When someone has been cooking the books, FTI Consulting has a recipe for recovery. The company is one of the leading providers of consulting services related to corporate finance and restructuring (through FD International and other units). It also offers forensic accounting, litigation support, and investigative services to companies confronted with problems fraud in order to assist them in their legal defense or pursuit of recoveries. Other consulting service areas include economics, strategic and financial communications, and technology. FTI's main clients are large business enterprises and major law firms. The business was established in 1982.
FTI divides its operations into five segments: Corporate Finance/Restructuring, Forensic and Litigation Consulting, Economic Consulting, Technology, and Strategic Communications. The firm generates a wide diversity of its revenue across these segments; no one segment accounts for a vast majority of total sales.
Outside the US, where the company has offices in more than 35 cities, FTI and its subsidiaries maintain facilities in 25 countries spanning Africa, the Asia/Pacific region, Europe, Latin America, and the Middle East. US-based clients account for the vast majority (around 70%) of sales, however.
Sales and Marketing
The company's advertising costs consist of marketing, advertising through print and other media, professional event sponsorship, and public relations. Advertising costs totaled $20.7 million during fiscal 2014.
FTI provides services to a diverse group of clients, including global FORTUNE 500 companies, FTSE 100 companies, global banks, major law firms, and governments and agencies throughout the world.
The company reported revenue of $1.7 billion for fiscal 2014. That was an increase of 6% compared to the prior fiscal period. FTI's net income was $58.8 million for fiscal 2014. That was a reversal of more than $69 million compared to the net loss the company suffered in fiscal 2013.
The strong revenue and net income in fiscal 2014 meant FTI's cash from operations remained healthy despite a decrease of more than $57 million during the year, with $135.4 million in cash on hand at the end of the fiscal period.
In order to grow, FTI has diversified its service offerings and expanded its geographic reach through a number of acquisitions of niche-market firms.