Huron Consulting(US:HURN)2025-10-28 20:14Financial Performance - Revenues before reimbursable expenses increased $62.3 million, or 16.8%, to a record $432.4 million in Q3 2025 from $370.0 million in Q3 2024[3] - Net income increased $3.3 million, or 12.0%, to $30.4 million in Q3 2025, compared to $27.1 million in Q3 2024[3] - Adjusted EBITDA increased $12.6 million, or 22.9%, to $67.4 million in Q3 2025 from $54.9 million in Q3 2024[3] - Diluted earnings per share increased $0.24, or 16.3%, to $1.71 in Q3 2025, compared to $1.47 in Q3 2024[3] - Revenues before reimbursable expenses increased $132.9 million, or 12.1%, to $1.23 billion for the first nine months of 2025 from $1.10 billion for the same prior year period[12] - Adjusted diluted earnings per share increased $1.10, or 24.1%, to $5.67 for the first nine months of 2025 from $4.57 for the same prior year period[15] - Total revenues for the nine months ended September 30, 2025, reached $1,257,180,000, compared to $1,122,491,000 for the same period in 2024, reflecting a 12.0% growth[24] - Net income for the nine months ended September 30, 2025, was $74.386 million, a decrease of 10.2% from $82.637 million in 2024[28] - Adjusted net income for the first nine months of 2025 was $102.1 million, a 19.8% increase from $85.3 million in the same period of 2024[36] Shareholder Returns - Huron returned $152.5 million to shareholders by repurchasing 1.1 million shares of common stock for the first nine months of 2025[12] - The company repurchased shares amounting to $153.097 million during the nine months ended September 30, 2025[28] Operational Metrics - The number of revenue-generating professionals increased 15.2% to 5,244 as of September 30, 2025, from 4,551 as of September 30, 2024[11] - Total assets as of September 30, 2025, were $1,544,182,000, an increase from $1,343,617,000 at the end of 2024, indicating a growth of 14.9%[26] - Current liabilities decreased to $330,054,000 from $338,820,000, a reduction of 2.1%[26] - Long-term debt increased to $589,591,000 as of September 30, 2025, compared to $342,857,000 at the end of 2024, reflecting a significant rise of 72.2%[26] - The company anticipates adjusted EBITDA as a percentage of revenues before reimbursable expenses in a range of 14.0% to 14.5% for 2025[17] - The company anticipates continued growth in adjusted EBITDA as a percentage of revenues, although specific guidance for reconciling items was not provided[20] Segment Performance - Healthcare segment revenues before reimbursable expenses for the three months ended September 30, 2025, rose by 19.9% to $219.541 million compared to $183.136 million in 2024[30] - Operating income for the Healthcare segment for the nine months ended September 30, 2025, increased by 24.5% to $183.724 million from $147.591 million in 2024[30] - The number of revenue-generating professionals in the Healthcare segment increased by 17.1% to 1,428 as of September 30, 2025, from 1,219 in 2024[30] - Managed Services capability revenues before reimbursable expenses in the Healthcare segment for the nine months ended September 30, 2025, were $64.3 million, up from $53.5 million in 2024[32] - The Commercial segment's revenues before reimbursable expenses for the three months ended September 30, 2025, increased by 26.6% to $83.396 million compared to $65.865 million in 2024[30] Cash Flow and Liquidity - Total cash provided by operating activities for the nine months ended September 30, 2025, was $66.987 million, an increase from $61.704 million in 2024[28] - Cash and cash equivalents at the end of the period increased to $23.889 million from $18.497 million in 2024[28] Management Insights - Management emphasizes the importance of non-GAAP measures for understanding operational performance and future prospects[19] - The company is focused on optimizing operations and accelerating digital transformation to enhance client services and drive sustainable results[21] Other Financial Information - The company incurred $3.5 million in restructuring charges in Q3 2025, slightly up from $3.1 million in Q3 2024[36] - Unrealized losses on long-term investments amounted to $16.1 million for the first nine months of 2025, impacting the financial results[37] - The company reported a net income as a percentage of total revenues of 6.9% in Q3 2025, down from 7.2% in Q3 2024[34]