Navigant Reports Fourth Quarter And Full Year 2012 Financial Results And Provides 2013 Business And Financial Outlook

Navigant (NYSE:NCI) today announced financial results for the fourth quarter and full year ended December 31, 2012, along with the Company’s business and financial outlook for 2013.

“Navigant had an exceptional finish to the year,” commented Julie Howard, Chief Executive Officer. “We delivered record quarterly revenues driven by organic growth and achieved improved EBITDA margin levels, despite challenging macroeconomic trends. Our 2012 financial results reflect execution against our strategy to Perform, Bank and Innovate. I commend our professionals for continuing to deliver preeminent client service and I am optimistic about our opportunities in 2013.”
 

Fourth Quarter and Full Year 2012 Results
 
Total Company Fourth Quarter and Full Year 2012 Financial Results (1)
    Q4 2012     Q4 2011     Change     2012     2011     Change
RBR ($000)   $ 194,346     $ 170,996     13.7%     $ 743,383     $ 695,714     6.9%
Total Revenues ($000) $ 225,357 $ 197,005 14.4% $ 844,641 $ 784,684 7.6%
EBITDA ($000) $ 30,280 $ 24,797 22.1% $ 105,611 $ 98,254 7.5%
Adjusted EBITDA ($000) $ 33,777 $ 25,644 31.7% $ 112,166 $ 101,177 10.9%
Net Income ($000)   $ 13,527     $ 11,056     22.3%     $ 46,169     $ 41,130     12.3%
Earnings Per Share $ 0.26 $ 0.21 23.8% $ 0.90 $ 0.80 12.5%
Adjusted Earnings Per Share   $ 0.31     $ 0.22     40.9%     $ 0.98     $ 0.84     16.7%
Average Client Service Full Time Equivalents (FTE) 1,994 1,889 5.6% 1,926 1,818 5.9%
End of Period Client Service FTE     2,013       1,882     7.0%       2,013       1,882     7.0%
Consultant Utilization (1,850 base) (2)     75%       74%     1.4%       75%       77%     -2.6%
Average Bill Rate (excluding performance based fees) (2)   $ 276     $ 283     -2.5%     $ 281     $ 282     -0.4%
Days Sales Outstanding (DSO)     72       76     -5.3%       72       76     -5.3%
 

1)
 

EBITDA, adjusted EBITDA and adjusted earnings per share are non GAAP financial measures. See the attached financial schedules for a reconciliation of EBITDA, adjusted EBITDA and adjusted earnings per share to the most directly comparable GAAP financial measures.

2)

Prior period utilization and bill rate figures have been restated to reflect consulting personnel only and do not include personnel who provide technology, data and process related client services.
 

Navigant reported fourth quarter 2012 RBR of $194 million, up 14% from fourth quarter 2011, on increased revenues across all four business segments, approximately two-thirds of which was due to organic growth. RBR increased 7% sequentially compared to third quarter 2012. Performance-based fees contributed only modestly to fourth quarter 2012 results, adding $2 million versus $4 million from 2011. Average client service FTE increased 6% for fourth quarter 2012 over the same period in 2011. Fourth quarter 2012 adjusted EBITDA increased 32% over the same period in 2011 to 17% of RBR, reflecting both higher revenues and the effects of the Company’s margin improvement programs. Strong fourth quarter 2012 cash collections brought December 31, 2012 long-term debt down $21 million, or 14%, compared to September 30, 2012, while up slightly from 2011 year-end balances. DSO continued a downward trend and declined to 72 days compared to 76 days at the end of 2011.

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