Crawford & Company (CRD-A) Q1 2025 earnings summary

Executive summary

• Revenue grew 3.4% year-over-year to $312 million, with strong gains in North America Loss Adjusting, International Operations, and Broadspire, while Platform Solutions saw a slight decline.

• Net income attributable to shareholders rose 139% to $6.7 million, with diluted EPS up to $0.13 for both share classes.

• Adjusted EBITDA increased 30% year-over-year to $26.8 million, with margin expansion across most segments.

• Quarterly dividend of $0.07 per share paid for both CRDA and CRDB; leverage ratio remains low at 1.9x EBITDA.

• Profitability was driven by a diversified business model, disciplined execution, and both weather and non-weather revenue growth.

Financial highlights

• Consolidated revenue was $312 million (up 3.4% year-over-year; 5% in constant currency); adjusted revenue excluding FX was $316.5 million.

• Net income was $6.7 million, up from $2.8 million; adjusted net income was $10.3 million.

• Diluted EPS was $0.13 (up from $0.06); adjusted diluted EPS was $0.21.

• Adjusted operating earnings were $17.8 million (up 47%); adjusted EBITDA margin was 8.6% (up 176 bps year-over-year).

• Cash and cash equivalents stood at $57.4 million; net debt at $189.2 million; total debt at $246.6 million as of March 31, 2025.

Outlook and guidance

• Management expects healthy cash flow for 2025, with a focus on revenue growth, profitability, and financial strength.

• Effective tax rate for 2025 is expected to be approximately 30–32%.

• New foreign tax authority guidance may negatively impact Q2 2025 results by about $5 million.