Summary of CRA International Conference Call - September 17, 2025 Company Overview - CRA International (NasdaqGS: CRAI) is celebrating its 60th anniversary in 2025, founded in 1965 by professors from Harvard and MIT to provide academic quality research to the business world [1][2] - The company operates primarily in two segments: legal and regulatory (approximately 80% of revenue) and management consulting (approximately 20% of revenue) [2][5] - CRA has over 20 offices in 10 countries, with 80% of revenue coming from North America and 20% from international markets [3] Financial Performance - CRA has experienced consistent revenue growth of approximately 8% to 10% annually over the last 15 years [6] - Profitability has grown at an even faster rate, with no debt and operations fully financed through internal cash flow [7] - The company has returned nearly $200 million to shareholders over the past five years, reducing share count by 13% [13][14] - The average price of share repurchases over the last five years was $88, with current trading over $200, indicating strong intrinsic value [8] Shareholder Returns - CRA initiated a dividend in 2016, which has since tripled to $0.49 per share, contributing to an attractive shareholder yield of approximately 6% [15][16] - The company aims to maximize long-term value per share and has a history of effective capital redistribution [8][12] Market Position and Strategy - CRA has worked with 85 of the Fortune 100 companies and 98 of the top 100 law firms in the past two years, indicating strong client retention and repeat business [5][6] - The firm focuses on high-value services and has not expanded into subscription-based revenue models, believing that quality service provides resilience against economic shocks [21][22] - CRA differentiates itself from larger global firms and specialized boutiques by maintaining a focus on its core competencies at the intersection of economics and regulation [27][29] Industry Dynamics - The regulatory environment remains complex, creating opportunities for CRA to assist clients in navigating these challenges [19] - The company anticipates a potential increase in M&A activity as capital becomes cheaper, although there are other complicating factors in executing large deals [30][31] Key Challenges and Opportunities - CRA is adapting to changing client needs and expanding service depth while maintaining its core focus [19][21] - The firm has not experienced direct impacts from regulatory inquiries but is aware of potential budget reductions from regulatory bodies [24] - Pricing power remains strong, with annual price increases of 2% to 4% without significant pushback from clients [25][26] Conclusion - CRA International is well-positioned for continued growth, with a strong focus on quality service, effective capital management, and a commitment to shareholder returns, despite the complexities of the current regulatory and economic environment [17][31]

Core Insights - Cra International (CRAI) reported record GAAP revenue of $186.9 million and non-GAAP EPS of $1.88 for Q2 FY2025, exceeding Wall Street expectations [1][2] - Net income (GAAP) increased by 85.4% year over year to $12.1 million, driven by strong demand across key practices [1][2] Financial Performance - GAAP revenue rose 9.0% from Q2 FY2024, with significant contributions from various service lines, particularly Antitrust & Competition Economics and Energy practices [5][6] - Non-GAAP EBITDA was $23.3 million, reflecting a 4.5% increase from the previous year [2] - Operating margin (GAAP) improved to 10.6%, up from 6.6% in Q2 FY2024, while non-GAAP EBITDA margin narrowed by 0.6 percentage points to 12.4% [7] Business Overview - Cra International specializes in consulting services related to economics, finance, and management, focusing on complex legal and regulatory matters [3] - The firm has a strong repeat client base and a highly educated team, with about 75% of senior consultants holding advanced degrees [4] Growth Drivers - The company is targeting long-term growth through diversified service offerings and a broad international reach, which helps mitigate risks from market fluctuations [4] - Strong client demand was evident across multiple practices, with notable growth in Antitrust, Energy, Intellectual Property, and Labor & Employment consulting [5][6] Shareholder Returns - The company returned $46.6 million to shareholders, including $43.2 million in share repurchases and $3.4 million in dividends, announcing a new quarterly dividend of $0.49 per share [8] Future Outlook - Management raised FY2025 revenue guidance to $730 million to $745 million, reflecting strong first-half performance [9] - Key issues to monitor include headcount trends, as consultant numbers declined by 3.2% year over year, despite high utilization rates [10]

Group 1: CRA International, Inc. (CRAI) Q2 2025 Results - CRAI reported adjusted EPS of $1.88, exceeding the Zacks Consensus Estimate by 2.7% and reflecting a year-over-year increase of 2.7% [1][9] - Revenues reached $186.9 million, surpassing the consensus mark by 4% and showing a 9% increase from the previous year [1][9] - The company achieved a utilization rate of 76%, despite a 3.2% decrease in headcount year-over-year [2] Group 2: Financial Metrics - Non-GAAP EBITDA rose 4.4% year-over-year to $23.3 million, with the non-GAAP EBITDA margin improving by 60 basis points to 12.4% [2][9] - CRAI ended Q2 with cash and cash equivalents of $19.5 million, down from $26.7 million at the end of Q4 2024, while generating $74 million from operating activities [3] Group 3: 2025 Outlook - CRAI raised its 2025 constant-currency revenue guidance to a range of $730 million to $745 million, compared to the previous range of $715 million to $735 million [4] - The Zacks Consensus Estimate for 2025 revenue is $723.2 million, with an expected non-GAAP EBITDA margin of 12.3% to 13% [4]

Financial Data and Key Metrics Changes - Revenue in the second quarter increased by 9% year over year to $186.9 million, with non-GAAP net income, EPS, and EBITDA surpassing the record-setting 2024 by 6%, 8%, and 8% respectively [5][6][14] - Year-to-date revenue on a constant currency basis reached $367.6 million, with non-GAAP EBITDA of $47.7 million resulting in a margin of 13% [13][14] - The company is raising its revenue guidance for the full fiscal year 2025 to a range of $730 million to $745 million, compared to the previous range of $715 million to $735 million [14] Business Line Data and Key Metrics Changes - Seven of the eleven practices experienced year-over-year growth, with antitrust and competition economics, energy, intellectual property, and labor and employment practices each posting double-digit revenue growth [5][6] - Revenue from legal and regulatory services increased by nearly 11%, supported by a significant rise in total case filings and court judgments [7] - The energy practice continues to see strong demand, particularly in utilities, driven by changes in federal renewable incentives and increased electricity demand from data centers [11][12] Market Data and Key Metrics Changes - Worldwide M&A activity reached nearly $2 trillion during 2025, an increase of 33% compared to the previous year, marking the strongest opening period for deal-making since 2022 [8] - The antitrust and competition economics practice achieved its highest quarterly revenue, reflecting strong demand in both North America and internationally [27] Company Strategy and Development Direction - The company is focused on maximizing long-term value per share and is committed to strategic priorities, as evidenced by recent leadership promotions aimed at enhancing corporate support for high-value strategic initiatives [19][46] - The company is cautious about pursuing larger acquisitions unless they align with long-term strategic goals, emphasizing a focus on strategic fit rather than chasing revenue [43] Management's Comments on Operating Environment and Future Outlook - Management remains optimistic about the company's future, citing strong lead flow activity and continuity in delivering profitable revenue growth [25] - There is awareness of potential disruptions from geopolitical factors, but overall visibility into the business remains stable [25] Other Important Information - The company concluded the quarter with $19.4 million in cash and $120 million in borrowings, resulting in a net debt of $100.6 million [17] - During the second quarter, the company returned $46.6 million to shareholders through dividends and share repurchases [18] Q&A Session Summary Question: Drivers behind the guidance raise and visibility levels - Management highlighted strong performance in 2025 and continuity from fiscal 2024, with no significant changes in visibility despite potential geopolitical disruptions [24][25] Question: Changes in M&A regulatory needs and deal sizes - The antitrust practice reported strong demand, with no noticeable shifts in deal sizes or complexity, and continued engagement in large prominent matters [27][28] Question: Pricing environment and rate increases - Rate increases for fiscal 2025 have been successfully implemented, with clients continuing to demand value alongside efficiency in service delivery [31][32] Question: Share repurchase activity timing - Most share repurchase activity occurred in Q2, with a significant portion executed in the latter part of the quarter [34] Question: Energy practice scaling and inorganic growth - The energy practice is focusing on internal growth and skill set enhancement, with ongoing exploration for strategic acquisitions [42][43] Question: Management appointments and their purpose - New roles aim to enhance corporate support for strategic initiatives, raising the value of services provided to consulting colleagues [46] Question: Hiring trends and college recruitment - The company is welcoming over 100 recent graduates, maintaining a typical hiring class size while focusing on growth in specific practices [48][50]

Group 1: Earnings Performance - CRA International (CRAI) reported quarterly earnings of $1.88 per share, exceeding the Zacks Consensus Estimate of $1.83 per share, and showing an increase from $1.83 per share a year ago, representing an earnings surprise of +2.73% [1] - The company posted revenues of $186.88 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 4.00%, and up from $171.44 million year-over-year [2] - CRA has consistently surpassed consensus EPS estimates over the last four quarters, achieving this four times [2] Group 2: Stock Performance and Outlook - CRA shares have declined approximately 7.5% since the beginning of the year, contrasting with the S&P 500's gain of 8.2% [3] - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The current consensus EPS estimate for the upcoming quarter is $1.84 on revenues of $177.55 million, and for the current fiscal year, it is $8.00 on revenues of $723.24 million [7] Group 3: Industry Context - The Consulting Services industry, to which CRA belongs, is currently ranked in the top 20% of over 250 Zacks industries, indicating a favorable outlook [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5] - The current estimate revisions trend for CRA is mixed, resulting in a Zacks Rank 3 (Hold), suggesting the stock is expected to perform in line with the market in the near future [6]

Exhibit 99.2 CHARLES RIVER ASSOCIATES (CRA) SECOND QUARTER FISCAL YEAR 2025 EARNINGS ANNOUNCEMENT PREPARED CFO REMARKS CRA is providing these prepared remarks by interim CFO Chad Holmes in combination with its press release. These remarks are offered to provide the investment community with additional information on CRA's financial results prior to the start of the conference call. As previously announced, the conference call will be held July 31, 2025 at 10:00 a.m. ET. These prepared remarks will not be re ...

Company Overview - CRA International (CRAI) shares increased by 3% to $202.84 in the last trading session, with a notable volume of shares traded, contributing to a total gain of 9% over the past four weeks [1] - The stock is experiencing strong momentum, characterized by record-breaking performance and broad-based practice growth [1] Earnings Expectations - CRA is projected to report quarterly earnings of $1.83 per share, unchanged from the same quarter last year, with expected revenues of $179.7 million, reflecting a 4.8% increase year-over-year [2] - The consensus EPS estimate for CRA has remained stable over the last 30 days, indicating that stock price movements may not sustain without trends in earnings estimate revisions [3] Industry Context - CRA operates within the Zacks Consulting Services industry, which includes other companies like Stantec (STN), whose shares rose by 1.2% to $111.81 in the last trading session, with a 3.5% return over the past month [4] - Stantec's consensus EPS estimate has also remained unchanged at $0.98, representing a 19.5% increase from the previous year [5]

Group 1 - The article provides an initial impression of CRA International (NASDAQ: CRAI), highlighting its shareholder-friendly policies and profitability metrics, but notes concerns regarding its high price-to-earnings (P/E) ratio of approximately 25x, which leaves little margin for error [1] - The author previously rated CRAI stock as a Hold, indicating a cautious stance on the investment due to the valuation concerns despite the company's positive attributes [1] Group 2 - The article does not contain any specific financial data or performance metrics related to CRA International beyond the P/E ratio mentioned [1]

Summary of CRA International (CRAI) Conference Call - June 11, 2025 Company Overview - **Company Name**: Charles River Associates (CRAI) - **Industry**: Consulting, specifically in legal and regulatory consulting and management consulting - **Revenue Breakdown**: Legal and regulatory consulting accounts for approximately 80% of revenue, while management consulting makes up the remaining 20% [5][6] Key Points and Arguments - **Company History**: CRA is celebrating its 60th anniversary, founded by professors from MIT and Harvard, focusing on delivering academic-quality research to the business world [5] - **Employee Retention**: CRA has a strong retention rate, with less than 10% turnover among top revenue generators over the past five years, indicating a positive work environment [9] - **Client Base**: CRA has worked with 85 of the Fortune 100 companies in the past two years and 98 of the Amlaw 100 law firms, showcasing its strong market position [12][13] - **Financial Performance**: Over the past ten years, CRA has seen a sixfold increase in stock price and a 2.5 times growth in revenue, with consistent performance across various time frames [15] - **Capital Allocation**: CRA has a strategy of returning excess capital to shareholders primarily through share repurchases, with a significant reduction in shares outstanding over the past decade [29] - **Shareholder Yield**: The current shareholder yield is approximately 6%, reflecting a growing market value for CRA [30] Growth and Market Dynamics - **Headcount and Talent Acquisition**: CRA is adding headcount in both legal regulatory and management consulting areas, despite a temporary flattening due to excess capacity in life sciences [34][36] - **Growth Factors**: Economic uncertainty and M&A activity levels are potential limiting factors for growth. CRA has historically performed well across various macroeconomic environments [37][38] - **Promising Segments**: The antitrust and competition economics practice, forensic practice, and energy practice are highlighted as areas with significant growth potential [41][43] Capital Structure and Acquisition Strategy - **Willingness to Take on Debt**: CRA is open to taking on debt for the right acquisition opportunities, emphasizing that any debt would be based on the asset's value rather than for share repurchases [46][48] - **Active Acquisition Pipeline**: There is an active pipeline for acquisitions, with CRA positioned to benefit from industry disruptions and seeking to attract the right candidates for growth [49] Conclusion - **Future Outlook**: CRA's success is attributed to its collective talent and the ability to adapt to changing market conditions. The company is well-positioned for future growth and continues to celebrate its legacy while looking ahead [52]

Core Viewpoint - CRA International (CRAI) is showing potential for investment as it has reached a significant support level and surpassed the 200-day moving average, indicating a long-term bullish trend [1]. Technical Analysis - The 200-day simple moving average is a critical indicator for establishing market trends, and CRAI has recently rallied by 11% over the past four weeks, currently holding a Zacks Rank of 2 (Buy) [2]. - The combination of the recent price rally and the favorable Zacks Rank suggests that CRAI may be poised for further upward movement [2]. Earnings Estimates - Positive earnings estimate revisions strengthen the bullish outlook for CRAI, with three upward revisions compared to none downward for the current fiscal year, leading to an increase in the consensus estimate [3]. - Investors are encouraged to monitor CRAI for potential gains in the near future, given its key technical levels and positive earnings revisions [3].