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FTI sulting(FCN) - 2025 Q1 - Quarterly Results
2025-04-25 20:30
Exhibit 99.1 FTI Consulting, Inc. 555 12th Street NW Washington, DC 20004 +1.202.312.9100 Mollie Hawkes +1.617.747.1791 mollie.hawkes@fticonsulting.com FTI Consulting Reports First Quarter 2025 Financial Results Washington, D.C., April 24, 2025 — FTI Consulting, Inc. (NYSE: FCN) today released financial results for the first quarter ended March 31, 2025. First quarter 2025 revenues of $898.3 million decreased $30.3 million, or 3.3%, compared to revenues of $928.6 million in the prior year quarter. The decre ...
FTI sulting(FCN) - 2025 Q1 - Earnings Call Presentation
2025-04-24 21:40
FTI Consulting, Inc. First Quarter 2025 Earnings Conference Call April 24, 2025 Cautionary Note About Forward-Looking Statements This presentation includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, that involve uncertainties and risks. Forward-looking statements include statements concerning our plans, initiatives, projections, prospects, policies, processes and practices, obje ...
FTI sulting(FCN) - 2025 Q1 - Earnings Call Transcript
2025-04-24 21:35
FTI Consulting, Inc. (NYSE:FCN) Q1 2025 Earnings Conference Call April 24, 2025 9:00 AM ET Company Participants Mollie Hawkes - Head of IR Steven Gunby - President and CEO Ajay Sabherwal - CFO Conference Call Participants James Yaro - Goldman Sachs Tobey Sommer - Truist Andrew Nicholas - William Blair Operator Good morning, everyone, and welcome to the FTI Consulting, Inc. First Quarter 2025 Earnings Conference Call. All participants will be in a listen-only mode. Should you need assistance, please send to ...
FTI Consulting (FCN) Q1 Earnings: How Key Metrics Compare to Wall Street Estimates
ZACKS· 2025-04-24 14:36
FTI Consulting (FCN) reported $898.28 million in revenue for the quarter ended March 2025, representing a year-over-year decline of 3.3%. EPS of $2.29 for the same period compares to $2.23 a year ago.The reported revenue represents a surprise of -0.27% over the Zacks Consensus Estimate of $900.7 million. With the consensus EPS estimate being $1.79, the EPS surprise was +27.93%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determi ...
FTI Consulting (FCN) Tops Q1 Earnings Estimates
ZACKS· 2025-04-24 13:40
FTI Consulting (FCN) came out with quarterly earnings of $2.29 per share, beating the Zacks Consensus Estimate of $1.79 per share. This compares to earnings of $2.23 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 27.93%. A quarter ago, it was expected that this business advisory firm would post earnings of $1.67 per share when it actually produced earnings of $1.56, delivering a surprise of -6.59%.Over the last four quarters, ...
FTI Consulting Reports First Quarter 2025 Financial Results
GlobeNewswire· 2025-04-24 11:30
Core Viewpoint - FTI Consulting reported a decline in revenues and net income for the first quarter of 2025, primarily due to lower performance in the Economic Consulting and Corporate Finance & Restructuring segments, although some segments showed growth. The company also announced an increase in its share repurchase authorization. Financial Performance - First quarter 2025 revenues were $898.3 million, a decrease of $30.3 million or 3.3% from $928.6 million in the prior year quarter [2] - Net income for the first quarter was $61.8 million, down from $80.0 million in the prior year quarter, impacted by a special charge of $25.3 million related to severance and employee-related costs [2][3] - Adjusted EBITDA was $115.2 million, representing 12.8% of revenues, compared to $111.1 million or 12.0% of revenues in the prior year quarter [2] Earnings Per Share - Earnings per diluted share (EPS) for the first quarter 2025 was $1.74, down from $2.23 in the prior year quarter, with a special charge reducing EPS by $0.55 [3] - Adjusted EPS for the first quarter was $2.29, slightly up from $2.23 in the prior year quarter [3] Segment Performance - Corporate Finance & Restructuring segment revenues decreased by $22.4 million or 6.1% to $343.6 million, primarily due to lower demand for transformation and strategy services [9] - Forensic and Litigation Consulting segment revenues increased by $14.5 million or 8.3% to $190.6 million, driven by higher realized bill rates for risk and investigations services [12] - Economic Consulting segment revenues decreased by $24.7 million or 12.1% to $179.9 million, mainly due to lower demand for M&A-related services [13] - Technology segment revenues decreased by $3.6 million or 3.5% to $97.2 million, attributed to lower demand for M&A-related services [14] - Strategic Communications segment revenues increased by $5.8 million or 7.2% to $87.0 million, supported by higher demand for corporate reputation services [15] Cash Position and Capital Allocation - Net cash used in operating activities was $465.2 million for the quarter, compared to $274.8 million in the prior year quarter, primarily due to increased forgivable loan issuances and higher variable compensation [5] - The company repurchased 1,126,995 shares at an average price of $165.15, totaling $186.1 million, with approximately $264.3 million remaining for future repurchases [6][8] - Cash and cash equivalents decreased to $151.1 million from $244.0 million a year ago, with total debt net of cash at $8.9 million [7] Special Charges - The company incurred a special charge of $25.3 million in the first quarter, part of a broader restructuring effort that included a total of $33.5 million in special charges over two quarters, reflecting a reduction of approximately 5% of its workforce [16]
FTI sulting(FCN) - 2025 Q1 - Quarterly Report
2025-04-24 11:29
Financial Performance - Revenues for Q1 2025 decreased by $30.3 million, or 3.3%, to $898.3 million compared to Q1 2024[76] - Net income for Q1 2025 decreased by $18.1 million, or 22.7%, to $61.8 million compared to Q1 2024[80] - Adjusted EBITDA for Q1 2025 increased by $4.1 million, or 3.7%, to $115.2 million, with an Adjusted EBITDA Margin of 12.8%[81] - Total revenues for the three months ended March 31, 2025, were $898,282,000, a decrease of 3.2% from $928,553,000 in the same period of 2024[86] - Net income for the three months ended March 31, 2025, was $61,824,000, down 22.7% from $79,965,000 in the prior year[86] - Adjusted EBITDA for the three months ended March 31, 2025, increased to $115,164,000, compared to $111,073,000 in 2024, reflecting a growth of 3.5%[87] Cash Flow and Expenses - Free Cash Flow was an outflow of $483.0 million in Q1 2025, compared to an outflow of $279.5 million in Q1 2024[84] - Net cash used in operating activities increased by $190.4 million, or 69.3%, to $465.2 million in Q1 2025[83] - The company reported a net cash used in operating activities of $465,210,000 for the three months ended March 31, 2025, compared to $274,818,000 in 2024[89] - Unallocated corporate expenses decreased by $19.8 million, or 50.0%, to $19.8 million for the three months ended March 31, 2025, primarily due to a legal settlement gain[91] - Net cash used in investing activities was $17.8 million, a decrease of $38.4 million compared to net cash provided by investing activities of $20.6 million in the prior year[131] - Net cash used in financing activities increased by $230.9 million to $32.3 million, primarily due to $182.6 million in common stock repurchases[132] Segment Performance - The decrease in revenues was primarily due to lower performance in the Economic Consulting and Corporate Finance segments[77] - Revenues for the Corporate Finance segment decreased by $22.4 million, or 6.1%, to $343.6 million, primarily due to lower demand and realized bill rates for transformation & strategy and restructuring services[102] - Gross profit for the Corporate Finance segment decreased by $15.7 million, or 12.3%, with a gross profit margin decline of 2.3 percentage points to 32.6%[103] - Revenues for the Forensic and Litigation Consulting segment increased by $14.5 million, or 8.3%, to $190.6 million, driven by higher realized bill rates and increased demand for data & analytics services[106] - Gross profit for the Forensic and Litigation Consulting segment increased by $9.0 million, or 14.1%, with a gross profit margin of 38.1%[107] - Revenues for the Economic Consulting segment decreased by $24.7 million, or 12.1%, to $179.9 million, primarily due to lower demand for M&A-related services[110] - Gross profit for the Economic Consulting segment decreased by $3.7 million, or 8.2%, with a gross profit margin increase of 1.0 percentage points to 23.0%[111] - Revenues for the Technology segment decreased by $3.6 million, or 3.5%, to $97.2 million, primarily due to lower demand for M&A-related services[114] - Gross profit for the Technology segment decreased by $3.7 million, or 10.2%, with a gross profit margin decline of 2.5 percentage points to 33.9%[115] Employee Metrics - The total number of employees increased to 8,105 in Q1 2025 from 8,055 in Q1 2024[76] - The company experienced a net reduction in headcount of 269, or 3.2%, from December 31, 2024, to March 31, 2025[85] - The total number of billable professionals increased to 6,395, up from 6,366, reflecting a 0.5% increase year-over-year[1] - The number of billable professionals decreased by 4.5% to 937 compared to 981 in the prior year[118] Financial Obligations and Risks - Future contractual obligations include long-term obligations of $160.0 million related to outstanding borrowings under the Credit Facility as of March 31, 2025[141] - Current obligations under operating leases amount to $33.8 million, with non-current obligations totaling $201.2 million[141] - The company was contingently liable under bank guarantees totaling $13.1 million as of March 31, 2025, up from $10.9 million as of December 31, 2024[143] - Available amounts under guarantee facilities were $33.7 million as of March 31, 2025, compared to $31.8 million as of December 31, 2024[143] - Key risks include changes in demand for services, ability to recruit qualified professionals, and competition for clients and key personnel[146] - The company has no material changes in market risk exposure during the period covered by the report[148] - Future events could cause actual payments to differ from projected amounts due to various assumptions including interest rates[142] Forward-Looking Statements - The company emphasizes that forward-looking statements involve uncertainties and risks that could cause actual results to differ materially[144] - The company does not intend to publicly update or revise any forward-looking statements to reflect subsequent events or circumstances[147] - The company has guaranteed facilities totaling $46.8 million as of March 31, 2025[143] - The company anticipates additional capital expenditures of between $50 million and $60 million for the remainder of 2025, including costs related to new office space[138] - During the three months ended March 31, 2025, the company made $182.6 million in payments for common stock repurchases, with $264.3 million remaining available under the Repurchase Program[140]
Gear Up for FTI Consulting (FCN) Q1 Earnings: Wall Street Estimates for Key Metrics
ZACKS· 2025-04-21 14:21
Wall Street analysts expect FTI Consulting (FCN) to post quarterly earnings of $1.79 per share in its upcoming report, which indicates a year-over-year decline of 19.7%. Revenues are expected to be $900.7 million, down 3% from the year-ago quarter.Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted downward by 1.6% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.Before a company announces i ...
Compass Lexecon Adds Valuation Expert Faten Sabry as Senior Managing Director
Newsfilter· 2025-04-21 11:30
WASHINGTON, April 21, 2025 (GLOBE NEWSWIRE) -- Compass Lexecon, a subsidiary of FTI Consulting, Inc. (NYSE:FCN), today announced that Faten Sabry has joined the firm as a Senior Managing Director. Dr. Sabry has deep experience in valuation of fixed income securities, derivatives, illiquid assets and litigation settlements. She supports clients with complex securities including cash and synthetic CDOs, distressed debt exchanges, and asset- and mortgage-backed securities, among others. She has evaluated ratin ...
Competition and Digital Platforms Expert Economist Professor Julian Wright Affiliates with Compass Lexecon
Newsfilter· 2025-04-08 11:30
Core Insights - Compass Lexecon has announced the affiliation of Professor Julian Wright, enhancing its academic credentials and expertise in various economic fields [1][2][6] Company Overview - Compass Lexecon is a global economic consulting firm with over 700 employees, focusing on antitrust, competition, healthcare, securities, financial markets, and valuation practices [2][6] - FTI Consulting, the parent company of Compass Lexecon, operates in 34 countries with more than 8,300 employees and generated $3.69 billion in revenues during fiscal year 2024 [7] Professor Julian Wright's Expertise - Professor Wright specializes in the economics of digital platforms, competition policy, and strategy, with interests in marketplaces, app stores, booking platforms, search platforms, and payment platforms [3] - His recent research includes strategy and competition policy issues related to data and artificial intelligence [3] - He has served as an expert witness and consultant for regulatory authorities and commercial entities, particularly in digital marketplaces and payment schemes [5] Academic Contributions - Professor Wright has been a Co-Editor of the International Journal of Industrial Organization since 2019 and has published in leading academic journals such as the American Economic Review and the Quarterly Journal of Economics [4]