MENLO PARK, Calif., Oct. 09, 2025 (GLOBE NEWSWIRE) -- Exponent, Inc. (Nasdaq: EXPO), today announced that it will report Third Quarter of fiscal year 2025 financial results for the period ended October 3, 2025 following the close of the market on Thursday, October 30, 2025. On that day, Dr. Catherine Corrigan, Chief Executive Officer and President, and Richard Schlenker, Executive Vice President and Chief Financial Officer, will host a conference call and webcast at 4:30 p.m. ET (1:30 p.m. PT) to discuss th ...

Economic strength, encouraging service activities, increased adoption and the success of the work-from-home trend enable Zacks Consulting Services industry players to support the demand environment.Driven by these positives, investors interested in the industry would do well to consider including stocks like Stantec Inc. (STN) , FTI Consulting, Inc. (FCN) and Exponent, Inc. (EXPO) in their portfolios.About the Industry Companies grouped under the Consulting Services category offer professional advice in man ...

Core Insights - VinFast is participating in Electrify Expo Chicago 2025, highlighting its commitment to the electric vehicle market and global expansion strategy [1][6] - The company will showcase its VF 8 and VF 9 electric SUVs, emphasizing their design, technology, and safety features [2][4] - VinFast aims to enhance brand awareness and community engagement through partnerships with local dealers [4][6] Product Details - The VF 8 SUV is priced starting at $39,900, with lease rates from $279/month, while the VF 9 starts at $62,900 with lease rates from $449/month [4] - Both models come with competitive financing options, including 0% financing promotions [4] - VinFast offers a robust warranty policy of 10 years or 125,000 miles for vehicles and 10 years with unlimited mileage for batteries [5] Market Strategy - The company has transitioned from a direct-to-consumer sales model to a dealership-based network across 14 states to improve customer access [7] - VinFast is expanding into high-potential markets such as Indonesia, the Philippines, India, and the Middle East, following its establishment in North America and Europe [8] - The company is committed to adapting its business strategies based on market analysis and macroeconomic conditions [9]

[PART I – FINANCIAL INFORMATION](index=3&type=section&id=PART%20I%20%E2%80%93%20FINANCIAL%20INFORMATION) [Item 1. Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) This section presents the company's unaudited condensed consolidated financial statements for the second quarter and first half of 2025 [Condensed Consolidated Balance Sheets](index=3&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets slightly decreased to $759.4 million, while stockholders' equity increased due to a reduction in total liabilities Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | July 4, 2025 | January 3, 2025 | | :--- | :--- | :--- | | **Total current assets** | $425,651 | $446,881 | | **Total assets** | **$759,430** | **$777,270** | | **Total current liabilities** | $134,969 | $163,183 | | **Total liabilities** | **$331,654** | **$356,202** | | **Total stockholders' equity** | **$427,776** | **$421,068** | [Condensed Consolidated Statements of Income](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income) Revenues grew modestly in Q2 and H1 2025, but net income declined year-over-year due to higher operating expenses Key Financial Performance (in thousands, except per share data) | Metric | Q2 2025 | Q2 2024 | YoY Change | H1 2025 | H1 2024 | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | **Revenues** | $141,962 | $140,536 | +1.0% | $287,469 | $285,469 | +0.7% | | **Operating Income** | $17,177 | $35,744 | -51.9% | $61,609 | $66,457 | -7.3% | | **Net Income** | $26,553 | $29,227 | -9.1% | $53,203 | $59,369 | -10.4% | | **Diluted EPS** | $0.52 | $0.57 | -8.8% | $1.03 | $1.15 | -10.4% | [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Operating cash flow decreased while cash used in financing activities rose significantly, driven by increased stock repurchases Cash Flow Summary for the Six Months Ended (in thousands) | Cash Flow Category | July 4, 2025 | June 28, 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $43,496 | $58,771 | | Net cash used in investing activities | $(4,028) | $(2,628) | | Net cash used in financing activities | $(67,517) | $(39,829) | | **Net change in cash and cash equivalents** | **$(27,100)** | **$16,112** | - The significant increase in cash used for financing activities was primarily due to repurchases of common stock, which rose to **$32.7 million** in H1 2025 from **$5.7 million** in H1 2024[29](index=29&type=chunk) [Notes to Unaudited Condensed Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) These notes detail accounting policies, revenue recognition, and segment data, providing crucial context to the financial statements - The company's revenue is primarily generated from time and materials contracts, which accounted for **80% of total revenues** in the first six months of 2025, consistent with the prior year[38](index=38&type=chunk) Segment Revenues for the Six Months Ended (in thousands) | Segment | H1 2025 | H1 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Engineering and other scientific | $243,115 | $239,948 | +1.3% | | Environmental and health | $44,354 | $45,521 | -2.6% | | **Total revenues** | **$287,469** | **$285,469** | **+0.7%** | - Changes in the market value of deferred compensation plan assets resulted in a **$17.0 million increase in compensation expense** and a corresponding gain in miscellaneous income for Q2 2025, significantly impacting reported operating income[58](index=58&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=22&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management analyzes financial results, highlighting modest revenue growth offset by lower net income due to rising expenses [Results of Operations](index=22&type=section&id=Results%20of%20Operations) Segment performance analysis shows a decline in billable hours and utilization, with operating income impacted by deferred compensation and lease costs Q2 2025 vs Q2 2024 Segment Revenue Performance (in thousands) | Segment | Q2 2025 Revenue | Q2 2024 Revenue | % Change | | :--- | :--- | :--- | :--- | | Engineering and other scientific | $120,980 | $118,477 | +2.1% | | Environmental and health | $20,982 | $22,059 | -4.9% | | **Total revenues** | **$141,962** | **$140,536** | **+1.0%** | - Key operational metrics declined in Q2 2025 compared to Q2 2024: - Billable hours decreased by **6%** to 359,000 - Utilization decreased to **72%** from 75% - Technical full-time equivalent employees decreased by **2%** to 958[83](index=83&type=chunk) - Compensation and related expenses increased **22.7%** in Q2 2025, primarily due to a **$16.1 million** YoY increase in deferred compensation expense, which is linked to market value changes of plan assets and offset in 'Other income, net'[86](index=86&type=chunk)[87](index=87&type=chunk) [Liquidity and Capital Resources](index=29&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintains strong liquidity with $231.8 million in cash, despite a decrease from significant share repurchases and dividends Cash Flow Summary for H1 2025 (in thousands) | Category | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $43,496 | $58,771 | | Net cash used in investing activities | $(4,028) | $(2,628) | | Net cash used in financing activities | $(67,517) | $(39,829) | - The company extended its Arizona land lease, which will increase annual lease payments from approximately **$1.0 million to $6.2 million** beginning in January 2028[114](index=114&type=chunk) [Non-GAAP Financial Measures](index=30&type=section&id=Non-GAAP%20Financial%20Measures) EBITDA and EBITDAS are presented as key non-GAAP performance metrics, both showing a decline in Q2 2025 compared to the prior year Reconciliation of Net Income to EBITDA and EBITDAS (in thousands) | Metric | Q2 2025 | Q2 2024 | H1 2025 | H1 2024 | | :--- | :--- | :--- | :--- | :--- | | **Net income** | $26,553 | $29,227 | $53,203 | $59,369 | | Income taxes | 10,262 | 10,455 | 21,372 | 20,736 | | Interest income, net | (2,344) | (2,231) | (5,058) | (4,857) | | Depreciation and amortization | 2,520 | 2,486 | 5,012 | 4,810 | | **EBITDA** | **$36,991** | **$39,937** | **$74,529** | **$80,058** | | Stock-based compensation | 5,246 | 5,577 | 13,426 | 12,917 | | **EBITDAS** | **$42,237** | **$45,514** | **$87,955** | **$92,975** | [Quantitative and Qualitative Disclosures About Market Risk](index=32&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company is exposed to interest rate risk on its cash equivalents and foreign currency risk from its international operations - The company's primary foreign currency exposures are to the **British Pound, Euro, Chinese Yuan, and Hong Kong Dollar**[122](index=122&type=chunk) - As of July 4, 2025, the company had net assets denominated in non-functional currencies of approximately **$3.4 million** and does not use foreign exchange contracts to hedge its currency exposures[124](index=124&type=chunk)[125](index=125&type=chunk) [Controls and Procedures](index=32&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective, with no material changes to internal controls during the quarter - The CEO and CFO concluded that the company's disclosure controls and procedures were **effective** as of the end of the period covered by this report[126](index=126&type=chunk) [PART II – OTHER INFORMATION](index=33&type=section&id=PART%20II%20%E2%80%93%20OTHER%20INFORMATION) [Legal Proceedings](index=33&type=section&id=Item%201.%20Legal%20Proceedings) The company reports that it is not currently engaged in any material legal proceedings - Exponent is **not engaged in any material legal proceedings**[128](index=128&type=chunk) [Risk Factors](index=33&type=section&id=Item%201A.%20Risk%20Factors) There have been no material changes to the risk factors previously disclosed in the company's 2024 Annual Report on Form 10-K - There were **no material changes** from risk factors as previously discussed in the Company's 2024 Annual Report[129](index=129&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=33&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company repurchased 365,000 shares for $27.6 million in Q2 2025, with $61.6 million remaining under its repurchase authorization Share Repurchases for the Three Months Ended July 4, 2025 | Period | Total Shares Purchased (thousands) | Average Price Paid Per Share | Approximate Dollar Value Remaining for Repurchase (thousands) | | :--- | :--- | :--- | :--- | | April 5 to May 2 | 102 | $74.94 | $81,610 | | May 3 to May 30 | - | - | $81,610 | | May 31 to July 4 | 263 | $75.95 | $61,610 | | **Total** | **365** | **$75.66** | **$61,610** | [Other Information](index=33&type=section&id=Item%205.%20Other%20Information) This section discloses the adoption of a Rule 10b5-1 trading plan by the company's President and CEO for potential stock sales - On May 15, 2025, CEO Catherine Ford Corrigan adopted a **Rule 10b5-1 trading plan** for the sale of **16,128 shares**, expiring on August 30, 2026[134](index=134&type=chunk)

Core Viewpoint - Exponent reported stable performance in Q2 FY2025 with a slight revenue increase, but faced profitability pressures due to rising operating costs and mixed demand trends across segments [1][5][7] Financial Performance - Total revenue for Q2 FY2025 was $142.0 million, a 1.1% increase from $140.5 million in Q2 FY2024 [2] - Diluted earnings per share (EPS) decreased by 8.8% to $0.52 from $0.57 year over year [2] - EBITDA fell to $37.0 million, down 7.3% from $39.9 million in Q2 FY2024, with margins declining to 27.8% from 30.2% [2][7] - Net income decreased by 8.9% to $26.6 million compared to $29.2 million in Q2 FY2024 [2][7] Business Model and Strategy - Exponent operates as a technical consulting firm, focusing on specialized projects in engineering, data science, biomedical engineering, and environmental health [3] - The company aims to broaden its client base, increase technical specialization, and expand into emerging areas like digital health and artificial intelligence [4] Segment Performance - The Engineering and Other Scientific segment, contributing 85% of revenues before reimbursements, grew by 1% year over year, driven by demand for dispute-related consulting [5][10] - The Environmental and Health segment, accounting for 15% of revenues before reimbursements, contracted by 4% due to reduced activity in proactive services [6][10] Client Base and Market Trends - Exponent's client base is diversified across various industries, which helps mitigate risk [11] - Recent growth was noted in dispute-related activities in construction and medical devices, with potential future growth in digital health and AI usability [11] Future Outlook - Management expects low-single-digit revenue growth before reimbursements for FY2025, with EBITDA margins projected between 26.25% and 27.0% [14] - For Q3 FY2025, revenue before reimbursements is anticipated to increase by mid-single-digit percentages year over year [14] - The board declared a quarterly dividend of $0.30 per share, continuing a steady capital return policy [15]

Core Viewpoint - Exponent (EXPO) reported quarterly earnings of $0.52 per share, exceeding the Zacks Consensus Estimate of $0.48 per share, but down from $0.57 per share a year ago, indicating an earnings surprise of +8.33% [1][2] Financial Performance - The company achieved revenues of $132.87 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 2.38% and showing a slight increase from $132.43 million year-over-year [2] - Over the last four quarters, Exponent has consistently surpassed consensus EPS estimates four times and revenue estimates three times [2] Stock Performance - Exponent shares have declined approximately 22.8% since the beginning of the year, contrasting with the S&P 500's gain of 8.2% [3] - The current Zacks Rank for Exponent is 3 (Hold), suggesting that the stock is expected to perform in line with the market in the near future [6] Earnings Outlook - The consensus EPS estimate for the upcoming quarter is $0.51 on revenues of $133.65 million, while the estimate for the current fiscal year is $1.96 on revenues of $530.18 million [7] - The trend of earnings estimate revisions is mixed ahead of the earnings release, which may influence future stock performance [6] Industry Context - The Consulting Services industry, to which Exponent belongs, is currently ranked in the top 20% of over 250 Zacks industries, indicating a favorable outlook compared to lower-ranked industries [8]

Financial Data and Key Metrics Changes - Total revenues in Q2 2025 increased by 1% to $142 million, while net revenues were approximately flat at $132.9 million compared to the same period in 2024 [11] - Net income decreased to $26.6 million or $0.52 per diluted share, down from $29.2 million or $0.57 per diluted share in the prior year [11] - EBITDA decreased by 7% to $37 million, with a margin of 27.8% of net revenues, compared to $39.9 million or 30.2% in the same period in 2024 [12] - Utilization in Q2 was 72.1%, down from 75.1% in the same period of 2024 [13] Business Line Data and Key Metrics Changes - The engineering and other scientific segment represented 85% of net revenues, with a 1% increase driven by demand in construction, automotive, and medical device sectors [15] - The Environmental and Health segment, representing 15% of net revenues, saw a 4% decrease due to lower activity in proactive projects in life sciences and chemical regulation services [16] Market Data and Key Metrics Changes - Demand for failure analysis expertise drove growth in dispute-related activities, particularly in construction, automotive, and medical device sectors [4] - Proactive engagements in the utilities sector were strong, while there was softer demand for chemical regulatory work [5] Company Strategy and Development Direction - The company is focused on capitalizing on market drivers at the intersection of safety, health, and the environment, with a strong emphasis on recruiting top-tier talent [8] - Engagements in transformative innovations, including distributed energy systems and AI applications, are seen as significant long-term growth opportunities [9][10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate complex challenges and capitalize on growth drivers, particularly in safety-critical systems and advanced technologies [23] - The company expects revenues before reimbursements to grow in the low single digits for the full year 2025, with EBITDA margins projected between 26.5% and 27% [17] Other Important Information - The company is experiencing a return to headcount growth, with expectations of a 1% to 2% increase in technical full-time equivalent employees for Q3 2025 [18] - Capital expenditures for the full year 2025 are expected to be between $10 million and $12 million [21] Q&A Session Summary Question: How did the utilization play out in the quarter? - Management indicated that the decline in utilization was partly due to the July 4 holiday and a step down from strong utilization last year [26][27] Question: Can you discuss trends related to easing tariff uncertainty? - Management noted that clients are cautious due to tariff uncertainties, which has caused some delays in engagements, particularly in the chemical sector [28][30] Question: What are the growth rates in proactive and reactive sides of the business? - Growth rates were similar in both proactive and reactive sides, with litigation-related work growing 7% year over year [45][46] Question: How has the regulatory environment impacted demand? - Management acknowledged some delays due to the EPA's movement but stated that most work continues and clients are committed to their global product strategies [47][50]

Exponent Q2 2025 Earnings Release [Management Commentary](index=1&type=section&id=Management%20Commentary) Exponent's Q2 2025 revenues were flat but exceeded expectations, driven by dispute-related growth in construction, automotive, and medical devices, with optimism for emerging digital health, AI, and distributed energy opportunities - Q2 revenues were flat but surpassed expectations, driven by disciplined execution[2](index=2&type=chunk) - Growth was driven by dispute-related services in the construction, automotive, and medical device sectors[2](index=2&type=chunk) - Proactive work in the utilities sector was strong, but offset by weaker demand in chemical regulatory services[2](index=2&type=chunk) - The company sees significant growth potential in emerging areas like digital health, AI usability, and distributed energy systems[2](index=2&type=chunk) [Financial Performance](index=1&type=section&id=Financial%20Performance) For Q2 and H1 2025, Exponent reported flat revenues, but net income, EPS, and EBITDA declined due to a higher tax rate and negative tax impact from share-based awards [Second Quarter 2025 Financial Results](index=1&type=section&id=Second%20Quarter%202025%20Financial%20Results) In Q2 2025, total revenues increased 1% to $142.0 million, while revenues before reimbursements were flat, with net income, diluted EPS, and EBITDA all declining Q2 2025 vs. Q2 2024 Financial Highlights | Metric | Q2 2025 | Q2 2024 | Change | | :--- | :--- | :--- | :--- | | Total Revenues | $142.0M | $140.5M | +1% | | Revenues before Reimbursements | $132.9M | $132.4M | ~0% | | Net Income | $26.6M | $29.2M | -8.9% | | Diluted EPS | $0.52 | $0.57 | -8.8% | | EBITDA | $37.0M | $39.9M | -7.3% | | EBITDA Margin | 27.8% | 30.2% | -240 bps | - The consolidated tax rate increased to **27.9%** in Q2 2025 from **26.3%** in Q2 2024, with the tax impact from share-based awards being immaterial in Q2 2025 compared to a **$0.7 million** benefit in Q2 2024[5](index=5&type=chunk) [Year-to-Date 2025 Financial Results](index=1&type=section&id=Year-to-Date%202025%20Financial%20Results) For H1 2025, total revenues grew 1% to $287.5 million, with revenues before reimbursements flat, while net income, diluted EPS, and EBITDA all decreased H1 2025 vs. H1 2024 Financial Highlights | Metric | H1 2025 | H1 2024 | Change | | :--- | :--- | :--- | :--- | | Total Revenues | $287.5M | $285.5M | +1% | | Revenues before Reimbursements | $270.3M | $269.6M | ~0% | | Net Income | $53.2M | $59.4M | -10.4% | | Diluted EPS | $1.03 | $1.15 | -10.4% | | EBITDA | $74.5M | $80.1M | -7.0% | | EBITDA Margin | 27.6% | 29.7% | -210 bps | - The company experienced a negative tax impact of **$0.5 million** from share-based awards in H1 2025, compared to a positive benefit of **$1.7 million** in H1 2024, contributing to a higher consolidated tax rate of **28.7%** versus **25.9%** last year[8](index=8&type=chunk) [Shareholder Returns](index=1&type=section&id=Shareholder%20Returns) Exponent announced a $0.30 quarterly cash dividend and in H1 2025 paid $31.6 million in dividends and repurchased $32.7 million of common stock, demonstrating commitment to shareholder returns - Announced a quarterly cash dividend of **$0.30** to be paid on September 19, 2025[10](index=10&type=chunk) Capital Allocation in H1 2025 | Activity | Amount | | :--- | :--- | | Dividends Paid | $31.6M | | Common Stock Repurchased | $32.7M | | Cash and Cash Equivalents (End of Period) | $231.8M | [Business Segment Overview](index=1&type=section&id=Business%20Overview) Q2 2025 segment performance was mixed, with 'Engineering and Other Scientific' growing 1% from dispute services, while 'Environmental and Health' declined 4% - The Engineering and Other Scientific segment, representing **85%** of Q2 revenues before reimbursements, grew **1%** year-over-year, driven by dispute services in construction, automotive, and medical devices[12](index=12&type=chunk) - The Environmental and Health segment, representing **15%** of Q2 revenues before reimbursements, decreased by **4%** year-over-year due to lower proactive project activity in life sciences and chemical regulatory services[13](index=13&type=chunk) [Business Outlook](index=2&type=section&id=Business%20Outlook) Exponent maintains full-year 2025 guidance for low single-digit revenue growth and 26.50-27.0% EBITDA margin, anticipating mid-single-digit revenue growth for Q3 Q3 2025 Guidance | Metric | Guidance | | :--- | :--- | | Revenues before reimbursements growth | Up in the mid-single digits | | EBITDA % of revenues before reimbursements | 26.75% to 27.75% | Full Year 2025 Guidance | Metric | Guidance | | :--- | :--- | | Revenues before reimbursements growth | Grow in the low single digits | | EBITDA % of revenues before reimbursements | 26.50% to 27.0% | - The company's full-year comparison faces a headwind as fiscal year 2025 is a **52-week** year, whereas fiscal 2024 was a **53-week** year[14](index=14&type=chunk) [Appendix: Financial Statements](index=3&type=section&id=Appendix%3A%20Financial%20Statements) This section presents Exponent's unaudited condensed consolidated financial statements, including Statements of Income, Balance Sheets, and a reconciliation of GAAP Net Income to non-GAAP EBITDA and EBITDAS [Condensed Consolidated Statements of Income](index=3&type=section&id=CONDENSED%20CONSOLIDATED%20STATEMENTS%20OF%20INCOME) The income statement details revenues and expenses, showing declining operating income and net income for Q2 and H1 2025 compared to prior year periods Income Statement Highlights (in thousands) | Line Item | Q2 2025 | Q2 2024 | H1 2025 | H1 2024 | | :--- | :--- | :--- | :--- | :--- | | Revenues | $141,962 | $140,536 | $287,469 | $285,469 | | Operating income | $17,177 | $35,744 | $61,609 | $66,457 | | Income before income taxes | $36,815 | $39,682 | $74,575 | $80,105 | | Net income | $26,553 | $29,227 | $53,203 | $59,369 | [Condensed Consolidated Balance Sheets](index=4&type=section&id=CONDENSED%20CONSOLIDATED%20BALANCE%20SHEETS) The balance sheet as of July 4, 2025, shows decreases in cash, cash equivalents, and total assets compared to year-start, with total liabilities also down and stockholders' equity slightly up Balance Sheet Highlights (in thousands) | Line Item | July 4, 2025 | January 3, 2025 | | :--- | :--- | :--- | | Cash and cash equivalents | $231,801 | $258,901 | | Total current assets | $425,651 | $446,881 | | Total assets | $759,430 | $777,270 | | Total liabilities | $331,654 | $356,202 | | Total stockholders' equity | $427,776 | $421,068 | [Non-GAAP Reconciliation (EBITDA & EBITDAS)](index=5&type=section&id=EBITDA%20and%20EBITDAS) This table reconciles Net Income to non-GAAP EBITDA and EBITDAS, both of which decreased for Q2 2025 compared to Q2 2024 EBITDA & EBITDAS Reconciliation (in thousands) | Line Item | Q2 2025 | Q2 2024 | H1 2025 | H1 2024 | | :--- | :--- | :--- | :--- | :--- | | Net Income | $26,553 | $29,227 | $53,203 | $59,369 | | EBITDA | $36,991 | $39,937 | $74,529 | $80,058 | | EBITDAS | $42,237 | $45,514 | $87,955 | $92,975 |

Core Insights - Exponent, Inc. reported flat revenues for Q2 2025 but exceeded expectations, driven by growth in dispute-related activities in construction, automotive, and medical device sectors [2][4] - The company is optimistic about early-stage work in digital health, AI usability, and distributed energy systems, indicating significant growth potential [2][3] Financial Results - Total revenues for Q2 2025 increased by 1% to $142.0 million compared to $140.5 million in Q2 2024, while revenues before reimbursements were approximately flat at $132.9 million [4] - Net income decreased to $26.6 million, or $0.52 per diluted share, down from $29.2 million, or $0.57 per diluted share in Q2 2024 [5] - EBITDA for Q2 2025 decreased to $37.0 million, representing 27.8% of revenues before reimbursements, compared to $39.9 million, or 30.2% in Q2 2024 [6] Year-to-Date Financial Performance - For the first half of 2025, total revenues increased by 1% to $287.5 million, while revenues before reimbursements were approximately flat at $270.3 million [7] - Net income for the first half of 2025 was $53.2 million, or $1.03 per diluted share, down from $59.4 million, or $1.15 per diluted share in the same period of 2024 [8] - EBITDA for the first half of 2025 decreased to $74.5 million, or 27.6% of revenues before reimbursements, compared to $80.1 million, or 29.7% in the first half of 2024 [9] Business Segments - The engineering and other scientific segment accounted for 85% of revenues before reimbursements in Q2 2025, with a 1% increase in revenues driven by demand in construction, automotive, and medical device sectors [11] - The environmental and health segment represented 15% of revenues before reimbursements in Q2 2025, with a 4% decrease in revenues due to lower activity in life sciences and chemical regulatory services [12] Business Outlook - The company is optimistic about market opportunities and expects growth in the second half of 2025, maintaining its full-year guidance [13] - Exponent anticipates mid-single-digit growth in revenues before reimbursements and EBITDA to be between 26.75% and 27.75% of revenues before reimbursements for the full fiscal year 2025 [16]

Core Viewpoint - Exponent, Inc. has declared a quarterly cash dividend of $0.30 per share, reflecting its commitment to returning capital to shareholders and positioning itself for future growth opportunities [1][3]. Dividend Information - The quarterly cash dividend of $0.30 per share will be paid on September 19, 2025, to stockholders of record as of September 5, 2025 [1]. - Exponent plans to continue paying quarterly dividends each year in March, June, September, and December, subject to the Board's final determination [2]. Company Positioning and Strategy - Exponent is well-positioned to address rising expectations around safety, health, and the environment, while also laying the groundwork for future opportunities and driving long-term growth [3]. - The company leverages over 90 technical disciplines and 950+ consultants to help clients navigate complex industry challenges, focusing on solutions for a safer, healthier, and more sustainable world [3][4]. Operational Capabilities - Exponent's consultants utilize multidisciplinary expertise and resources from offices across North America, Asia, and Europe, enabling the delivery of high-value insights to various sectors including multinational companies, startups, law firms, and governments [4].