For the quarter, revenues increased 3.0 percent to a first quarter record of $407.2 million. Fully diluted earnings per share ("EPS") were $0.58 for the quarter. Adjusted earnings per share ("Adjusted EPS") increased 37.2 percent to $0.59 for the quarter compared to $0.43 for the prior year quarter. Adjusted EBITDA was $59.3 million in the quarter compared to $54.0 million for the prior year quarter, representing an increase of 9.9 percent. Adjusted EPS, Adjusted EBITDA and Adjusted Segment EBITDA are non-GAAP measures defined elsewhere in this press release and are reconciled to GAAP measures in the financial tables that accompany this press release.
Commenting on these results, Jack Dunn, FTI Consulting President and Chief Executive Officer said, "Once again our results for the first quarter were led by the excellent performance of our market-leading Economic Consulting group. We also enjoyed the contributions from two small Corporate Finance/Restructuring acquisitions in Asia Pacific and in telecommunications, media and technology respectively, and began to see results from our efforts to cut costs in SG&A."
Go deeper with GlobalData
Access deeper industry intelligence
Experience unmatched clarity with a single platform that combines unique data, AI, and human expertise.
Cash and Capital Allocation
Cash and cash equivalents were $100.7 million at March 31, 2013. During the quarter, the Company used $28.8 million to repurchase and retire 826,800 shares of the Company’s common stock. In addition, the Company used $14.7 million in payments for acquisitions.
First Quarter Segment Results
The following current and prior year segment-level financial information, commentary and results reflect the combination as of January 1, 2013 of approximately 200 healthcare and life sciences focused personnel that were formerly included in the Corporate Finance/Restructuring and Forensic and Litigation Consulting segments into a single practice reported in the results for Forensic and Litigation Consulting. Absent this change, revenues for the first quarter would have been $17.6 million higher in Corporate Finance/Restructuring and lower in Forensic and Litigation Consulting and Adjusted Segment EBITDA margin would have been 70 basis points higher in Forensic and Litigation Consulting and 148 basis points lower in Corporate Finance/Restructuring.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataCorporate Finance/Restructuring
Revenues in the Corporate Finance/Restructuring segment increased 2.3 percent to $99.1 million from $96.9 million in the prior year quarter. Results reflect growth from the acquisition of an Australian based restructuring business in the fourth quarter of 2012 and increased demand for the telecommunications, media and technology practice and the U.K., while demand for North America bankruptcy and restructuring services declined. Adjusted Segment EBITDA decreased to $19.1 million, or 19.3 percent of segment revenues from $24.2 million, or 25.0 percent of segment revenues, in the prior year quarter due to lower utilization in the North America bankruptcy and restructuring practice.
Economic Consulting
Revenues in the Economic Consulting segment increased 15.1 percent to $115.2 million from $100.1 million in the prior year quarter. Revenues were driven by strong demand and higher average bill rates across the board including the financial economics, antitrust, European international arbitration, regulatory and valuation practices. Adjusted Segment EBITDA was $26.2 million, or 22.7 percent of segment revenues, compared to $18.4 million, or 18.4 percent of segment revenues, in the prior year quarter reflecting enhanced operating leverage from higher staff utilization and bill rates.
Forensic and Litigation Consulting
Revenues in the Forensic and Litigation Consulting segment decreased 2.8 percent to $100.7 million from $103.6 million in the prior year quarter reflecting growth in its global construction and global risk and investigations practices versus lower demand for global financial and enterprise data analytics and core North America services. Adjusted Segment EBITDA was $12.8 million in the quarter, or 12.7 percent of segment revenues, compared to $14.7 million, or 14.2 percent of segment revenues, in the prior year quarter.
