FTI Consulting Reports 5.3% Revenue Growth in Q2 2026, Net Income Declines by 19.4%

FTI Consulting, Inc. reported a revenue increase of 5.3% for the second quarter of 2026, reaching $993.5 million compared to $943.7 million in the same period last year. The growth was primarily driven by higher revenues in the Corporate Finance, Technology, and Forensic and Litigation Consulting (FLC) segments. However, net income for the quarter decreased by 19.4% to $57.8 million, down from $71.7 million in the prior year, attributed to increased direct costs, selling, general and administrative expenses, and interest expenses.

In the first half of 2026, total revenues rose to $1.98 billion, a 7.3% increase from $1.84 billion in the first half of 2025. The company experienced a notable rise in operating expenses, which increased to $1.81 billion from $1.66 billion year-over-year. The operating income for the first half of 2026 was $168.9 million, down from $178.0 million in the previous year. The decline in profitability was influenced by higher costs associated with operations and interest payments, despite the revenue growth.

Strategically, FTI Consulting has made significant moves, including the establishment of a tax equity investment in clean energy projects, amounting to $42.1 million. This investment is expected to generate tax credits and is part of the company's broader strategy to enhance its sustainability initiatives. Additionally, the company has been active in its stock repurchase program, spending $520 million on share buybacks in the first half of 2026, which reflects its commitment to returning value to shareholders.

Operationally, FTI Consulting's total employee count increased to 8,124 as of June 30, 2026, up from 7,907 a year earlier. The company reported a slight decrease in utilization rates across its segments, with the Corporate Finance segment at 59% and FLC at 54%. The average billable rate per hour also saw an increase, particularly in the Corporate Finance segment, which rose to $553 from $532 in the previous year. The company continues to focus on enhancing its service offerings and expanding its market presence, particularly in the technology and consulting sectors.

Looking ahead, FTI Consulting anticipates continued revenue growth driven by demand for its consulting services, although it remains cautious about potential economic fluctuations and their impact on client engagements. The company is committed to maintaining its operational efficiency while navigating the challenges posed by rising costs and market competition.