FTI Consulting Stock Moves Up 2.7% Since Q3 Earnings Beat

FTI Consulting, Inc. FCN reported impressive third-quarter 2025 results, wherein both earnings and revenues beat the Zacks Consensus Estimate.

In response to the better-than-expected results and increased guidance for 2025 earnings, the stock has increased 2.7% since the earnings release on Oct. 23.

FCN expects EPS for the full year to range between $8.20 per share and $8.70 per share. The Zacks Consensus Estimate for the same is pegged at $7.96 per share.

Quarterly adjusted EPS came in at $2.60, which beat the Zacks Consensus Estimate by 34.7% and increased 40.5% year over year. Total revenues of $956.2 million beat the consensus estimate by 1.4% but fell 3.3% year over year. 

FTI Consulting, Inc. Price, Consensus and EPS Surprise

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

FCN’s Segmental Performance

Technology revenues decreased 14.8% year over year to $94.08 million. The decline was primarily due to lower demand for merger and acquisition (M&A)-related “second request” services.

Economic Consulting revenues dropped 22% year over year to $173.09 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 18.6% 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 $405 million. The rise in revenues was primarily driven by higher demand for corporate reputation services.

Forensic and Litigation Consulting revenues rose 15.4% year over year to $195 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 $130.6 million, up 26.8% on a year-over-year basis. The adjusted EBITDA margin gained 260 basis points year over year to 13.7%.

FCN’s Balance Sheet and Cash Flow Figures

FTI Consulting exited the quarter with a cash and cash equivalent balance of $145.97 million compared with the prior quarter’s $152.8 million. FCN generated $201.9 million of cash from operating activities in the quarter. The capital expenditure was $14.9 million.

FCN’s Guidance

The company now estimates that revenues for full-year 2025 will range between $3.685 billion and $3.735 billion. The mid-point of the guided range is in line with the Zacks Consensus Estimate of $3.71 billion.

For the remainder of 2025, the company expects the effective tax rate to range between 22% and 24%.

FCN currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Earnings Snapshot

Omnicom Group Inc. OMC reported impressive third-quarter 2025 results, wherein both earnings and revenues beat the Zacks Consensus Estimate.

Earnings of $2.15 per share beat the consensus estimate by 4.2% and increased 10.3% year over year. Total revenues of $4.04 billion surpassed the consensus estimate by 0.4% and rose 4% year over year. The increase in the top line was led by a jump of 2.6% in revenues from organic growth.

ManpowerGroup, Inc. MAN reported impressive third-quarter 2025 results, wherein both earnings and revenues beat the Zacks Consensus Estimate.

Quarterly adjusted earnings per share (EPS) came in at 83 cents, which beat the Zacks Consensus Estimate by 1.2% but decreased 35.7% year over year. Total revenues of $4.63 billion surpassed the consensus estimate by 0.6% and rose 2.3% year over year. 

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

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