FTI Consulting delivered adjusted Earnings Per Share of $2.16 for the quarter ended June 30, falling short of the $2.28 consensus estimate. The miss, combined with a $390.9 million stock buyback, adds pressure to a stock already down 6.4% year‑to‑date despite a recent 6.7% monthly gain.

Key Highlights

  • Repurchased 2,591,133 shares at $150.84 average, costing $390.9 million, leaving $344.0 million authorized for future buys
  • Corporate Finance Revenue rose $32.2 million to $411.4 million; Forensic & Litigation up $7.7 million; Economic Consulting down $2.8 million
  • FTI Consulting (NYSE: FCN) posted adjusted earnings per share of $2.16 for the quarter ended June 30, missing the $2.28 consensus estimate.

FTI Consulting (NYSE: FCN) posted adjusted earnings per share of $2.16 for the quarter ended June 30, missing the $2.28 consensus estimate.

EPS Miss Versus Consensus

Management attributed the miss to higher SG&A expenses, which rose faster than revenue growth. As analysts weigh the EPS gap against the company’s strong Cash Flow , the gap may prompt a reassessment of valuation multiples.

Aggressive Share Repurchase Execution

The board authorized an additional $370.0 million for share repurchases, and the company deployed $390.9 million in the quarter, eclipsing the newly approved allowance. At an average price of $150.84, the buyback reduced outstanding shares while consuming cash, leaving $344.0 million still available for future repurchases. This aggressive Capital return improves earnings per share but also elevates net Debt , which rose to $856.3 million after accounting for cash.

The heightened Leverage could constrain future borrowing capacity if earnings do not accelerate.

Segment Revenue Shifts Across the Business

Corporate Finance revenue climbed $32.2 million, an 8.5% increase to $411.4 million, driven by higher bill rates and stronger transformation fees. Forensic and Litigation Consulting added $7.7 million in revenue, a 4.1% rise to $194.3 million, while its Operating Income edged up to $29.2 million. Conversely, Economic Consulting saw revenue dip $2.8 million, a 1.5% decline to $188.8 million, reflecting weaker Demand for non‑M&A antitrust work.

These mixed segment results suggest that growth is uneven, with the firm relying on higher‑ Margin corporate finance work to offset softness in economic consulting.

Market Reaction and Forward Outlook

The stock’s Volatility reflects the tension between solid cash generation, free cash flow of $141.0 million, and the lingering impact of extraordinary litigation expenses. Market Participants will monitor the pending court ruling on the Orszag litigation, which could materially affect the company’s expense profile and earnings outlook later this year.

Analysis based on the Form 8-K filed 31 July 2026; figures verified against the filing and live market data.

This article is for informational purposes only and does not constitute financial advice. Please consult a licensed financial adviser before making Investment decisions.