FTI Consulting Stock Remains Flat Since Q2 Earnings Beat

FTI Consulting, Inc. FCN reported impressive second-quarter 2025 results, wherein both earnings and revenues beat the Zacks Consensus Estimate. However, the earnings beat had no impact on the market as the stock remained flat since the earnings release on July 24.

Quarterly adjusted EPS came in at $2.13, which beat the Zacks Consensus Estimate by 14% but decreased 9% year over year. Total revenues of $943.7 million beat the consensus estimate by 3.6% but fell 0.6% year over year. 

FTI Consulting, Inc. Price, Consensus and EPS Surprise

FTI Consulting, Inc. price-consensus-eps-surprise-chart | FTI Consulting, Inc. Quote

FTI Consulting shares have gained 8.3% in the past 30 days compared with a 2.6% drop in the industry it belongs to and the 3.8% rise of the Zacks S&P 500 composite.

FCN’s Segmental Performance

Technology revenues decreased 27.9% year over year to $83.6 million. The decline was primarily due to lower demand for merger and acquisition (M&A)-related “second request” services.

Economic Consulting revenues dropped 17% year over year to $191.7 million due to lower demand for M&A-related antitrust, financial economics and non-M&A-related antitrust services, partially offset by higher realized bill rates. 

Corporate Finance & Restructuring revenues gained 9% year over year to $379.2 million. The increase in revenues was primarily due to increased demand for restructuring and transactions services and higher realized bill rates, partially offset by lower demand for transformation & strategy and transactions services.

Strategic Communications revenues increased 20.8% year over year to $102.7 million. The rise in revenues was primarily due to an $8.4 million jump in pass-through revenues and higher demand for corporate reputation services.

Forensic and Litigation Consulting revenues rose 10% year over year to $186.5 million. Excluding acquisition-related revenues, higher realized bill rates for risk and investigations services, along with increased bill rates and demand for data & analytics services, primarily drove the increase in revenues.

FCN’s Margins Expand

Adjusted EBITDA came in at $111.6 million, down 3.7% on a year-over-year basis. The adjusted EBITDA margin declined 410 basis points year over year to 8.7%.

FCN’s Balance Sheet and Cash Flow Figures

FTI Consulting exited the quarter with a cash and cash equivalent balance of $152.8 million compared with the prior quarter’s $226.4 million. FCN generated $55.7 million of cash from operating activities in the quarter. The capital expenditure was $35.2 million.

FCN’s Guidance

The company now estimates that revenues for full-year 2025 will range between $3.66 billion and $3.76 billion. The lower end of the guided range is in line with the Zacks Consensus Estimate.

FCN expects EPS for the full year to range between $7.24 per share and $7.84 per share. The Zacks Consensus Estimate for the same is pegged at $7.96 per share.

For the remainder of 2025, the company currently expects additional capital expenditures to support the organization with an aggregate amount between $29 million and $36 million.

FCN currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Earnings Snapshot

Fiserv, Inc. FI reported mixed second-quarter 2025 results, wherein earnings beat the Zacks Consensus Estimate, and revenues missed the same.

FI’s adjusted earnings per share of $2.47 beat the consensus mark by 2.5% and rose 16% year over year. Adjusted revenues of $5.2 billion missed the consensus estimate by a slight margin but gained 1.7% on a year-over-year basis.

The Interpublic Group of Companies, Inc. IPG reported impressive second-quarter 2025 results, wherein earnings and revenues beat the Zacks Consensus Estimate.

IPG’s adjusted earnings of 75 cents per share surpassed the Zacks Consensus Estimate by 36.4% and jumped 23% from the year-ago quarter. Revenues before billable expenses (net revenues) of $2.2 billion beat the consensus estimate by a slight margin but declined 19.8% year over year. Total revenues of $2.5 billion decreased 7.2% year over year but outpaced the Zacks Consensus Estimate of $2.2 billion.

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This article originally published on Zacks Investment Research (zacks.com).

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