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Charles River (CRAI) Stock Rises 3.8% on Q3 Earnings Beat
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CRA International, Inc., which conducts business as Charles River Associates (CRAI - Free Report) , reported better-than-expected third-quarter fiscal 2022 results.
Solid full-year revenue guidance might have impressed investors as the stock has risen 3.8% since the earnings release on Nov 3. For 2022, on a constant-currency basis relative to 2021, Charles River raised its revenue guidance between $600 million and $608 million (prior view: $585 million and $605 million). The Zacks Consensus Estimate is, however, pegged below the updated guided range at $595.35 million.
Non-GAAP EPS came in at $1.64, beating the Zacks Consensus Estimate by 33.3% and increasing 14% from the year-ago fiscal quarter’s reported number. Revenues of $148.4 million also surpassed the consensus mark by 0.8% and increased 8.8% from the year-ago fiscal quarter’s reported figure.
Charles River Associates Price, Consensus and EPS Surprise
Charles River delivered 74% utilization, while headcount was up by 3.3% from the year-earlier fiscal quarter’s reported number. Non-GAAP EBITDA increased 21.3% from the prior-year fiscal quarter’s reading to $19.6 million. Non-GAAP EBITDA margin expanded 130 basis points from the year-ago fiscal quarter’s reported number to 13.2%.
CRAI exited the quarter with $24.1 million cash compared with $15.6 million witnessed at the end of the prior fiscal quarter. Charles River used cash worth $43.8 million in operating activities, while capex was $9.3 billion. In the quarter, CRAI paid out $2.22 million of dividends and repurchased shares worth $5 million.
Dividend Hike
CRAI announced that it increased its quarterly cash dividend 16% from 31 cents per share to 36 cents. The dividend will be paid out on Dec 9, 2022, to its shareholders of record as of Nov 29, 2022.
2022 Guidance
CRAI raised its view for non-GAAP EBITDA margin, which is now expected in the range of 12.5-13% compared with the prior expectation of 11.3-12%. Currently, Charles River carries a Zacks Rank #2 (Buy). You can seethe complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Recent Releases
Omnicom Group Inc. (OMC - Free Report) reported impressive third-quarter 2022 results, wherein both earnings and revenues surpassed the respective Zacks Consensus Estimate.
Earnings of $1.77 per share beat the consensus mark by 7.9% and increased 7.3% year over year, driven by a solid margin performance. Total revenues of $3.4 billion surpassed the consensus estimate by 3% and increased slightly year over year.
Equifax Inc. (EFX - Free Report) reported stellar third-quarter 2022 results, wherein both earnings and revenues surpassed the respective Zacks Consensus Estimate.
Adjusted earnings (excluding 39 cents from non-recurring items) of $1.73 per share beat the Zacks Consensus Estimate by 5.5% but decreased 6.5% on a year-over-year basis. However, revenues of $1.24 billion beat the consensus estimate by 2.3% and improved 1.8% year over year on a reported basis and 4% on a local-currency basis.
The Interpublic Group of Companies, Inc. (IPG - Free Report) reported better-than-expected third-quarter 2022 results.
Adjusted earnings (excluding a penny from non-recurring items) of 63 cents per share beat the Zacks Consensus Estimate by 6.8%. The bottom line has been unchanged over the past year. Net revenues of $2.3 billion beat the consensus estimate by 0.3% but declined 9.7% on a year-over-year basis. Total revenues of $2.64 billion increased 3.8% year over year.
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Charles River (CRAI) Stock Rises 3.8% on Q3 Earnings Beat
CRA International, Inc., which conducts business as Charles River Associates (CRAI - Free Report) , reported better-than-expected third-quarter fiscal 2022 results.
Solid full-year revenue guidance might have impressed investors as the stock has risen 3.8% since the earnings release on Nov 3. For 2022, on a constant-currency basis relative to 2021, Charles River raised its revenue guidance between $600 million and $608 million (prior view: $585 million and $605 million). The Zacks Consensus Estimate is, however, pegged below the updated guided range at $595.35 million.
Non-GAAP EPS came in at $1.64, beating the Zacks Consensus Estimate by 33.3% and increasing 14% from the year-ago fiscal quarter’s reported number. Revenues of $148.4 million also surpassed the consensus mark by 0.8% and increased 8.8% from the year-ago fiscal quarter’s reported figure.
Charles River Associates Price, Consensus and EPS Surprise
Charles River Associates price-consensus-eps-surprise-chart | Charles River Associates Quote
Other Quarterly Details
Charles River delivered 74% utilization, while headcount was up by 3.3% from the year-earlier fiscal quarter’s reported number. Non-GAAP EBITDA increased 21.3% from the prior-year fiscal quarter’s reading to $19.6 million. Non-GAAP EBITDA margin expanded 130 basis points from the year-ago fiscal quarter’s reported number to 13.2%.
CRAI exited the quarter with $24.1 million cash compared with $15.6 million witnessed at the end of the prior fiscal quarter. Charles River used cash worth $43.8 million in operating activities, while capex was $9.3 billion. In the quarter, CRAI paid out $2.22 million of dividends and repurchased shares worth $5 million.
Dividend Hike
CRAI announced that it increased its quarterly cash dividend 16% from 31 cents per share to 36 cents. The dividend will be paid out on Dec 9, 2022, to its shareholders of record as of Nov 29, 2022.
2022 Guidance
CRAI raised its view for non-GAAP EBITDA margin, which is now expected in the range of 12.5-13% compared with the prior expectation of 11.3-12%. Currently, Charles River carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Recent Releases
Omnicom Group Inc. (OMC - Free Report) reported impressive third-quarter 2022 results, wherein both earnings and revenues surpassed the respective Zacks Consensus Estimate.
Earnings of $1.77 per share beat the consensus mark by 7.9% and increased 7.3% year over year, driven by a solid margin performance. Total revenues of $3.4 billion surpassed the consensus estimate by 3% and increased slightly year over year.
Equifax Inc. (EFX - Free Report) reported stellar third-quarter 2022 results, wherein both earnings and revenues surpassed the respective Zacks Consensus Estimate.
Adjusted earnings (excluding 39 cents from non-recurring items) of $1.73 per share beat the Zacks Consensus Estimate by 5.5% but decreased 6.5% on a year-over-year basis. However, revenues of $1.24 billion beat the consensus estimate by 2.3% and improved 1.8% year over year on a reported basis and 4% on a local-currency basis.
The Interpublic Group of Companies, Inc. (IPG - Free Report) reported better-than-expected third-quarter 2022 results.
Adjusted earnings (excluding a penny from non-recurring items) of 63 cents per share beat the Zacks Consensus Estimate by 6.8%. The bottom line has been unchanged over the past year. Net revenues of $2.3 billion beat the consensus estimate by 0.3% but declined 9.7% on a year-over-year basis. Total revenues of $2.64 billion increased 3.8% year over year.