Huron Consulting Group Reports 11.8% Revenue Growth to $451.8 Million in Q1 2026

Huron Consulting Group Inc. reported its financial results for the first quarter of 2026, revealing a total revenue of $451.8 million, a 11.8% increase from $404.1 million in the same period last year. The company's revenues before reimbursable expenses rose by $48 million, or 12.1%, driven by strong demand in its Consulting and Managed Services capabilities, particularly within the Healthcare and Commercial segments. Net income for the quarter was $23.2 million, a decrease of 5.3% from $24.5 million in the prior year, resulting in diluted earnings per share of $1.34, up from $1.33.

The company's operating expenses increased to $415.2 million, up 11.8% from $371.4 million in the previous year. Direct costs, which primarily consist of compensation for revenue-generating professionals, rose by $30.2 million, reflecting increased hiring and annual salary adjustments. Huron's operating income for the quarter was $36.6 million, an increase of 11.8% compared to $32.7 million in the first quarter of 2025, with an operating margin of 8.2%.

Huron's strategic developments included several acquisitions in 2025, which contributed to the revenue growth. The company completed six acquisitions, including notable firms like Treliant and Eclipse Insights, which enhanced its service offerings in the Healthcare and Commercial sectors. The total fair value of consideration for these acquisitions was approximately $159.7 million, with $108.1 million recorded as goodwill. The company also reported a significant increase in its workforce, with the number of revenue-generating professionals rising by 12.6% to 5,346 as of March 31, 2026.

In terms of operational metrics, Huron's utilization rate for its Consulting and Managed Services professionals improved to 74.6%, compared to 74.1% in the previous year. The company also reported a total of 2,643 Managed Services professionals, reflecting a 59.5% increase from the prior year, driven by heightened demand for its services. Huron's cash and cash equivalents stood at $26.5 million, with net cash used in operating activities increasing to $162.2 million, primarily due to higher salary payments and annual bonuses.

Looking ahead, Huron remains focused on expanding its market presence in Healthcare and Education while growing its capabilities in Commercial industries. The company aims to leverage its strong balance sheet and cash flows to support strategic acquisitions and return capital to shareholders, with $144.6 million remaining available under its share repurchase program. Huron's management expressed confidence in its ability to navigate market conditions and achieve its growth objectives, despite the challenges posed by fluctuating demand and economic uncertainties.