Huron Consulting Group (HURN) Q3 2025 earnings summary

Executive summary

• Achieved record Q3 2025 revenues before reimbursable expenses of $432.4M, up 16.8% year-over-year, with 10.2% organic growth driven by robust demand and recent acquisitions across all segments.

• Net income for Q3 2025 rose 12.0% to $30.4M; diluted EPS increased 16.3% to $1.71; adjusted diluted EPS up 25.0% to $2.10.

• Adjusted EBITDA for Q3 2025 grew 22.9% to $67.4M, with margin improving to 15.6% from 14.8% year-over-year.

• Returned $152.5M to shareholders via repurchase of 1.1M shares, representing 6.1% of shares outstanding in the first nine months of 2025.

• Strong pipeline and sales conversion in healthcare and education, with commercial segment showing an inflection point in demand.

Financial highlights

• Q3 2025 total revenues: $441.3M, up from $378.1M in Q3 2024; net income margin was 6.9% (down from 7.2% in Q3 2024).

• Adjusted net income for Q3 2025 was $37.4M, up 20.3% year-over-year; adjusted EBITDA margin was 15.6%.

• Year-to-date 2025 revenues before reimbursable expenses increased 12.1% to $1.23B; adjusted EBITDA up 17.4% to $169.5M.

• Free cash flow for the quarter was $85.3M; cash and cash equivalents at September 30, 2025 were $23.9M.

• DSO improved to 76 days from 86 days year-over-year.

Outlook and guidance

• Raised midpoint of 2025 adjusted diluted EPS guidance to $7.60; narrowed full-year revenue guidance to $1.65B–$1.67B.

• Affirmed adjusted EBITDA margin guidance of 14%–14.5% for 2025.

• Management expects continued strong demand and margin expansion into 2026, with performance-based fee arrangements likely to increase.

• Capital deployment will focus on share repurchases and strategic acquisitions.