Crawford & Company (CRD-A) investor relations material

Executive summary

• Revenues before reimbursements declined 1% year-over-year to $309.5 million for Q1 2026, mainly due to lower U.S. Property & Casualty claims activity and benign weather, partially offset by growth in Broadspire and International Operations.

• Net income attributable to shareholders was $4.9 million, down 27% from $6.7 million in Q1 2025, or $0.10 per diluted share.

• Adjusted EBITDA was $22.4 million, down 16%–17% year-over-year.

• Nearly $24 million in new and enhanced business was secured during the quarter.

• Operating cash flow improved to $3.3 million, up $17.2 million year-over-year.

Financial highlights

• Q1 2026 revenues were $309.5 million, down 1% year-over-year; total revenues including reimbursements were $320.1 million.

• Adjusted operating earnings were $13.7 million, down 23% year-over-year.

• Non-GAAP EPS was $0.16, down from $0.21 in Q1 2025.

• Free cash flow improved to $(4.6) million from $(23.2) million in Q1 2025.

• Cash and cash equivalents stood at $54.5 million as of March 31, 2026; total debt at $194.1 million.

Outlook and guidance

• Management expects continued growth in Broadspire and Global Technical Services, with new business ramping up later in the year.

• Streamlined U.S. operations and investments in technology are expected to support scalable growth.

• Effective tax rate for 2026 is expected to be approximately 33% to 35%.

• The industry continues to experience below-historical outsourced claims activity due to extended benign weather.

• No material changes to critical accounting policies or estimates are anticipated.