Exponent Inc (EXPO) Reports Q3 2023 Financial Results
Exponent Inc (NASDAQ:EXPO) reported Q3 2023 financial results, with total revenues increasing by 5% to $133.3 million.
Net income for the quarter was $24.5 million, slightly higher than the $24.4 million reported in Q3 2022.
EBITDA for Q3 2023 was $34.5 million, a slight decrease from $34.6 million in Q3 2022.
Exponent Inc (NASDAQ:EXPO) paid $40.9 million in dividends and repurchased $17.0 million of common stock in the first three quarters of 2023.
Exponent Inc (NASDAQ:EXPO) released its third-quarter financial results for the fiscal year 2023 on October 26, 2023. The company reported growth in nearly every industry it serves, demonstrating the resilience of its diversified portfolio. The company's investments in differentiated capabilities have enabled it to stay ahead of the pace of innovation, supporting broad-based revenue growth and earnings.
Financial Highlights
Exponent Inc (NASDAQ:EXPO) reported a 5% increase in total revenues for Q3 2023, reaching $133.3 million compared to $127.2 million in Q3 2022. Revenues before reimbursements also increased by 9% to $125.0 million. Net income for the quarter was $24.5 million, or $0.48 per diluted share, slightly higher than the $24.4 million, or $0.47 per diluted share, reported in the same period of 2022. The company's consolidated tax rate was 27.9% in the third quarter, compared to 27.0% for the same period in 2022.
EBITDA for Q3 2023 was $34.5 million, or 27.6% of revenues before reimbursements, a slight decrease from $34.6 million, or 30.0% of revenues before reimbursements in Q3 2022.
Year to Date Financial Results
For the first three quarters of 2023, total revenues and revenues before reimbursements increased by 7% and 9% to $413.9 million and $383.3 million, respectively. This is compared to $385.9 million and $351.2 million in the same period one year ago. Net income for the first three quarters of 2023 was $79.4 million, or $1.54 per diluted share, compared to $79.8 million, or $1.52 per diluted share, in the same period of 2022.
Dividends and Stock Repurchase
Exponent Inc (NASDAQ:EXPO) announced its quarterly cash dividend of $0.26 to be paid on December 22, 2023. Through the first three quarters of 2023, the company paid $40.9 million in dividends, repurchased $17.0 million of common stock, and closed the period with $137.1 million in cash and cash equivalents.
Business Overview and Outlook
Exponent's engineering and other scientific segment represented 83% of the company's revenues before reimbursements in the third quarter and through the first three quarters of 2023. The environmental and health segment represented 17% of the company's revenues before reimbursements in the same periods. The company anticipates revenues before reimbursements to grow in the mid-single digits for the fourth quarter of 2023 and in the high-single digits for the full fiscal year 2023.
Exponent Inc (NASDAQ:EXPO) remains focused on excellence in execution in this dynamic marketplace as well as strategically expanding its offerings in anticipation of its clients future needs. The company's strong market drivers and sustainable business model will continue to drive profitable long-term growth and value for its shareholders.
Explore the complete 8-K earnings release (here) from Exponent Inc for further details.
This article first appeared on GuruFocus.
