025, the fair value of the 5.90 % Bonds and the 6.35 % bonds is estimated to be $ 527.4 million and $ 632.0 million, respectively, based on Level 2 inputs.

The fair value is determined by discounting future cash flows using interest rates available for issuances with similar terms and average maturities.

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dollars, British Sterling, Euros, Canadian dollars, Australian dollars, Swedish Krona, Singapore dollars and other agreed upon alternative currencies.

The Revolving Credit Agreement also provides for a financial letter of credit sub facility of $ 400.0 million, permits performance letters of credit, and provides for a $ 100.0 million sub facility for swing line loans.

Letters of credit are subject to fees based on the Company’s Consolidated Leverage Ratio and Debt Rating, whichever is more favorable to the Company.

The Revolving Credit Agreement also provides for a letter of credit sub facility of $ 400.0 million, and provides for a $ 100.0 million sub facility for swing line loans.

Letters of credit are subject to fees based on the Company’s Consolidated Leverage Ratio or Debt Rating, whichever is more favorable to the Company.

The maturity date of the Revolving Credit Facility is February 6, 2028.

The Company is a guarantor of the obligations of JEGI and its subsidiaries under the Revolving Credit Agreement.

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

The Company and JEGI maintained an unsecured delayed draft term loan facility (the “2021 Term Loan Facility”) established under an amended and restated term loan agreement dated February 6, 2023 (the "Amended and Restated Term Loan Agreement"), by and among the Company and JEGI and a syndicate of banks and financial institutions.

JEGI borrowed $ 200.0 million and £ 650.0 million of term loans under the 2021 Term Loan Facility (reflecting scheduled maturities in February 2026 and September 2025, respectively) and the proceeds of such term loans were used primarily to fund JEGI's investment in PA Consulting.

On March 13, 2025, the Company exchanged approximately 19.5 million shares of our investment in Amentum Holdings, Inc.

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The proceeds from the 2025 Term Loan Facility were used to repay the remaining outstanding 2021 Term Loan Facility principal equal to $ 120.0 million and £ 410.2 million, or $ 531.6 million, with the remaining proceeds used for general corporate purposes.

We were in compliance with the covenants under the Revolving Credit Facility and 2025 Term Loan Facility at June 27, 2025.

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

We were in compliance with the covenants under the Revolving Credit Facility and 2025 Term Loan Facility at December 26, 2025.

5.90 % Bonds, due 2033

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The 6.35 % Bonds bear interest at 6.35 % per annum.

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

Prior to July 18, 2028 (the “ 6.35 % Bonds Par Call Date”), JEGI may redeem the 6.35 % Bonds at its option, in whole or in part, at any time and from time to time, at the redemption price calculated by JEGI (expressed as a percentage of principal amount and rounded to three decimal places) equal to the greater of:

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Other arrangements

During fiscal 2020, the Company entered into interest rate and cross currency derivative contracts to swap a portion of our variable rate debt to fixed rate debt.

The Company holds an interest rate derivative contract to swap a portion of our variable rate debt to fixed rate debt.

See Note 17- Commitments and Contingencies and Derivative Financial Instruments for discussion regarding the Company's derivative instruments.

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

The Company issued $ 0.3 million in letters of credit under the Revolving Credit Facility, leaving $ 1.59 billion of available borrowing capacity under the Revolving Credit Facility at June 27, 2025.

In addition, the Company had issued $ 229.5 million under various separate, committed and uncommitted letter-of-credit facilities for total issued letters of credit of $ 229.8 million at June 27, 2025.

The components of lease expense (reflected in selling, general and administrative expenses ("SG&A")) for th e three and nine months ended June 27, 2025 and June 28, 2024 were as follows (in thousands):

Three Months Ended Nine Months Ended

June 27, 2025 June 28, 2024 June 27, 2025 June 28, 2024

Lease expense

Operating lease expense $ 27,328 $ 26,914 $ 82,389 $ 84,362

Variable lease expense 7,827 8,090 23,596 25,379

Sublease income ( 4,233 ) ( 4,831 ) ( 14,885 ) ( 14,257 )

Total lease expense $ 30,922 $ 30,173 $ 91,100 $ 95,484

Supplemental information related to the Company's leases for the nine months ended June 27, 2025 and June 28, 2024 was as follows (in thousands):

Nine Months Ended

June 27, 2025 June 28, 2024

Cash paid for amounts included in the measurements of lease liabilities $ 111,809 $ 113,916

Right-of-use assets obtained in exchange for new operating lease liabilities $ 62,954 $ 30,871

Weighted average remaining lease term - operating leases 5.7 years 5.7 years

Weighted average discount rate - operating leases 3.9 % 3.6 %

Total remaining lease payments under the Company's leases for the remainder of fiscal 2025 and for the succeeding years are as follows (in thousands):

Fiscal Year Operating Leases

2025 $ 35,544

Thereafter 133,327

Less Interest ( 55,291 )

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

The Company issued $ 0.3 million in letters of credit under the Revolving Credit Facility, leaving $ 1.61 billion of available borrowing capacity under the Revolving Credit Facility at December 26, 2025.

In addition, the Company had issued $ 249.8 million under various separate, committed and uncommitted letter-of-credit facilities for total issued letters of credit of $ 250.1 million at December 26, 2025.

Pension and Other Postretirement Benefit Plans

The following table presents the components of net periodic pension benefit expense recognized in earnings during the three and nine months ended June 27, 2025 and June 28, 2024 (in thousands):

Three Months Ended Nine Months Ended

June 27, 2025 June 28, 2024 June 27, 2025 June 28, 2024

The following table presents the components of net periodic pension benefit expense recognized in earnings during the three months ended December 26, 2025 and December 27, 2024 (in thousands):

Three Months Ended

December 26, 2025 December 27, 2024

Service cost $ 2,838 $ 2,499

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The following table presents certain information regarding the Company’s cash contributions to our pension plans for fiscal 2026 (in thousands):

Cash contributions made during the first nine months of fiscal 2025

Cash contributions made during the first three months of fiscal 2026

Cash contributions projected for the remainder of fiscal 2026

Total $ 13,850

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

Discontinued Operations

Separation of Critical Mission Solutions (“CMS”) and Cyber & Intelligence (“C&I”) Businesses

On September 27, 2024, Jacobs completed the previously announced Reverse Morris Trust transaction pursuant to which (i) Jacobs first transferred its CMS and portions of its DVS business to Amazon Holdco Inc., a Delaware corporation ("SpinCo"), which has since been renamed Amentum Holdings, Inc., (ii) Jacobs then effectuated a spin-off of SpinCo by distributing 124,084,108 shares of SpinCo Common Stock, by way of a pro rata distribution to its shareholders such that each holder of shares of Jacobs Common Stock was entitled to receive one share of SpinCo Common Stock for each share of Jacobs common stock held as of the record date, September 23, 2024 (the "Distribution"), and (iii) finally, Amentum Parent Holdings LLC merged with and into SpinCo, with SpinCo surviving the merger (the "Merger").

On September 27, 2024, Jacobs completed the previously announced Reverse Morris Trust transaction pursuant to which (i) Jacobs first transferred its CMS and portions of its DVS business to Amazon Holdco Inc., a Delaware corporation (SpinCo), which has since been renamed Amentum Holdings, Inc., (ii) Jacobs then effectuated a spin-off of SpinCo by distributing 124,084,108 shares of SpinCo Common Stock, by way of a pro rata distribution to its shareholders such that each holder of shares of Jacobs Common Stock was entitled to receive one share of SpinCo Common Stock for each share of Jacobs common stock held as of the record date, September 23, 2024 (the "Distribution"), and (iii) finally, Amentum Parent Holdings LLC merged with and into SpinCo, with SpinCo surviving the merger.

Amentum Holdings, Inc., as the surviving entity of the Separation Transaction is now an independent public company with common stock listed on the New York Stock Exchange under the symbol “AMTM” (“Amentum”).

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Subsequent to the closing and upon final determination in March 2025, the parties determined that the Company was entitled to $ 70.0 million in final settlement of the post-closing working capital adjustment, resulting in a $ 24.0 million reduction from preliminary recorded receivable amounts, which was charged to Retained Earnings in the Company's Consolidated Balance Sheet.

The $ 70 million final receivable balance was collected in

The $ 70.0 million final receivable balance was collected in full on April 10, 2025 and immediately utilized to pay down existing amounts owed on Company’s Revolving Credit Facility upon receipt.

JACOBS SOLUTIONS INC.

1 unchanged sentence

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

full on April 10, 2025 and immediately utilized to pay down existing amounts owed on Company’s Revolving Credit Facility upon receipt.

Summarized Financial Information of Discontinued Operations

The following table represents earnings from discontinued operations, net of tax (in thousands):

Three Months Ended Nine Months Ended

June 27, 2025 June 28, 2024 June 27, 2025 June 28, 2024

Three Months Ended

December 26, 2025 December 27, 2024

Revenues $ — $ 64

1 unchanged sentence

Gross (loss) profit

( 3,194 ) 195,838 ( 3,200 ) 574,300

Selling, general and administrative expense (1)

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Income Tax Benefit (Expense)

1,627 ( 22,467 ) 2,102 ( 61,718 )

Net (Loss) Earnings of the Group from Discontinued Operations

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Net Earnings Attributable to Noncontrolling Interests from Discontinued Operations

— ( 3,693 ) — ( 10,080 )

Net (Loss) Earnings Attributable to Jacobs from Discontinued Operations

$ 554 $ ( 1,001 )

(1) Changes year-over-year were primarily driven by prior year operating results of the SpinCo Business, which were divested and therefore are no longer in Company's financial results in fiscal year 2025.

Notable components included in our Consolidated Statements of Cash Flows for these discontinued operations are as follows (in thousands):

Three Months Ended For the Nine Months Ended

June 27, 2025 June 28, 2024 June 27, 2025 June 28, 2024

Depreciation and amortization:

Property, equipment and improvements $ — $ 4,446 $ — $ 12,237

Intangible assets $ — $ 14,217 $ — $ 42,574

Deferred income taxes $ 2,404 $ 3,843 $ 2,404 $ ( 3,694 )

Additions to property and equipment $ — $ ( 4,007 ) $ — $ ( 9,677 )

No assets and liabilities remain held for spin as of the September 27, 2024 balance sheet date.

(1) Selling, general and administrative expenses for the three months ended December 26, 2025 were favorably impacted by $ 0.8 million from an indemnity reserve in respect of an ongoing non-U.S.

tax matter related to an entity that was part of the separated SpinCo Business.

No notable components of net cash flows from discontinued operations were included in our Consolidated Statements of Cash Flows for the three months ended December 26, 2025 and December 27, 2024.

No assets and liabilities remained held for spin as of December 26, 2025 and September 26, 2025 balance sheet dates.

Investment in Amentum Stock

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The entire 29.2 million shares of Amentum, consisting of both the 10.9 million in escrow shares and the remaining 18.3 million shares owned by Jacobs was reflected in the Company’s September 27, 2024 Consolidated Balance Sheet pending final settlement of the escrow shares at a recorded fair value of $ 749.5 million.

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

In February 2025, in connection with the determination of SpinCo’s fiscal year 2024 performance against certain agreed upon milestones and ensuing escrow share settlement proceedings (the “Post-Closing Additional Merger Consideration Adjustment”), the parties agreed that Jacobs was entitled to receive at least an additional 1.2 million shares held in escrow, which were then released to Jacobs.

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The finalization of the shares deemed owed to the former Amentum equity sponsors resulted in approximately $ 21.9 million in charges to Miscellaneous Expense in the Company's Consolidated Statement of Earnings in the second fiscal quarter of 2025.

These shares were subsequently released to the respective parties during the current quarter.

Finally, on April 30, 2025, the Jacobs Board of Directors declared a dividend in kind to distribute the remaining 7.3 million shares of Amentum's stock to Jacobs’ shareholders of record as of May 16, 2025, which were distributed on a pro rata basis on May 30, 2025, resulting in an impact on retained earnings as shown on the Company's Consolidated Statements of Shareholders' Equity for the three and nine months ended June 27, 2025.

These shares were subsequently released to the respective parties during the third fiscal quarter of 2025.

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

Following the distribution, the Company no longer owns any shares of Amentum common stock.

The Company reported $ 27.4 million in net mark-to-market gains and other related transactions and $ 227.3 million in fair value mark-to-market and other related charges associated with the investment in Amentum shares for the three and nine month periods ending June 27, 2025, respectively, which was included in Miscellaneous Income (Expense), net as reported in Other Income (Expense) in the Company’s Consolidated Statement of Earnings.

The Company reported $ 145.2 million in fair value mark-to-market losses and other related charges associated with the investment in Amentum shares for the three months ended December 27, 2024, which were included in Miscellaneous Income (Expense), net as reported in Other Income (Expense) in the Company’s Consolidated Statement of Earnings.

Transition Services Agreement

Upon closing of the Separation Transaction, the Company entered into a Transition Services Agreement (the "TSA") with Amentum pursuant to which the Company, on an interim basis, will provide various services to Amentum including corporate, information technology, and project services.

The initial term of the TSA began immediately following the closing of the transaction on September 27, 2024 and expires in September 2025, unless the parties agree to an extension.

Pursuant to the terms of the TSA, the Company will receive payments for the interim services.

Since inception of the TSA agreement, the Company has recognized costs recorded in SG&A expense incurred to perform the TSA, offset by $ 9.8 million and $ 31.5 million in TSA related income for such services that is reported in miscellaneous income (expense) for the three and nine month periods ended June 27, 2025.

The initial term of the TSA began immediately following the closing of the transaction on September 27, 2024.

As of September 26, 2025, the TSA was substantially exited with certain agreed upon extensions which were completed as of December 26, 2025.

Pursuant to the terms of the TSA, the Company received payments for the interim services.

From inception of the TSA agreement, the Company recognized costs recorded in SG&A expense incurred to perform the TSA, offset by $ 0.1 million and $ 11.4 million in TSA related income for such services that is reported in miscellaneous income (expense) for the three month periods ended December 26, 2025 and December 27, 2024, respectively.

Sale of Energy, Chemicals and Resources ("ECR") Business

On April 26, 2019, Jacobs completed the sale of its Energy, Chemicals and Resources ("ECR") business to Worley Limited, a company incorporated in Australia ("Worley"), for a purchase price of $ 3.4 billion consisting of (i) $ 2.8 billion in cash plus (ii) $ 58.2 million ordinary shares of Worley, subject to adjustments for changes in working capital and certain other items.

For the three and nine month periods ended June 27, 2025, $ 0.5 million was reported in Net Earnings Attributable to Jacobs from Discontinued Operations on the Consolidated Statement of Earnings related to ECR, as compared to $ 0.5 million and $( 0.9 ) million for the corresponding periods last year.

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

For the three month periods ended December 26, 2025 and December 27, 2024, there were no amounts reported in Net Loss Attributable to Jacobs from Discontinued Operations on the Consolidated Statement of Earnings related to ECR.

PA Consulting Redeemable Noncontrolling Interests

In connection with the Company's strategic investment in PA Consulting, the Company recorded redeemable noncontrolling interests, including subsequent purchase accounting adjustments, representing the noncontrolling interest holders' equity interests in the form of preferred and common shares of PA Consulting, with substantially all of the value associated with these interests allocable to the preferred shares.

During the nine months ended June 27, 2025 and June 28, 2024, PA Consulting repurchased certain shares of the redeemable noncontrolling interest holders for cash amounts of $ 8.5 million and $ 41.8 million , respectively.

Additionally, during the nine months ended June 28, 2024, PA Consulting issued certain shares of redeemable noncontrolling interest holders for cash amounts of $ 19.8 million.

PA Consulting is accounted for as a consolidated subsidiary and as a separate operating segment.

During the three months ended December 26, 2025 and December 27, 2024, PA Consulting repurchased certain shares of the redeemable noncontrolling interest holders for $ 0.4 million and $ 3.7 million respectively, in cash.

The difference between the cash purchase prices and the recorded book values of these repurchased and issued interests was recorded in the Company’s consolidated retained earnings.

The Company held approximately 71 % and 70 % of the outstanding ownership of PA Consulting as of June 27, 2025 and September 27, 2024, respectively.

During the nine months ended June 27, 2025, there was a $ 0.10 increase in earnings per share resulting from adjustments to the redeemable noncontrolling interests to reflect the reduction of the excess in the redemption values over fair values of the B common shares component of the redeemable equity.

During the nine months ended June 28, 2024, there was a $ 0.01 increase in earnings per share resulting from redemption value adjustments associated with redeemable noncontrolling interests preference share repurchase and reissuance activities that were recorded.

The Company held approximately 71 % of the outstanding ownership of PA Consulting as of December 26, 2025 and September 26, 2025.

For the three months ended December 26, 2025 and December 27, 2024, there was a $ 0.06 and $ 0.04 adjustment to earnings per share resulting from adjustments to the redeemable noncontrolling interests to reflect the excess of redemption values over fair values of the B common shares component of the redeemable noncontrolling interests.

The redemption value adjustments associated with redeemable noncontrolling interests preference share repurchase and reissuance activities that were recorded had an immaterial impact to earnings per share for the three months ended December 26, 2025 and December 27, 2024.

The changes above had no impact on the Company’s overall results of operations, financial position or cash flows.

See Note 6- Earnings Per Share and Certain Related Information for more information.

Changes in the redeemable noncontrolling interests d uring the nine months ended June 27, 2025 are as follows (in thousands):

Changes in the redeemable noncontrolling interests d uring the three months ended December 26, 2025 are as follows (in thousands):

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

Balance at September 26, 2025 $ 1,018,694

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Cumulative translation adjustments and other

Balance at June 27, 2025 $ 908,352

Balance at December 26, 2025 $ 1,092,980

In addition, certain employees and non-employees of PA Consulting are eligible to receive equity-based incentive grants since the March 2, 2021 original investment date.

Under the terms of the applicable agreements, these grants have reached vested status on a tranche basis of approximately 40 % through June 2025, with the remaining 60 % anticipated to vest and result in associated expense recognition upon a liquidity event, as defined in the applicable agreements, which is expected to take place in 2026.

The Company has accrued cumulative expenses associated with the vested grants in the amounts of $ 50.6 million and $ 28.4 million reported in Other deferred liabilities in our Consolidated Balance Sheets as of June 27, 2025 and September 27, 2024, respectively.

Also, during the nine months ended June 27, 2025 and June 28, 2024, the Company has recorded $ 20.6 million and $ 11.5 million, respectively, in expenses associated with the vesting of these grants, which is reflected in selling, general and administrative expenses in the Consolidated Statements of Earnings.

The Company's investment in PA Consulting includes $ 2.7 million and $ 2.1 million at June 27, 2025 and September 27, 2024, respectively, in cash that is restricted from general use and is reflected in Prepaid expenses and other in the Company's Consolidated Balance Sheets.

Under the terms of the applicable agreements, these grants have reached vested status on a tranche basis of approximately 40 % through July 2025, with the remaining 60 % anticipated to vest and result in associated expense recognition upon a liquidity event, as defined in the applicable agreements, which is expected to take place in 2026.

The Company has accrued liabilities associated with the vested grants at fair value in the amounts of $ 127.5 million and $ 103.8 million reported in Other deferred liabilities in our Consolidated Balance Sheets as of December 26, 2025 and September 26, 2025, respectively.

Also, during the three months ended December 26, 2025 and December 27, 2024, the Company has recorded $ 22.6 million and $ 5.9 million, respectively, in expenses associated with these agreements, which is reflected in selling, general and administrative expenses in the Consolidated Statements of Earnings.

As of December 26, 2025, there was approximately $ 178 million of total unrecognized compensation cost related to the remaining 60 % vesting of the associated grants under these agreements based on December 26, 2025 fair values which are anticipated to vest upon a liquidity event, as defined in the applicable agreements.

This cost is expected to be recognized in Selling, general and administrative expenses when such a liquidity event is considered probable, which could occur in the second quarter of fiscal 2026.

On January 2, 2026, Jacobs entered into an Implementation Deed (the “Implementation Deed”) with PA Consulting.

Pursuant to the Implementation Deed and certain related agreements, and subject to the terms and conditions thereof, Jacobs will acquire from shareholders of PA Consulting all of the remaining issued share capital of PA Consulting ("PA Shares") owned by the PA Consulting shareholders other than Jacobs and its affiliates.

The Company will acquire the PA Shares for an aggregate initial consideration of approximately £ 1.216 billion to be paid through a combination of cash and new shares of Jacobs' common stock, par value $ 1.00 per share (“Company Common Stock”), with the number of shares of Company Common Stock set at 20 % of the aggregate initial consideration, net of certain PA Consulting shareholder expenses and after making payments with respect to certain PA Shares which the Company has agreed to acquire for 100 % cash, and issued at a price of £ 100.20 per share, as set forth in the Implementation Deed.

The initial consideration is subject to adjustment in accordance with the terms of the Implementation Deed.

Assuming the transaction closes, on the second anniversary of the effective date as defined under the terms of the Implementation Deed, the Company will pay an additional £ 75 million in shares of Company Common Stock, cash or a combination thereof, as determined by the Company in its sole discretion (the transactions described in this paragraph, collectively, the “PA Consulting Transaction”).

The completion of the PA Consulting Transaction is subject to the satisfaction or waiver of certain closing conditions, including approvals by the PA Consulting shareholders, the High Court of Justice in England and Wales, the UK Secretary of State and the Danish Business Authority, and the consummation of certain related transactions.

The PA Consulting Transaction is expected to close in the second quarter of fiscal 2026.

Upon consummation of the PA Consulting Transaction, the Company will no longer carry Redeemable Noncontrolling Interests on the Jacobs Consolidated Financial Statements commencing with the period in which the transaction is consummated.

Restricted Cash

The Company's investment in PA Consulting includes $ 1.0 million and $ 1.4 million at December 26, 2025 and September 26, 2025, respectively, in cash that is restricted from general use and is reflected in Prepaid expenses and other in the Company's Consolidated Balance Sheets.

JACOBS SOLUTIONS INC.

2 unchanged sentences

Restructuring and Other Charges

During fiscal 2023, the Company implemented restructuring and separation initiatives relating to the Separation Transaction which continued through fiscal years 2024 and 2025 year to date and are expected to be substantially completed by the end of calendar yea r 2025.

Restructuring initiatives were also implemented during fiscal 2023 relating to our investment in PA Consulting, which is substantially completed.

While restructuring activities for each of these programs are comprised mainly of employee termination costs, the separation activities and costs are primarily related to the engagement of outside services, dedicated internal personnel and other related costs dedicated to the Separation Transaction.

During fiscal 2023, the Company implemented restructuring and separation initiatives relating to the Separation Transaction (s ee Note 14- Discontinued Operations for additional information) which continued through fiscal years 2024 and 2025;

Jacobs has substantially completed the restructuring program for the Separation Transaction at the end of calendar yea r 2025.

Restructuring initiatives were also implemented during fiscal 2023 relating to our PA Consulting business, which are substantially completed.

During the first fiscal quarter of 2026, the Company implemented integration initiatives relating to the PA Consulting Transaction (see Note 15- PA Consulting Redeemable Noncontrolling Interests for additional information).

While restructuring activities for these programs are comprised mainly of employee termination costs, the separation and integration activities are primarily related to the engagement of outside services, dedicated internal personnel and other related costs dedicated to those transactions.

Collectively, the above-mentioned restructuring activities are referred to as “Restructuring and other charges.”

The following table summarizes the impacts of the Restructuring and other charges by operating segment for the three and nine months ended June 27, 2025 and June 28, 2024 (in thousands):

Three Months Ended Nine Months Ended

June 27, 2025 June 28, 2024 June 27, 2025 June 28, 2024

The following table summarizes the impacts of the Restructuring and other charges by operating segment for the three months ended December 26, 2025 and December 27, 2024 (in thousands):

Three Months Ended

December 26, 2025 December 27, 2024

Infrastructure & Advanced Facilities

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$ 3,999 $ 14,740

(1) The three and nine months ended June 27, 2025 and June 28, 2024 included approximately $ 22.0 million and $ 47.1 million, respectively, and $ 50.8 million and $ 120.3 million, respectively, in restructuring and other charges relating to the Separation Transaction (primarily professional services and employee separation costs), which were included in operating profit in the Company's Consolidated Statement of Earnings (mainly in SG&A).

The activity in the Company’s accruals for Restructuring and other charges for the nine months ended June 27, 2025 is as follows (in thousands):

(1) The three months ended December 26, 2025 and December 27, 2024 included approximately $ 2.2 million and $ 15.0 million, respectively, in restructuring and other charges relating to the Separation Transaction (primarily professional services and employee separation costs).

The three months ended December 26, 2025 included approximately $ 1.8 million in restructuring and other charges relating to the PA Consulting Transaction (primarily professional services and dedicated internal personnel), which were included in operating profit in the Company's Consolidated Statement of Earnings (mainly in SG&A).

The activity in the Company’s accruals for Restructuring and other charges for the three months ended December 26, 2025 is as follows (in thousands):

Balance at September 26, 2025

Net Charges (Credits) 47,657

Payments and other ( 14,155 )

Balance at June 27, 2025 $ 19,891

The following table summarizes the Restructuring and other charges by major type of costs for the three and nine months ended June 27, 2025 and June 28, 2024 (in thousands):

Three Months Ended Nine Months Ended

June 27, 2025 June 28, 2024 June 27, 2025 June 28, 2024

Lease Abandonments and Impairments $ — $ — $ — $ 49

Terminations 15,556 22,304 20,444 44,211

Balance at December 26, 2025 $ 4,360

The following table summarizes the Restructuring and other charges by major type of costs for the three months ended December 26, 2025 and December 27, 2024 (in thousands):

Three Months Ended

December 26, 2025 December 27, 2024

Voluntary and Involuntary Termination $ 1,709 $ 385

Outside Services (1)

$ 3,999 $ 14,740

14 3,761 4,161 12,229

$ 22,254 $ 53,971 $ 47,657 $ 127,687

(1) Amounts in the three and nine months ended June 27, 2025 and June 28, 2024 are mainly comprised of professional services relating to the Separation Transaction.

(2) Amounts in the three and nine months ended June 27, 2025 and June 28, 2024 are comprised of charges relating to the Separation Transaction.

(1) Amounts in the three months ended December 26, 2025 are comprised of professional services relating to the Separation Transaction and PA Consulting Transaction.

Amounts in the three months ended December 27, 2024 are comprised of professional services relating to the Separation Transaction.

(2) Amounts in the three months ended December 26, 2025 are comprised of charges relating to the PA Consulting Transaction and Separation Transaction.

Amounts in the three months ended December 27, 2024 are comprised of charges relating to the Separation Transaction.

JACOBS SOLUTIONS INC.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

Cumulative amounts incurred to date for restructuring and other programs that were active as of June 27, 2025 by each major type of cost are as follows (in thousands):

Terminations $ 99,732

Cumulative amounts incurred to date for restructuring and other programs that were active as of December 26, 2025 by each major type of cost are as follows (in thousands):

Voluntary and Involuntary Termination $ 110,751

Outside Services 159,651

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See Note 12- Borrowings for further discussion relating to the terms of the 5.90 % Bonds .

The unrealized net gain on these instruments was $ 21.6 million and $ 23.6 million, net of tax, and is included in accumulated other comprehensive income as of June 27, 2025 and September 27, 2024, respectively.

The unrealized net gain on these instruments was $ 20.2 million and $ 20.9 million, net of tax, and is included in accumulated other comprehensive loss as of December 26, 2025 and September 26, 2025, respectively.

In fiscal 2020 we entered into interest rate swap agreements to manage the interest rate exposure on our variable rate loans.

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During the fiscal 2023 transition from LIBOR to SOFR, the terms of the swaps were amended accordingly and remained designated as cash-flow hedges in accordance with ASC 815, Derivatives and Hedging .

As of June 27, 2025 and September 27, 2024, the Company has one ten-year outstanding instrument with a notional value of $ 200.0 million.

The fair value of the interest rate swap at June 27, 2025 and September 27, 2024 was $ 22.0 million and $ 23.0 million, respectively, included within miscellaneous other assets on the Consolidated Balance Sheet.

The unrealized net gain on the interest rate swap as of June 27, 2025 and September 27, 2024 was $ 16.8 million and $ 17.4 million, respectively, net of tax, and was included in accumulated other comprehensive income.

Additionally, the Company held foreign exchange forward contracts in currencies that support our operations, including British Pound, Australian Dollar and other currencies, with notional values of $ 1.08 billion at June 27, 2025 and $ 827.3 million at September 27, 2024.

The length of these contracts currently ranges from one to six months .

The fair value of the foreign exchange contracts at June 27, 2025 was $ 15.3 million, of which $ 17.0 million is included within current assets and $( 1.7 ) million is included within current liabilities on the Consolidated Balance Sheet as of June 27, 2025.

The fair value of the contracts as of September 27, 2024 was $ 15.3 million, of which $ 15.8 million is included within current assets and $( 0.5 ) million is included within current liabilities on the Consolidated Balance Sheet as of September 27, 2024.

As of December 26, 2025 and September 26, 2025, the Company has one ten-year outstanding instrument with a notional value of $ 200.0 million.

The fair value of the interest rate swap at December 26, 2025 and September 26, 2025 was $ 19.3 million and $ 20.5 million, respectively, included within miscellaneous other assets on the Consolidated Balance Sheet.

The unrealized net gain on the interest rate swap as of December 26, 2025 and September 26, 2025 was $ 14.7 million and $ 15.6 million, respectively, net of tax, and was included in accumulated other comprehensive loss.

Additionally, the Company held foreign exchange forward contracts in currencies that support our operations, including Australian Dollar, British Pound and other currencies, with notional values of $ 439.8 million at December 26, 2025 and $ 491.9 million at September 26, 2025.

The length of these contracts currently ranges from one to three months .

The fair value of the foreign exchange contracts at December 26, 2025 was $ 1.9 million, of which $ 2.1 million is included within current assets and $( 0.2 ) million is included within current liabilities on the Consolidated Balance Sheet as of December 26, 2025.

The fair value of the contracts as of September 26, 2025 was $( 0.3 ) million, of which $( 2.3 ) million is included within current liabilities and $ 2.0 million is included within current assets on the Consolidated Balance Sheet as of September 26, 2025.

A ssociated income statement impacts are included in miscellaneous income (expense) in the Consolidated Statements of Earnings for both periods.

In addition, on January 5, 2026, in connection with the PA Consulting Transaction, the Company entered into a foreign exchange forward contract with a notional value of $ 1.31 billion to manage its exposure to fluctuations in foreign currency exchange rates arising from its obligation to deliver the cash portion of the initial consideration payable in such transaction.

The fair value measurements of these derivatives are being made using Level 2 inputs under ASC 820, Fair Value Measurement , as the measurements are based on observable inputs other than quoted prices in active markets.

We are exposed to risk from credit-related losses resulting from nonperformance by counterparties to our financial instruments.

We perform credit evaluations of our counterparties under forward exchange and interest rate contracts and expect all counterparties to meet their obligations.

We have not experienced credit losses from our counterparties.

JACOBS SOLUTIONS INC.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

exposed to risk from credit-related losses resulting from nonperformance by counterparties to our financial instruments.

We perform credit evaluations of our counterparties under forward exchange and interest rate contracts and expect all counterparties to meet their obligations.

We have not experienced credit losses from our counterparties.

The Company’s right-of use assets and lease liabilities presented on the Consolidated Balance Sheets relate to real estate, project assets used in connection with long-term construction contracts, IT assets and vehicles.

The Company’s lease obligations are primarily for the use of office space and are primarily operating leases.

The respective components of lease expense are reflected in Selling, general and administrative expenses on the Consolidated Statements of Earnings for all periods presented.

Contractual Guarantees, Legal Proceedings, Claims, Investigations and Insurance

In the normal course of business, we make contractual commitments (some of which are supported by separate guarantees) and on occasion we are a party in a litigation or arbitration proceeding, such as the Consolidated JV Matter (see Note 19- Segment Information) .

The litigation or arbitration in which we are involved includes personal injury claims, professional liability claims and breach of contract claims.

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Guarantees are accounted for in accordance with ASC 460-10, Guarantees , at fair value at the inception of the guarantee.

At June 27, 2025 and September 27, 2024, the Company had issued and outstanding approximately $ 229.8 million and $ 306.2 million, respectively, in LOCs and $ 2.7 billion and $ 2.3 billion, respectively, in surety bonds.

At December 26, 2025 and September 26, 2025, the Company had issued and outstanding approximately $ 250.1 million and $ 217.0 million, respectively, in LOCs and $ 3.0 billion and $ 2.8 billion, respectively, in surety bonds.

Of the outstanding LOC amount, $ 0.3 million has been issued under the Revolving Credit Facility and $ 249.8 million are issued under separate, committed and uncommitted letter-of-credit facilities.

We maintain insurance coverage for most insurable aspects of our business and operations.

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government contract-related audits, investigations and claims, and income tax audits and investigations should not have a material adverse effect on our consolidated financial statements, beyond amounts currently accrued.

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

On January 2, 2026, Jacobs entered into an Implementation Deed with PA Consulting, pursuant to which Jacobs UK Holdings Limited will acquire from shareholders of PA Consulting, other than Jacobs and its affiliates, all of the remaining issued share capital of PA Consulting owned by such shareholders in the PA Consulting Transaction.

Jacobs has agreed to unconditionally and irrevocably guarantee to the other parties the performance and observance by Jacobs UK Holdings Limited of all its obligations, commitments, undertakings and warranties under the Implementation Deed.

For further information, refer to Note 15- PA Consulting Redeemable Noncontrolling Interests .

Segment Information

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For further information, refer to Note 14- Discontinued Operations .

The Company’s Chief Executive Officer is the Chief Operating Decision Maker (“CODM”) and evaluates the performance of each of these segments and make appropriate resource allocations among each of the segments.

The Company’s Chief Executive Officer is the Chief Operating Decision Maker (“CODM”) and evaluates the performance of and makes appropriate resource allocations to each of the segments.

For purposes of the Company’s goodwill impairment testing, it has been determined that the Company’s operating segments are also its reporting units based on management’s conclusion that the components comprising each of its operating segments share similar economic characteristics and meet the aggregation criteria for reporting units in accordance with ASC 350, Intangibles-Goodwill and Other .

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

Financial information for each segment is reviewed by the CODM to assess performance and make decisions regarding the allocation of resources.

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The Company incurs certain SG&A that relate to its business as a whole which are not allocated to the segments.

The following tables present total revenues and segment operating profit from continuing operations for each reportable segment (in thousands) and includes a reconciliation of segment operating profit to total U.S.

GAAP operating profit by including certain corporate-level expenses, Restructuring and other charges (as defined in Note 17- Restructuring and Other Charges ) and transaction and integration costs (in thousands).

For the Three Months Ended For the Nine Months Ended

June 27, 2025 June 28, 2024 June 27, 2025 June 28, 2024

The CODM does not review segment assets as a measure of segment performance.

The following tables present total revenues, direct cost of contracts, selling, general and administrative expenses and segment operating profit from continuing operations for each reportable segment (in thousands) and includes a reconciliation of segment operating profit to total U.S.

GAAP operating profit by including certain corporate-level expenses, Restructuring and other charges (as defined in Note 16- Restructuring and Other Charges ) and transaction and integration costs (in thousands) for the three months ended:

JACOBS SOLUTIONS INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (CONTINUED)

December 26, 2025

Infrastructure & Advanced Facilities PA Consulting Total

Revenues from External Customers $ 2,938,848 $ 354,433 $ 3,293,281

Infrastructure & Advanced Facilities (1) $ 2,699,062 $ 2,595,113 $ 7,928,023 $ 7,652,552

PA Consulting 332,706 288,271 947,116 888,239

Total $ 3,031,768 $ 2,883,384 $ 8,875,139 $ 8,540,791

For the Three Months Ended For the Nine Months Ended

June 27, 2025 June 28, 2024 June 27, 2025 June 28, 2024

Direct cost of contracts (1)

( 2,293,163 ) ( 234,868 ) ( 2,528,031 )

Selling, general and administrative expenses (1)

( 430,945 ) ( 34,672 ) ( 465,617 )

Segment Operating Profit $ 214,740 $ 84,893 $ 299,633

Infrastructure & Advanced Facilities (1) $ 235,975 $ 208,171 $ 649,514 $ 579,659

PA Consulting 72,418 62,889 206,502 177,513

Total Segment Operating Profit 308,393 271,060 856,016 757,172

Restructuring, Transaction and Other Charges (2)

( 34,134 ) ( 61,762 ) ( 87,991 ) ( 147,223 )

Amortization of Intangible Assets ( 37,996 )

GAAP Operating Profit $ 232,561

Total Other Income (Expense), net (3)

Total Other (Expense) Income, net

Earnings from Continuing Operations Before Taxes $ 206,223

(1) Direct cost of contracts and SG&A are considered to be significant segment expense categories as amounts align with, or are easily computable from, the segment-level information regularly provided to the CODM.

(2) The three months ended December 26, 2025 included $ 2.2 million in restructuring and other charges relating to the Separation Transaction (primarily professional services and employee separation costs), as well as $ 1.8 million in restructuring and other charges relating to the PA Consulting Transaction (primarily professional services and dedicated internal personnel), and $ 22.7 million in charges for certain subsidiary level compensation based agreements.

December 27, 2024

Infrastructure & Advanced Facilities PA Consulting Total

Revenues from External Customers $ 2,626,208 $ 306,748 $ 2,932,956

Direct cost of contracts (1)

( 2,019,696 ) ( 191,993 ) ( 2,211,689 )

Selling, general and administrative expenses (1)

( 396,237 ) ( 48,017 ) ( 444,254 )

Segment Operating Profit $ 210,275 $ 66,738 $ 277,013

Restructuring, Transaction and Other Charges (2)

Amortization of Intangible Assets ( 38,661 )

GAAP Operating Profit $ 208,418

Total Other (Expense) Income, net (3)

Earnings from Continuing Operations Before Taxes $ 53,147

(1) The nine months ended June 27, 2025 I&AF revenue and operating profit were impacted by a reserve in connection with an unfavorable interim ruling against a consolidated joint venture in which the Company holds a 50 % interest (the "Consolidated JV Matter"), with the noncontrolling partner’s share included in noncontrolling interests in the Consolidated Statements of Earnings for the respective period.

(2) The three and nine months ended June 27, 2025 and June 28, 2024 included $ 22.0 million and $ 47.1 million, respectively, and $ 50.8 million and $ 120.3 million, respectively, in restructuring and other charges relating to the Separation Transaction (primarily professional services and employee separation costs), as well as certain subsidiary level compensation based agreements.

The three and nine months ended June 27, 2025 included approximately $ 4.7 million and $ 20.9 million, respectively, in charges associated with the Company's TSA with Amentum.

(3) The three and nine months ended June 27, 2025 included gains of $ 27.4 million and losses of $ 227.3 million, respectively, mainly related to mark-to-market adjustments and other related charges associated with our investment in Amentum stock in connection with the Separation Transaction, as well as $ 9.8 million and $ 31.5 million, respectively, in income associated with the Company's TSA with Amentum (see Note 15- Discontinued Operations ).

The nine months ended June 27, 2025 included $ 20.5 million in discounts and expenses associated with the Equity-for-Debt Transaction (see Note 12- Borrowings and Note 15- Discontinued Operations).

See also the further description o f results of operations for our operating segments in Item 2- Management’s Discussion and Analysis of Financial Condition and Results of Operations .

(2) The three months ended December 27, 2024 included $ 15.0 million in restructuring and other charges relating to the Separation Transaction (primarily professional services and employee separation costs), $ 6.0 million in charges for certain subsidiary level compensation based agreements as well as $ 7.9 million in charges associated with the Company's TSA with Amentum.

(3) The three months ended December 27, 2024 included $ 145.2 million in mark-to-market losses associated with our investment in Amentum stock in connection with the Separation Transaction.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements