FTI Consulting Reports 3.3% Revenue Growth and 24.6% Increase in Net Income for Q3 2025

FTI Consulting, Inc. reported a revenue increase of 3.3% for the third quarter of 2025, reaching $956.2 million compared to $926.0 million in the same period last year. The growth was attributed to higher revenues in the Corporate Finance, Forensic and Litigation Consulting (FLC), and Strategic Communications segments, which offset declines in the Economic Consulting and Technology segments. Net income for the quarter rose 24.6% to $82.8 million, driven by increased revenues and lower selling, general, and administrative expenses, despite higher direct costs and interest expenses.

In terms of operational metrics, the company experienced a decrease in total headcount, with 8,167 employees as of September 30, 2025, down from 8,382 a year earlier. The number of billable professionals also saw a slight decline, particularly in the Economic Consulting segment, which reported a 8.2% reduction in billable headcount. The utilization rate for billable professionals improved in several segments, notably Corporate Finance, which increased to 63% from 57% year-over-year.

FTI Consulting's strategic initiatives included a significant stock repurchase program, with $770.9 million spent on repurchasing shares during the nine months ended September 30, 2025. The company had $75.3 million remaining under its repurchase authorization as of the end of the quarter. Additionally, the firm reported long-term debt of $510 million under its revolving credit facility, which was established to support operational and capital needs.

The company’s cash flow from operations showed a notable shift, with net cash used in operating activities amounting to $207.6 million for the nine months ended September 30, 2025, compared to a positive cash flow of $79.8 million in the same period last year. This decline was primarily due to increased compensation and tax payments, as well as higher forgivable loan issuances. The days sales outstanding (DSO) improved slightly to 102 days from 108 days year-over-year, indicating a more efficient collection process.

Looking ahead, FTI Consulting anticipates continued challenges in certain segments, particularly Economic Consulting, where demand has softened. However, the company remains focused on leveraging its strengths in Corporate Finance and FLC to drive future growth. Management expressed confidence in the firm’s ability to navigate market conditions and capitalize on opportunities, while maintaining a strong balance sheet to support strategic initiatives and potential acquisitions.