Summary of CRA International Conference Call - December 10, 2025 Company Overview - **Company Name**: Charles River Associates (CRA) - **Ticker**: CRAI - **Industry**: Economic consulting and management consulting - **Anniversary**: Celebrated 60th anniversary in 2025 and over 27 years as a publicly traded company [2][3] Core Business Segments - **Revenue Composition**: - Legal and Regulatory: Approximately 80% of total revenue - Management Consulting: Remaining 20% [4] - **Key Practices**: - Antitrust and Competition Economics: 40%-45% of total revenue - Life Sciences, Energy, Auctions and Competitive Bidding, Maritime Practices: Contribute to management consulting [8][9] Financial Performance - **Revenue Growth**: Over 50% growth in the past five years; year-to-date 2025 shows continued growth [11] - **Headcount Growth**: Increased by 20% over the past five years [11] - **Earnings Per Share (EPS)**: Grew by 142% over the past five years [11] - **Shareholder Returns**: Nearly $200 million returned to shareholders through share repurchases and dividends [12] - **Share Repurchase**: Average repurchase price over the past five years was $88, with current trading above $190 [12] Talent and Workforce - **Employee Qualifications**: - Approximately 75% of senior colleagues have advanced degrees; over 40% hold PhDs [5][6] - Less than 10% voluntary turnover among top revenue-generating employees over the past five years [7] - **Diversity**: Employees from over 70 countries, speaking more than 35 languages [6] Market Position and Clientele - **Client Base**: Worked with 85 of the Fortune 100 companies and 98 of the Am Law 100 law firms in the past two years [10] - **Project-Based Business Model**: Trust built on a project-by-project basis rather than subscription-based [10] Investment Thesis - **Long-Term Value Maximization**: Focus on earning returns above the cost of capital and returning excess capital to shareholders [13] - **Organic Growth**: Approximately two-thirds of growth is organic, with a focus on talent acquisition and retention [17] Current Market Dynamics - **M&A Activity**: Increasing momentum in mergers and acquisitions, with CRA involved in significant deals [24] - **Litigation Activity**: Notable increase in litigation filings, indicating a robust demand for consulting services [26] Conclusion - **Outlook**: CRA anticipates continued success and record performance in 2025, with a strong pipeline of new business opportunities and talent acquisition [19][23]