UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ Annual Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 for the fiscal year ended January 2, 2026. OR ☐ Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 for the transition period from ________ to _________. Commission File Number 0-18655 EXPONENT, INC. (Exact name of registrant as specified in its charter) Delaware 77-0218904 (State or other jurisdiction of ...

Shares of Exponent (EXPO) have gained 2.3% over the past four weeks to close the last trading session at $73.1, but there could still be a solid upside left in the stock if short-term price targets of Wall Street analysts are any indication. Going by the price targets, the mean estimate of $91.67 indicates a potential upside of 25.4%.The mean estimate comprises three short-term price targets with a standard deviation of $7.64. While the lowest estimate of $85.00 indicates a 16.3% increase from the current p ...

Core Viewpoint - Exponent (EXPO) has received an upgrade to a Zacks Rank 2 (Buy), indicating a positive outlook on its earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system is based solely on changes in a company's earnings picture, which is a powerful driver of near-term stock price movements [2][4]. - An increase in earnings estimates typically leads to higher fair value calculations by institutional investors, resulting in stock price movements [4]. Company Performance and Outlook - The upgrade in Zacks Rank for Exponent suggests an improvement in the company's underlying business, which could lead to higher stock prices as investors respond positively [5][10]. - For the fiscal year ending December 2026, Exponent is expected to earn $2.29 per share, with a 1.3% increase in the Zacks Consensus Estimate over the past three months [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with a strong historical performance, particularly for Zacks Rank 1 stocks, which have generated an average annual return of +25% since 1988 [7]. - The upgrade of Exponent to a Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [10].

分组1 - Exponent (EXPO) reported quarterly earnings of $0.49 per share, exceeding the Zacks Consensus Estimate of $0.47 per share, and showing an increase from $0.46 per share a year ago, resulting in an earnings surprise of +3.70% [1] - The company achieved revenues of $129.38 million for the quarter ended December 2025, surpassing the Zacks Consensus Estimate by 0.88% and increasing from $123.76 million year-over-year [2] - Exponent has consistently outperformed consensus EPS and revenue estimates over the last four quarters, indicating strong performance [2] 分组2 - The stock has gained approximately 0.9% since the beginning of the year, outperforming the S&P 500's gain of 0.5% [3] - The current consensus EPS estimate for the upcoming quarter is $0.56 on revenues of $143.78 million, and for the current fiscal year, it is $2.25 on revenues of $579.69 million [7] - The Consulting Services industry, to which Exponent belongs, is currently ranked in the top 39% of over 250 Zacks industries, suggesting a favorable outlook for the sector [8]

Financial Data and Key Metrics Changes - Total revenues for Q4 2025 increased by 8% to $147.4 million, while net revenues rose by 5% to $129.4 million compared to Q4 2024 [12][13] - Net income for Q4 was $24.8 million, or $0.49 per diluted share, up from $23.6 million, or $0.46 per diluted share in the prior year [14] - EBITDA for Q4 was $34.7 million, with a margin of 26.8% of net revenues, compared to $31.2 million or 25.2% in the same period of 2024 [15] - For the full year 2025, total revenues grew by 4% to $582 million, while net revenues increased to $536.8 million [18] - Net income for the year decreased by 3% to $106 million, or $2.07 per diluted share [18] Business Line Data and Key Metrics Changes - The engineering and other scientific segment represented 85% of net revenues in Q4 2025, with a 7% increase in net revenues for the quarter and a 4% increase for the full year [22] - The environmental and health segment accounted for 15% of net revenue in Q4, with a 5% decrease in revenues for the quarter, while remaining flat for the full year [23] Market Data and Key Metrics Changes - Growth in proactive engagements was driven by increased demand in user research and consumer electronics, as well as risk management work in the utility sector [4][5] - Reactive engagements saw growth due to failure analysis and dispute-related services across various industries, including energy and transportation [7] Company Strategy and Development Direction - The company aims to leverage artificial intelligence and complex technologies to enhance its service offerings and maintain a competitive edge [10][30] - Exponent is focused on diversifying its client base and product offerings, particularly in the consumer electronics and energy sectors [11][46] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the demand environment, particularly in AI and novel technologies, which are expected to drive growth in 2026 [36][39] - The company anticipates high single-digit growth in net revenues for Q1 and full year 2026, with EBITDA margins expected to remain stable [24][28] Other Important Information - The company distributed $61.5 million to shareholders through dividends and repurchased $97.8 million of common stock in 2025 [21] - As of year-end, Exponent had $221.9 million in cash and cash equivalents [22] Q&A Session Summary Question: Performance of consumer electronics in proactive business - Management noted an uptick in user research engagements, particularly related to health-related products and novel AI-driven devices [33][34] Question: Guidance and visibility for 2026 - Management indicated strong visibility into market demands and trends, with a positive outlook for headcount growth and utilization [36][39] Question: Characterization of 2026 compared to 2025 - Management highlighted an acceleration of growth and demand across various sectors, particularly in consumer electronics and energy [44][46] Question: AI's impact on litigation support and investigation services - Management discussed the integration of AI tools to enhance efficiency while also emphasizing the need for high-level expertise to handle complex data [50][52] Question: Expectations for net headcount growth in 2026 - Management expects net headcount growth of 40-50, focusing on areas such as transportation, energy, and cybersecurity [56][58] Question: AI's contribution to growth - Management affirmed that AI is a net benefit, driving growth in various sectors, including transportation and user research [60][68]

Financial Data and Key Metrics Changes - For Q4 2025, total revenues increased by 8% to $147.4 million, while net revenues rose by 5% to $129.4 million compared to Q4 2024 [12][13] - Net income for Q4 was $24.8 million, or $0.49 per diluted share, up from $23.6 million, or $0.46 per diluted share in the prior year [14] - EBITDA for the quarter was $34.7 million, with a margin of 26.8% of net revenues, compared to $31.2 million or 25.2% in the same period of 2024 [15] - For the full year 2025, total revenues grew by 4% to $582 million, while net revenues increased to $536.8 million [18] - Net income for the year decreased by 3% to $106 million, or $2.07 per diluted share [18] Business Line Data and Key Metrics Changes - The engineering and other scientific segment represented 85% of net revenues in Q4 2025, with a 7% increase in net revenues for the quarter and a 4% increase for the full year [22] - The environmental and health segment accounted for 15% of net revenues in Q4, with a 5% decrease in revenues for the quarter and flat revenues for the full year [23] Market Data and Key Metrics Changes - Growth in proactive engagements was driven by increased demand in user research and consumer electronics, as well as risk management work in the utility sector [4][5] - Reactive engagements saw growth due to failure analysis and dispute-related services across various industries, including energy and transportation [7] Company Strategy and Development Direction - The company aims to leverage artificial intelligence and complex technologies to enhance its service offerings and maintain a competitive edge [10][11] - Exponent is focused on diversifying its client base and expanding its range of products and technologies to meet rising market demands [11] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the long-term market drivers, including increasing complexity and rapid technological innovation, which are expected to support sustained demand for Exponent's services [10][30] - The outlook for Q1 and full year 2026 anticipates net revenue growth in the high single digits, with EBITDA margins expected to remain stable [24][28] Other Important Information - The company distributed $61.5 million to shareholders through dividends and repurchased $97.8 million of common stock in 2025 [21] - As of year-end, Exponent had $221.9 million in cash and cash equivalents [21] Q&A Session Summary Question: Insights on consumer electronics performance - Management noted an uptick in user research engagements, particularly related to health-related products and novel AI-driven devices [33][34] Question: Guidance and visibility for 2026 - Management indicated strong visibility into market demands and trends, with a focus on AI and novel technologies driving growth [36][39] Question: Characterization of 2026 compared to 2025 - Management highlighted an acceleration of growth and demand across various sectors, particularly in consumer electronics and energy [44][46] Question: AI's impact on litigation support services - Management discussed the integration of AI tools to enhance efficiency while also emphasizing the need for high-level expertise to analyze complex data [50][52] Question: Expectations for net headcount growth in 2026 - Management expects net headcount growth of 40-50, focusing on areas such as transportation, energy, and cybersecurity [56][58] Question: AI's contribution to company growth - Management affirmed that AI is a net benefit, driving growth in various sectors, including transportation and user research [60][68]

Exponent (NasdaqGS:EXPO) Q4 2025 Earnings call February 05, 2026 04:30 PM ET Speaker2Good day, and welcome to the Exponent, Inc. fourth quarter and fiscal year 2025 earnings conference call. All participants will be in listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press Star then One on a touchtone phone. To withdraw your quest ...

1 Forward Looking Statements & Non-GAAP Financial Measures This presentation release contains, and incorporates by reference, certain "forward-looking" statements (as such term is defined in the Private Securities Litigation Reform Act of 1995, and the rules promulgated pursuant to the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended) that are based on the beliefs of the Company's management, as well as assumptions made by and information currently available to the Com ...

Revenue Performance - Total revenues increased by 7.8% to $147.4 million in Q4 2025 compared to $136.8 million in Q4 2024[3] - For the fiscal year 2025, total revenues grew by 4.2% to $582.0 million, up from $558.5 million in fiscal year 2024[6] - The engineering and other scientific segment accounted for 85% of revenues before reimbursements in Q4 2025, with a 7% increase in revenues compared to the prior year[11] - The environmental and health segment represented 15% of revenues before reimbursements in Q4 2025, with a 5% decrease in revenues due to one less week of activity[12] - Exponent anticipates high-single digit revenue growth and EBITDA to be between 27.5% to 28.5% of revenues before reimbursements for fiscal year 2026[16] Net Income and Earnings - Net income rose to $24.8 million, or $0.49 per diluted share, in Q4 2025, up from $23.6 million, or $0.46 per diluted share, in Q4 2024[4] - Net income for fiscal year 2025 was $106.0 million, or $2.07 per diluted share, down from $109.0 million, or $2.11 per diluted share, in fiscal year 2024[7] - Net income for the quarter ended January 2, 2026, was $24,762,000, up from $23,589,000 in the same quarter of the previous year, representing a growth of 5.0%[28] EBITDA Performance - EBITDA increased to $34.7 million, representing 26.8% of revenues before reimbursements in Q4 2025, compared to 25.2% in Q4 2024[5] - EBITDA for fiscal year 2025 was $148.1 million, or 27.6% of revenues before reimbursements, compared to 28.4% in fiscal year 2024[8] - EBITDA for the quarter was $34,707,000, compared to $31,233,000 in the prior year, indicating an increase of 11.9%[28] - EBITDAS for the quarter reached $39,735,000, up from $36,090,000, marking a growth of 7.3% year-over-year[28] Dividends and Stock Repurchase - The company paid $61.5 million in dividends and repurchased $97.8 million of common stock during fiscal year 2025[9] Balance Sheet Highlights - Total assets increased slightly to $777,519,000 in January 2026 from $777,270,000 in January 2025, reflecting a growth of 0.03%[26] - Total current liabilities rose to $178,002,000 in January 2026 from $163,183,000 in January 2025, an increase of 9.1%[26] - Retained earnings increased to $668,423,000 in January 2026 from $624,151,000 in January 2025, reflecting a growth of 7.1%[26] - Accounts receivable, net, increased to $181,507,000 in January 2026 from $161,407,000 in January 2025, a rise of 12.5%[26] - Total stockholders' equity decreased to $390,341,000 in January 2026 from $421,068,000 in January 2025, a decline of 7.3%[26] - Operating lease liability remained relatively stable, with a slight decrease from $76,084,000 in January 2025 to $75,944,000 in January 2026[26] Stock-Based Compensation - The company reported an increase in stock-based compensation to $5,028,000 for the quarter ended January 2, 2026, compared to $4,857,000 in the same quarter of the previous year, a rise of 3.5%[28]

Core Viewpoint - Exponent, Inc. has increased its quarterly cash dividend from $0.30 to $0.31 per share, reflecting the company's commitment to returning capital to shareholders and confidence in its business performance driven by strong market dynamics [1][3]. Dividend Information - The new quarterly cash dividend of $0.31 per share will be paid on March 20, 2026, to shareholders of record as of March 6, 2026 [1]. - Exponent plans to continue paying quarterly dividends each year in March, June, September, and December, subject to the Board of Directors' final determination [2]. Business Performance and Strategy - The increase in the dividend is attributed to strong market drivers, including an accelerating pace of innovation and rising expectations for safety and reliability, which enhance the value of Exponent's scientific and engineering capabilities [3]. - Exponent integrates over 90 technical disciplines and employs more than 950 consultants to assist clients in navigating complex industry challenges, focusing on solutions for a safer and more sustainable world [3][4]. Global Operations - Exponent's consultants leverage multidisciplinary expertise and resources from offices across North America, Asia, and Europe, enabling the company to provide valuable insights to various sectors, including multinational companies, startups, law firms, and governments [4].