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First Advantage Corporation (FA) sells its technology solutions primarily to other companies, not to individuals. Its products and solutions are utilized by various departments within businesses, including recruiting, human resources, risk, compliance, vendor management, safety, and security personnel.

Due to the broad and diverse nature of its client base, First Advantage does not publicly disclose a list of its specific major customer companies. Publicly traded companies like First Advantage typically do not reveal individual client names unless a particular customer accounts for a significant portion of their revenue, which is not the case for FA given its service model across numerous clients.

Based on the company's description, its customer base can be broadly categorized by the size and scope of the organizations it serves:

• Global enterprises
• Mid-sized companies
• Small companies

First Advantage serves a wide array of businesses across various industries, providing essential screening, verification, safety, and compliance services related to human capital.

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Scott Staples, Chief Executive Officer

Scott Staples has served as the Chief Executive Officer of First Advantage since April 2017. Prior to joining First Advantage, he co-founded Mindtree Ltd. in 1999, a global IT Services firm, and spent 17 years as President of the Americas and Global Head of Business Groups. He played a strategic role in taking Mindtree public in 2007. Earlier in his career, Mr. Staples was a director at Cambridge Technology Partners and a director of marketing for Gemini Consulting's North American financial services practice. He has been recognized as a "growth entrepreneur" and received the Ernst & Young Entrepreneur of the Year in Technology Services in 2015. First Advantage was a Symphony Technology Group (STG) company, a private equity firm, at the time of his appointment as CEO.

Steven Marks, Executive Vice President and Chief Financial Officer

Steven Marks holds the position of Executive Vice President and Chief Financial Officer at First Advantage. He also serves as the Principal Accounting Officer. Mr. Marks participates in investor conferences, where he discusses the company's transformation into a comprehensive human capital risk management solution. In March 2025, he purchased shares of the company's common stock.

Joelle Smith, President

Joelle Smith is the President of First Advantage. She has also been identified as President, Data Technology and Experience. Ms. Smith actively engages in investor discussions regarding the company's growth, innovation, and digital identity solutions.

Douglas Nairne, Global Chief Operating Officer

Douglas Nairne serves as the Global Chief Operating Officer for First Advantage.

Bret Jardine, Chief Legal Officer and Corporate Secretary

Bret Jardine is the Chief Legal Officer and Corporate Secretary at First Advantage.

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The key risks to First Advantage's (FA) business are primarily centered around its operations as a provider of sensitive data processing services, its reliance on economic conditions, and the successful integration of its acquisitions.

1. Regulatory Compliance, Data Security, and Privacy Risks: As a company that processes vast amounts of personal data for background checks and verifications, First Advantage is highly vulnerable to evolving global privacy regulations and cybersecurity threats. Any failure to protect customer data could lead to severe reputational harm, significant legal liabilities, and substantial financial penalties. The company's reliance on personal data processing exposes it to risks of increased restrictions and compliance costs, particularly with evolving AI regulations.
2. Impact of Macroeconomic Factors on Hiring Volumes and Market Competition: First Advantage operates in a market where demand for its services is highly sensitive to macroeconomic conditions, such as economic downturns and geopolitical tensions. These factors can directly impact customer hiring patterns and, consequently, the demand for First Advantage's screening and verification solutions. The company also faces intense competition from numerous local and multinational firms, requiring it to continuously maintain a competitive edge through reliable results, competitive pricing, and compliance expertise.
3. Integration and Realization of Acquisition Benefits: The successful integration of acquired businesses, such as Sterling Check Corp., is critical to First Advantage's continued growth and success. There is a risk that the company may not fully realize the expected benefits from these acquisitions, or that the integration process could face complex operational and cultural alignment challenges. Such failures could adversely affect the company's business and stock value.

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First Advantage (FA) operates within several addressable markets related to human capital solutions, including background checks, employment screening services, drug screening, and employment verification. The market sizes for these key products and services vary by source and forecast period, but generally show significant global and regional valuations.

Background Check Market

• Globally, the background check market was valued at approximately USD 7.2 billion in 2024 and is projected to reach USD 11.5 billion by 2030, growing at a Compound Annual Growth Rate (CAGR) of 8.2%. Other estimates place the global market at USD 15.54 billion in 2024, with a projection to reach USD 39.60 billion by 2032, at a CAGR of 12.40%.
• North America holds a dominant share of the global background check market, accounting for over 35% of the total revenue. More specifically, North America's share was estimated at 41% of the global market in 2024. The U.S. market alone for background checks was estimated at US$2.0 billion in 2024.

Employment Screening Services Market

• The global employment screening services market, which encompasses background checks, verification, and medical/drug testing, was valued at USD 6.97 billion in 2024 and is projected to reach USD 17.56 billion by 2033, demonstrating a CAGR of 10.8%. Another estimate valued the global market at USD 7.19 billion in 2025, expecting it to grow to USD 13.71 billion by 2034 with a CAGR of 7.3%.
• In North America, the employment screening services market was valued at approximately US$2.65 billion in 2022 and is anticipated to reach US$5.87 billion by 2030, with a CAGR of 10.5%. The U.S. employment screening services market is estimated to reach US$2.3 billion in 2025 and surge to US$3.7 billion by 2032, at a CAGR of 6.7%.

Drug Screening Market

• The global drug screening market was valued at USD 13.8 billion in 2024 and is expected to grow to USD 52.2 billion by 2034, at a CAGR of 14.5%. Another report valued the market at USD 12.5 billion in 2025, with a projection to reach around USD 54.29 billion by 2035 at a CAGR of 15.82%.
• For the U.S. specifically, the employer and workplace drug testing market size was estimated at USD 2.57 billion in 2024 and is projected to reach USD 4.01 billion by 2033, growing at a CAGR of 5.2%. Other sources estimate the U.S. drug screening market to reach around USD 15.7 billion by 2035 from USD 3.53 billion in 2025, with a CAGR of 16.09%.

Employment Verification Services Market

• The global employment verification service market size is predicted to grow from US$1924 million in 2025 to US$3140 million in 2031, at a CAGR of 8.5%. Within the broader employment screening services market, employment and education verification holds the highest market share.

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Expected Drivers of Future Revenue Growth for First Advantage (FA)

First Advantage (FA) is poised for revenue growth over the next 2-3 years, driven by several strategic initiatives and market dynamics:

• Successful Integration and Synergies from Sterling Acquisition: The successful integration of Sterling Check Corp. is a significant catalyst for future revenue growth. First Advantage has already achieved 97% gross revenue retention in Q3 2025 and realized substantial synergies by optimizing back-end fulfillment. The company anticipates achieving at least $50 million in run-rate synergies from the acquisition, which is expected to contribute to immediate double-digit adjusted EPS accretion.
• New Customer Acquisition and Upsell/Cross-sell Initiatives: First Advantage has a strong track record of "go-to-market success in new logo and upsell, cross-sell" strategies. In Q4 2025, new logo and upsell/cross-sell initiatives contributed a robust 17% to growth, signaling continued momentum in securing new business and expanding existing customer relationships as part of its "FA 5.0 growth strategy".
• Expansion of Digital Identity Solutions and Product Innovation: A key driver of future growth is the company's focus on product differentiation, particularly through digital identity solutions designed to combat AI-enabled fraud and increase "package density". Digital identity products have been identified as a significant growth area, and First Advantage plans to expand their penetration and leverage artificial intelligence across its product portfolio in 2026.
• Stabilizing and Improving Hiring Market Conditions: First Advantage has observed stability in enterprise hiring markets, with expectations for improved "base growth" in the coming periods. Management anticipates that growth will accelerate in the second half of 2026, which is expected to propel revenue performance and margin expansion in the mid and long term.
• Diversification and Expansion into New Markets/Verticals: The Sterling acquisition has significantly diversified First Advantage's market reach, bringing a strong portfolio of verticals focused on salaried workers, complementing First Advantage's historical strength in hourly worker screening. This expansion into new market segments and increased package density are expected to create additional revenue opportunities.

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Share Repurchases

• First Advantage announced a new $100 million share repurchase program in February 2026.
• This share repurchase authorization does not have an expiration date and is planned to be funded using the company's existing cash.
• Management views this program as a means to reduce the share count and believes the shares currently do not reflect the business's true value.

Outbound Investments

• First Advantage completed the $2.2 billion acquisition of Sterling Check Corp. in October 2024.
• This acquisition was expected to generate $50-70 million in run-rate synergies and provide immediate double-digit earnings per share (EPS) accretion.
• The integration of Sterling Check Corp. was completed ahead of schedule, with $55 million in run-rate synergies achieved by year-end 2025, towards a target of $65-$80 million.

Capital Expenditures

• Capital expenditures for the fourth quarter of 2025 amounted to $16.87 million.
• For 2026, the company is making strategic investments in its go-to-market and product capabilities to accelerate organic revenue growth.
• Investments also focus on leveraging AI for data processing and customer care to enhance risk management solutions.