On Tuesday, Shares of FTI Consulting Inc. (NYSE: FCN) gained 0.14% to $84.04. The stock grabbed the investor’s attention and traded 193.910K shares as compared to its average daily volume of 255.19K shares. The stock’s institutional ownership stands at 99.80%.
FTI Consulting, Inc. (FCN) recently stated that first quarter 2019 revenues of $551.30M increased $53.50M, or 10.7%, contrast to revenues of $497.80M in the prior year quarter. Excluding the estimated negative impact from foreign currency translation (“FX”), revenues increased $63.00M, or 12.6%, contrast to the prior year quarter. The increase in revenues was driven by higher demand across all business segments. Net income of $62.60M contrasts to $38.90M in the prior year quarter. The increase in net income was because of higher operating profits across all business segments, lower interest expense and a lower effective tax rate.
Adjusted EBITDA of $96.10M, or 17.4% of revenues, contrast to $72.30M, or 14.5% of revenues, in the prior year quarter. The increase in Adjusted EBITDA was because of higher revenues, which was partially offset by a boost in compensation and benefits expenses, mainly related to a 7.7% increase in billable headcount contrast to the prior year quarter.
Cash Position and Capital Allocation:
Net cash used in operating activities of $102.10M for the quarter ended March 31, 2019 contrast to net cash used in operating activities of $69.20M for the quarter ended March 31, 2018. The year-over-year increase in cash used in operating activities was because of higher annual bonus payments and a boost in salaries related to headcount growth, which was partially offset by a boost in cash collected resulting from higher revenues contrast to the prior year quarter.
During the quarter, the Company used about $21.90M to repurchase 327.978K shares of its common stock at an average price per share of $66.70. As of March 31, 2019, about $150.70M remained available for stock repurchases under the Company’s $400.00M stock repurchase authorization.
Cash and cash equivalents of $179.20M at March 31, 2019 contrast to $152.00M at March 31, 2018 and $312.10M at December 31, 2018. Total debt, net of cash, of $137.00M at March 31, 2019 contrast to $293.00M at March 31, 2018 and $4.20M at December 31, 2018. The sequential increase in total debt, net of cash, was mainly because of a boost in the use of cash for operating activities, which included annual bonus payments. Total debt was unchanged contrast to December 31, 2018.
FCN has a market value of $3.21B while its EPS was booked as $4.56 in the last 12 months. The stock has 38.22M shares outstanding. In the profitability analysis, the company has gross profit margin of 34.80% while net profit margin was 8.40%. Beta value of the company was 0.28; beta is used to measure riskiness of the security.
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