FTI Consulting Reports Second Quarter FY2023 Earnings Results

🌥️Earnings Overview

On June 30, 2023, FTI CONSULTING ($NYSE:FCN) reported their second quarter FY2023 earnings with total revenues of USD 864.6 million – a 14.5% increase from the same period last year. Net income was also up 21.3%, totaling USD 62.4 million.

Share Price

However, the stock experienced a sharp decline and ended the day at $176.3, representing a plunge of 10.2% from the prior closing price of 196.4. This marked FTI Consulting‘s biggest single-day decline in over six months. This earnings disappointment led to a sharp selloff in the stock price on Thursday. This further exacerbated the decline in the stock price.

Despite the turbulent earnings report, FTI Consulting CEO Steven Gunby expressed confidence in the company’s future prospects. He noted that the company is continuing to make progress in executing its strategy and remains focused on delivering value to all stakeholders. Live Quote…

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for Fti Consulting. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for Fti Consulting. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for Fti Consulting. More…

Key Ratios Snapshot

Some of the financial key ratios for Fti Consulting are shown below. More…

Analysis

At GoodWhale, we have completed an analysis of FTI CONSULTING‘s wellbeing. Our Risk Rating indicates that FTI CONSULTING is a medium risk investment in terms of financial and business aspects. We have detected one risk warning in the balance sheet. To get more details on this issue, register to GoodWhale.com to access our comprehensive report. Our report covers a range of topics including FTI CONSULTING’s financial performance, customer loyalty, market share and competitive environment. We also provide an in-depth analysis of FTI CONSULTING’s business strategy and how this impacts their financial risk profile. This allows us to provide a comprehensive evaluation of FTI CONSULTING’s overall wellbeing. Ultimately, our report can help you make an informed decision about investing in FTI CONSULTING. More…

Peers

Its competitors include Booz Allen Hamilton Holding Corp, Circulation Co Ltd, Aimrite Holdings Corp.

– Booz Allen Hamilton Holding Corp ($NYSE:BAH)

Since going public in 2010, Booz Allen Hamilton Holding Corporation has been a leading provider of management and technology consulting services to the US government. The company has a market capitalization of $13.17 billion and a return on equity of 43.17%. Booz Allen Hamilton Holding Corporation provides consulting services in the areas of strategy, operations, organizational design, human capital, and change management. The company also offers a range of technical services, including engineering, analytics, digital, and cyber solutions.

– Circulation Co Ltd ($TSE:7379)

As of 2022, the market cap for Circulation Co Ltd is 13.97 billion. The company’s return on equity is 16.6%. The company provides a variety of services related to circulation, including print and digital circulation, marketing, and distribution.

Summary

FTI Consulting saw favorable financial results in the second quarter of FY2023, with total revenue increasing 14.5% to reach USD 864.6 million and net income growing 21.3% to USD 62.4 million. However, investors reacted bearishly as the stock price dropped on the news. Going forward, potential investors should pay attention to FTI Consulting’s ability to sustain its growth rate, while also looking at whether the company can increase returns on its investments and decrease any financial leverage. It is important to note that the current market sentiment can also affect the stock price in the short-term, and potential investors should be wary of this when considering their decision.