Crawford & Company (CRD-A) investor relations material

Executive summary

• FY25 revenue was $1.27 billion, down 2.1% year-over-year, mainly due to lower property claims activity in the U.S. and benign weather, while operating earnings and margins improved.

• Record annual revenues and operating earnings were achieved in Broadspire and International Operations, offsetting declines in weather-related segments.

• Operating cash flow rose to $102 million, up $50 million from the prior year, supporting investments, debt reduction, and shareholder returns.

• Streamlined global operating structure implemented in 2026 to enhance efficiency and client outcomes.

• Annual dividend paid was $0.29 per share, with share repurchases and new business growth contributing to capital allocation.

Financial highlights

• Consolidated operating earnings increased over 10% to $82.3 million for 2025, with operating margin expanding to 6.5%.

• Q4 2025 revenues were $308.5 million, down 11% year-over-year; Q4 GAAP net loss was $7.2 million vs. net income of $5.7 million in Q4 2024.

• Non-GAAP EPS for 2025 was $0.91, up from 2024; Q4 non-GAAP EPS was $0.15, down from $0.19 in Q4 2024.

• Non-GAAP adjusted EBITDA rose 9% to $118.4 million for 2025; free cash flow increased to $63.3 million, up from $10 million in 2024.

• Cash and equivalents at year-end were $64.1 million; total debt reduced to $189.1 million from $218.1 million at the end of 2024.

Outlook and guidance

• Management expects a subdued Q1 2026 due to lack of carryover hurricane claims and internalization by carriers, but remains optimistic for 2026 with a focus on operational discipline and growth.

• Streamlined U.S. operating structure effective January 2026 is expected to improve efficiency and support scalable growth.

• Continued investment in long-term growth through capital expenditures and M&A, leveraging technology and expertise.