FTI Consulting (FCN) Q3 2025 earnings summary

Executive summary

• Achieved record Q3 2025 revenues of $956.2 million, up 3.3% year-over-year, and record EPS of $2.60, up 41% from $1.85, with net income rising to $82.8 million, driven by higher revenues, lower SG&A, and FX gains.

• Adjusted EBITDA increased to $130.6 million (13.7% margin), up 26.8% year-over-year, with strong performance in Corporate Finance & Restructuring and Forensic and Litigation Consulting, offsetting declines in Economic Consulting and Technology.

• Strategic investments in talent, technology, and new service adjacencies, along with major share repurchases, contributed to performance.

Financial highlights

• Q3 2025 revenue was $956.2 million (+3.3% YoY); net income was $82.8 million (+24.6% YoY); Adjusted EBITDA was $130.6 million (13.7% margin, up from 11.1% YoY).

• Free cash flow for Q3 2025 was $187.0 million, down from $212.3 million YoY; net cash from operating activities was $201.9 million, down from $219.4 million YoY.

• Cash and equivalents at quarter-end were $146.0 million; total debt net of cash increased to $364.0 million, mainly due to share repurchases.

• Weighted average shares outstanding decreased to 31.8 million from 35.9 million due to significant share repurchases.

Outlook and guidance

• Full-year 2025 revenue guidance raised to $3.685–$3.735 billion; Adjusted EPS guidance to $8.20–$8.70, reflecting strong Q3 performance.

• Q4 expected to be seasonally weaker due to holiday slowdowns, especially in Corporate Finance and FLC; gradual recovery anticipated in Economic Consulting, but timing remains uncertain.

• Management expects cash flows from operations and available credit to be sufficient for at least the next 12 months.