CRAI Shares Increase 2.8% Since Its Q3 Earnings Release

Core Insights - CRA International, Inc. (CRAI) reported strong third-quarter 2025 results, with earnings and revenues exceeding the Zacks Consensus Estimate, leading to a 2.8% increase in share price post-earnings release [1] Financial Performance - Quarterly EPS was $2.06, surpassing the Zacks Consensus Estimate by 14% and reflecting a 16.4% increase year over year [3][8] - Total revenues reached $185.9 million, exceeding the Zacks Consensus Estimate by 3.8%, although this represented a 10.8% decline compared to the previous year [3][8] - Non-GAAP EBITDA increased by 14.6% year over year to $24.4 million, with a non-GAAP EBITDA margin improvement of 40 basis points to 13.1% [4] Guidance and Outlook - CRAI raised its 2025 constant-currency revenue guidance to a range of $740-$748 million, up from the previous range of $730-$745 million, with the midpoint exceeding the Zacks Consensus Estimate of $743.1 million [2][8] - The company expects a non-GAAP EBITDA margin in the range of 12.6-13%, an increase from the prior estimate of 12.3-13% [2] Operational Metrics - The company achieved a utilization rate of 77%, while headcount decreased by 1% year over year [4] - Cash and cash equivalents at the end of the second quarter were $22.50 million, down from $26.7 million at the end of December 2024, with $85.25 million generated from operating activities [5]