ICF International, Inc. (NASDAQ:ICFI), a leading provider of consulting services and technology solutions to government and commercial clients, reported results for the fourth quarter and full year ended December 31, 2012.
Fourth Quarter/Full Year 2012 Results
For the fourth quarter, revenue was $232.0 million, an 8.4 percent increase over the $213.9 million reported in the 2011 fourth quarter. Service revenue, total revenue less subcontractor and other direct costs, increased 10.6 percent to $172.7 million. EBITDA increased 9.5 percent to $20.8 million, and EBITDA margin was 9.0 percent, inclusive of fourth quarter changes to employee benefit plans and the treatment of certain compensation expenses. The net impact of these two items was a reduction of EBITDA by $1.1 million. Operating income was $14.4 million, a 3.7 percent increase over the $13.9 million reported in the 2011 fourth quarter. Net income was $9.2 million, representing a 4.3 percent increase over net income of $8.8 million in last year’s fourth quarter. Diluted earnings per share were $0.47, reflecting a 7 percent increase over the $0.44 per diluted share earned in the comparable 2011 period.
For full year 2012, revenue was $937.1 million, up 11.5 percent over the $840.8 million reported for full year 2011. Service revenue increased 13.8 percent to $705.3 million. EBITDA increased 13.6 percent to $90.1 million; and EBITDA margin was 9.6 percent, up from 9.4 percent in 2011. Operating income increased 11.3 percent to $65.6 million, net income was up 9.2 percent to $38.1 million, and earnings per diluted share were $1.91, compared to $1.75; an increase of 9.1 percent.
Commenting on ICF’s results, Chairman and Chief Executive Officer Sudhakar Kesavan said, “Consistent with our expectations, growth continued to be driven by our commercial business where fourth quarter revenues increased 24.6 percent as compared to the fourth quarter of 2011 and accounted for 29 percent of total revenues for the period. For the full year of 2012, commercial revenues increased 29.4 percent as compared to 2011 and accounted for 27 percent of our annual revenues as compared to 23 percent in 2011. Within this client category, energy efficiency work for 2012 increased by 16.8 percent above 2011 and our commercial aviation consulting business increased by 46.6 percent in 2012 as compared to 2011. The strong momentum of our commercial work continued to mitigate the impact of softness in the U.S. Federal Government space, where fourth quarter revenues were flat during 2012 with the comparable 2011 period and revenues for the full year were up 2.0 percent over 2011.”