CRAI Q3 Deep Dive: Antitrust, International Growth, and New Talent Fuel Results

Economic consulting firm CRA International (NASDAQ:CRAI) reported revenue ahead of Wall Streets expectations in Q3 CY2025, with sales up 10.8% year on year to $185.9 million. The company’s full-year revenue guidance of $744 million at the midpoint came in 1.3% above analysts’ estimates. Its non-GAAP profit of $2.06 per share was 14.4% above analysts’ consensus estimates.

Is now the time to buy CRAI? Find out in our full research report (it’s free for active Edge members).

StockStory’s Take

CRA’s third quarter results were well received by the market, supported by strong growth across its core consulting practices and expanding international operations. Management attributed performance to double-digit revenue gains in its Antitrust & Competition Economics, energy, finance, and intellectual property groups. CEO Paul Maleh highlighted robust demand for antitrust advisory services, with the firm advising on high-profile regulatory matters and large-scale M&A activity. The company also noted broad-based growth across client industries, supported by increased case filings and a healthy legal services environment.

Looking ahead, CRA’s updated outlook centers on continued expansion in its international business and sustained demand in key consulting segments. Management pointed to ongoing hiring of senior consultants as a driver for scaling capacity, alongside cross-practice collaboration to address more complex client needs. While CEO Paul Maleh acknowledged macroeconomic and political uncertainties, he expressed cautious optimism about visibility, stating, "the consistency of results that we've enjoyed during the year" supports a positive outlook. CRA is focused on leveraging recent talent acquisitions and growing legal and regulatory activity to underpin its guidance.

Key Insights from Management’s Remarks

CRA’s management pointed to broad-based revenue gains, international expansion, and targeted investments in talent as central to the quarter’s performance and positive market reaction.

• Antitrust & Competition Economics momentum: The Antitrust & Competition Economics practice delivered double-digit growth, driven by ongoing regulatory scrutiny and large M&A deals requiring expert advisory. Management cited advising UnitedHealth Group and Microsoft in prominent global regulatory matters as notable contributors.
• International operations surge: International revenue grew over 30% year-over-year, led by strong demand for antitrust and life sciences expertise in Europe. Management credited consistent enforcement trends and the high quality of its European competition team for this outperformance.
• Legal and regulatory services strength: CRA benefited from a significant increase in legal case filings and court judgments, which supported growth across litigation-focused practices such as intellectual property and forensic services. CEO Maleh noted that this broad-based activity bodes well for future consulting demand.
• New senior talent acquisition: During the quarter, CRA made substantial investments to acquire nearly 20 new Vice Presidents from lateral hires. Management expects these senior consultants to drive new business and support future revenue growth once fully integrated.
• Cross-practice collaboration: Management highlighted increased collaboration between practices, such as competition, transfer pricing, and finance, enabling CRA to address larger and more complex client matters. These multidisciplinary projects are expected to generate higher-value engagements and support continued expansion.

Drivers of Future Performance

CRA’s forward guidance is shaped by ongoing demand for regulatory consulting, continued international expansion, and the integration of new senior hires to scale capacity.

• Sustained regulatory demand: Management expects continued high levels of regulatory scrutiny, especially in antitrust and M&A, to drive consulting opportunities. CEO Maleh stated that client inflow for these services remains robust and is not showing signs of slowing, even as U.S. regulatory approaches evolve.
• International growth focus: The company is prioritizing growth in Europe and other international markets, citing consistent enforcement environments and a strong reputation in antitrust economics. Management believes this focus will help balance any variability in North American regulatory activity.
• Integration of new talent: The recent influx of senior consultants is expected to expand CRA’s capacity for complex engagements. Management plans to gradually build supporting teams beneath these hires, with the expectation that headcount growth will eventually align with revenue expansion as new business materializes.

Catalysts in Upcoming Quarters

Looking forward, our analysts will closely monitor (1) the pace at which CRA’s new senior hires generate incremental business, (2) trends in regulatory and legal case activity—especially in antitrust and life sciences, and (3) the sustainability of international growth, particularly in Europe. Additional attention will be paid to how cross-practice collaboration translates into larger, more complex project wins.

CRA currently trades at $186.01, up from $177.94 just before the earnings. In the wake of this quarter, is it a buy or sell? Find out in our full research report (it’s free for active Edge members).

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