{"id":845553,"date":"2025-05-01T16:21:25","date_gmt":"2025-05-01T20:21:25","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/exponent-reports-first-quarter-2025-financial-results\/"},"modified":"2025-05-01T16:21:25","modified_gmt":"2025-05-01T20:21:25","slug":"exponent-reports-first-quarter-2025-financial-results","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/exponent-reports-first-quarter-2025-financial-results\/","title":{"rendered":"Exponent Reports First Quarter 2025 Financial Results"},"content":{"rendered":"
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MENLO PARK, Calif., May 01, 2025 (GLOBE NEWSWIRE) — Exponent, Inc. (Nasdaq: EXPO) today reported financial results for the first quarter of fiscal year 2025 ended April 4, 2025.<\/p>\n

\u201cExponent\u2019s first quarter results exceeded expectations, reinforcing both the resilience of our diversified business model and the value we deliver,\u201d said Dr. Catherine Corrigan, President and Chief Executive Officer. \u201cOur failure analysis expertise drove increased dispute-related activities in the chemicals, transportation and utilities industries. Proactive engagements were led by risk management and regulatory support activities. As expected, we were impacted by easing in the consumer electronics industry due to the timing of our clients\u2019 product development life cycles. Our work continues to play a pivotal role in helping clients address their most complex and high-stakes challenges, supporting data driven decisions across critical and large-scale projects around the world.<\/p>\n

\u201cExponent has demonstrated resilience through decades of successfully navigating challenging economic cycles. This quality, coupled with the accelerating pace of innovation and expectations around safety, health, and the environment, positions Exponent well to weather economic volatility,\u201d Dr. Corrigan continued.<\/p>\n

\n First Quarter Financial Results<\/strong>\n <\/p>\n

Total revenues and revenues before reimbursements for the first quarter of 2025 were approximately flat at $145.5 million and $137.4 million, respectively, as compared to $144.9 million and $137.2 million in the first quarter of 2024.<\/p>\n

Net income decreased to $26.7 million, or $0.52 per diluted share, in the first quarter of 2025, as compared to $30.1 million, or $0.59 per diluted share, in the same period of 2024. During the quarter, we realized a negative tax impact associated with share-based awards of $0.5 million or $0.01 per share, as compared to a positive benefit of $0.9 million, or $0.02 per share, in the first quarter of 2024. Inclusive of the negative tax impact, Exponent’s consolidated tax rate was 29.4% in the first quarter, as compared to 25.4% for the same period in 2024.<\/p>\n

EBITDA1<\/sup> decreased to $37.5 million, or 27.3% of net revenues, in the first quarter of 2025, as compared to $40.1 million, or 29.2% of net revenues in the first quarter of 2024.<\/p>\n

In a separate press release today, Exponent announced its quarterly cash dividend of $0.30 to be paid on June 20, 2025 and reiterated its intent to continue to pay quarterly dividends. During the first quarter of 2025, Exponent paid $16.4 million in dividends and closed the period with $245.1 million in cash and cash equivalents.\u00a0<\/p>\n

\n Business Overview<\/strong>\n <\/p>\n

Exponent\u2019s engineering and other scientific segment represented 84% of the Company\u2019s revenues before reimbursements in the first quarter of 2025. Revenues before reimbursements in this segment were approximately flat in the first quarter, compared to the prior year period. Activity during the quarter was driven by demand for Exponent\u2019s services across the transportation and utilities industries.<\/p>\n

Exponent\u2019s environmental and health segment represented 16% of the Company\u2019s revenues before reimbursements in the first quarter. Revenues before reimbursements in this segment increased 2% in the first quarter, compared to the same period in the prior year. Growth in this segment was primarily driven by increased engagements in the chemicals industry.<\/p>\n

\n Business Outlook<\/strong>\n <\/p>\n

\u201cAs the broader market continues to navigate uncertainties, Exponent remains uniquely positioned to weather heightened turbulence enabled by our unparalleled and interconnected ecosystem of talent and our diversified portfolio of services,\u201d commented Richard Schlenker, Executive Vice President and Chief Financial Officer. \u201cBased on current market demand, we continue to expect growth in 2025 and are maintaining our full year guidance. However, we continue to face headwinds in the second quarter as we close our year over year headcount gap.\u201d<\/p>\n

For the second quarter of fiscal 2025 as compared to the same period one year prior, Exponent anticipates:<\/p>\n