Core Insights - FTI Consulting, Inc. announced the affiliation of Dr. B. Douglas Bernheim with its subsidiary Compass Lexecon, enhancing the firm's expertise in economics and consulting services [1][4]. Company Overview - FTI Consulting is a leading global expert firm specializing in crisis and transformation, with over 8,100 employees across 33 countries as of March 31, 2025 [6]. - The company reported revenues of $3.70 billion for the fiscal year 2024 [6]. Expert Profile - Dr. Bernheim is recognized for his expertise in industrial organization, mergers, behavioral economics, game theory, and financial economics [2]. - He has a notable history as an expert witness in significant antitrust and economic damages cases, providing testimony before various federal agencies and courts [2]. Strategic Growth - The addition of Dr. Bernheim is part of Compass Lexecon's recent growth strategy, which includes the appointment of Alexander White as Senior Vice President and 20 academic affiliates in the past six months [4]. - These strategic hires aim to bolster the firm's capabilities in areas such as Antitrust & Competition, Healthcare, Securities & Financial Markets, and Valuation [4]. Academic Contributions - Dr. Bernheim has published extensively in leading academic journals and authored four books, contributing significantly to the field of economics [3]. - His accolades include an honorary doctorate from the University of Zurich and the 2022 Exeter Prize for his research on paternalism [4]. Client Services - Compass Lexecon provides critical insights to law firms, corporate clients, and government entities in legal and regulatory matters, strategic decisions, and public policy debates across various industries [5].

Core Insights - FTI Consulting, Inc. announced the affiliation of Dr. B. Douglas Bernheim with its subsidiary Compass Lexecon, enhancing the firm's expertise in economics and consulting services [1][4]. Group 1: Dr. Bernheim's Expertise and Contributions - Dr. Bernheim is recognized for his expertise in industrial organization, mergers, behavioral economics, game theory, and financial economics, having served as an expert witness in significant antitrust and economic damages cases [2][4]. - He has authored numerous articles in prestigious academic journals and four books, including the Handbook of Behavioral Economics and a widely used microeconomics textbook [3][4]. Group 2: Impact on Compass Lexecon - The addition of Dr. Bernheim is expected to significantly enhance Compass Lexecon's client offerings, building on the firm's foundation of world-class academics [3]. - His affiliation follows the recent growth of Compass Lexecon, which includes the appointment of Alexander White as Senior Vice President and 20 academic affiliates, strengthening capabilities in various practice areas such as Antitrust & Competition and Healthcare [4]. Group 3: Company Overview - Compass Lexecon is a leading global economic consulting firm that provides critical insights to law firms, corporate clients, and government entities in legal and regulatory matters [5]. - FTI Consulting, Inc. operates globally with over 8,100 employees and generated $3.70 billion in revenues during fiscal year 2024 [6].

Core Insights - The annual Hospital Operations Outlook Survey by FTI Consulting highlights rising costs, patient wait times, workforce challenges, and cybersecurity threats as critical issues for hospital leaders [1][2][10] - The survey indicates that adaptability and strategic communication are essential for hospitals to navigate regulatory changes, inflation, and increasing patient demand [2][4] Group 1: Key Findings from the Survey - Workforce management costs are a major concern, with 34% of executives citing recruitment, retention, and agency staffing as critical stressors [10] - Cybersecurity threats are a top digital concern for 50% of respondents, primarily due to fears of data breaches and operational disruptions [10] - 48% of executives feel unprepared for current patient volumes, especially in specialist (49%) and nursing roles (46%) [10] - The shift towards value-based care is evident, with 42% of patient populations participating in such models, leading to better care coordination and improved outcomes as reported by 91% of respondents [10] Group 2: Strategic Recommendations - Hospital leaders are encouraged to invest in workforce development, value-based care, and enhance digital and cybersecurity capabilities [7] - Proactive and transparent communication about strategic decisions is vital for maintaining stakeholder confidence and support [7] - Embracing digital innovation and AI-driven efficiencies is necessary for hospitals to adapt to the evolving healthcare landscape [4][6]

Group 1 - FTI Consulting announced the appointment of Julien Wallen as a Senior Managing Director in the Financial Services practice [1] - Mr. Wallen has 25 years of experience in asset management and consultancy, advising financial institutions on complex situations [2] - His role will involve leading balance sheet, portfolio, and risk advisory across Europe, the Middle East, and Africa (EMEA) [3] Group 2 - Mr. Wallen previously served as a Managing Director at BlackRock for over a decade, focusing on financial markets advisory and sustainability initiatives [5] - His appointment aligns with FTI Consulting's strategy to enhance its financial services capabilities, following the addition of several senior directors in the practice [6] - FTI Consulting generated $3.70 billion in revenues during fiscal year 2024, indicating strong financial performance [7]

Core Viewpoint - The Schall Law Firm is investigating FTI Consulting, Inc. for potential violations of securities laws related to misleading statements and undisclosed information affecting investors [1][2]. Financial Performance - FTI Consulting reported a 3.3% year-over-year decline in revenues for Q1 2025, which was below consensus estimates [2]. - The company experienced a significant decrease in net income compared to the previous year, attributed primarily to lower revenues and a special charge of $25.3 million related to severance and other employee-related costs [2].

Core Viewpoint - Kirby McInerney LLP is investigating potential claims against FTI Consulting, Inc. regarding possible violations of federal securities laws and unlawful business practices [1]. Financial Performance - FTI Consulting reported first-quarter 2025 revenue of $898.3 million, a year-over-year decline of 3.3%, missing consensus estimates by $8.38 million [3]. - The company reported net income of $61.8 million, down from $80 million in the same period the previous year, attributed to lower revenues and a $25.3 million special charge related to severance and employee-related costs [3]. - Following the financial results announcement, FTI's share price fell by $6.60, closing at $161.91 on April 24, 2025, down from $168.51 on April 23, 2025 [3].

Core Insights - FTI Consulting has appointed Scott Cockerham as Senior Managing Director in the Corporate Finance & Restructuring segment, focusing on the Power, Renewables & Energy Transition practice in Houston [1][2] Company Overview - FTI Consulting is a global expert firm specializing in crisis and transformation, with over 8,100 employees across 33 countries as of March 31, 2025 [4] - The company generated $3.70 billion in revenues during fiscal year 2024 [4] Leadership and Expertise - Scott Cockerham brings over 20 years of experience in business transformation, turnarounds, and restructurings, having held various leadership roles including CEO and CFO [2][3] - Cockerham's previous role was as Chief Financial Officer at Camin Cargo Control, and he co-led the restructuring energy team at a global consulting firm [3] Industry Context - The energy sector is facing unprecedented uncertainty due to macroeconomic trends and policy shifts, impacting business plans [3] - FTI Consulting aims to leverage Cockerham's expertise to assist clients in navigating challenges and creating value in the dynamic energy landscape [3][4]

Core Insights - FTI Consulting is expanding its Financial Services practice by appointing seven senior professionals in the Forensic and Litigation Consulting segment in the U.S. and Germany [1][2] Group 1: Appointments and Expertise - Alma Angotti and Michael Peters have been appointed as Senior Managing Directors, while Steven Hansen, Laura Huntley, Wolfgang Konkel, Creighton Oswald, and Syed Raza have been appointed as Managing Directors [2] - The new appointments enhance FTI Consulting's capabilities in financial crime compliance, regulatory and risk management [2][3] - Angotti has over 30 years of experience in financial crime compliance and has held roles at the U.S. Securities and Exchange Commission and the U.S. Department of the Treasury [4][5] - Peters brings more than 35 years of experience in financial crime compliance and investigations, recognized as an expert in crime prevention [6][7] Group 2: Service Offerings and Focus Areas - The Financial Services practice advises banks and financial institutions on various stages of the business cycle, focusing on consumer financial services, risk management, regulatory compliance, and governance [3] - Hansen specializes in payment platforms and will support large-scale programs for financial institutions, focusing on strategy, technology, and operations [8] - Huntley, a former bank regulatory attorney, will advise on regulatory risk and compliance transformation [9][10] - Konkel has over 25 years of experience in financial crime compliance and will assist in implementing regulatory requirements [11] - Oswald, a Certified Mortgage Banker, will support strategic growth and transformation initiatives in mortgage and consumer lending [12] - Raza has over 30 years of experience in risk management and regulatory compliance, having served in various regulatory roles [13] Group 3: Recent Developments - The addition of these seven experts follows the recent appointments of Michael Herde as a Senior Managing Director and Tom Anapolis as a Senior Advisor, indicating the firm's commitment to enhancing its service offerings [14] - FTI Consulting generated $3.70 billion in revenues during fiscal year 2024, reflecting its strong market position [15]

Financial Performance - First quarter 2025 revenues were $898.3 million, a decrease of $30.3 million or 3.3% compared to $928.6 million in the prior year quarter[3]. - Net income for the first quarter 2025 was $61.8 million, down from $80.0 million in the prior year quarter, primarily due to lower revenues and a $25.3 million special charge[3]. - Adjusted EBITDA for the first quarter 2025 was $115.2 million, representing 12.8% of revenues, compared to $111.1 million or 12.0% of revenues in the prior year quarter[3]. - First quarter 2025 earnings per diluted share (EPS) were $1.74, down from $2.23 in the prior year quarter, with adjusted EPS of $2.29 compared to $2.23 in the prior year quarter[4]. - Operating income for Q1 2025 was $78,707 thousand, down 21.0% from $99,633 thousand in Q1 2024[31]. - Net income for Q1 2025 was $61,824 thousand, a decline of 22.7% compared to $79,965 thousand in Q1 2024[31]. - Adjusted net income for Q1 2025 was $81,320 thousand, remaining stable compared to $79,965 thousand in Q1 2024[32]. - Net income for Q1 2025 decreased to $61,824 from $79,965 in Q1 2024, representing a decline of approximately 22.7%[38]. Segment Performance - The Corporate Finance & Restructuring segment saw revenues decrease by $22.4 million or 6.1% to $343.6 million, with adjusted segment EBITDA of $55.9 million, or 16.3% of segment revenues[10]. - The Forensic and Litigation Consulting segment reported an 8.3% increase in revenues to $190.6 million, with adjusted segment EBITDA of $37.5 million, or 19.7% of segment revenues[11]. - The Economic Consulting segment experienced a revenue decline of $24.7 million or 12.1% to $179.9 million, with adjusted segment EBITDA of $14.4 million, or 8.0% of segment revenues[13]. - The Corporate Finance & Restructuring segment generated revenues of $343,645 thousand with an adjusted EBITDA margin of 16.3% in Q1 2025[35]. - The Forensic and Litigation Consulting segment reported revenues of $190,602 thousand with an adjusted EBITDA margin of 19.7% in Q1 2025[35]. Share Repurchase and Capital Management - The company repurchased 1,126,995 shares at an average price of $165.15 for a total cost of $186.1 million, with approximately $264.3 million remaining for future repurchases[7]. - The company announced a $400.0 million increase in share repurchase authorization, bringing the total authorization to $1.7 billion since the program's inception[9]. - The company repurchased common stock totaling $182,641 during the quarter, reflecting a new strategy in capital management[38]. Special Charges and Workforce Changes - A special charge of $25.3 million was recorded in the first quarter 2025, reflecting the termination of approximately 5% of the workforce, expected to yield annualized cost savings of about $85 million[16]. - The company incurred special charges of $25,295 thousand in Q1 2025, impacting net income and adjusted EPS[32]. Cash Flow and Balance Sheet - Net cash used in operating activities increased significantly to $(465,210) compared to $(274,818) in the prior year, indicating a rise of 69.1%[38]. - Cash and cash equivalents at the end of the period dropped to $151,121 from $243,960, a decrease of 38.1%[38]. - Total assets decreased to $3,347,702 thousand as of March 31, 2025, from $3,596,830 thousand as of December 31, 2024[29]. - Total liabilities decreased to $1,198,064 thousand as of March 31, 2025, from $1,338,540 thousand as of December 31, 2024[29]. - Total borrowings under the revolving line of credit amounted to $235,000, down from $280,000 in the previous year[38]. Other Financial Metrics - Depreciation of property and equipment was $10,145, slightly down from $10,424, showing a minor reduction of 2.7%[38]. - The provision for expected credit losses decreased to $7,214 from $11,420, a reduction of 36.5%[38]. - Accounts receivable, billed and unbilled, showed a negative change of $(74,890), compared to $(73,201) in the previous year[38]. - The effect of exchange rate changes on cash and cash equivalents resulted in a positive impact of $5,942, contrasting with a negative impact of $(3,635) last year[38]. - Net cash provided by (used in) investing activities was $(17,803), a significant decline from $20,606 in the prior year[38].

Core Insights - FTI Consulting has appointed Josh Harris as a Senior Managing Director in the Private Equity practice within its Corporate Finance & Restructuring segment [1][2] - Mr. Harris brings nearly 20 years of experience in partnering with private equity firms and corporate clients, focusing on value creation throughout the deal lifecycle [2] - His expertise includes portfolio strategy, performance improvement, post-merger integration, and organizational restructuring [2] Company Overview - FTI Consulting is a global expert firm specializing in crisis and transformation, with over 8,100 employees across 33 countries as of March 31, 2025 [5] - The company generated $3.70 billion in revenues during fiscal year 2024 [5] Role and Responsibilities - In his new role, Mr. Harris will focus on large-scale transformations, change management, and operational design for private equity firms and clients in regulated sectors such as aerospace, defense, and technology [3][4] - His previous experience includes leadership roles at Bain & Company and PwC Strategy&, where he managed enterprise strategy and transformation projects for Fortune 200 clients [4] Strategic Focus - Mr. Harris emphasizes the need for customized solutions to complex business challenges, aiming to help clients enhance profitability through revenue growth and cost optimization [5]