FTI Consulting's Q2 2025: Unpacking Contradictions in Economic Consulting Performance and Market Dynamics

Economic Consulting performance drivers, economic consulting revenue and performance, bankruptcy restructuring growth, economic consulting EBITDA trajectory, and market and regulation impact on Economic Consulting are the key contradictions discussed in FTI Consulting's latest 2025Q2 earnings call.



Revenue and Profitability Amidst Challenges:
- FTI Consulting reported revenue of $943.7 million for Q2 2025, which was similar to the previous year's record quarter despite facing significant headwinds.
- The company's adjusted EBITDA was $111.6 million, down from $115.9 million the previous year, impacted by factors such as lower demand in the Technology and Economic Consulting segments.

Corporate Finance & Restructuring Strength:
- The Corporate Finance & Restructuring segment reported a record revenue of $379.2 million, representing a 9% increase year-over-year.
- This growth was driven by increased demand for restructuring and transaction services, despite challenges in transformation and strategy services.

Forensic and Litigation Consulting Performance:
- FLC revenues increased by 10% to $186.5 million, supported by higher realized bill rates for risk and investigation services.
- Despite regulatory headwinds, the segment maintained strong performance, particularly in financial services and cybersecurity practices.

Technological Challenges in the Economic Consulting Segment:
- Economic Consulting segment's revenues decreased by 17% to $191.7 million, primarily due to lower demand for M&A-related antitrust services.
- The decline was attributed to shifts in antitrust enforcement and the impact of attracting more academic professionals, which temporarily affected the P&L.