FTI Consulting Inc (FCN) 2024 Q3 法說會逐字稿

Good morning and welcome to the FTI Consulting third quarter 2024 earnings conference call. (Operator Instructions) Please note, today's event is being recorded.

早上好，歡迎參加 FTI Consulting 2024 年第三季財報電話會議。（操作員說明）請注意，今天的活動正在錄製中。

I would now like to turn the conference over to Mollie Hawkes, Head of Investor Relations. Please go ahead.

我現在想將會議交給投資人關係主管 Mollie Hawkes。請繼續。

Good morning. Welcome to the FTI Consulting conference call to discuss the company's third quarter 2024 earnings results as reported this morning. Management will begin with formal remarks after which they will take your questions.

早安.歡迎參加 FTI Consulting 電話會議，討論該公司今天上午公佈的 2024 年第三季獲利結果。管理層將以正式發言開始，然後回答您的問題。

Before we begin, I would like to remind everyone that this conference call may include forward-looking statements within the meaning of section 27 A of the Securities Act of 1933 and section 21 of the Securities Exchange Act of 1934 that involve risks and uncertainties.

在開始之前，我想提醒大家，本次電話會議可能包含1933 年《證券法》第27 A 條和1934 年《證券交易法》第21 條含義內的前瞻性陳述，這些陳述涉及風險和不確定性。

Forward-looking statements include statements concerning plans, initiatives, projections, prospects, policies, processes and practices, objectives, goals, commitments, strategies, future events, future revenues, future results and performance, future capital allocations and expenditures, expectations, plans or intentions relating to acquisitions, share repurchases and other matters, business trends, ESG related matters, climate change related matters, new or changes to laws and regulations including scientific or technical developments, and other information or other matters that are not historical including statements regarding estimates of our future financial results and other matters.

前瞻性陳述包括有關計劃、舉措、預測、前景、政策、流程和實踐、目的、目標、承諾、策略、未來事件、未來收入、未來結果和績效、未來資本分配和支出、預期、計劃或與收購、股票回購和其他事項有關的意圖、業務趨勢、ESG 相關事項、氣候變遷相關事項、法律和法規的新的或變化（包括科學或技術發展）以及非歷史的其他資訊或其他事項，包括有關估計的陳述我們未來的財務表現和其他事項。

For a discussion of risks and other factors that may cause actual results or events to differ from those contemplated by forward-looking statements, investors should review the Safe Harbor statement in the earnings press release issued this morning, a copy of which is available on our website at www.fticonsulting.com, as well as other disclosures under the heading of risk factors and forward-looking information in our quarterly report on form 10-Q for the quarter ended September 30 2024, our annual report on form 10-K for the year ended December 31 2023 and in our other filings with the SEC. Investors are cautioned not to place undue reliance on any forward-looking statements which speak only as of the date of this earnings call and will not be updated.

對於可能導致實際結果或事件與前瞻性陳述預期不同的風險和其他因素的討論，投資者應查看今天上午發布的收益新聞稿中的安全港聲明，其副本可在我們的網站上找到。 .fticonsulting.com，以及我們截至2024 年9 月30 日的季度10-Q 表格季度報告中風險因素和前瞻性資訊標題下的其他揭露，以及我們10-K 表格年度報告中的風險因素和前瞻性資訊標題下的其他揭露。請投資人不要過度依賴任何前瞻性聲明，這些聲明僅截至本次財報電話會議之日，且不會更新。

During the call. We'll discuss certain non-GAAP financial measures such as total segment operating income, adjusted EBITDA, total adjusted segment EBITDA, adjusted earnings per diluted share, adjusted net income, adjusted EBITDA margin and free cash flow.

通話過程中。我們將討論某些非公認會計準則財務指標，例如部門總營業收入、調整後 EBITDA、調整後部門 EBITDA 總額、調整後稀釋每股收益、調整後淨利潤、調整後 EBITDA 利潤率和自由現金流。

For a discussion of these and other non-GAAP financial measures as well as our reconciliations of non-GAAP financial measures to the most directly comparable GAAP measures, investors should review the press release and the accompanying financial tables that we issued this morning which include the reconciliations.

為了討論這些和其他非公認會計原則財務指標，以及我們對非公認會計原則財務指標與最直接可比較的公認會計原則指標的調節，投資者應查看我們今天上午發布的新聞稿和隨附的財務表格，其中包括和解。

Lastly, there are two items that have been posted to the investor relations section of our website for your reference. These include a quarterly earnings presentation and an Excel and PDF of our historical financial and operating data, which have been updated to include our third quarter 2024 earnings results.

最後，我們網站的投資者關係部分發布了兩個資訊供您參考。其中包括季度收益演示以及我們歷史財務和營運數據的 Excel 和 PDF，這些數據已更新為包括我們 2024 年第三季的收益結果。

Of note, during today's prepared remarks, management will not speak directly to the quarterly earnings presentation posted to the Investor Relations section of our website. To ensure our disclosures are consistent, these slides provide the similar details as they have historically.

值得注意的是，在今天準備好的演講中，管理層不會直接談論我們網站投資者關係部分發布的季度收益報告。為了確保我們披露的內容一致，這些幻燈片提供了與歷史類似的詳細資訊。

With the formalities out of the way, I'm joined today by Steven Gunby, our President and Chief Executive Officer; and Ajay Sabherwal, our Chief Financial Officer.

手續完成後，今天我們的總裁兼執行長史蒂文·岡比 (Steven Gunby) 也加入了我的行列。以及我們的財務長 Ajay Sabherwal。

At this time, I will turn the call over to our President and Chief Executive Officer, Steven Gunby.

此時，我將把電話轉給我們的總裁兼執行長史蒂文·岡比 (Steven Gunby)。

Thank you, Mollie. Welcome, everyone and thank you all for joining us once again this morning. I'm sure as usual many of you saw the earnings announcement this morning. So what I'd like to do is to maybe briefly comment on how I view those results and then with your permission, let Ajay taking you through the performance in more detail.

謝謝你，莫莉。歡迎大家，感謝大家今天早上再次加入我們。我相信像往常一樣，今天早上你們很多人都看到了收益公告。所以我想做的是簡要評論我如何看待這些結果，然後在您允許的情況下，讓 Ajay 向您詳細介紹一下表演。

If you did in fact have time to look at the third quarter results, you saw that they were weaker than we've been reporting in most quarters recently. They were also weaker than we expected. Year-on-year revenue growth was only 3.7% this quarter, which of course is nothing like what we've been averaging over the last several years and nothing like what we aspire to.

如果您確實有時間查看第三季的業績，您會發現它們比我們最近報告的大多數季度都要弱。他們也比我們預期的要弱。本季營收年增僅 3.7%，這當然與我們過去幾年的平均水準完全不同，也與我們的期望完全不同。

And for the first time in a while, we actually delivered less revenue this quarter than in the prior quarter. As usual, when there are not terrific quarters or even when they're terrific quarters, there are multiple causes. In this quarter, some of the revenue pressure was due to market causes. I'm sure many of you monitor the markets for consulting firms and you know that right now in many places around the world, they're not particularly robust.

事實上，我們本季的收入一段時間以來首次低於上一季。像往常一樣，當沒有很好的季度，或者即使是很好的季度時，也會有多種原因。本季營收壓力部分是由於市場原因。我相信你們中的許多人都在關注顧問公司的市場，並且知道目前在世界各地的許多地方，它們並不是特別強大。

For example, we have some challenges in our Asia businesses, but of course, in that we are not alone. It's happening to a number of players in the region. So some of the challenges are due to market forces, but some of the causes as usual are also internal thoughts, either delays in assignments, which for example, we had this quarter in our very capable North American FLC business or some slowness in our strategy business where it happened that some large client engagements all concluded at roughly the same time.

例如，我們在亞洲業務面臨一些挑戰，但當然，我們並不孤單。該地區的許多玩家都遇到了這種情況。因此，一些挑戰是由於市場力量造成的，但像往常一樣，一些原因也是內部想法，要么是任務的延遲，例如，我們本季度非常有能力的北美 FLC 業務，要么是我們的戰略有些緩慢碰巧一些大客戶的業務幾乎同時結束。

Anticipating a question that perhaps some of you have in mind, I did want to underscore that the shortfall in our performance in this quarter was not the result of cost pressure of the investments, the investments that we've been talking about all this year. The shortfall is not really a bottom-line story. The real issue this quarter was revenue.

預計你們可能有人會想到一​​個問題，我確實想強調，我們本季業績的下滑並不是投資成本壓力的結果，這些投資是我們今年一直在談論的投資。短缺並不是一個真正的底線故事。本季真正的問題是收入。

We are making those investments that we talk about that we've been talking about and as you might expect, they probably will have some effect on the bottom line. But many of those investments have only just begun to come on stream and are only starting to hit the P&L. So this quarter shortfall should be thought of primarily as a revenue story.

我們正在進行我們一直在談論的那些投資，正如您所期望的那樣，它們可能會對利潤產生一些影響。但其中許多投資才剛開始投入運營，並且才剛開始影響損益表。因此，本季的短缺應該主要被視為收入故事。

Let me however, bridge from that to pivot to talk a little bit more about the investments because notwithstanding their potential to create some headwinds in our business and our P&L going forward, they are an area of considerable continued excitement for me, and I think for the company as a whole.

然而，讓我從這一點過渡到更多地談論這些投資，因為儘管它們有可能為我們的業務和我們未來的損益帶來一些阻力，但它們對我來說是一個相當持續令人興奮的領域，我認為公司作為一個整體。

We announced roughly 25 SMD hires in the last six months compared to roughly half of that in the prior six months. And that is by far -- that is far from the number of SMDs who have accepted our offers, just the number of SMDs that we've been able to announce. And it's far from the number of SMDs and MDs who are talking with us with excitement and energy about potentially joining.

我們在過去 6 個月內宣布了大約 25 名 SMD 員工，而之前 6 個月的員工數量大約只有一半。到目前為止，這遠遠不是接受我們報價的 SMD 數量，而只是我們能夠宣布的 SMD 數量。與我們興奮而充滿活力地談論可能加入的 SMD 和 MD 的數量相比，這還遠遠不夠。

And of course, it's important to note that we are not just looking to add talent at the most senior levels. Our company is not just an SMD and MD group. We need talent across all levels of pyramid to deliver for our clients and for our growth. And in that connection, I'm pleased to announce that in this quarter, we welcomed more than 320 professionals from campuses, which is once again our largest class ever.

當然，值得注意的是，我們不僅僅希望增加最高等級的人才。我們公司不僅僅是一家SMD和MD集團。我們需要金字塔各個層級的人才來為我們的客戶和我們的發展提供服務。在這方面，我很高興地宣布，本季度我們迎來了 320 多名來自校園的專業人士，這再次是我們有史以來規模最大的班級。

If you'll permit me, let me try to zoom out from the quarter to some topics that I see as more fundamental. Just talked about the fact that this quarter wasn't anywhere near what we typically hope for in terms of revenues or as a result of those revenues in terms of EPS.

如果您允許的話，讓我嘗試將本季的主題縮小到一些我認為更基本的主題。剛才談到了這樣一個事實，即本季的收入或每股收益方面的收入遠未達到我們通常希望的水平。

But the more fundamental question is what is that mean? What does it mean not just for the quarter, but what if anything does it mean about our long-term trajectory? Does it change the bullish view that we've had of the potential of this company? After any quarter, I think hard about those questions. I talked to colleagues about those questions and think that's the most fundamental question.

但更根本的問題是這意味著什麼？這不僅對本季意味著什麼，對我們的長期軌跡也意味著什麼？這是否會改變我們對這家公司潛力的樂觀看法？任何一個季度之後，我都會認真思考這些問題。我和同事討論過這些問題，認為這是最基本的問題。

My conclusion after all I thought may not be surprising to those of you who have followed us for a while, which is that this quarter though it was weaker than we would have liked, says absolutely nothing about the fundamental long-term trajectory of this company just as like sometimes an extraordinarily good quarter development.

畢竟，我認為對於那些關注我們一段時間的人來說，我的結論可能並不令人驚訝，即本季度雖然比我們希望的要弱，但絕對沒有說明這家公司的基本長期軌跡就像有時候季度發展非常好一樣。

Yes, this quarter disappointed compared to what we expected. It's also worthwhile having a little perspective on that shortfall. It is still the third highest revenue quarter we've ever had. It's only eclipsed by the prior two quarters.

是的，與我們的預期相比，本季令人失望。對這一不足有一些看法也是值得的。這仍然是我們有史以來收入第三高的季度。僅比前兩季黯然失色。

So a little perspective is one reason, I don't think it changes my view of the long-term trajectory, but more fundamentally than the prior two quarters and where these stacks relative to the prior two quarters. I think the data now to me at least convincingly shows that quarters are not particularly good indicators of the core causal factors and in fact actually determine medium and long-term success in professional services.

因此，一點觀點是一個原因，我認為這不會改變我對長期軌蹟的看法，但比前兩個季度以及這些堆疊相對於前兩個季度的情況更根本。我認為現在的數據對我來說至少令人信服地表明，季度並不是核心因果因素的特別好的指標，而且實際上決定了專業服務的中長期成功。

And we've talked about multiple times to my knowledge, no one, I've never seen anyone build a great business in professional services with a straight line up. If any of you have any examples of that, please send them my way. There are always zigs and zags, sometimes substantial zigs and zags in individual businesses, in individual geographies, in individual sub-businesses.

據我所知，我們已經討論過很多次了，沒有人，我從來沒有見過有人以直線的方式在專業服務領域建立了偉大的業務。如果你們中有人有任何這樣的例子，請將它們發送給我。在個別業務、個別地區、個別子業務中，總是存在曲折和曲折，有時甚至是相當大的曲折和曲折。

Sometimes those zigs and zags are driven by market factors or the timing or ending of large jobs or sometimes some other idiosyncratic factors that just happen to have happen that quarter in professional services. The zigs and zags, of course, actually don't mean anything.

有時，這些曲折是由市場因素或大型工作的時間或結束或有時是專業服務領域恰好在該季度發生的其他一些特殊因素所驅動的。當然，之字形和曲折實際上沒有任何意義。

What matters over any extended period of time is the underlying trajectory. Are those zigs and zags around the flat line? Are they around a downward sloping line or what they want? Are they or what you want? If you're building a great firm, a great firm for your people, a great firm for your shareholders, which is that those zigs and zags around a fundamentally upward sloping line. That's the core question, which crumps any annoyance you have over short-term bags.

在任何一段較長的時間內，重要的是潛在的軌跡。那些鋸齒形是圍繞著平坦線的嗎？它們是沿著向下傾斜的線還是他們想要的？它們是你想要的還是你想要的？如果你正在建立一家偉大的公司，一家對你的員工來說是一家偉大的公司，對你的股東來說是一家偉大的公司，那就是那些圍繞著一條基本上向上傾斜的線的曲折。這是核心問題，它可以消除您對短期行李的煩惱。

Those questions in turn are driven by the core elements of what matter in professional services. Are we in fact making a difference for our clients? Are we sitting still or are we continuing to build and evolve our capabilities? So we're becoming ever more relevant for those clients whenever or more of their most pressing needs, which in turn is driven.

這些問題又是由專業服務中重要的核心要素所驅動的。我們確實為客戶帶來了改變嗎？我們是坐以待斃還是繼續建構和發展我們的能力？因此，無論何時或更多地滿足這些客戶最迫切的需求，我們都變得越來越與他們相關，而這反過來又受到驅動。

Now, the question of are we continuing to attract and support great driven professionals, people who cared deeply to do impactful work to make a difference and cared deeply about building teams and supporting people behind them with similar values and aspirations.

現在的問題是，我們是否繼續吸引和支持優秀的專業人士，他們非常關心做有影響力的工作以產生影響，非常關心建立團隊並支持他們背後具有相似價值觀和抱負的人。

I believe the data show that if you do those activities and commit to those activities over an extended period of time, you end up winning in the two markets, the two markets that matter in professional services, the markets for great clients, but also the market for great talent.

我相信數據表明，如果你做這些活動並長期致力於這些活動，你最終會在這兩個市場中獲勝，這兩個市場在專業服務中很重要，是大客戶的市場，也是優秀人才的市場。

You become more capable, more relevant, more able to help your clients address their deepest, their most significant opportunities and challenges, which clients ultimately notice, I'll say ultimately because Mollie is sitting across the table for me, and she also heads marketing. It's a client ultimately with a little help for marketing and our SMDs ultimately notice, which then in turn means you win the biggest jobs.

你變得更有能力，更相關，更有能力幫助你的客戶解決他們最深刻、最重要的機會和挑戰，客戶最終會注意到這一點，我會說最終是因為莫莉坐在我的桌子對面，她還負責行銷。最終客戶會在行銷方面獲得一點幫助，而我們的 SMD 最終會注意到，這反過來意味著您贏得了最大的工作機會。

And at the same time, you're seen as the best home for ambitious people who want to make a difference and who want to develop themselves into their best versions of themselves, which in turn allows you to track, to be people who can do the for their living. Even if you do everything I just said right, any business can still have a bad quarter.

同時，您被視為雄心勃勃的人的最佳家園，他們想要有所作為，想要將自己發展成最好的自己，這反過來又使您能夠追踪，成為能夠做事的人為了他們的生活。即使你按照我剛才說的做所有事情，任何企業仍然可能會遇到糟糕的季度。

But if you do it because you're relevant, because you're creating a great platform with the best professionals, though you will still have zigs and bags, it will be zigs and zags around what you aspire to, a fundamentally upward sloping line. That has been not just a theory but our experience these past 10 years.

但如果你這樣做是因為你是相關的，因為你正在與最好的專業人士創建一個偉大的平台，儘管你仍然會遇到曲折和包袱，但它將圍繞你渴望的東西曲折前進，一條從根本上向上傾斜的線。這不僅是一個理論，也是我們過去十年的經驗。

And when I look at our business today, the powerful positions we have built not only in the United States, but now also in many markets overseas, the leading talent that has been with us now for many years growing and developing, becoming more powerful, capable versions of themselves as well as the talent that wants to join us at the senior levels, but also at the entry levels.

當我審視我們今天的業務時，我們不僅在美國，而且現在在海外的許多市場都建立了強大的地位，多年來與我們一起成長和發展的領先人才，變得更加強大，他們自己有能力，也有想要加入我們的高級人才，但也有初級人才。

All of that leaves me ever more confident about where this company has the right to believe it can be and where I believe we can go.

所有這些讓我對這家公司有權利相信它所能達到的目標以及我相信我們能達到的目標更加充滿信心。

With that. Let me turn the call over to you, Ajay.

就這樣。讓我把電話轉給你，阿傑。

Thank you, Steve, and good morning, everybody. In my prepared remarks, I will take you through our company wide and segment results and discuss guidance for the full year. As Steve said, our results this quarter, primarily revenue growth were below our expectations.

謝謝你，史蒂夫，大家早安。在我準備好的演講中，我將向您介紹我們公司範圍內和部門的業績，並討論全年的指導。正如史蒂夫所說，我們本季的業績，主要是營收成長低於我們的預期。

Revenue growth of 3.7% was not sufficient to offset the 4.9% increase in direct costs and a 10.7% increase in selling general and administrative or SG&A expenses, which resulted in a 13.3% decline and adjusted EBITDA, FX remeasurement losses versus gains in the prior quarter and a higher tax rate further dampened earnings.

3.7% 的收入增長不足以抵消直接成本 4.9% 的增長以及銷售一般和行政或 SG&A 費用 10.7% 的增長，導致調整後 EBITDA、外匯重新計量損失與之前收益相比下降 13.3%季度和更高的稅率進一步削弱了收益。

Year over year, our quarterly earnings per share declined $0.49 or 20.9%. In our Economic Consulting and Technology segments, we continue to report year-over-year revenue growth but revenues in our Corporate Finance & Restructuring and Strategic Communications segments declined year-over-year. Forensic and Litigation Consulting or FLC revenues were up slightly year over year.

與去年同期相比，我們的季度每股收益下降了 0.49 美元，即 20.9%。在我們的經濟諮詢和技術部門，我們的收入持續同比增長，但我們的企業融資與重組和策略傳播部門的收入同比下降。法證和訴訟諮詢（FLC）收入較去年同期略有成長。

Turning to our results in more detail, revenues of $926 million increased $32.8 million compared to revenues of $893.3 million in the prior year quarter. Earnings per share of $1.85 in third quarter '24 compared to $2.34 in the prior year quarter. Net income of $66.5 million compared to $83.3 million in the prior year quarter.

更詳細地來看我們的業績，營收為 9.26 億美元，比去年同期的收入 8.933 億美元增加了 3,280 萬美元。2024 年第三季每股收益為 1.85 美元，去年同期為 2.34 美元。淨利為 6,650 萬美元，去年同期為 8,330 萬美元。

SG&A expenses of $206 million were 22.2% of revenues. This compares to SG&A expenses of $186.1 million or 20.8% of revenues in the third quarter of 2023. The increase in SG&A was primarily due to higher non-billable head count and related compensation and increase in investments including in AI capabilities, travel and entertainment and legal expenses.

SG&A 費用為 2.06 億美元，佔營收的 22.2%。相比之下，2023 年第三季的 SG&A 費用為 1.861 億美元，佔營收的 20.8%。SG&A 的增加主要是由於非計費員工數量和相關薪酬的增加以及人工智慧功能、旅行和娛樂以及法律費用等投資的增加。

Third quarter 2024 adjusted EBITDA of $102.9 million or 11.1% of revenues compared to $118.7 million or 13.3% of revenues in the prior year quarter. Our third quarter effective tax rate of 25.1% compares to 22.6% in third quarter of '23. The higher tax rate was primarily related to unfavorable tax return adjustments as compared to the prior year income tax provision.

2024 年第三季調整後 EBITDA 為 1.029 億美元，佔營收的 11.1%，而去年同期為 1.187 億美元，佔營收的 13.3%。我們第三季的有效稅率為 25.1%，而 2023 年第三季的有效稅率為 22.6%。稅率較高主要與上一年所得稅撥備相比不利的報稅調整有關。

For the full year, we continue to expect our effective tax rate to be between 20% and 22%. Weighted average shares outstanding or WASO for the third quarter ended September 30, 2024 or 35.9 million shares compared to 35.7 million shares for the prior year quarter.

對於全年，我們繼續預期有效稅率在 20% 至 22% 之間。截至 2024 年 9 月 30 日的第三季加權平均已發行股數或 WASO 為 3,590 萬股，而去年同期為 3,570 萬股。

Billable head count increased by 181 professionals or 2.8% and non-billable head count increased by 112 professionals or 7% compared to the prior year quarter, with the largest increases in Technology, Corporate Finance & Restructuring and Economic Consulting.

與去年同期相比，計費專業人員數量增加了181 名專業人員，即2.8%，非計費專業人員數量增加了112 名專業人員，即7%，其中技術、企業融資與重組以及經濟諮詢領域增幅最大。

Sequentially, billable headcount increased by 325 professionals or 5.1%, which included 322 new joiners from university campuses, our largest class ever. Non-billable head count increased by 20 professionals or 1.2%.

隨後，可計費員工人數增加了 325 名專業人士，即 5.1%，其中包括來自大學校園的 322 名新加入者，這是我們有史以來最大的班級。非計費人員數量增加了 20 名專業人員，即 1.2%。

Now, I will share some insights at the segment level. In Corporate Finance & Restructuring, revenues of $341.5 million decreased 1.7% compared to the prior year quarter. The decrease in revenues was primarily due to lower demand for our business transformation and strategy services which more than offset an increase in demand for our transaction services. Restructuring revenues were flat year-over-year.

現在，我將分享一些細分層面的見解。在企業融資和重組方面，營收為 3.415 億美元，比去年同期下降 1.7%。收入下降主要是由於對我們的業務轉型和策略服務的需求下降，這遠遠抵消了對我們交易服務的需求的成長。重組收入較去年同期持平。

Adjusted segment EBITDA of $57.9 million or 17% of segment revenues compared to $68.1 million or 19.6% of segment revenues in the prior year quarter. The decrease in adjusted segment EBITDA was primarily due to lower revenues and higher SG&A expenses, primarily due to an increase in bad debt.

調整後的部門 EBITDA 為 5,790 萬美元，佔部門收入的 17%，而去年同期為 6,810 萬美元，佔部門收入的 19.6%。調整後部門 EBITDA 的減少主要是由於收入減少和 SG&A 費用增加（主要是由於壞帳增加）。

In the third quarter, restructuring represented 47% of segment revenues. Business transformation and strategy represented 28% of segment revenues and transactions represented 25% of segment revenues. This compares to 46% for restructuring, 33% for business transformation and strategy, and 22% for transactions in 3Q of '23.

第三季度，重組佔該部門營收的47%。業務轉型和策略佔分部收入的 28%，交易占分部收入的 25%。相較之下，2023 年第三季度，重組佔 46%，業務轉型和策略佔 33%，交易佔 22%。

Sequentially, Corporate Finance & Restructuring revenues decreased $6.5 million or 1.9% as 8% growth in restructuring was more than offset by a 13% decline in business transformation and strategy revenues and a 4% decline in transaction revenues.

隨後，企業融資和重組收入減少了 650 萬美元，即 1.9%，因為重組業務增長 8%，但被業務轉型和戰略收入下降 13% 以及交易收入下降 4% 所抵消。

As Steve mentioned, our business transformation and strategy business had certain large jobs conclude and others where the level of billings were significantly lower than last year. Adjusted segment EBITDA decreased by $8.5 million or 12.9% sequentially, primarily due to lower revenues and higher G&A expenses.

正如史蒂夫所提到的，我們的業務轉型和策略業務已經完成了某些大型工作，而其他工作的帳單水平則明顯低於去年。調整後的部門 EBITDA 比上一季減少 850 萬美元，即 12.9%，主要是由於收入減少和一般及行政費用增加。

Turning to Forensic and Litigation Consulting or FLC. Revenues of $168.8 million increased 1.6% compared to the prior year quarter. Acquisition related revenues contributed $1.9 million in the quarter. Excluding acquisition related revenues, the increase in revenues was primarily due to higher construction solutions and disputes revenues which was partially offset by a decrease in data and analytics and investigations revenues.

轉向法證和訴訟諮詢或 FLC。營收為 1.688 億美元，比去年同期成長 1.6%。本季與收購相關的收入貢獻了 190 萬美元。不包括收購相關收入，收入的成長主要是由於建築解決方案和爭議收入的增加，但部分被數據、分析和調查收入的減少所抵消。

Adjusted segment EBITDA of $20 million or 11.8% of segment revenues compared to $21.5 million or 12.9% of segment revenues in the prior year quarter. The decrease in adjusted segment EBITDA was primarily due to higher compensation and SG&A expenses.

調整後分部 EBITDA 為 2,000 萬美元，佔分部營收的 11.8%，而去年同期為 2,150 萬美元，佔分部營收的 12.9%。調整後部門 EBITDA 的減少主要是因為薪資和銷售、一般及行政費用增加。

Sequentially, revenues were flat. Adjusted segment EBITDA increased $5 million, primarily due to lower compensation which was driven largely by a true up in the second quarter from a change in compensation plans, which was partially offset by higher SG&A expenses.

隨後，收入持平。調整後的部門 EBITDA 增加了 500 萬美元，主要是由於薪酬下降，這主要是由於第二季度薪酬計劃變化導致的實際增長所致，部分被較高的 SG&A 費用所抵消。

Our Economic Consulting segments revenues of $222 million increased 14.5% compared to the prior year quarter. The increase in revenues was primarily due to higher demand for M&A related antitrust services, which was partially offset by lower demand for non-M&A related antitrust services.

我們的經濟諮詢部門營收為 2.22 億美元，比去年同期成長 14.5%。收入的成長主要是由於併購相關反托拉斯服務的需求增加，但部分被非併購相關反托拉斯服務需求的下降所抵消。

Adjusted segment EBITDA of $35.2 million or 15.9% of segment revenues compared to $27.8 million or 14.3% of segment revenues in the prior year quarter. The increase in adjusted segment EBITDA was primarily due to higher revenues which was partially offset by an increase in compensation which included the impact of a 3.2% increase in billable headcount.

調整後分部 EBITDA 為 3,520 萬美元，佔分部營收的 15.9%，而去年同期為 2,780 萬美元，佔分部營收的 14.3%。調整後部門 EBITDA 的成長主要是由於收入增加，但部分被薪資增加所抵消，其中包括可計費員工人數增加 3.2% 的影響。

Part of the increase in revenues this quarter was that we recognized $8.1 million in revenues that were previously deferred as client acceptance conditions for revenue recognition were met, which boosted adjusted segment EBITDA by approximately $7 million in the third quarter.

本季營收成長的部分原因是我們確認了 810 萬美元的收入，這些收入之前因滿足客戶接受收入確認的條件而遞延，這使第三季調整後的部門 EBITDA 增加了約 700 萬美元。

Sequentially, revenues decreased $8.8 million or 3.8%, primarily due to lower financial economics revenues which was partially offset by higher M&A related antitrust revenues. Adjusted segment EBITDA decreased $9.1 million, primarily due to lower revenues.

隨後，收入減少了 880 萬美元，即 3.8%，主要是由於金融經濟收入減少，但部分被併購相關反壟斷收入增加所抵消。調整後的部門 EBITDA 減少了 910 萬美元，主要是因為收入下降。

In Technology, revenues of $110.4 million increased 11.7% compared to the prior quarter. The increase in revenues was primarily due to higher demand for M&A related second request, litigation and information governance services, which was partially offset by lower demand for investigation services.

科技領域的營收為 1.104 億美元，較上一季成長 11.7%。收入的成長主要是由於對併購相關的第二次請求、訴訟和資訊治理服務的需求增加，但部分被調查服務需求的減少所抵消。

Adjusted segment EBITDA of $16.5 million or 14.9% of segment revenues compared to $14.9 million or 15% of segment revenues in the prior year quarter. The increase in adjusted segment EBITDA was primarily due to higher revenues which was partially offset by an increase in compensation, which includes the impact of a 14.1% increase in billable headcount.

調整後的部門 EBITDA 為 1,650 萬美元，佔部門收入的 14.9%，而去年同期為 1,490 萬美元，佔部門收入的 15%。調整後部門 EBITDA 的成長主要是由於收入增加，但部分被薪資增加所抵消，其中包括可計費員工人數增加 14.1% 的影響。

Sequentially, revenues decreased $5.5 million or 4.7%, primarily due to lower demand for M&A related second request and investigation services which was partially offset by higher demand for litigation and information governance services.

隨後，收入減少了 550 萬美元，即 4.7%，主要是由於對併購相關的第二次請求和調查服務的需求減少，但訴訟和資訊治理服務的需求增加部分抵消了這一影響。

Adjusted segment EBITDA decreased $4.5 million sequentially, primarily due to lower revenues. Revenues in the Strategic Communications segment of $83.3 million decreased 4.1% compared to the prior year quarter, excluding the estimated positive impact from FX, revenues decreased $4.4 million or 5.1%.

調整後的部門 EBITDA 環比減少 450 萬美元，主要是因為收入下降。戰略傳播部門的收入為 8,330 萬美元，比去年同期下降 4.1%，排除外匯的預期正面影響，收入減少 440 萬美元，即 5.1%。

The decrease in revenues was primarily due to a decline in pass through revenues and lower corporate reputation revenues which was partially offset by higher public affairs revenues. Adjusted segment EBITDA of $12.1 million or 14.6% of segment revenues compared to $13.5 million or 15.5% of segment revenues in the prior year quarter.

收入下降主要是由於轉手收入下降和企業聲譽收入下降，但公共事務收入增加部分抵消了下降。調整後分部 EBITDA 為 1,210 萬美元，佔分部營收的 14.6%，而去年同期為 1,350 萬美元，佔分部營收的 15.5%。

The decrease in adjusted segment EBITDA was primarily due to lower revenues and higher SG&A expenses compared to the prior year quarter. Sequentially, revenues in Strategic Communications decreased $1.6 million or 1.9%, primarily due to a decrease in pass through revenues and lower financial communications revenues [as adjusted segment EBITDA] increased a $0.5 million, primarily due to lower direct compensation and SG&A expenses which more than offset the decrease in revenues.

調整後部門 EBITDA 的下降主要是由於與去年同期相比收入減少和 SG&A 費用增加。隨後，策略傳播部門的收入減少了160 萬美元，即1.9%，主要是由於轉手收入減少和金融傳播收入下降[調整後的EBITDA] 增加了50 萬美元，主要是由於直接薪酬和SG&A 費用減少，超過抵消了收入的減少。

Let me now discuss key cash flow and balance sheet items. Net cash provided by operating activities of $219.4 million for the quarter compared to a $106.7 million for the prior quarter. The year-over-year increase in net cash provided by operating activities was primarily due to an increase in cash collections.

現在讓我討論關鍵的現金流量和資產負債表項目。本季經營活動提供的淨現金為 2.194 億美元，上一季為 1.067 億美元。經營活動提供的現金淨額年增主要是由於現金回籠增加。

Day sales outstanding or DSO of a 108 days at the end of September 2024 compared with 114 days at the end of September 2023. Free cash flow was $212.3 million in the quarter. Total debt, net of cash and short-term investments of negative $386.3 million at September 30, 2024 compared to positive $59.4 million at September 30, 2023, and negative $166.4 million at June 30, 2024.

截至 2024 年 9 月底，應收日銷售額或 DSO 為 108 天，而 2023 年 9 月底為 114 天。本季自由現金流為 2.123 億美元。截至2024年9月30日，扣除現金及短期投資的總債務為負3.863億美元，而2023年9月30日為正5,940萬美元，截至2024年6月30日為負1.664億美元。

The sequential decrease in total debt, net of cash and short-term investments was primarily due to an increase in net cash provided by operating activities. There were no share repurchases during the quarter. As of September 30, 2024, approximately $460.7 million remained available for common stock repurchases under the company's stock repurchase program.

扣除現金和短期投資後的債務總額較上月下降主要是因為經營活動提供的淨現金增加。本季沒有回購股票。截至 2024 年 9 月 30 日，根據本公司股票回購計劃，仍有約 4.607 億美元可用於普通股回購。

Turning to our guidance. We are updating our guidance for revenues and EPS as follows. We estimate revenues will range between $3.7 billion and $3.75 billion, which compares to our previous revenue guidance range of $3.7 billion to $3.79 billion. We estimate EPS will range between $7.90 and $8.35 which compares to our previous EPS guidance range of $8.10 to $8.60.

轉向我們的指導。我們正在更新營收和每股盈餘指引如下。我們預計收入將在 37 億美元至 37.5 億美元之間，而我們先前的收入指引範圍為 37 億美元至 37.9 億美元。我們預計每股收益將在 7.90 美元至 8.35 美元之間，而我們先前的每股盈餘指引範圍為 8.10 美元至 8.60 美元。

Our guidance is shaped by several key considerations. First, our revenue and EPS guidance is provided within the range and at times, we find actual results are outside even such a range because ours is a fixed cost business in the short-term where significant new matters, starting or ending can cause short-term swings in revenue that then have a disproportionate impact on earnings per share.

我們的指導意見是由幾個關鍵考慮因素決定的。首先，我們的收入和每股盈餘指引是在該範圍內提供的，有時，我們發現實際結果甚至超出了這個範圍，因為我們的業務是短期固定成本業務，重大新事項、開始或結束都可能導致短期收入的短期波動會對每股盈餘產生不成比例的影響。

Second, we expect the slow revenue momentum going into the fourth quarter may persist. Third, though restructuring activity remains robust, we have had weakening results in our business transformation and strategy practices. Additionally, Economic Consulting, which has been very strong for the entire year has a large matter that is slowing down.

其次，我們預計進入第四季度的緩慢收入動能可能會持續。第三，儘管重組活動依然強勁，但我們的業務轉型和策略實踐的結果卻減弱。此外，全年表現強勁的經濟諮詢業務有一個大問題正在放緩。

Fourth, the fourth quarter is typically a weaker quarter for us because of a seasonal business slowdown as professionals may take time off during the holidays. I want to recognize that last year was an exception in this regard as many of our practitioners in many areas were busier than as typical during the fourth quarter.

第四，第四季度對我們來說通常是一個疲軟的季度，因為季節性業務放緩，專業人士可能會在假期期間休假。我想認識到，去年在這方面是一個例外，因為我們許多領域的許多從業者比第四季度的典型情況更忙碌。

Fifth, as Steve has said we have the appetite to continue making investments. Although, our head count growth this year has not yet been significant, we have welcomed top notch senior professionals, and we expect to build teams behind them. And of course, we continue to have a lot of additional conversations. We cannot say with certainty though when such investments will be made and therefore how much impact they may have in this calendar year.

第五，正如史蒂夫所說，我們有興趣繼續進行投資。雖然今年我們的人員成長還不算顯著，但我們迎來了頂尖的高級專業人士，我們希望在他們背後建立團隊。當然，我們繼續進行很多額外的對話。但我們無法確定何時進行此類投資以及它們在本日曆年可能產生多大影響。

Lastly, as you may have noticed as our updated guidance at the midpoint essentially takes us close to where we were when we first set guidance for this year with a narrower range as we have only one quarter left in the year.

最後，正如您可能已經註意到的那樣，我們在中點更新的指導基本上使我們接近我們首次為今年制定指導時的水平，但範圍更窄，因為今年只剩下四分之一了。

Before I close, though, I obviously want to acknowledge that this quarter was not the quarter we aspired to. I did want to reiterate four key themes that I believe continue to underscore the strength of our company. First, we are an expert driven firm, and we are confident that the deep expertise of our professionals is what sets us apart and allows us to help our clients navigate more complex and ever increasing dislocation.

不過，在結束之前，我顯然想承認本季並不是我們渴望的季度。我確實想重申四個關鍵主題，我相信這些主題將繼續強調我們公司的實力。首先，我們是一家專家驅動的公司，我們相信，專業人士深厚的專業知識使我們與眾不同，並使我們能夠幫助客戶應對更加複雜和日益加劇的混亂。

Second, we have a set of businesses that is uniquely diverse which can allow us to grow regardless of business cycles. Third, we have a growth mindset focused on both retaining and attracting top talent as evidenced by key senior hires announced this year in areas such as business transformation and strategy, transactions, cyber security, forensic accounting and advisory and construction solutions.

其次，我們擁有一系列獨特的多元化業務，這使得我們能夠在不受經濟週期影響的情況下成長。第三，我們的成長心態專注於留住和吸引頂尖人才，今年宣布的業務轉型和策略、交易、網路安全、法務會計以及諮詢和建築解決方案等領域的關鍵高級人才就證明了這一點。

Fourth, our balance sheet remains exceptionally strong. We have the ability to boost shareholder value through share buybacks, organic growth and acquisitions when we see the right ones.

第四，我們的資產負債表仍然異常強勁。當我們看到合適的時機時，我們有能力透過股票回購、有機成長和收購來提高股東價值。

With that, let's open the call up for your questions.

接下來，讓我們開始詢問您的問題。

(Operator Instructions) Andrew Nicholas, William Blair.

（操作員說明）安德魯·尼古拉斯、威廉·布萊爾。

Hi. Good morning. I was hoping you could start by talking a little bit more about restructuring. I guess, after a decent sequential step-down last quarter, it looks like it bounced back a little bit. Can you talk a little bit about that business, that environment. How much of maybe credit pressures are getting to you in the form of bankruptcy or restructuring and just overall outlook on that part of the business?

你好。早安.我希望你能先多談談重組的問題。我想，在上個季度連續下降之後，看起來似乎有所反彈。能談談那個業務、那個環境嗎？有多少信貸壓力以破產或重組的形式對您造成影響，以及這部分業務的整體前景？

So Andrew, restructuring remains strong. The restaurant chain that has customers not going there because after COVID, people's patterns have changed, those businesses have to file it if they get to that situation or the airline that is facing inflationary cost pressures and then competitive pressures may have no choice.

所以安德魯，重組仍然強勁。有顧客不去那裡的連鎖餐廳，因為在新冠疫情之後，人們的模式發生了變化，那些企業如果遇到這種情況就必須歸檔，或者面臨通膨成本壓力的航空公司，然後競爭壓力可能別無選擇。

Even the last quarter, I talked about liability management. We have a couple of instances where those liability management companies have now filed. So restructuring remains strong. Obviously, if interest rates fall by 200 basis points and credit becomes free that does have a dampening effect, but for now, it's robust.

甚至在上個季度，我也談到了負債管理。我們有幾個例子，這些責任管理公司現在已經提交了申請。因此，重組依然強勁。顯然，如果利率下降 200 個基點並且信貸變得自由，這確實會產生抑製作用，但就目前而言，它是強勁的。

Okay. Thank you. And then on the M&A front, it sounds like at least year-over-year things have improved. You see that in M&A related antitrust, you see it in transactions all sequentially a little bit weaker. Can you just speak to that environment as well? Maybe if there's any distinctions in terms of M&A appetite by firm size? All that color would be helpful.

好的。謝謝。然後在併購方面，聽起來至少情況較去年同期有所改善。你會發現，在與併購相關的反壟斷中，你會發現它在所有交易中都依次變弱。能也談談那個環境嗎？也許不同公司規模的併購偏好有什麼不同？所有這些顏色都會有幫助。

Again, there the availability of credit is spurring transactions. And now, listen, sequentially, you got it just right. I mean, roughly speaking, we were used to get M&A was about 15% of our revenues M&A driven if you add from Technology, Economic Consulting and corporate finance.

信貸的可用性再次刺激了交易。現在，聽著，按順序，你做對了。我的意思是，粗略地說，如果再加上技術、經濟諮詢和企業融資，我們過去的收入中大約有 15% 是由併購驅動的。

This year, it's been 15% and 20% and there's a 1% slippage this quarter versus the sequential quarter. Not much. So it's a robust environment and doing and doing quite well. And we have distinctly strong positions in variety of our segments to assist our clients.

今年，這一數字為 15% 和 20%，本季與上一季相比下滑了 1%。不多。所以這是一個強大的環境，而且做得非常好。我們在各個領域都擁有明顯的優勢地位，可以為客戶提供協助。

All right. Thank you. And then if I could just squeeze one more in, you mentioned part of the increase in SG&A and increase in investments and you noted AI capabilities within that. Can you flush out some of those investments or what you can say on how you're planning to leverage that technology within your various businesses going forward?

好的。謝謝。然後，如果我可以再擠進去一點，您提到了銷售管理費用和投資增加的一部分，並且您提到了其中的人工智慧功能。您能否取消其中一些投資，或者您計劃如何在未來的各種業務中利用該技術？

Look, we're like everybody in AI. I mean, I think, Bill Gates famously said one point about all fundamental new technologies is the pundits who confidently predict the first two years always get it wrong and they always overestimate the speed of things.

看，我們就像人工智慧領域的每個人一樣。我的意思是，我認為，比爾蓋茲關於所有基礎新技術的一句名言是，那些自信地預測前兩年的專家總是會出錯，而且他們總是高估事物的速度。

But then for fundamental new technologies, the other corollary is people underestimate the dramatic effect that it has on the world and on businesses and the [ensuing TAM]. And so, we're doing a lot of things to make sure we are at the forefront and not caught unaware. And that has to do with stuff that we've done for a while.

但對於基礎性新科技來說，另一個推論是人們低估了它對世界、企業和社會的巨大影響。[隨後的 TAM]。因此，我們正在做很多事情來確保我們處於最前沿，並且不會被忽視。這與我們一段時間以來所做的事情有關。

Our tech and data analytics businesses have been on the forefront of machine learning and extending that. We've been working on internal tools to help our company navigate, but also been out there with clients, trying to figure out what early-stage things they're doing, how we can help with them. What risk there are because there's a lot of risk associated with hallucinations and bias and sensitive areas, how we can help them guard against that.

我們的技術和數據分析業務一直處於機器學習和擴展的最前沿。我們一直致力於開發內部工具來幫助我們公司導航，同時也與客戶一起，試圖弄清楚他們正在做哪些早期階段的事情，以及我們如何為他們提供幫助。有哪些風險，因為有許多風險與​​幻覺、偏見和敏感區域有關，我們如何幫助他們防範這些風險。

And so, we've invested a lot of internal time, some dollars to build tools and so forth, but also a lot of internal time to do it as well as to train our broader SMD cohort because what you need over time is 750 SMDs and a bunch of MDs who can have engaged conversations with their clients on what's going on and the risks.

因此，我們投入了大量的內部時間、一些資金來建立工具等，而且還投入了大量的內部時間來完成這些工作以及培訓我們更廣泛的SMD 群體，因為隨著時間的推移，您需要的是750個SMD以及一群可以與客戶就正在發生的事情和風險進行深入對話的董事總經理。

And I consider that investment because yes, we've gotten some revenue from it, but clearly a lot of the work we've done has been without P&L in mind, but really around building the capability of our organization. Does that start to address your question, Andrew?

我認為這項投資是因為我們確實從中獲得了一些收入，但顯然我們所做的許多工作都沒有考慮到損益，而是真正圍繞著我們組織的能力來建立。安德魯，這是否開始解決你的問題？

It does. Thank you. I'll get back in the queue.

確實如此。謝謝。我會回到隊列中。

Tobey Sommer, Truist.

托比·索默，真理主義者。

Hi. It's [Tyler Barrens] on for Toby. Just excluding the outcome of the election, could you talk about some of the headwinds -- tailwinds that the business is going to face in 2025? Thank you.

你好。托比的[泰勒·巴倫斯]上場了。僅排除選舉結果，您能否談談該企業在 2025 年將面臨的一些逆風和順風？謝謝。

John, I steadfastly refused to ever predict an election or the effects of an election on our business. We have lots of people in our company who do that particularly in our strat com business and God bless them. I think like most pundits out there don't even think they can predict the outcome of this election, let alone the second and third order consequences.

約翰，我堅決拒絕預測選舉或選舉對我們業務的影響。我們公司有很多人這樣做，特別是在我們的策略通訊業務中，上帝保佑他們。我認為大多數專家甚至認為他們無法預測這次選舉的結果，更不用說第二和第三級後果了。

I will say that, obviously, things like elections, geopolitical events, these things can affect our business. But I would say that we followed a pattern since I've been here of stop doing well with me because Brexit is coming and instead focused on the fact that if Brexit comes, clients are going to have needs and let's focus on what those needs are and make sure we're positioned against it.

我想說，顯然，選舉、地緣政治事件等事情都會影響我們的業務。但我想說的是，自從我來到這裡以來，我們就遵循了一種模式，即不再因為英國脫歐的到來而表現得很好，而是關注這樣一個事實：如果英國脫歐到來，客戶將會有需求，讓我們專注於這些需求是什麼並確保我們反對它。

And I think to me, you can't predict, say that there's no effect of any of these forces that can have an effect. But our company is better served by sort of saying we'll see where it comes. But let's make sure we're positioned against the needs because there are needs that are going to be out there and what we need to be positioned against it.

我認為對我來說，你無法預測，說這些力量中的任何一個都不會產生影響。但如果我們說“我們將拭目以待”，這對我們公司來說會更好。但是，讓我們確保我們的定位是針對需求的，因為存在一些需求，而我們需要根據需求定位什麼。

So that's the rhetoric I have, and I steadfastly refuse to do the prediction that you asked for. So I apologize for that John, but at least that hopefully helps someone.

這就是我的言論，我堅決拒絕做你所要求的預測。所以我為那個約翰道歉，但至少希望能對某人有幫助。

Got it. And then just looking forward, how should we think about uses of cash going forward? Can you maybe just talk about willingness to buy back stock even with the stock at a higher than historical multiple going forward?

知道了。然後展望未來，我們該如何考慮未來現金的使用？您能否談談即使未來股價高於歷史倍數，也願意回購股票？

Well, let me say something about the historical -- I think Ajay, we never comment specifically on what are you intending to do in the next quarter or two on cash. Let me say this that we're acutely aware of the fact that good use of cash or not good use of cash is a key ingredient for creating value for shareholders.

好吧，讓我談談歷史——我認為阿賈伊，我們從來沒有具體評論過你打算在下一兩個季度用現金做什麼。我想說的是，我們敏銳地意識到，善用現金或不善用現金是為股東創造價值的關鍵因素。

And we've been focused on that during Ajay and my entire time here. And we have never felt the need to use the cash in any given quarter. What we have focused on is where's the real leverage for taking the business further and for rewarding shareholders who have a long-term perspective on us.

在 Ajay 和我在這裡的整個時間裡，我們一直專注於這一點。我們從未覺得有必要在任何特定季度使用現金。我們關注的是推動業務進一步發展和回報對我們有長遠眼光的股東的真正槓桿作用在哪裡。

And I think it's been a critical ingredient. Sometimes it's been, we've used it for buying back high price debt. Other times, we've used it where we have seen that critical enabling acquisition. We haven't done a lot of acquisitions, but we've used the cash where we found the right ones. Other times, we reacted to -- my sense is occasionally the stock market has gone crazy on us negatively.

我認為這是一個關鍵因素。有時，我們會用它來回購高價債務。其他時候，我們在看到關鍵的促成收購時使用它。我們沒有進行大量收購，但我們已經將現金用於找到合適的收購對象。其他時候，我們的反應是──我的感覺是股市有時會瘋狂地對我們產生負面影響。

And you look at the middle of 2017 when that drove our stock price down even though we're reaffirming guidance and we bought back, I think something like 10% of our company and then same thing happened at the end of '20. And it wasn't a little perturbation of the stock. It was a big drop like -- and when that happens, you can buy back a lot of shares and then for the shareholders who stayed with you, there's a tremendous return.

你看看 2017 年中期，儘管我們重申了指導方針，但我們還是回購了我們公司大約 10% 的股份，當時這導致我們的股價下跌，然後在 20 世紀末發生了同樣的事情。這對股票來說並不是一個小小的擾動。這是一個很大的下跌——當這種情況發生時，你可以回購大量股票，然後對於留下來的股東來說，會有巨大的回報。

So we think hard about that. We do not feel compelled to use the cash in any given quarter, but we are very focused on talking in management and with the Board about what's the next level of way that we can do to make it accretive for our shareholders. So Ajay, anything to add?

所以我們認真思考這一點。我們並不覺得有必要在任何特定季度使用現金，但我們非常注重與管理層和董事會討論我們可以採取哪些措施來為股東帶來增值。那麼阿傑，有什麼要補充的嗎？

No, sir.

不，先生。

And then just final one, can you maybe just talk about areas you see to drive margin expansion going forward?

最後一個問題，您能否談談您認為推動未來利潤率擴張的領域？

Look, I think a lot of it has to do with just getting the revenue in there. I mean, we're such a fixed cost business in any short period of time. You say, how can that be? Well, there's some professional services that have extremely variable comp structures. That's not us for the most part.

聽著，我認為這很大程度上與獲得收入有關。我的意思是，我們在任何短時間內都是固定成本企業。你說，那怎麼可能？嗯，有些專業服務的薪酬結構差異很大。這在很大程度上不是我們。

We have legacy of a big four structure in many parts of our business where even the SMDs have a relatively fixed cost comp structure. And so, if you believe in -- obviously, if you don't believe in the business anymore, you don't believe in the people, you can get rid of all the people. But if you believe in the business and you believe in the people, you take the hit, the revenue falls dramatically to the bottom line.

我們業務的許多部分都繼承了四大銀行的結構，即使是 SMD 也有相對固定的成本補償結構。所以，如果你相信——顯然，如果你不再相信這個行業，你不再相信員工，你就可以擺脫所有的人。但如果你相信公司和員工，你就會受到打擊，收入會急劇下降到底線。

And so, the only solution is the revenue. Now, you can also stop making investments. I mean, investments in new geographies. Even though if you get revenue, you tend to lose money on those initial investments initially or your investment in AI, you can stop doing. But if you stop doing that, then you're not a vibrant growth company. Then you're milking off the growth of the past and that's not what we historically meant to be.

因此，唯一的解決辦法就是收入。現在，您也可以停止投資。我的意思是，對新地區的投資。即使你獲得了收入，你往往會在最初的投資或人工智慧投資上虧損，但你可以停止這樣做。但如果你停止這樣做，那麼你就不是一家充滿活力的成長型公司。那麼你就會榨取過去的成長，而這並不是我們歷史上的本意。

So does that mean we don't hire massively into businesses where we don't see any growth in the next 12 or 24 months, we tighten the hiring there. But we continue to invest in the businesses where we see opportunities for growth, or we can get great talent. So for those businesses, the story is getting back from revenue. You're not a growth business if you're a sustainable 3.7% revenue growth. So that's not what we aspire to. Does that help?

那麼這是否意味著我們不會在未來 12 或 24 個月內看不到任何成長的企業大規模招聘，我們會收緊那裡的招聘。但我們會繼續投資那些我們看到成長機會或能夠獲得優秀人才的企業。因此，對於這些企業來說，最重要的是從收入中恢復過來。如果您的收入持續成長 3.7%，那麼您就不是成長型企業。所以這不是我們所渴望的。這樣有幫助嗎？

Yes. Thank you.

是的。謝謝。

James Yaro, Goldman Sachs.

詹姆斯·亞羅，高盛。

Good morning, and thanks for taking my questions, Steve, obviously, you have your idiosyncratic growth strategy that I have no doubt you will continue to execute on. But as you brought it up, I just love to get your perspective on the drivers of the weaker industry backdrop in consulting, which does appear weaker than at least global economic growth. What do you think causes this backdrop to improve? And then as a corollary, do you think your business is more or less impacted by these industry trends?

早安，感謝您回答我的問題，史蒂夫，顯然，您有自己獨特的成長策略，我毫不懷疑您將繼續執行該策略。但正如你所提到的，我只是想聽聽你對顧問業疲軟產業背景驅動因素的看法，諮商業似乎至少弱於全球經濟成長。您認為是什麼導致了這種背景的改善？那麼作為推論，您認為您的業務或多或少受到這些產業趨勢的影響？

The second one is easier. I think in general we are a little less impacted by those industry trends for two reasons. First of all, some of our businesses, we have some important businesses that are not correlated with the other ones, like restructuring is not necessarily correlated.

第二個比較容易。我認為總的來說，我們受這些行業趨勢的影響要小一些，原因有二。首先我們的一些業務，我們有一些重要的業務跟其他的業務是沒有關聯的，例如重組也不一定有關聯。

And then secondly, over the last few years, I think in many of our businesses, like for example, our e-discovery businesses, we can gain share. So if you're gaining share, you're less affected than by the competitors who are losing share. Right? And that's our aspiration.

其次，在過去幾年中，我認為在我們的許多業務中，例如我們的電子取證業務，我們可以獲得份額。因此，如果您獲得了市場份額，那麼您受到的影響就小於那些正在失去市場份額的競爭對手。正確的？這就是我們的願望。

Why the Big Four and some of the other firms are having such slowdowns, you can read their earnings report. I don't know, I haven't found it totally satisfactory. I suspect some of it has to do with -- there was an over exuberance for a couple of years in terms of deals and so forth and so that the growth rate that was seen before wasn't actually a real sustainable growth rate and this is a catch up or catch down, I guess would be the case.

為什麼四大公司和其他一些公司的經濟成長率如此放緩，你可以閱讀他們的收益報告。我不知道，我還沒有發現它完全令人滿意。我懷疑其中一些與交易等方面幾年來過度繁榮有關，因此之前看到的增長率實際上並不是真正的可持續增長率，這是趕上或趕上，我想情況就是這樣。

Some of that has to do presumably with the global economic conditions. I mean, Europe is not exactly robust in terms of global growth. Some of it has to do with geopolitical conditions, the number of -- we're not in the geopolitical realm, but in Asia, we are feeling our clients who are cutting back that has some effect on us. And I think for a number of people, those things.

其中一些可能與全球經濟狀況有關。我的意思是，就全球成長而言，歐洲並不十分強勁。其中一些與地緣政治條件有關，我們不在地緣政治領域，但在亞洲，我們感覺到我們的客戶正在削減開支，這對我們產生了一些影響。我認為對很多人來說，這些事情。

And we have a confluence of things going on. Sometimes there is a pause in spending when there's uncertainty. I remember this now from not only FTI, but my prior employer that bad news or good news often triggers need for help, uncertainty triggers. Let me pause and wait at least on anything discretionary.

我們正在發生一些事情。有時，當存在不確定性時，支出會暫停。我現在不僅記得 FTI，還記得我以前的雇主說過的一句話：壞消息或好消息常常會引發對幫助的需求，引發不確定性。讓我暫停一下，至少等待任何可以自由裁量的事情。

But I don't -- James, sometimes I really feel like I know the answer to questions and sometimes I'm feeling like I'm collating a bunch of answers that might be plausible. And I have to tell you I'm more in that situation here. If you have other thoughts share them with me though. I appreciate yours as well.

但我不——詹姆斯，有時我真的覺得我知道問題的答案，有時我感覺我正在整理一堆可能看似合理的答案。我必須告訴你，我在這裡更處於這種情況。如果您有其他想法，請與我分享。我也很欣賞你的。

No. I mean, I think it's really interesting, Steve. Because I'm not sure I have the answer either, but that's super helpful color. Maybe just another one here, which is just I think you've had a number of in -- I've had a number of inbounds from investors around the potential for the soft spot in revenue and earnings growth for a period.

不。我的意思是，我認為這真的很有趣，史蒂夫。因為我也不確定我是否有答案，但這是非常有用的顏色。也許這只是另一個問題，我認為你已經收到了一些投資者關於一段時間內收入和盈利增長疲軟潛力的大量信息。

As you move past the lower hiring the back half of last year and the first half of this year too, the stronger hiring that you started to exhibit in this quarter's results. So just putting aside the macro, is that the case? And then I think more importantly, over what time period do you think that you would be able to return to the healthier top line growth rates that we're used to from you?

當你經歷了去年下半年和今年上半年較低的招募情況後，本季的業績開始表現出強勁的招募情況。那麼拋開宏觀來看，是這樣嗎？然後我認為更重要的是，您認為在什麼時間內您能夠恢復到我們習慣的更健康的收入成長率？

So James, we're not going to give you guidance for next year just yet. You'll have to wait till February for that. But we've never aspired for 3.6% revenue growth. So let me leave that one in terms of when you say when do you want to return to it? Let me leave it on that moment.

所以詹姆斯，我們現在不會給你明年的指導。你必須等到二月才能看到。但我們從未期望過 3.6% 的收入成長。那麼，讓我留下這個問題，你說你想什麼時候回來？讓我把它留在那一刻吧。

In terms of the hiring, there are two aspects to this quarter's hiring. The bulk of the hiring this quarter and billable headcount has been from university hires that we gave offers to one year back. So don't read anything that we accelerated or whatnot. These were commitments made a year back.

在招聘方面，本季的招聘有兩個方面。本季的招募和計費人員大部分來自我們一年前提供的大學招募人員。因此，不要閱讀任何我們加速的內容或諸如此類的內容。這些都是一年前做出的承諾。

And in terms of hiring of other professionals like the top notch SMDs, the principles that Steve has said has been there for a long time. We will hire exceptional top talent regardless of where we are at in the business cycle or in the sub-practice if that top notch talent becomes available.

而在聘用頂級SMD等其他專業人士方面，史蒂夫所說的原則已經存在很久了。如果有頂尖人才可用，無論我們處於商業週期或子實踐的哪個階段，我們都將聘請傑出的頂尖人才。

Excellent. That, that's very clear, Ajay. Thank you. Just last one on the hiring. Obviously, hiring is bounced around a little bit in recent quarters. The company is substantially larger than a few years as you've executed on your strategy. So maybe just taking a step back, what do you think a normalized or longer-term hiring growth rate should be? I think that might just help us think about the longer-term growth of the company.

出色的。這一點，非常清楚，阿傑。謝謝。剛招募的最後一篇。顯然，最近幾季的招募略有反彈。當你執行你的策略時，公司的規模比幾年前要大得多。那麼也許退一步來說，您認為正常化或長期的招募成長率應該是多少？我認為這可能有助於我們思考公司的長期成長。

Yeah. Look, I've never given a pinpoint number on that, but I've always -- I think if you go back to the, actually Investor Day in 2017, what I said then when we finally thought had turned this company back into a growth engine that my math said to combine what you're asking in a prior question. If you combine mid to high single-digit organic growth and a really good use of cash that over an extended period of time, you can turn it -- that will turn into a top quartile S&P 500 return. And I think that's been true since.

是的。聽著，我從來沒有給出過具體的數字，但我總是——我想，如果你回到2017 年的投資者日，當我們最終認為已經將這家公司重新變成一家公司時，我當時所說的話我的數學所說的成長引擎結合了您在上一個問題中提出的問題。如果你把中高個位數的有機增長和在很長一段時間內真正很好地利用現金結合起來，你就可以將其轉變為標準普爾 500 指數的前四分之一回報。我認為從那時起一直如此。

Now, we've actually probably averaged -- posted double-digit organic growth over that period, which is certainly my aspiration over the lows and the 5% or 6% level. But, I think, if you do that, you have the opportunity to make the investments you want to make, to make the investments internally on IT systems and on training and be a vibrant growth engine that attracts people.

現在，我們實際上可能在這段時間內實現了兩位數的有機成長，這當然是我對低點和 5% 或 6% 水平的渴望。但是，我認為，如果你這樣做，你就有機會進行你想要進行的投資，在 IT 系統和培訓方面進行內部投資，並成為吸引人才的充滿活力的成長引擎。

I think it's hard to have that vibrancy when you're 3.7% growth for any extended period of time. So it's certainly not our aspiration. Whether we can be -- I don't know, the last few years has probably been closer to 10% or 12% growth, whether we can do that forever. I don't know. But we aspire to get back much closer to that on a sustained basis, not every quarter, not every two quarters.

我認為，當你在很長一段時間內保持 3.7% 的成長時，就很難保持這種活力。所以這當然不是我們的願望。我們是否可以——我不知道，過去幾年可能接近 10% 或 12% 的增長，我們是否可以永遠這樣做。我不知道。但我們渴望持續地接近這個目標，而不是每個季度，也不是每兩季。

And you can have a bad year, you have a bad 12 months. But my experience is if you do the right thing, I've never seen a great professional services firm that did the right thing that over two years wasn't doing better than this quarter would reflect. And so, at least that's maybe some historical perspective that gives a little light. Does that help James?

你可能會度過糟糕的一年，也可能會經歷糟糕的 12 個月。但我的經驗是，如果你做了正確的事情，我從來沒有見過一家偉大的專業服務公司做了正確的事情，但兩年多來的表現卻沒有比本季度所反映的更好。因此，至少這可能是一些可以提供一些線索的歷史視角。這對詹姆斯有幫助嗎？

Absolutely. Thank you so much, Steve.

絕對地。非常感謝你，史蒂夫。

Thank you. And we have no further questions at this time.

謝謝。目前我們沒有進一步的問題。

Well, let me just say thank you again for your attention. Look, 3.7% as we said, multiple times is not our aspiration. But I did look, one of Mollie's team sent me recently just some data, I think in the last while, since Ajay has been CFO and I've been CEO, I think we've had 17 down quarters during that time, which is almost two a year, almost two a year down quarters. And in that time, our actual results have quadrupled.

好吧，讓我再次感謝您的關注。你看，3.7%正如我們所說，多次不是我們的願望。但我確實看了，Mollie 的一個團隊最近給我發了一些數據，我認為在過去一段時間，自從Ajay 擔任首席財務官而我擔任首席執行官以來，我認為在那段時間我們已經經歷了17個季度的下滑，幾乎一年兩個季度，幾乎一年兩個季度。到那時，我們的實際成果已經翻了兩番。

So our business is not about keeping every quarter go straight line up. Our business is about building a business that has to return for you the shareholder. But the mechanism to do it is to build a vital growth engine that has great people wanting to be here and build something.

因此，我們的業務並不是讓每季都保持直線成長。我們的業務是建立一個必須為股東帶來回報的企業。但實現這一目標的機制是建立一個重要的成長引擎，讓優秀的人才願意來這裡創造一些東西。

And that is our commitment to do over time and we are committed. We focus on the shareholder value, and we're focusing on making it substantial and sizable and durable and that's what we're in the business of trying to do. Thanks for your time.

這是我們長期要做的承諾，我們也承諾。我們專注於股東價值，我們致力於使其變得可觀、可觀和持久，這就是我們正在努力做的事情。感謝您抽出時間。

Thank you. This includes today's conference call. We thank you all for attending today's presentation. You may now disconnect your lines and have a wonderful day.

謝謝。這包括今天的電話會議。我們感謝大家參加今天的演講。您現在可以斷開線路並度過美好的一天。