FTI Consulting (FCN) Q4 2023 earnings summary

Executive summary

• Record FY 2023 revenue and earnings, with revenue growth driven by higher demand across all five segments.

• Q4 revenue rose 19.4% reported and 18.0% excluding estimated FX impact; adjusted EBITDA margin increased to 13.8% from 11.9%.

Financial highlights

• FY 2023 revenue was $3.489B, up 15.2%; net income increased 16.7% to $274.9M from $235.5M.

• FY adjusted EBITDA rose 18.8% to $424.8M, with margin at 12.2% versus 11.8%.

• FY diluted EPS was $7.71 versus $6.58; adjusted EPS was $7.71 versus $6.77.

• Q4 revenue was $924.7M, up 19.4%; net income increased to $81.6M from $47.5M.

• Q4 adjusted EBITDA rose 38.5% to $127.4M; diluted and adjusted EPS were both $2.28, versus $1.33 and $1.52, respectively.

Outlook and guidance

• FY 2024 revenue guidance: $3.650B–$3.790B; EPS guidance: $7.75–$8.50. Adjusted EPS is not expected to differ from EPS.