May 7th, 2026

The call reflects strong, broad-based top-line growth (10.5% YoY) with record quarterly revenue, improved utilization, robust international expansion (+20.3% YoY), and solid non-GAAP EBITDA (11.5%). Management is actively investing in talent ($62.3M) and returning capital to shareholders while expanding credit capacity. Principal near-term negatives include a sizable rise in noncash forgivable loan amortization (+53% YoY) that reduced reported EBITDA, a $2.6M restructuring charge, an elevated effective tax rate, and net debt that increased due to seasonal bonus-funded borrowings. Management reaffirmed full-year guidance and emphasized confidence in demand and AI as a growth amplifier.

Company Guidance

CRA reaffirmed its full‑year fiscal 2026 guidance after a strong Q1 start: revenue rose 10.5% YoY to $201.0M (company record), non‑GAAP EBITDA was $23.2M (11.5% of revenue) which includes $13.8M (6.9% of revenue) of noncash forgivable‑loan amortization (up $4.8M, +53% YoY) that management baked into profit guidance; consultant headcount was 971 (+2.5% YoY) with utilization at 77% (management targets upper‑70s longer term); non‑GAAP SG&A (ex‑commissions) was 15.6% of revenue and the non‑GAAP effective tax rate was 30.3%; DSO was 100 days (58 billed/42 unbilled); Q1 net cash outlays for talent were $62.3M, $25.3M of capital was returned to shareholders (dividends $3.8M, repurchases $21.5M for ~116k shares) with $44.5M remaining under the repurchase program, total liquidity stood at $86.7M (cash $32.5M + $54.2M available credit), net debt was $159.5M (borrowings $192M), the credit facility was increased by $50M to $300M, and a $2.6M restructuring charge (cash $1.6M, noncash $1.0M) is expected to generate ≈$5M of annual savings that will be redeployed to fuel growth; management noted it does not assume inorganic revenue from future hires in top‑line guidance but does account for related amortization/costs in EBITDA.