FTI Consulting, Inc. Announces Preliminary First-Quarter Results; Posts Record Sales, Net Income and EBITDA

Earnings Per Share Match All-Time High



Apr 17, 2001, 01:00 ET from FTI Consulting, Inc.

    ANNAPOLIS, Md., April 17 /PRNewswire/ -- FTI Consulting, Inc. (AMEX:   FCN),
 today announced preliminary results for the quarter ended March 31, 2001.  All
 results are unaudited.  Comparisons to "last year" refer to the comparable
 period in the prior year, including pro forma financial results for the first
 quarter of the prior year that contain the results of Policano & Manzo L.L.C.,
 ("P&M"), for January 2000, the month prior to its acquisition by FTI, and
 exclude extraordinary items.
     For the quarter, revenues increased 24 percent to $41.5 million, compared
 with  $33.5 million in the prior year.  Net income was $3.8 million, an
 increase of 73 percent over the $2.2 million income in the prior year.
 Earnings per share exceeded analysts' consensus estimates by 10 percent and
 matched the record $0.32 per share achieved in the prior year despite a
 74 percent increase in the number of diluted share equivalents.  As previously
 reported, earnings per share for the first quarter of 2000 were unusually
 high, primarily due to the extraordinary demand for the services of our
 Financial Consulting Division and the temporary over-utilization of employees
 to meet that demand in the short term.  Since that time, FTI has increased the
 work force in the division to address the continuing demand at more realistic
 and sustainable utilization rates.
     Earnings per share for the first quarter of 2001 were based on
 12.0 million weighted average diluted shares outstanding compared to
 6.9 million weighted average diluted shares outstanding during the comparable
 quarter.  The increase was attributable primarily to the issuance of
 4.03 million additional shares of common stock in an underwritten public
 offering in October 2000.  A greater number of common stock equivalents caused
 by a significant increase in the average price of FTI stock during the quarter
 also affected results negatively by $0.01 per share.
     Earnings before interest, taxes and depreciation and amortization
 ("EBITDA") were also an all-time high for the company, increasing by
 18 percent to $10.3 million for the first quarter of 2001, compared with
 $8.7 million in the first quarter of 2000.  Cash generated was used to pay
 down debt, and since the beginning of the year, the company has reduced debt
 from $60.5 million to $56.4 million.
     With regard to the Company's three operating segments, two of them also
 achieved record financial milestones during the quarter.  Financial
 Consulting's revenues for the quarter were a record $24.2 million compared to
 $15.0 million last year, an increase of 61%.  Segment profit was also a record
 at $9.7 million compared to $6.7 million last year, an increase of 45%.  For
 Applied Sciences, revenues were a record $10.2 million compared to
 $10.0 million last year, while segment profit was $1.7 million compared to
 $2.0 million last year.  This decline was due primarily to differences in
 sales mix from the unusually profitable first quarter of the prior year.  For
 Litigation Consulting, revenues were $7.1 million compared to $8.5 million in
 the prior year, and segment profit was $1.0 million compared to $2.2 million
 in the prior year.  As stated previously, management continues to monitor this
 business closely.  Improving results toward the end of the quarter provided
 some encouragement that the steps taken by division management to contain
 costs while developing the New York market may be beginning to produce
 results.
 
     About FTI Consulting
     FTI Consulting is a multi-disciplined consulting firm with leading
 practices in the areas of bankruptcy and financial restructuring, litigation
 consulting and engineering/scientific investigation.  Modern corporations, as
 well as those who advise and invest in them, face growing challenges on every
 front.  From a proliferation of "bet-the-company" litigation to increasingly
 complicated relationships with lenders and investors in an ever-changing
 global economy, U.S. companies are turning more and more to outside experts
 and consultants to meet these complex issues.  FTI is dedicated to helping
 corporations, their advisors, lawyers, lenders and investors meet these
 challenges by providing a broad array of the highest quality professional
 practices from a single source.
     This press release includes "forward-looking" statements that involve
 uncertainties and risks.  There can be no assurance that actual results will
 not differ from the company's expectations.  The company has experienced
 fluctuating revenues, operating income and cash flow in some prior periods and
 expects that this may occur from time to time in the future.  As a result of
 these possible fluctuations, the company's actual results may differ from our
 projections.  Other factors that could cause such differences include pace and
 timing of additional acquisitions, the company's ability to realize cost
 savings and efficiencies, competitive and general economic conditions, and
 other risks described in the Company's filings with the Securities and
 Exchange Commission.
     A press release containing financial tables will be available on April 26,
 2001, and our regularly-scheduled quarterly conference call will be broadcast
 live on the web at 11:00 a.m. ET that day.  Call details will be available on
 our web-site and through various financial news services prior to the call.
 
     For further information regarding FTI Consulting, Inc. free of charge via
 fax, dial 1-800-PRO-INFO and enter "FCN"
 
     FTI is on the Internet at http://www.fticonsulting.com and at
 http://www.ftiwarroom.net .
 
 

SOURCE FTI Consulting, Inc.
    ANNAPOLIS, Md., April 17 /PRNewswire/ -- FTI Consulting, Inc. (AMEX:   FCN),
 today announced preliminary results for the quarter ended March 31, 2001.  All
 results are unaudited.  Comparisons to "last year" refer to the comparable
 period in the prior year, including pro forma financial results for the first
 quarter of the prior year that contain the results of Policano & Manzo L.L.C.,
 ("P&M"), for January 2000, the month prior to its acquisition by FTI, and
 exclude extraordinary items.
     For the quarter, revenues increased 24 percent to $41.5 million, compared
 with  $33.5 million in the prior year.  Net income was $3.8 million, an
 increase of 73 percent over the $2.2 million income in the prior year.
 Earnings per share exceeded analysts' consensus estimates by 10 percent and
 matched the record $0.32 per share achieved in the prior year despite a
 74 percent increase in the number of diluted share equivalents.  As previously
 reported, earnings per share for the first quarter of 2000 were unusually
 high, primarily due to the extraordinary demand for the services of our
 Financial Consulting Division and the temporary over-utilization of employees
 to meet that demand in the short term.  Since that time, FTI has increased the
 work force in the division to address the continuing demand at more realistic
 and sustainable utilization rates.
     Earnings per share for the first quarter of 2001 were based on
 12.0 million weighted average diluted shares outstanding compared to
 6.9 million weighted average diluted shares outstanding during the comparable
 quarter.  The increase was attributable primarily to the issuance of
 4.03 million additional shares of common stock in an underwritten public
 offering in October 2000.  A greater number of common stock equivalents caused
 by a significant increase in the average price of FTI stock during the quarter
 also affected results negatively by $0.01 per share.
     Earnings before interest, taxes and depreciation and amortization
 ("EBITDA") were also an all-time high for the company, increasing by
 18 percent to $10.3 million for the first quarter of 2001, compared with
 $8.7 million in the first quarter of 2000.  Cash generated was used to pay
 down debt, and since the beginning of the year, the company has reduced debt
 from $60.5 million to $56.4 million.
     With regard to the Company's three operating segments, two of them also
 achieved record financial milestones during the quarter.  Financial
 Consulting's revenues for the quarter were a record $24.2 million compared to
 $15.0 million last year, an increase of 61%.  Segment profit was also a record
 at $9.7 million compared to $6.7 million last year, an increase of 45%.  For
 Applied Sciences, revenues were a record $10.2 million compared to
 $10.0 million last year, while segment profit was $1.7 million compared to
 $2.0 million last year.  This decline was due primarily to differences in
 sales mix from the unusually profitable first quarter of the prior year.  For
 Litigation Consulting, revenues were $7.1 million compared to $8.5 million in
 the prior year, and segment profit was $1.0 million compared to $2.2 million
 in the prior year.  As stated previously, management continues to monitor this
 business closely.  Improving results toward the end of the quarter provided
 some encouragement that the steps taken by division management to contain
 costs while developing the New York market may be beginning to produce
 results.
 
     About FTI Consulting
     FTI Consulting is a multi-disciplined consulting firm with leading
 practices in the areas of bankruptcy and financial restructuring, litigation
 consulting and engineering/scientific investigation.  Modern corporations, as
 well as those who advise and invest in them, face growing challenges on every
 front.  From a proliferation of "bet-the-company" litigation to increasingly
 complicated relationships with lenders and investors in an ever-changing
 global economy, U.S. companies are turning more and more to outside experts
 and consultants to meet these complex issues.  FTI is dedicated to helping
 corporations, their advisors, lawyers, lenders and investors meet these
 challenges by providing a broad array of the highest quality professional
 practices from a single source.
     This press release includes "forward-looking" statements that involve
 uncertainties and risks.  There can be no assurance that actual results will
 not differ from the company's expectations.  The company has experienced
 fluctuating revenues, operating income and cash flow in some prior periods and
 expects that this may occur from time to time in the future.  As a result of
 these possible fluctuations, the company's actual results may differ from our
 projections.  Other factors that could cause such differences include pace and
 timing of additional acquisitions, the company's ability to realize cost
 savings and efficiencies, competitive and general economic conditions, and
 other risks described in the Company's filings with the Securities and
 Exchange Commission.
     A press release containing financial tables will be available on April 26,
 2001, and our regularly-scheduled quarterly conference call will be broadcast
 live on the web at 11:00 a.m. ET that day.  Call details will be available on
 our web-site and through various financial news services prior to the call.
 
     For further information regarding FTI Consulting, Inc. free of charge via
 fax, dial 1-800-PRO-INFO and enter "FCN"
 
     FTI is on the Internet at http://www.fticonsulting.com and at
 http://www.ftiwarroom.net .
 
 SOURCE  FTI Consulting, Inc.