Element Fleet Management Corp. reported a 10% increase in net revenues in Q3 2025, with adjusted operating expenses rising by 9%. Adjusted diluted EPS increased by 14% to $0.33, and adjusted free cash flow per share rose by 17% to $0.42. Client originations totaled $1.7 billion, with VUM increasing by 2% to 1.53 million.
The company repurchased 4.1 million common shares under its NCIB in the first nine months of 2025, totaling approximately $87 million. Element’s Q3 2025 net revenue increased by 10% year-over-year to $306.4 million, with pre-tax income rising by 19% to $159.7 million. Adjusted operating income grew by 10% to $177.7 million.
Element Fleet Management Corp. CEO, Laura Dottori-Attanasio, highlighted the company’s progress in executing its strategy and delivering for clients in Q3 2025. Net revenue increased by $27 million or 10% year-over-year, driven by strong growth across all revenue categories. Services revenue grew by 6%, and net financing revenue increased by 12%.
Q3 2025 services revenue reached $156 million, up 6% year-over-year, with higher utilization rates driving growth. Net financing revenue grew by 12% to $130 million, supported by higher net earning assets and strategic leasing initiatives. The company syndicated $632 million of assets, with syndication revenue increasing by 20% year-over-year.
Adjusted operating expenses in Q3 2025 totaled $129 million, up 9% from the previous year. The increase was mainly due to investments in technology platforms, the Autofleet acquisition, and the SME initiative. Despite the growth, operating expenses are expected to remain well-contained with a focus on cost discipline and operational efficiencies. Element reported a rise in Q3 2025 adjusted operating income to $178 million, up 10% from Q3 2024 and Q2 2025, with a 58.0% operating margin. Originations reached $1.7 billion in Q3, in line with seasonal trends. Adjusted free cash flow per share was $0.42, up 17% year-over-year. The company returned $61 million to shareholders in Q3.
Element declared a quarterly cash dividend of CAD$0.13 per share and plans to renew its normal course issuer bid. Debt-to-capital ratio was 75.7%, within the target range. A conference call to discuss results will be held on November 13, 2025. The Company uses non-GAAP measures to monitor performance and results of operations, providing useful information to investors. Element Fleet Management reported strong financial results for the three-month and nine-month periods ending on September 30, 2025. Total net revenue reached $306.4 million, with net income of $125.2 million. Adjusted net income was $133.7 million, resulting in an adjusted EPS of $0.33. The company’s operating margin was 54.6% for the quarter.
Adjusted operating expenses for the period were $128.7 million, leading to an adjusted operating income of $177.7 million. Adjusted operating margin was 58.0%, higher than the previous quarter. Adjusted net income for the period was $133.7 million, with an adjusted EPS of $0.33.
Element Fleet Management’s balance sheet showed strong financial positions, with total net debt of $8.8 billion and total shareholders’ equity of $2.8 billion. The company continues to focus on delivering value through scalable, sustainable, and technology-enabled fleet and mobility solutions for its clients globally. For more information, visit the company’s website. Element announced their forward-looking statements, highlighting financial performance, client service enhancements, and sustainability objectives. Risks and uncertainties in fleet management and finance industries may impact results. Investors are advised to review Element’s annual and quarterly reports for detailed information. Element does not guarantee any forward-looking statements and will not update them unless required by law.
Read more at GlobeNewswire: Element Reports Record Quarterly Results for Q3 2025