Workflow
Huron Consulting(HURN) - 2024 Q3 - Quarterly Results
HURNHuron Consulting(HURN)2024-10-29 20:25

Revenue Growth - Revenues before reimbursable expenses increased 11.9million,or3.311.9 million, or 3.3%, to 370.0 million in Q3 2024 from 358.2millioninQ32023[1]−Revenuesbeforereimbursableexpensesincreased358.2 million in Q3 2023[1] - Revenues before reimbursable expenses increased 74.8 million, or 7.3%, to 1.10billionforthefirstninemonthsof2024from1.10 billion for the first nine months of 2024 from 1.02 billion for the same prior year period[3] - Total revenues for Q3 2024 increased to 378.089million,upfrom378.089 million, up from 367.466 million in Q3 2023[24] - Revenues before reimbursable expenses for Q3 2024 were 370.049million,upfrom370.049 million, up from 358.178 million in Q3 2023[24] - Total revenues for the nine months ended September 30, 2024, grew by 7.0% to 1.12billioncomparedto1.12 billion compared to 1.05 billion in 2023[27] - Revenues before reimbursable expenses for the nine months ended September 30, 2024 were 1.10billion,a7.31.10 billion, a 7.3% increase from 1.02 billion in the same period of 2023[40] Net Income and Profitability - Net income increased 5.6million,or26.25.6 million, or 26.2%, to 27.1 million in Q3 2024, compared to 21.5millioninQ32023[2]−Netincomeincreased21.5 million in Q3 2023[2] - Net income increased 23.0 million, or 38.5%, to 82.6millionforthefirstninemonthsof2024,comparedto82.6 million for the first nine months of 2024, compared to 59.6 million for the same prior year period[3] - Net income for Q3 2024 rose to 27.149million,comparedto27.149 million, compared to 21.516 million in Q3 2023[24] - Net income for the nine months ended September 30, 2024, increased to 82.6millionfrom82.6 million from 59.6 million in 2023, representing a 38.6% increase[26] - Net income for Q3 2024 was 27.1million,up26.227.1 million, up 26.2% from 21.5 million in Q3 2023[40] - Net income as a percentage of total revenues for the nine months ended September 30, 2024 was 7.4%, up from 5.7% in the same period of 2023[40] Adjusted EBITDA and Margins - Adjusted EBITDA increased 6.9million,or14.36.9 million, or 14.3%, to 54.9 million in Q3 2024 from 48.0millioninQ32023[2]−AdjustedEBITDAincreased48.0 million in Q3 2023[2] - Adjusted EBITDA increased 18.4 million, or 14.6%, to 144.4millionforthefirstninemonthsof2024from144.4 million for the first nine months of 2024 from 126.0 million for the same prior year period[4] - Adjusted EBITDA for Q3 2024 was 54.9million,a14.354.9 million, a 14.3% increase from 48.0 million in Q3 2023[40] - Adjusted EBITDA margin for Q3 2024 was 14.8% of revenues before reimbursable expenses, up from 13.4% in Q3 2023[40] Earnings Per Share - Diluted earnings per share increased 0.37,or33.60.37, or 33.6%, to 1.47 in Q3 2024, compared to 1.10inQ32023[2]−EarningsperdilutedshareforQ32024were1.10 in Q3 2023[2] - Earnings per diluted share for Q3 2024 were 1.47, up from 1.10inQ32023[24]−DilutedearningspershareforQ32024was1.10 in Q3 2023[24] - Diluted earnings per share for Q3 2024 was 1.47, compared to 1.10inQ32023,a33.61.10 in Q3 2023, a 33.6% increase[41] - Adjusted diluted earnings per share for Q3 2024 was 1.68, up 20.9% from 1.39inQ32023[41]SegmentPerformance−Healthcaresegmentrevenuesbeforereimbursableexpensesincreasedby10.41.39 in Q3 2023[41] Segment Performance - Healthcare segment revenues before reimbursable expenses increased by 10.4% to 554.0 million for the nine months ended September 30, 2024, compared to 502.0millionin2023[27]−Educationsegmentrevenuesbeforereimbursableexpensesroseby9.1502.0 million in 2023[27] - Education segment revenues before reimbursable expenses rose by 9.1% to 355.4 million for the nine months ended September 30, 2024, from 325.9millionin2023[27]−Commercialsegmentrevenuesbeforereimbursableexpensesdecreasedby3.4325.9 million in 2023[27] - Commercial segment revenues before reimbursable expenses decreased by 3.4% to 188.3 million for the nine months ended September 30, 2024, compared to 195.0millionin2023[27]−ConsultingandManagedServicesrevenuesbeforereimbursableexpensesgrewby7.7195.0 million in 2023[27] - Consulting and Managed Services revenues before reimbursable expenses grew by 7.7% to 634.4 million for the nine months ended September 30, 2024, compared to 589.1millionin2023[28]−Digitalrevenuesbeforereimbursableexpensesincreasedby6.8589.1 million in 2023[28] - Digital revenues before reimbursable expenses increased by 6.8% to 463.2 million for the nine months ended September 30, 2024, from 433.7millionin2023[28]OperatingandFinancialMetrics−OperatingincomeforQ32024was433.7 million in 2023[28] Operating and Financial Metrics - Operating income for Q3 2024 was 42.445 million, compared to 37.342millioninQ32023[24]−OperatingincomefortheninemonthsendedSeptember30,2024,roseby27.537.342 million in Q3 2023[24] - Operating income for the nine months ended September 30, 2024, rose by 27.5% to 121.8 million compared to 95.5millionin2023[29]−IncomebeforetaxesfortheninemonthsendedSeptember30,2024,increasedby30.695.5 million in 2023[29] - Income before taxes for the nine months ended September 30, 2024, increased by 30.6% to 107.2 million from 82.1millionin2023[29]−ComprehensiveincomeforQ32024was82.1 million in 2023[29] - Comprehensive income for Q3 2024 was 22.89 million, compared to 19.136millioninQ32023[24]BalanceSheetandCashFlow−TotalassetsasofSeptember30,2024,were19.136 million in Q3 2023[24] Balance Sheet and Cash Flow - Total assets as of September 30, 2024, were 1.32878 billion, up from 1.262142billionasofDecember31,2023[25]−Long−termdebtincreasedto1.262142 billion as of December 31, 2023[25] - Long-term debt increased to 428.204 million as of September 30, 2024, from 324millionasofDecember31,2023[25]−Cashandcashequivalentsincreasedto324 million as of December 31, 2023[25] - Cash and cash equivalents increased to 18.497 million as of September 30, 2024, from 12.149millionasofDecember31,2023[25]−Goodwillincreasedto12.149 million as of December 31, 2023[25] - Goodwill increased to 647.541 million as of September 30, 2024, from 625.711millionasofDecember31,2023[25]WorkforceandProfessionalGrowth−Thenumberofrevenue−generatingprofessionalsincreased10.4625.711 million as of December 31, 2023[25] Workforce and Professional Growth - The number of revenue-generating professionals increased 10.4% to 5,896 as of September 30, 2024 from 5,341 as of September 30, 2023[12] - Total number of revenue-generating professionals increased by 10.4% to 5,896 as of September 30, 2024, from 5,341 in 2023[28] Guidance and Expectations - The company narrowed the range of expected revenues before reimbursable expenses to 1.47 billion to 1.49billionwhilemaintainingitspreviousmidpointofguidance[6]−Thecompanyincreaseditsadjusteddilutedearningspershareexpectationstoarangeof1.49 billion while maintaining its previous midpoint of guidance[6] - The company increased its adjusted diluted earnings per share expectations to a range of 6.00 to 6.20[6]LitigationandLegalCosts−Thecompanyrecordeda6.20[6] Litigation and Legal Costs - The company recorded a 15.0 million pre-tax litigation settlement gain in Q2 2024, with 11.7millionexcludedfromnon−GAAPmeasures[43]−Third−partylegalcostsforthelitigationmatterwere11.7 million excluded from non-GAAP measures[43] - Third-party legal costs for the litigation matter were 3.3 million in 2024, with 2.7millionincurredinQ1and2.7 million incurred in Q1 and 0.6 million in Q2[43]