Financial Performance - Consolidated revenues before reimbursements were $1.266 billion in 2025, a decrease of 2.1% compared to $1.293 billion in 2024[131] - Net income attributable to the Company decreased to $19.6 million in 2025, down from $26.6 million in 2024, primarily due to restructuring and other costs[131] - Total revenues for 2025 were $1,310.8 million, a decrease of 2.2% from 2024's $1,341.0 million[159] - Net income attributable to shareholders decreased by 26.2% to $19.6 million in 2025, down from $26.6 million in 2024[159] Segment Performance - Revenues from the North America Loss Adjusting segment decreased by 2.3% to $304.9 million in 2025, while International Operations increased by 4.7% to $438.2 million[133] - Operating earnings in the North America Loss Adjusting segment increased to $21.0 million, or 6.9% of revenues before reimbursements, from $18.2 million in 2024[137] - Operating earnings in the International Operations segment rose to $25.1 million, or 5.7% of revenues before reimbursements, from $21.0 million in 2024[138] - Broadspire segment operating earnings increased to $54.6 million, or 13.6% of revenues before reimbursements, from $52.4 million in 2024[139] - Platform Solutions segment operating earnings decreased to $7.6 million, or 6.3% of revenues before reimbursements, from $11.2 million in 2024[140] Revenue Trends - International Operations segment revenues grew by 4.7% to $438.2 million in 2025, compared to $418.6 million in 2024[159] - Broadspire segment revenues increased by 3.6% to $401.9 million in 2025, up from $388.1 million in 2024[159] - Platform Solutions segment revenues decreased significantly by 30.5% to $120.8 million in 2025, down from $173.7 million in 2024[159] Cost Management - Cost of services provided decreased by $26.3 million, or 2.8%, in 2025 compared to 2024, consistent with the decrease in revenues[141] - Selling, general, and administrative expenses decreased by $5.5 million, or 1.8%, in 2025, primarily due to a reduction in professional fees[142] - Direct Compensation, Fringe Benefits & Non-Employee Labor expenses totaled $823.3 million in 2025, a decrease of 2.8% from $846.9 million in 2024[159] Case Volume and Activity - Total cases received decreased by 6.9% in 2025, with North America Loss Adjusting segment cases increasing by 35.4% to 328,822, while Platform Solutions cases decreased by 48.4% to 160,099[135] - The North America Loss Adjusting segment experienced a 35.4% increase in unit volume, with cases received rising from 242,824 in 2024 to 328,822 in 2025[167] - Total International Operations cases received decreased by 10.5% to 447,014 in 2025, with significant declines in Latin America and Australia[178] Cash Flow and Liquidity - Cash provided by operating activities increased to $101.8 million in 2025 from $51.6 million in 2024, primarily due to a $56.1 million increase in accounts receivables[269] - Cash used in investing activities decreased to $36.2 million in 2025 from $41.6 million in 2024, attributed to reduced capitalized software costs[271] - Cash used in financing activities rose to $57.6 million in 2025, compared to $12.9 million in 2024, with dividends totaling $14.3 million and share repurchases of $10.5 million[273] - Total liquidity as of December 31, 2025, was $353.1 million, based on cash on hand and borrowing capacity under the Credit Facility[276] Pension and Tax Provisions - Income tax provisions totaled $14.9 million in 2025, with an effective tax rate of 43.1%, compared to $14.6 million and 35.5% in 2024, and $17.1 million and 36.1% in 2023[252] - Cumulative unrecognized actuarial losses for all pension plans were $244.9 million through December 31, 2025, down from $257.1 million in 2024[321] - The discount rates for the U.S. and U.K. defined benefit pension plans were 5.24% and 5.42%, respectively, as of December 31, 2025[315] Restructuring and Other Costs - Restructuring and other costs, net, were recorded at $14.0 million in 2025, marking the first appearance of this cost category in the financials[159] - Restructuring costs amounted to $14.0 million in 2025, with no costs reported in 2024 and 2023[249]
Crawford(CRD_A) - 2025 Q4 - Annual Report