Overview
US Gen AI consulting firm's Q1 adjusted revenue and adjusted EPS missed analyst expectations
Adjusted revenue fell yr/yr to $67.8 mln from $76.2 mln
Company added $13.6 mln to share buyback plan, total authorization now $22 mln
Outlook
Hackett Group sees Q2 revenue before reimbursements between $68.5 mln and $70.0 mln
Company expects Q2 adjusted diluted EPS between $0.33 and $0.35
Company says demand for AI and productivity gains expected to support future performance
Result Drivers
AI PLATFORM INVESTMENTS - Co said disciplined investments in AI foundation and transition to Gen AI-enabled delivery platforms are driving productivity gains and expanding engagement scope
Company press release: ID:nBw8f4wpva
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
$68.80 mln
Q1 Adjusted Revenue
Miss
$67.80 mln
$72.40 mln (3 Analysts)
Q1 Adjusted EPS
Miss
$0.34
$0.35 (3 Analysts)
Q1 EPS
$0.17
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the business support services peer group is "buy"
Wall Street's median 12-month price target for Hackett Group Inc is $24.00, about 75.2% above its May 4 closing price of $13.70
The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 11 three months ago
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)