WASHINGTON, Feb. 18, 2026 (GLOBE NEWSWIRE) -- FTI Consulting, Inc. (NYSE: FCN) today announced the appointment of Scott Davidson as a Senior Managing Director in the Aviation Business Transformation practice within the firm’s Corporate Finance & Restructuring segment. Mr. Davidson, who is based in New York, has nearly two decades of experience advising airlines, aviation service providers, and aircraft and engine manufacturers on strategic, operational and commercial challenges. He has deep expertise regard ...

Core Insights - Sequoia Strategy achieved a return of 9% in Q4 2025, outperforming the S&P 500 Index which returned 2.7% during the same period [1] - For the full year 2025, Sequoia Strategy delivered a return of 21.9%, compared to 17.9% for the S&P 500 Index [1] - The Strategy focuses on investing in high-quality, fundamentally and financially strong businesses at reasonable prices, covering a wide range of sectors, business styles, and regions [1] Company Highlights - Accenture plc (NYSE:ACN) was highlighted as a recent addition to Sequoia Strategy's portfolio [2][3] - Accenture's one-month return was -14.36%, and its shares have decreased by 37.81% over the last 52 weeks [2] - As of February 6, 2026, Accenture's stock closed at $240.60 per share, with a market capitalization of $149.218 billion [2]

Core Insights - Middle managers face significant changes in their roles and are often expected to implement new organizational models without clear guidance, leading to uncertainty that affects team dynamics [3][4] - There is a disconnect between leadership expectations and employee execution, with leaders focusing on organizational design while neglecting the practical details of implementation [4] - The integration of artificial intelligence into organizational models will exacerbate these challenges [5] Recommendations - Bain suggests a 20/200/2000 framework for support: 20 senior leaders, 200 middle managers, and 2000 employees, emphasizing the need for structured support during transitions [6] - Effective leadership involves planning for practical work in new models and providing necessary support to employees during transitions [7] Survey Findings - After reorganizations, 88% of leaders believe their new structures will succeed, but only 36% of employees share this belief [8] - Only 22% of employees felt they received adequate support for adapting to new workflows, despite over 80% of leaders believing they communicated effectively [8]

Financial Data and Key Metrics Changes - Total revenue grew 10% to $27 billion, with underlying revenue growth of 4% [4] - Adjusted operating income increased 11% to $7.3 billion, following 11% growth in 2024 [4] - Adjusted EPS grew 9% [4] - Free cash flow increased by 25% [5] - Adjusted operating margin improved by 30 basis points, marking 18 consecutive years of margin expansion [4] Business Line Data and Key Metrics Changes - Risk and Insurance Services (RIS) revenue was $4 billion, up 9% year-over-year, with 2% underlying growth [18] - Marsh Risk revenue was $3.7 billion, up 10% from a year ago, or 3% on an underlying basis [18] - Guy Carpenter's revenue in the quarter was $215 million, up 7%, or 5% on an underlying basis [20] - Consulting segment revenue was $2.6 billion, up 8% or 5% on an underlying basis [20] - Mercer revenue was $1.6 billion, up 9% or 4% on an underlying basis [21] Market Data and Key Metrics Changes - Primary commercial insurance rates decreased 4% in Q4, following a 4% decline in Q3 [10] - Global property rates decreased 9% year-over-year [10] - Global financial and professional liability rates were down 4%, while cyber rates decreased 7% [10] - Global casualty rates increased 4%, with U.S. excess casualty up 19% [10] Company Strategy and Development Direction - The company aims to be the most impactful professional services firm globally, focusing on risk, reinsurance, capital, health, and management consulting [7] - The Thrive program is expected to provide greater financial flexibility and organizational agility over the next three years [7] - Investments are being made in digital infrastructure, healthcare, private capital, and energy [7][9] - The new Marsh brand was launched to simplify the value proposition for clients [8] Management's Comments on Operating Environment and Future Outlook - The management acknowledges a complex operating environment characterized by geopolitical tensions and economic challenges [15] - Despite headwinds from lower interest rates and decreasing insurance pricing, the company is well-positioned for solid growth in 2026 [14][26] - The company expects underlying revenue growth in 2026 to be similar to 2025 [14][26] Other Important Information - The company repurchased $2 billion in shares, the largest annual amount in its history [5] - Total debt at the end of the quarter was $19.6 billion [24] - The adjusted effective tax rate for 2025 was 25.3%, down from 25.9% in 2024 [23] Q&A Session Questions and Answers Question: Impact of AI and digital infrastructure investments on long-term revenue outlook - The company expects approximately $3 trillion of investment in digital infrastructure over the next five years, which is a significant focus area [30] Question: Reinsurance market rate reductions and organic revenue growth - Management acknowledges that while rate reductions in property cat pricing may pose challenges, there are still areas of demand and new business opportunities [44][50] Question: AI's impact on headcount and revenue in management consulting - Thrive will fuel efficiency and investment in market-facing talent, with ongoing development of productivity tools to enhance efficiency [54][56]

Core Insights - The report by Boston Consulting Group, Heidrick & Struggles, and INSEAD examines how boards in emerging markets are adapting governance practices amid increasing uncertainty and complexity [1][2] Governance Challenges - Boards in emerging markets face compounded pressures from global and local factors, including geopolitical tensions, trade disruptions, and technological changes, which intensify existing domestic challenges [3] - The nature of uncertainty has evolved, becoming broader, faster-moving, and driven by "unknown unknowns," making traditional risk management approaches less effective [2] Opportunities for Improvement - Despite the challenges, boards are enhancing foundational governance practices such as role clarity, risk oversight, and contingency planning, while also focusing on trust, culture, and collective behavior [4] - The report highlights the importance of board composition and quality of debate, suggesting that diversity and independence can improve the ability to anticipate risks and opportunities [6] Broader Impact - Boards in emerging markets can play a significant role beyond their companies by engaging with regulators and industry peers to strengthen governance standards and contribute to institutional resilience [5] - Effective governance is framed as a corporate responsibility that also supports broader economic and societal stability [5] Practical Framework - The report concludes with a framework for boards to assess their readiness for high uncertainty, focusing on hard levers (structure and process), soft levers (trust and behavior), and ecosystem stewardship [7]

Core Points - The U.S. Treasury Department has canceled all contracts with Booz Allen Hamilton due to failures in protecting sensitive taxpayer data and a past breach that exposed confidential tax information [1][2][3] Group 1: Contract Cancellation - The Treasury Department canceled 31 contracts with Booz Allen, amounting to $4.8 million in annual spending and $21 million in total obligations [2] - This decision is part of a broader initiative by the Trump administration to enhance oversight of government contractors and restore public confidence in federal institutions [2][3] Group 2: Data Breach Incident - The cancellation is linked to a significant IRS data breach involving a former Booz Allen employee, Charles Littlejohn, who leaked confidential tax returns of approximately 406,000 taxpayers [4] - Littlejohn pleaded guilty to felony charges for unauthorized disclosure of confidential tax information and received a five-year prison sentence [4] Group 3: Impact on Booz Allen Hamilton - Booz Allen's Treasury contracts represent a small portion of its projected fiscal year 2025 revenue of $12 billion, with total order backlogs at $38 billion [5] - Following the announcement, Booz Allen's stock dropped by 8.12%, closing at $93.93, despite having a favorable price trend in the short and medium terms [5]

Core Insights - The era of automatic salary increases in consulting is over, with firms maintaining compensation levels due to increased efficiency and strategic talent investment rather than a decline in demand for consulting services [1][2][29] - Starting salaries for MBAs remain at $192,000, with performance bonuses and signing bonuses unchanged from the previous year, while undergraduate hires earn significantly less [1][8] - The report highlights a trend of stagnant pay across the consulting industry, with firms focusing on productivity gains and efficiency rather than increasing entry-level salaries [2][30] Salary Trends - For MBAs, total compensation at top firms like Bain, BCG, and McKinsey remains flat, with Bain leading at $285,000, followed by BCG at $270,000 and McKinsey at $267,000 [8][11] - Undergraduate hires at Bain earn a total compensation of $140,000, which is $3,000 higher than both BCG and McKinsey, with performance bonuses also reflecting similar trends [10][13] - The Big 4 firms show similar patterns, with PwC Strategy& offering the highest total compensation at $280,000 for MBAs, while undergraduate compensation remains steady across the board [11][13] Benefits and Incentives - The Consulting Salaries Report provides detailed insights into various benefits beyond base pay, including performance incentives, signing bonuses, and additional perks like PTO and tuition reimbursement [4][5] - Bain offers the highest performance bonuses among MBB firms, while McKinsey provides significant tuition reimbursement and housing allowances, indicating varied appeal in compensation packages [9][10] - Smaller boutique firms are noted for offering innovative benefits to attract talent, including unlimited PTO and performance bonuses that can significantly enhance total compensation [14][15][16] Market Dynamics - The consulting industry is experiencing a shift towards structural efficiency, with firms leveraging AI and automation to maintain productivity without increasing headcount [28][29] - Despite a healthy demand for consulting services, firms are cautious about increasing entry-level pay, focusing instead on preserving margins and flexibility [30][31] - U.S. consulting compensation continues to outpace global peers, with international markets experiencing stagnation in salary growth [31] Career Earnings Potential - MBAs can expect to earn significantly more than undergraduates, with potential first-year earnings for MBAs reaching up to $295,000 at OC&C Strategy Consultants, compared to $168,000 for undergraduates at Alvarez & Marsal [22][23] - The report outlines a clear trajectory for career earnings, indicating that MBAs can expect substantial increases in base pay and bonuses as they progress in their careers [24][25] - Factors such as promotion velocity, skill development, and long-term exit opportunities are emphasized as critical for career growth in consulting [32][33]

Core Insights - The report from Oliver Wyman Forum highlights that geoeconomic and technological disruptions are reshaping consumer and workplace sentiment, leading to increased emotional strain and changing behaviors in investment, shopping, work, technology use, and healthcare engagement [1] Financial Independence - Financial independence has become a significant goal and source of anxiety, with the percentage of respondents identifying it as an unmet need rising to 41% from 32% in 2022, and the pressure to earn money for success nearly doubling (+80%) in the same period [2] - Interest in the FIRE (Financial Independence, Retire Early) movement has increased from 24% to 37%, and financial literacy is now the top skill individuals wish they had learned earlier [2] Wellness Trends - The proportion of individuals practicing at least four wellness activities has increased from 22% to 30% since 2021, while the inactive lifestyle group has decreased from 15% to 4%, despite a 7-point drop in self-reported mental health sentiment [3] AI in Healthcare - Over half of respondents (55%) are now comfortable using AI for everyday health inquiries, with 47% using it for specific conditions and 37% for urgent health needs [4] Workplace Expectations - Fulfillment has emerged as a key workplace expectation, ranking as the second most important job quality, while dissatisfaction with leadership has risen, with 51% of respondents viewing current leadership models as outdated and complaints about leadership increasing nearly 60% since 2023 [5] AI Integration in Work - Two-thirds of employees (67%) now interact with AI in conversational ways, and 28% would prefer an AI manager over a human one, although this integration raises concerns about role clarity and performance standards [6] Consumer Behavior - Consumer expectations are rising, leading to fragile brand loyalty; 64% of consumers would abandon a brand after a single poor experience, increasing to 69% among high-income shoppers [7] Research Overview - The report analyzes five-year changes in attitudes, values, and trust among consumers and professionals globally, focusing on how economic uncertainty, leadership behavior, mental wellness, and AI are reshaping decision-making [8]

Core Insights - McKinsey has significantly increased its AI agents from 3,000 to approximately 20,000 in 18 months, reflecting a growth of over 500% [1] - The company is integrating AI into its hiring process, requiring candidates to demonstrate proficiency with its internal AI tool, Lilli, during interviews [2][3] - McKinsey is shifting its focus to candidates with liberal arts backgrounds, seeking creativity and problem-solving skills that complement AI capabilities [4] Hiring Process Changes - Candidates are now expected to use the AI tool Lilli in a test as part of the final interview round, indicating a shift towards evaluating AI readiness [2][6] - The company encourages the use of AI in the application process for refining résumés and practicing interview questions, while cautioning against misuse [5] - The AI interview is an additional step in the application process, alongside traditional case and personal experience interviews [6] Industry Trends - The move towards AI integration in hiring reflects a broader trend among consulting firms to seek candidates who are AI-ready from day one [3] - Other industry leaders, such as the CEO of Cognizant Technology Solutions, are also prioritizing liberal arts graduates for their creative potential in conjunction with AI [4]

Core Insights - McKinsey & Company is integrating AI into its interview process for junior candidates, indicating a significant shift in consulting workflows due to AI adoption [1][2] - The pilot program involves candidates using McKinsey's AI tool, Lilli, during case interviews, which reflects the evolving role of AI in supporting junior consultants' tasks [3] Group 1: AI Integration in Consulting - The pilot program requires graduate candidates to utilize an AI assistant during interviews, showcasing the deepening role of AI in consulting [1][2] - Interviewers assess candidates on their ability to interact with the AI tool, evaluate its outputs, and apply findings to client scenarios, mirroring the actual work of junior consultants [3] Group 2: Impact on Career Progression - Consulting firms operate under an "up-or-out" model, where employees must advance within a specific timeframe or leave, which is now influenced by AI capabilities [4][5] - As AI takes over more analytical tasks traditionally performed by junior consultants, performance expectations may shift, potentially compressing promotion timelines and increasing pressure on early-career consultants [6] Group 3: Future of Consulting Workforce - Consultants who cannot adapt to AI-assisted workflows may exit the firm earlier than in the past, leading to a narrower base of the consulting pyramid as firms adjust hiring and evaluation standards [7]