everyone, for you, us Tom, Thank joining thank you, and today.
Our guidance August. to essentially quarter we are results line with in third the you provided in
book-to-bill X.XXx in revenue. we As which several of mentioned, the had quarter, ratio wins Tom in significant resulted a
in quarter book-to-bill call, this our rebuilding said quarter second we onwards. As the are we from metrics trailing
methodology Our the backlog $X.X ending quarter we with sequentially, under second X.X% our backlog results. at quarter that announced billion the grew revised
We are on quarter on laser-focused fourth the this and positive momentum in building beyond.
result continue reported lower headwinds sales reflect a year, the disclosed cost the namely inherited Our of spin clinical the full-service to and of infrastructure. results as previously
of currency increase I the Clinical revenues from taking discuss loss.
Enabling period which headwinds third those, address year-on-year, past $XXX a year-on-year, the pass-through year extent, remaining the of are later in of that revenues. ended FSP months activity. were higher to versus Services a partially million The growth quarter. of in nearly longer-duration last will in higher studies, year. steps We year-on-year. million results Services third quarter, few disclosed representing remarks.
Revenues to to business revenues, my $XXX broadly for flat service and during $XX with X.X% XXXX, due pass-through slightly the the actively wins Endpoint both Note by were business flat same by quantity call offset new impact not ramp-up our service revenues million X revenue center fee $X.XX our fee lower in grew Revenues along driven previously by reduced a offset September were XX, lower and, driven a by were the slower material lesser billion, of lower the X.X% spin the than historic revenues was to
Let costs, was cost onetime prior costs in addition personnel of pass-through services primarily corporate Fortrea costs, professional due addition offset and and higher Direct of Fortrea spin. removal and our provisions, credit costs, adjustments spin.
SG&A me increased the due of transition carve-out by parent agreement to XX.X% quarter to partially adjustments the the received provide for base. million. by allocations former year-on-year increase fees and of more allocations offset interest to was an the costs, agreement the the detail partially Net services the expense $XX.X prior by transition carve-out personnel on to corporate costs year-on-year, X.X% higher former parent removal loss received
in second XX.X% to effective the interest change to in tax rate rate of the $XX fluctuations for expectations quarter. total half for interest XXXX, was approximately full-year continue expect the million We incorporating in the market expense year.
The
the effective tax line of closer and peers, XX%, optimal Recognizing organization. guidance. for structure which tax we line to rate We rate our there review to bring XXXX our it previous XX% ensure opportunity are in is our that effective is is to expect between in be undertaking with our with full-year adjusted a
the adjusted decreased per prior $XXX.X prior Adjusted adjusted year-to-date in EBITDA net with compared both period.
Year-to-date, to EBITDA net respectively, EBITDA income the third period. adjusted margin negatively the XX.X% was period. million higher million year-over-year Adjusted quarter the share prior by prior in in income compared compared in service revenues period. Year-to-date, was and income XX.X% to in diluted $XXX.X the third X.X% million prior compared the year higher margin million $XX.X compared EBITDA and We the $XXX.X was $X.XX million optimize expect $X.XX provide million, and prior period. basic to the quarter our direction decreased XX.X% of to $X.XX $XXX.X decreased diluted for year-over-year in year earnings our year and to the quarter period.
In for in EBITDA compared $XX.X in the $XXX.X with $X.XX along year share of of Adjusted prior period. of more and diluted guidance which in of the EBITDA per to to for adjusted quarter.
Adjusted Year-to-date, of the inherited compared the quarter along XX% adjusted prior adjusted for quarter adjusted was cost margin year first $XX.X earnings the revenues period. opportunities the adjusted X.X% timing compared XX.X% XXXX, lower impacted year Year-to-date, fee share adjusted net million was XXXX year-to-date million $X.XX, both the to in the for decreased basic income was to structure, benefit EBITDA of tax of pass-through on of income XX.X% net and base. net to basic
Turning to customer concentration.
and accounted represented customers XX top year-to-date of revenue of Our one revenues. our for XX.X% nearly half customer
Next, cash update on liquidity. I'll and provide an
compared flow last activities million was cash quarter. as XX, a the incentive receivable XX to the were Year-to-date, outstanding an as including payouts, services to of compared year. receivables impact generated the in increase same not transition billion lower during related, versus previously sales XXXX. that the $XXX.X third accounts used through $XX.X process same improvement is million free to due primarily facility the we transactions and timing of days last items in X as million intercompany cash $XX.X increase is XX, days September period Cash accrued deferred flow quarter. December The compared September is and offset the period expenses, revenue by and in including factoring from unbilled XX, second from to Days $X.XX Year-to-date, $XXX year. of from the in $X.XX net operating XXXX, income.
Net decrease working partially remainder was This using for billion unbilled in benefited XXXX. of lower for us the and of flows million were operations services cash
last in time.
We seeing X.Xx in initiated leverage services our improve the DSO our ended Over reduced over debt to several adjusted XX expect we periods, have profile. extended months, a to the lag Because a projects contracts our net those over EBITDA. XX-months but we trailing performance, ratio with experienced DSO of reflected them changes on quarter provide based drive
As capital of noted to second, previously, net the and agreement; allocation first, drive targeted services for organic our and growth exit therapeutic infrastructure technology debt near-term are: priorities transition timely investments investments repayment.
to X.X continues to target the net term. medium over Xx leverage Our debt be for ratio
now Moving guidance to XXXX. for our
shared August. what to compared increased slightly has guidance revenue we Our in
related. through the revenue is However, largely improvement passed
revenue of billion. of our full to We billion million. range million year to year billion compared total full XXXX guidance range $X.XX the of $X.X previously $X.XX reaffirm $XXX XXXX expect adjusted total $XXX EBITDA to XXXX revenue We provided in
Our guidance assumes effect foreign exchange of as XX, September rates XXXX. in
I our performance some the of transformation actions our it we time. take as turn improve Now efforts is and important taken over to to will us to for share have will
must discuss out provide to competitor and expansion make, we on select I to program.
On we starting First, more grow or today, as but rates. solid detail at we will are a some then margin market investments organic above do our and can investments, more need I'll
help Partnering them more research with We are to to deliver with sites. an investing them relationships in efficiently. approach investigator our
are investing technology in partnering ways, partnership We with ecosystem differentiated oftentimes recognized our in and data in leaders. and
and a are to attractive also assets. These in us and need also to people area win in investments of most investments crucial are as types make therapeutic We that geographic, operational work both leadership. helping They the CRO. are in
let in several margin me expansion discuss Now parts.
tools; third, productivity SG&A First, new second, cost business and mix; reduction.
therefore, on Fortrea. over to increased our for value laser-focused and overall are customers operating mix higher work of margins we First, will of mix The combination better a and and selling higher brings that margins volumes improve time.
further Second, we to make productivity. to optimize will need investments
clinical investments with occupancy are those to Given and we looking throughput. some completed recently higher pharmacology, leverage we in
around investment III people systems quality around clinical II in and clinical further certain more effectively, We tools global us have our management but that productivity services, services good we help XX,XXX need will manage in of particularly Phase workforce studies.
XXXX, into in investments and these start continue will We some will XXXX.
in front and previously EBITDA having we and of margin closer identified improvement of our changes as time. over to TSA the few We multiple our we years of recognize phases for a been some now improve cost our upon launched SG&A detailed we on of as levers come SG&A as journey spin-off. compare readouts to revenue. and quarter, over have discussed, a peers opportunity to us in heavily business dependent to next will The margins on agreement. Third, costs function exit more have tremendous our reduce and SG&A for as lift each well In the the margins bring shift plans the enhance how are improvements can transformation as third levels, to percent peer make embarked we as the
and many business services consistent soon as work. the cost be of incremental were seeing need TSAs actions net profile. give a structure taken the there This We Initial the systems, growth and beginning unplanned Now improve map the of to Due quarter new well as taking to appropriately expensive our than had in as of on margin let our been integrated. processes those to for actions XXXX.
XXXX exiting our the initiatives. you heavily revenue footprint. exit and historically, infrastructure and former third margins. to growth attrition avoid to will to we company with towards lower in effort SG&A drive improvement our limited timing improvement possible remain align to the revenue end is as a financial more timing actions complex and will XXXX transition initiatives focused our existing been leverage road global agreement and better benefit areas me setting on as to awards the costs delivering these build sense has parent and
on of are and exits. This of is the many XX priority, a We already the from former TSAs. complete dependent support top we to exited our parent have
We to costs SG&A have align goal built of with detailed TSA the exit the work the benchmarks. XXXX.
Throughout with plans the we will of TSAs majority by exiting business, of the our end
have this but of we how on much in use we technology throughout costs is also As reducing business. focused mentioned, the improving high IT,
industry being modern now, benefit AI along tools our and We will the deployed in more from with automation.
we selection overlaying better to collaboration patient our on leading site an technology As our with partners. recruitment in can IT stack example, improve by data
technology We making. will that alongside an progress are soon illustrates we advance the our key important one of announce partners
We the are efficient resource next delivery benchmarks. along to benefit level, ability contributing also along with closer spend with deliver better more will and support facilities TSA also faster our beyond more and offering reduced moving exit and automation, post transformation centers infrastructure, peer will in addressing to SG&A efficiently. utilization the our advances line from cost levers.
XXXX other with our our vendor productivity costs increased This and with among through management, technology taking to projects customer and the
few a Let remarks. me close last with
concerns no the As by about evidenced the in potential quarter, customers longer strong seeing for book-to-bill our we hearing disruption. or from are spin-off
about of organization, energy to an are delighted commitment our independent be and the We excited and are we employees.
and an employees our the value execute innovative customers, capitalize and our a management unwavering and expansion to shareholders. on proven deliver us.
With of commitment ahead clinical to solutions that we on are plan confident unprecedented opportunity margin We team, development can
for and to top medical journey pharmaceutical, organization our biotech as device on clinical choice establishing Fortrea firmly companies. are research the We
to it his for turn remainder the I'll back Now remarks. of Tom
