Navigant Consulting (NCI) Tops Q3 EPS by 4c, Revenues Beat; FY18 Revenue Outlook Above Consensus

Navigant Consulting (NYSE: NCI) reported Q3 EPS of $0.15, $0.04 better than the analyst estimate of $0.11. Revenue for the quarter came in at $187.6 million versus the consensus estimate of $168.7 million.

• Revenues and revenues before reimbursements (RBR) were $187.6 and $171.4 million respectively, up 1% and 4% compared to third quarter 2017
• Net income of $74.0 million, which includes results from discontinued operations, was up $62.1 million compared to the prior year period largely due to a gain recognized on the divestiture of the Company’s DFLT and Transaction Advisory businesses (SaleCo divestiture); Net income from continuing operations of $6.8 million, or $0.15 per share, was up $1.0 million from the prior year period
• Adjusted Earnings per Share (EPS) from continuing operations of $0.15 increased $0.01 compared to third quarter 2017
• Repurchased $36.6 million of common stock through expanded share repurchase plan and initiated first-ever quarterly dividend
• Management reaffirms its 2018 financial outlook for continuing operations as previously provided in conjunction with its second quarter 2018 earnings release

“Our overall third quarter results were in line with expectations, with top-line growth benefiting most notably from continued robust performance in our Energy segment, steady demand in our FSAC segment and contribution from the smooth start-up of our HSS joint-venture with Baptist Health South Florida,” said Julie Howard, chairman and CEO of Navigant. “We are pleased to affirm our 2018 continuing operations guidance targets.”

Howard continued, “Also in the quarter, with the closing of the SaleCo divestiture, we made meaningful progress toward our goal of returning up to $175 million to shareholders with the initiation of our first-ever quarterly dividend and the repurchase of over $36 million of our common stock. We are excited about the business going forward and believe our post-divestiture positioning, as a specialized management consulting and managed services business serving industries experiencing significant business model transformation, enhances our ability to maximize value for all stakeholders.”

GUIDANCE:

Navigant Consulting sees FY2018 EPS of $0.40-$0.50, versus the consensus of $0.43. Navigant Consulting sees FY2018 revenue of $740-765 million, versus the consensus of $668.5 million.

For earnings history and earnings-related data on Navigant Consulting (NCI) click here.

You May Also Be Interested In

• North American Construction (NOA) Tops Q2 EPS by 9c; Offers Guidance
• FGI Industries Ltd (FGI) Tops Q2 EPS by 59c
• Stantec (STN) Tops Q2 EPS by 47c