CRA International, Inc. (CRAI) SEC Filings & Earnings Calls

Margin Compression

“As a percentage of revenues, costs of services (exclusive of depreciation and amortization) increased to 70.6% for the second quarter of fiscal 2026 from 68.8% for the second quarter of fiscal 2025.” · word for word

Increased Leverage

“There were $219.0 million and $34.0 million in borrowings outstanding under the revolving credit facility as of July 4, 2026 and January 3, 2026, respectively.” · word for word

Share Repurchase Dilution

“repurchases of common stock of $49.3 million” · word for word

Geopolitical and macroeconomic conditions could affect business; constant currency adjustments may impact reported results.

“CEO: 'We remain mindful that evolving geopolitical, global macroeconomic, and business conditions can affect our business.'”

Non-cash forgivable loan amortization expected to increase by ~$15M in FY2026, impacting EBITDA metrics.

“Non-cash forgivable loan amortization is expected to increase in fiscal 2026 by approximately $15 million.”

Margin compression from labor cost inflation

“Costs of services (exclusive of depreciation and amortization) increased by $24.6 million, or 20.4%, to $145.0 million for the first quarter of fiscal 2026 from $120.4 million for the first quarter of fiscal 2025.” · word for word

Negative operating cash flow

“During the fiscal quarter ended April 4, 2026, net cash used in operating activities was $113.9 million.” · word for word

Geopolitical and macroeconomic uncertainty could affect business.

“We remain mindful that evolving geopolitical, global macroeconomic, and business conditions can affect our business.” · word for word

Loss of long-serving director (26 years) could reduce institutional knowledge, but transition appears orderly.

“Mr. Concannon served on the Board since 2000 and as Lead Director since 2020; retirement not due to disagreement.”

Currency headwinds expected to reduce reported revenue by ~$5M and EBITDA by <$1M in FY2026.

“Based on current forecasts, we expect that currency effects will decrease our reported revenue by roughly $5 million and will decrease our reported EBITDA by less than $1 million.” · word for word

Non-cash forgivable loan amortization expected to increase ~$15M in FY2026 due to talent investments.

“non-cash forgivable loan amortization...is expected to increase approximately $15 million, or more than 30% year over year, in fiscal 2026.”

Professional liability and litigation risk

“Our services typically involve difficult analytical assignments and carry risks of professional and other liability.” · word for word

Goodwill impairment risk from market cap decline

“If the estimated fair value of a reporting unit is less than its net book value, an impairment charge would be recorded in our consolidated statement of operations.” · word for word

Foreign exchange risk

“Revenue generated from our U.K.-based operations was approximately 13% (which includes currency exchange effects) of our total revenues for the year ended January 3, 2026.” · word for word

Competition from AI and new entrants

“New technologies, such as AI and machine learning, continue to evolve and as a result risks continue to be unknown or uncertain.” · word for word

Margin pressure from cost inflation

“As a percentage of revenues, costs of services (exclusive of depreciation and amortization) increased to 70.7% for the third quarter of fiscal 2025 from 68.7% for the third quarter of fiscal 2024.” · word for word

Negative operating cash flow

“During the fiscal year-to-date period ended September 27, 2025, net cash used in operating activities was $37.6 million.” · word for word

Uncertain global macroeconomic, business, and political conditions could affect business and clients.

“we are mindful that uncertain global macroeconomic, business, and political conditions can affect our business and our clients.” · word for word