FTI Consulting (FCN) Reports Q3 Earnings: What Key Metrics Have to Say (Revised)
For the quarter ended September 2023, FTI Consulting (FCN) reported revenue of $893.26 million, up 15.1% over the same period last year. EPS came in at $2.34, compared to $2.15 in the year-ago quarter.
The reported revenue compares to the Zacks Consensus Estimate of $847.55 million, representing a surprise of +5.39%. The company delivered an EPS surprise of +27.17%, with the consensus EPS estimate being $1.84.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how FTI Consulting performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Total revenue - generating professionals: 6,478 versus the three-analyst average estimate of 6,544.
Number of revenue - generating professionals - Corporate Finance & Restructuring: 2,251 compared to the 2,123 average estimate based on two analysts.
Number of revenue - generating professionals - Economic Consulting: 1,085 versus 1,076 estimated by two analysts on average.
Number of revenue - generating professionals - Technology: 629 versus 630 estimated by two analysts on average.
Average billable rate per hour - Economic Consulting: $559 compared to the $555.90 average estimate based on two analysts.
Utilization rates of billable professionals - Forensic and Litigation Consulting: 57% versus 55% estimated by two analysts on average.
Utilization rates of billable professionals - Corporate Finance & Restructuring: 60% versus the two-analyst average estimate of 59%.
Revenues- Technology: $98.86 million compared to the $95.14 million average estimate based on three analysts. The reported number represents a change of +16.4% year over year.
Revenues- Strategic Communications: $86.84 million versus $80.73 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +19.9% change.
Revenues- Corporate Finance & Restructuring: $347.56 million compared to the $304.64 million average estimate based on three analysts. The reported number represents a change of +23.2% year over year.
Revenues- Economic Consulting: $193.87 million versus $186.78 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +0.4% change.
Revenues- Forensic and Litigation Consulting: $166.14 million versus the three-analyst average estimate of $180.37 million. The reported number represents a year-over-year change of +15.9%.
View all Key Company Metrics for FTI Consulting here>>>
Shares of FTI Consulting have returned +2% over the past month versus the Zacks S&P 500 composite's -3.4% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
(We are reissuing this article to correct a mistake. The original article, issued on October 26, 2023, should no longer be relied upon.)
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