Earnings release
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FTI Consulting Reports Record Third Quarter 2026 Revenues of $1.013 Billion, With Growth Across All Five Business Segments October 29, 2026 at 7:30 AM EDT Record Quarterly Revenues of $1.013 Billion, Up 6%, Compared to $956.2 Million in Prior Year Quarter EPS of $2.35, Down 10%, and Record Adjusted EPS of $3.84, Up 48%, Compared to EPS and Adjusted EPS of $2.60 in Prior Year Quarter Company Reaffirms Revenue Guidance, Updates EPS Guidance Range to Between $7.55 and $8.05 and Raises Adjusted EPS Guidance Range to Between $9.50 and $10.00 WASHINGTON, Oct. 29, 2026 (GLOBE NEWSWIRE) -- FTI Consulting, Inc. (NYSE: FCN) today released financial results for the third quarter ended September 30, 2026. Third quarter 2026 record revenues of $1.013 billion increased $56.4 million, or 5.9%, compared to revenues of $956.2 million in the prior year quarter. The increase was driven by revenue growth across all business segments. Net income of $63.4 million compared to $82.8 million in the prior year quarter. The decrease in net income was primarily due to a $46.0 million special charge and higher direct costs, selling, general and administrative (“SG&A”) expenses and interest expense, which more than offset revenue growth and a lower income tax provision. The special charge related to a plan to align staffing with demand included $45.5 million in salary- and benefits-related costs and $0.5 million of non-cash real estate-related costs. Adjusted EBITDA of $153.7 million, or 15.2% of revenues, compared to $130.6 million, or 13.7% of revenues, in the prior year quarter. Third quarter 2026 Adjusted EBITDA excludes the aforementioned special charge and $4.5 million of Extraordinary Litigation-Related Expenses.1 Third quarter 2026 EPS of $2.35 compared to $2.60 in the prior year quarter. Third quarter 2026 EPS included the special charge and Extraordinary Litigation- Related Expenses, which reduced EPS by $1.36 and $0.13, respectively. Third quarter Adjusted EPS of $3.84 compared to EPS of $2.60 in the prior year quarter, where Adjusted EPS was equal to EPS. Steven H. Gunby, CEO and Chairman of FTI Consulting, commented, “Our record results this quarter reflect the strength and breadth of our global platform. Though our results included certain favorable non-recurring items, such as record success fees and a lower effective tax rate, at their core, they were driven by the fact that in a world facing major change and disruption, our clients are increasingly turning to us for the depth and breadth of our capabilities.” Cash Position and Capital Allocation Net cash provided by operating activities of $190.4 million for the quarter ended September 30, 2026 compared to $201.9 million for the quarter ended September 30, 2025. The year-over-year decrease in net cash provided by operating activities was primarily due to an increase in operating expense and compensation payments, which was partially offset by higher cash collections and a decrease in forgivable loan issuances. During the quarter ended September 30, 2026, the Company repurchased 523,588 shares of its common stock at an average price per share of $151.55 for a total cost of $79.4 million. As of September 30, 2026, approximately $264.7 million remained available for common stock repurchases under the Company’s stock repurchase program. Cash and cash equivalents of $88.1 million at September 30, 2026 compared to $146.0 million at September 30, 2025 and $163.7 million at June 30, 2026. Total debt of $852.0 million at September 30, 2026 compared to $510.0 million at September 30, 2025 and $1.020 billion at June 30, 2026. Third Quarter 2026 Segment Results Corporate Finance Revenues in the Corporate Finance segment increased $19.5 million, or 4.8%, to $424.4 million in the quarter compared to $404.9 million in the prior year quarter. The increase in revenues was primarily due to higher success fees and realized bill rates, which was partially offset by lower demand for turnaround & restructuring and transactions services. Segment operating income of $83.4 million compared to $93.0 million in the prior year quarter. Adjusted Segment EBITDA of $102.8 million, or 24.2% of segment revenues, compared to $96.4 million, or 23.8% of segment revenues, in the prior year quarter. The increase in Adjusted Segment EBITDA was primarily due to higher revenues, which was partially offset by an increase in compensation, which includes the impact of a 6.3% increase in billable headcount. Forensic and Litigation Consulting Revenues in the Forensic and Litigation Consulting segment increased $0.4 million, or 0.2%, to $195.1 million in the quarter compared to $194.7 million in the prior year quarter. The increase in revenues was primarily due to higher realized bill rates, which was partially offset by lower demand for risk & investigations and data & analytics services. Segment operating income of $20.2 million compared to $40.5 million in the prior year quarter. Adjusted Segment EBITDA of $38.0 million, or 19.5% of segment revenues, compared to $42.6 million, or 21.9% of segment revenues, in the prior year quarter. The decrease in Adjusted Segment EBITDA was primarily due to higher SG&A expenses. Economic Consulting Revenues in the Economic Consulting segment increased $16.2 million, or 9.3%, to $189.3 million in the quarter compared to $173.1 million in the prior year quarter. The increase in revenues was primarily due to higher demand for non-merger and acquisition (“M&A”)-related antitrust and M&A-related antitrust services, which was partially offset by lower demand for financial economics services. Segment operating income of $10.7 million compared to segment operating loss of $5.8 million in the prior year quarter. Adjusted Segment EBITDA of $14.0 million, or 7.4% of segment revenues, compared to a loss of $4.6 million in the prior year quarter. The increase in Adjusted Segment EBITDA was primarily due to higher revenues and lower SG&A expenses.
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Technology Revenues in the Technology segment increased $9.1 million, or 9.7%, to $103.2 million in the quarter compared to $94.1 million in the prior year quarter. The increase in revenues was primarily due to higher demand for M&A-related “second request” services. Segment operating income of $8.8 million compared to $9.3 million in the prior year quarter. Adjusted Segment EBITDA of $16.0 million, or 15.5% of segment revenues, compared to $13.6 million, or 14.5% of segment revenues, in the prior year quarter. The increase in Adjusted Segment EBITDA was primarily due to higher revenues, which was partially offset by an increase in compensation, which includes higher as-needed consultant costs, and higher SG&A expenses. Strategic Communications Revenues in the Strategic Communications segment increased $11.2 million, or 12.5%, to $100.6 million in the quarter compared to $89.4 million in the prior year quarter. The increase in revenues was primarily due to higher demand for public affairs and corporate reputation services. Segment operating income of $14.1 million compared to $15.9 million in the prior year quarter. Adjusted Segment EBITDA of $20.4 million, or 20.3% of segment revenues, compared to $16.9 million, or 18.9% of segment revenues, in the prior year quarter. The increase in Adjusted Segment EBITDA was primarily due to higher revenues, which was partially offset by an increase in compensation, which includes the impact of a 5.5% increase in billable headcount, and higher SG&A expenses. Fourth Quarter 2026 Special Charge and Expected Annualized Savings The Company expects that actions taken in the third and fourth quarters of 2026 to align staffing with demand will result in annualized cost savings of approximately $80 million in salary- and benefits-related and real estate-related costs. In connection with these actions, the Company expects to record a fourth quarter 2026 special charge of approximately $7 million, which includes approximately $2 million in salary- and benefits-related costs associated with targeted headcount reductions and approximately $5 million in real estate-related costs. Together with the $46.0 million special charge recorded in the third quarter of 2026, the estimated combined special charge for full year 2026 is expected to be approximately $53 million. 2026 Guidance The Company is reaffirming its full year 2026 revenue guidance range of between $3.940 billion and $4.100 billion. The Company now estimates EPS for full year 2026 will range between $7.55 and $8.05, which compares to the prior range of between $8.70 and $9.30. The Company estimates Adjusted EPS will range between $9.50 and $10.00, which compares to the prior range of between $9.10 and $9.70. The variance between EPS and Adjusted EPS guidance for full year 2026 is related to the third and fourth quarter of 2026 special charges, which the Company estimates will be approximately $1.55, and an estimated $0.40 of Extraordinary Litigation-Related Expenses. Third Quarter 2026 Conference Call FTI Consulting will host a conference call for analysts and investors to discuss third quarter 2026 financial results at 9:00 a.m. Eastern Time on Thursday, October 29, 2026. The call can be accessed live and will be available for replay over the internet for 90 days by logging onto the Company’s investor relations website here. About FTI Consulting FTI Consulting, Inc. is a leading global expert firm for organizations facing crisis and transformation, with more than 8,200 employees located in 32 countries and territories as of September 30, 2026. In certain jurisdictions, FTI Consulting’s services are provided through distinct legal entities that are separately capitalized and independently managed. The Company generated $3.8 billion in revenues during fiscal year 2025. More information can be found at www.fticonsulting.com. Non-GAAP Financial Measures In the accompanying analysis of financial information, we sometimes use information derived from consolidated and segment financial information that may not be presented in our financial statements or prepared in accordance with generally accepted accounting principles in the United States ("GAAP"). Certain of these financial measures are considered not in conformity with GAAP ("non-GAAP financial measures") under the United States Securities and Exchange Commission ("SEC") rules. Specifically, we have referred to the following non-GAAP financial measures: Adjusted Segment EBITDA Adjusted EBITDA Adjusted EBITDA Margin Adjusted Net Income Adjusted Earnings per Diluted Share We have included the definition of Segment Operating Income (Loss), which is a GAAP financial measure, below in order to more fully define the components of certain non-GAAP financial measures in the accompanying analysis of financial information. We define Segment Operating Income (Loss) as a segment’s share of consolidated operating income. We use Segment Operating Income (Loss) for the purpose of calculating Adjusted Segment EBITDA, which is a non-GAAP financial measure. We define Adjusted Segment EBITDA as Segment Operating Income (Loss) before depreciation, amortization of intangible assets, remeasurement of acquisition-related contingent consideration, special charges and goodwill impairment charges. We use Adjusted Segment EBITDA as a basis to internally evaluate the financial performance of our segments because we believe it reflects core operating performance and provides an indicator of the segment’s ability to generate cash. We define Adjusted EBITDA, which is a non-GAAP financial measure, as consolidated net income before income tax provision, other non-operating income (expense), depreciation, amortization of intangible assets, remeasurement of acquisition-related contingent consideration, special charges, goodwill impairment charges, gain or loss on sale of a business, losses on early extinguishment of debt and Extraordinary Litigation-Related Expenses (as defined below). We define Adjusted EBITDA Margin, which is a non-GAAP financial measure, as Adjusted EBITDA as a percentage of total revenues. We believe that these non-GAAP financial measures, when considered together with our GAAP financial results and GAAP financial measures, provide management and investors with a more complete understanding of our operating results, including underlying trends. Many of our competitors use alternative measures of operating performance. Non-GAAP financial measures are used by investors, financial analysts, rating agencies and others to value and compare the financial performance of companies in our industry. Therefore, we also believe that our non-GAAP financial measures, considered along with corresponding GAAP financial measures, provide management and investors with useful supplemental information.
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We define Adjusted Net Income and Adjusted Earnings per Diluted Share ("Adjusted EPS"), which are non-GAAP financial measures, as net income and EPS, respectively, excluding the impact of remeasurement of acquisition-related contingent consideration, special charges, goodwill impairment charges, the gain or loss on sale of a business, losses on early extinguishment of debt and Extraordinary Litigation-Related Expenses (as defined below). We use Adjusted Net Income for the purpose of calculating Adjusted EPS. Management uses Adjusted EPS to assess total Company operating performance on a consistent basis. We believe that these non-GAAP financial measures, when considered together with our GAAP financial results and GAAP financial measures, provide management and investors with useful supplemental information on our business operating results, including underlying trends. “Extraordinary Litigation-Related Expenses” represent expenses related to the Company’s litigation in the case captioned FTI Consulting, Inc. et al., v. Jonathan M. Orszag et al., 8:23-cv-03200-BAH-AAQ (D.Md.) (together with ancillary proceedings, “FTI vs. Orszag, et al”). In May 2026, the United States District Court for the District of Maryland (the “Court”) allowed the Company to file a third amended complaint to an existing proceeding against Jonathan Orszag, adding Econic Partners LLC, a competitor of the Company, and Dr. Mark Israel, a former Company employee, as defendants. The third amended complaint also added additional claims, including for theft of Company trade secrets and conspiracy to unlawfully compete. This litigation was originally filed in November 2023 against Mr. Orszag, a former Company employee, to enforce the terms of his employment agreement. As a result of the Court’s allowance of the third amended complaint, in the Company’s judgment, beginning in the second quarter of 2026, FTI vs. Orszag, et al became non-recurring and outside of the ordinary course of business based on the following considerations: (i) the magnitude of the proceedings, (ii) the complexity of the proceedings, (iii) the counterparties involved and (iv) the Company’s overall litigation strategy. No non-GAAP financial measures for prior periods presented have been adjusted for litigation expenses related to FTI vs. Orszag, et al because the proceedings did not become extraordinary until the second quarter of 2026. Non-GAAP financial measures are not defined in the same manner by all companies and may not be comparable with other similarly titled measures of other companies. Non-GAAP financial measures should be considered in addition to, but not as a substitute for or superior to, the information contained in our Consolidated Statements of Comprehensive Income. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures are included in the financial tables accompanying this press release. Safe Harbor Statement This press release includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact, including among other things, statements about future events, anticipated growth, industry prospects, business trends, our future results of operations and financial position, business strategy and plans, future revenues or performance, financing needs, and objectives of management for future operations, are forward- looking statements. Forward-looking statements often contain words such as “may,” “might,” “will,” “should,” “could,” “would,” “estimates,” “expects,” “anticipates,” “projects,” “plans,” “intends,” “believes,” “commits,” “aspires,” “forecasts,” “future,” “goal,” “seeks” and variations of such words or similar expressions. There are a number of risks, uncertainties and other factors that could cause our actual results or outcomes, and the timing of our results or outcomes, to differ materially from the forward-looking statements expressed or implied by this press release. Although we believe that the expectations and assumptions reflected in these forward-looking statements are reasonable, we can provide no assurance that these expectations and assumptions will prove to be correct. Forward-looking statements relate to future events, results and outcomes and are inherently uncertain. Moreover, we operate in a very competitive and rapidly changing environment, and new risks emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results or outcomes to differ materially from those contained in any forward-looking statements. Important factors that could cause our actual results or outcomes, and the timing of our results and outcomes, to differ materially from the forward-looking statements we make in this press release include those set forth under the heading “Risk Factors” in Part I, Item 1A in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025 filed with the SEC on February 26, 2026 as well as in other information that we file with the SEC from time to time. All forward-looking statements are presented as of the date of this press release and are expressly qualified in their entirety by the cautionary statements included herein. Except as required by law, we undertake no obligation to publicly update or revise any forward-looking statement for any reason. FTI Consulting, Inc. 555 12th Street NW Washington, DC 20004 +1.202.312.9100 Investor & Media Contact: Mollie Hawkes +1.617.747.1791 mollie.hawkes@fticonsulting.com FINANCIAL TABLES FOLLOW FTI CONSULTING, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands, except per share amounts) September 30, December 31, 2026 2025 (Unaudited) Assets Current assets Cash and cash equivalents $ 88,097 $ 265,091 Accounts receivable, net 1,196,790 1,037,678 Current portion of notes receivable 98,167 87,861 Prepaid expenses and other current assets 161,011 126,997 Total current assets 1,544,065 1,517,627
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Property and equipment, net 159,772 169,333 Operating lease assets 180,802 201,492 Goodwill 1,239,950 1,242,777 Intangible assets, net 11,843 13,547 Notes receivable, net 226,579 250,667 Other assets 96,644 95,085 Total assets $ 3,459,655 $ 3,490,528 Liabilities and Stockholders’ Equity Current liabilities Accounts payable, accrued expenses and other $ 227,117 $ 206,247 Accrued compensation 607,836 712,335 Billings in excess of services provided 64,562 56,607 Total current liabilities 899,515 975,189 Long-term debt, net 851,383 365,000 Noncurrent operating lease liabilities 197,138 224,510 Deferred income taxes 98,407 99,611 Other liabilities 89,992 92,487 Total liabilities 2,136,435 1,756,797 Stockholders’ equity Preferred stock, $0.01 par value; shares authorized — 5,000; none outstanding — — Common stock, $0.01 par value; shares authorized — 75,000; shares issued and outstanding — 27,247 (2026) and 30,864 (2025) 272 309 Additional paid-in capital — 354 Retained earnings 1,463,178 1,862,672 Accumulated other comprehensive loss (140,230) (129,604) Total stockholders’ equity 1,323,220 1,733,731 Total liabilities and stockholders’ equity $ 3,459,655 $ 3,490,528 FTI CONSULTING, INC. CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (in thousands, except per share data) Three Months Ended September 30, 2026 2025 (Unaudited) Revenues $ 1,012,563 $ 956,167 Operating expenses Direct cost of revenues 661,773 638,233 Selling, general and administrative expenses 214,404 199,484 Special charges 46,008 — Amortization of intangible assets 538 780 922,723 838,497 Operating income 89,840 117,670 Other income (expense) Interest income and other 713 1,692 Interest expense (13,331) (7,634) (12,618) (5,942) Income before income tax provision 77,222 111,728 Income tax provision 13,773 28,910 Net income $ 63,449 $ 82,818 Earnings per common share ― basic $ 2.37 $ 2.63 Weighted average common shares outstanding ― basic 26,743 31,523 Earnings per common share ― diluted $ 2.35 $ 2.60 Weighted average common shares outstanding ― diluted 26,988 31,823 Other comprehensive loss, net of tax Foreign currency translation adjustments, net of tax expense of $0 $ (374) $ (4,916) Total other comprehensive loss, net of tax (374) (4,916)
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Comprehensive income $ 63,075 $ 77,902 FTI CONSULTING, INC. CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (in thousands, except per share data) Nine Months Ended September 30, 2026 2025 (Unaudited) Revenues $ 2,989,372 $ 2,798,111 Operating expenses Direct cost of revenues 2,015,482 1,888,302 Selling, general and administrative expenses 667,415 586,023 Special charges 46,008 25,295 Amortization of intangible assets 1,689 2,850 2,730,594 2,502,470 Operating income 258,778 295,641 Other income (expense) Interest income and other 1,386 2,466 Interest expense (31,406) (13,859) (30,020) (11,393) Income before income tax provision 228,758 284,248 Income tax provision 49,868 67,908 Net income $ 178,890 $ 216,340 Earnings per common share ― basic $ 6.28 $ 6.50 Weighted average common shares outstanding ― basic 28,477 33,266 Earnings per common share ― diluted $ 6.22 $ 6.43 Weighted average common shares outstanding ― diluted 28,773 33,625 Other comprehensive income (loss), net of tax Foreign currency translation adjustments, net of tax expense of $0 $ (10,626) $ 43,431 Total other comprehensive income (loss), net of tax (10,626) 43,431 Comprehensive income $ 168,264 $ 259,771 FTI CONSULTING, INC. RECONCILIATION OF NET INCOME TO ADJUSTED NET INCOME AND EPS TO ADJUSTED EPS (in thousands, except per share data) Three Months Ended September 30, Nine Months Ended September 30, 2026 2025 2026 2025 (Unaudited) (Unaudited) Net income $ 63,449 $ 82,818 $ 178,890 $ 216,340 Add back: Special charges 46,008 — 46,008 25,295 Tax impact of special charges (9,115) — (9,115) (5,799) Extraordinary Litigation-Related Expenses(1) 4,503 — 11,126 — Tax impact of Extraordinary Litigation-Related Expenses(1) (1,153) — (2,846) — Adjusted Net Income $ 103,692 $ 82,818 $ 224,063 $ 235,836 EPS $ 2.35 $ 2.60 $ 6.22 $ 6.43 Add back: Special charges 1.70 — 1.60 0.75 Tax impact of special charges (0.34) — (0.32) (0.17) Extraordinary Litigation-Related Expenses(1) 0.17 — 0.39 — Tax impact of Extraordinary Litigation-Related Expenses(1) (0.04) — (0.10) — Adjusted EPS $ 3.84 $ 2.60 $ 7.79 $ 7.01
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Weighted average number of common shares outstanding ― diluted 26,988 31,823 28,773 33,625 _______________ (1) Refer to “Non-GAAP Financial Measures” in this Press Release for the definition of “Extraordinary Litigation-Related Expenses.” FTI CONSULTING, INC. RECONCILIATION OF EPS GUIDANCE TO ADJUSTED EPS GUIDANCE Year Ended December 31, 2026 Low High Guidance on estimated earnings per common share— diluted (GAAP)(1) $ 7.55 $ 8.05 Special charges 1.90 1.90 Tax impact of special charges (0.35) (0.35) Extraordinary Litigation-Related Expenses(2) 0.54 0.54 Tax impact of Extraordinary Litigation-Related Expenses(2) (0.14) (0.14) Guidance on estimated adjusted earnings per common share (non-GAAP)(1) $ 9.50 $ 10.00 _______________ (1) The forward-looking guidance on estimated 2026 EPS and Adjusted EPS does not reflect other gains and losses (all of which would be excluded from Adjusted EPS) related to the future impact of remeasurement of acquisition-related contingent consideration, goodwill impairment charges, the gain or loss on sale of a business or losses on early extinguishment of debt, as these items are dependent on future events that are uncertain and difficult to predict. (2) Refer to “Non-GAAP Financial Measures” in this Press Release for the definition of “Extraordinary Litigation-Related Expenses.” FTI CONSULTING, INC. RECONCILIATION OF NET INCOME AND OPERATING INCOME TO ADJUSTED SEGMENT EBITDA AND ADJUSTED EBITDA (in thousands) Three Months Ended September 30, 2026 (Unaudited) Corporate Finance Forensic and Litigation Consulting Economic Consulting Technology Strategic Communications Unallocated Corporate Total Net income $ 63,449 Interest income and other (713) Interest expense 13,331 Income tax provision 13,773 Operating income $ 83,393 $ 20,169 $ 10,738 $ 8,840 $ 14,060 $ (47,360) $ 89,840 Depreciation of property and equipment 3,171 1,971 1,597 4,295 991 764 12,789 Amortization of intangible assets 280 190 — — 68 — 538 Special charges 16,001 15,707 1,647 2,883 5,304 4,466 46,008 Extraordinary Litigation- Related Expenses(1) — — — — — 4,503 4,503 Adjusted EBITDA $ 102,845 $ 38,037 $ 13,982 $ 16,018 $ 20,423 $ (37,627) $ 153,678 Nine Months Ended September 30, 2026 (Unaudited) Corporate Finance Forensic and Litigation Consulting Economic Consulting Technology Strategic Communications Unallocated Corporate Total Net income $ 178,890 Interest income and other (1,386) Interest expense 31,406 Income tax provision 49,868 Operating income $ 251,098 $ 72,469 $ 10,851 $ 21,356 $ 52,288 $ (149,284) $ 258,778 Depreciation of property and equipment 9,484 5,870 4,406 12,662 3,013 1,922 37,357 Amortization of intangible assets 875 609 — — 205 — 1,689 Special charges 16,001 15,707 1,647 2,883 5,304 4,466 46,008 Extraordinary Litigation- Related Expenses(1) — — — — — 11,126 11,126 Adjusted EBITDA $ 277,458 $ 94,655 $ 16,904 $ 36,901 $ 60,810 $ (131,770) $ 354,958
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_______________ (1) Refer to “Non-GAAP Financial Measures” in this Press Release for the definition of “Extraordinary Litigation-Related Expenses.” FTI CONSULTING, INC. RECONCILIATION OF NET INCOME AND OPERATING INCOME (LOSS) TO ADJUSTED SEGMENT EBITDA AND ADJUSTED EBITDA (in thousands) Three Months Ended September 30, 2025 (Unaudited) Corporate Finance Forensic and Litigation Consulting Economic Consulting Technology Strategic Communications Unallocated Corporate Total Net income $ 82,818 Interest income and other (1,692) Interest expense 7,634 Income tax provision 28,910 Operating income (loss) $ 92,953 $ 40,460 $ (5,823) $ 9,286 $ 15,865 $ (35,071) $ 117,670 Depreciation of property and equipment 2,977 1,927 1,261 4,358 976 624 12,123 Amortization of intangible assets 483 229 — — 68 — 780 Adjusted EBITDA $ 96,413 $ 42,616 $ (4,562) $ 13,644 $ 16,909 $ (34,447) $ 130,573 Nine Months Ended September 30, 2025 (Unaudited) Corporate Finance Forensic and Litigation Consulting Economic Consulting Technology Strategic Communications Unallocated Corporate Total Net income $ 216,340 Interest income and other (2,466) Interest expense 13,859 Income tax provision 67,908 Operating income $ 212,031 $ 99,637 $ 19,073 $ 17,440 $ 42,064 $ (94,604) $ 295,641 Depreciation of property and equipment 8,327 5,529 3,996 11,152 2,755 1,832 33,591 Amortization of intangible assets 1,958 686 — — 206 — 2,850 Special charges 11,696 5,475 983 1,928 3,268 1,945 25,295 Adjusted EBITDA $ 234,012 $ 111,327 $ 24,052 $ 30,520 $ 48,293 $ (90,827) $ 357,377 FTI CONSULTING, INC. OPERATING RESULTS BY BUSINESS SEGMENT Segment Revenues Adjusted EBITDA Adjusted EBITDA Margin Utilization Average Billable Rate Billable Headcount (in thousands) (at period end) Three Months Ended September 30, 2026 (Unaudited) Corporate Finance $ 424,365 $ 102,845 24.2% 58% $ 550 2,458 Forensic and Litigation Consulting 195,137 38,037 19.5% 54% $ 468 1,512 Economic Consulting 189,253 13,982 7.4% 61% $ 639 1,003 Technology(1) 103,197 16,018 15.5% N/M N/M 648 Strategic Communications(1) 100,611 20,423 20.3% N/M N/M 954 $ 1,012,563 $ 191,305 18.9% 6,575 Unallocated Corporate (37,627) Adjusted EBITDA $ 153,678 15.2% Nine Months Ended September 30, 2026 (Unaudited) Corporate Finance $ 1,245,266 $ 277,458 22.3% 60% $ 549 2,458
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Forensic and Litigation Consulting 582,269 94,655 16.3% 55% $ 461 1,512 Economic Consulting 553,713 16,904 3.1% 61% $ 617 1,003 Technology(1) 304,537 36,901 12.1% N/M N/M 648 Strategic Communications(1) 303,587 60,810 20.0% N/M N/M 954 $ 2,989,372 $ 486,728 16.3% 6,575 Unallocated Corporate (131,770) Adjusted EBITDA $ 354,958 11.9% Three Months Ended September 30, 2025 (Unaudited) Corporate Finance $ 404,896 $ 96,413 23.8% 63% $ 533 2,312 Forensic and Litigation Consulting 194,689 42,616 21.9% 58% $ 447 1,533 Economic Consulting 173,086 (4,562) (2.6%) 55% $ 597 1,028 Technology(1) 94,081 13,644 14.5% N/M N/M 680 Strategic Communications(1) 89,415 16,909 18.9% N/M N/M 904 $ 956,167 $ 165,020 17.3% 6,457 Unallocated Corporate (34,447) Adjusted EBITDA $ 130,573 13.7% Nine Months Ended September 30, 2025 (Unaudited) Corporate Finance $ 1,127,780 $ 234,012 20.7% 60% $ 520 2,312 Forensic and Litigation Consulting 571,808 111,327 19.5% 58% $ 438 1,533 Economic Consulting 544,604 24,052 4.4% 60% $ 575 1,028 Technology(1) 274,836 30,520 11.1% N/M N/M 680 Strategic Communications(1) 279,083 48,293 17.3% N/M N/M 904 $ 2,798,111 $ 448,204 16.0% 6,457 Unallocated Corporate (90,827) Adjusted EBITDA $ 357,377 12.8% _______________ N/M Not meaningful (1) The majority of the Technology and Strategic Communications segments' revenues are not generated based on billable hours. Accordingly, utilization and average billable rate metrics are not presented as they are not meaningful as a segment-wide metric. FTI CONSULTING, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (in thousands) Nine Months Ended September 30, 2026 2025 (Unaudited) Operating activities Net income $ 178,890 $ 216,340 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Depreciation of property and equipment 37,357 33,591 Amortization of intangible assets 1,689 2,850 Amortization of notes receivable 66,188 50,767 Amortization of tax equity investment 25,389 — Provision for expected credit losses 24,762 25,810 Share-based compensation 31,567 28,694 Deferred income taxes 3,413 18,216 Other 3,176 432 Changes in operating assets and liabilities: Accounts receivable, billed and unbilled (191,147) (122,707) Notes receivable, net of repayments (53,314) (251,576) Prepaid expenses and other assets (6,960) (9,199)
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Accounts payable, accrued expenses and other 17,352 (3,858) Income taxes (26,945) (78,708) Accrued compensation (86,898) (110,111) Billings in excess of services provided 8,160 (8,165) Net cash provided by (used in) operating activities 32,679 (207,624) Investing activities Purchases of property and equipment and other (30,340) (50,142) Payment for tax equity investment (42,101) — Net cash used in investing activities (72,441) (50,142) Financing activities Borrowings under revolving line of credit 1,317,000 1,040,000 Repayments under revolving line of credit (1,130,000) (530,000) Proceeds from issuance of term loan 300,000 — Payments of debt issuance costs (5,401) — Purchase and retirement of common stock, including excise tax (605,272) (770,889) Share-based compensation tax withholdings (11,320) (18,295) Deposits and other 2,781 1,901 Net cash used in financing activities (132,212) (277,283) Effect of exchange rate changes on cash and cash equivalents (5,020) 20,523 Net decrease in cash and cash equivalents (176,994) (514,526) Cash and cash equivalents, beginning of period 265,091 660,493 Cash and cash equivalents, end of period $ 88,097 $ 145,967 1 Refer to “Non-GAAP Financial Measures” in this Press Release for the definition of “Extraordinary Litigation-Related Expenses.” Source: FTI Consulting, Inc.