Company: CRAI
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0001053706-25-000014
Chunk: 22

Company: CRA INTERNATIONAL, INC.
Filing Date: 2025-05-01
Form: 10-Q
Item: Part I, Item 1
Chunk 22
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,466)$6,834 $15,300 $(8,084)$7,216 

As a result of an asset acquisition in CRA's intellectual property practice, CRA recognized $1.5 million of intangible assets related to customer relationships during the second quarter of fiscal 2024. Amortization expense related to intangible assets was $0.4 million and $0.3 million for the fiscal quarters ended March 29, 2025 and March 30, 2024, respectively. 

5. Accrued Expenses

Accrued expenses consist of the following (in thousands):March 29,2025December 28,2024Compensation and related expenses$106,520 $167,899 Performance awards9,196 159 Direct project accruals2,959 2,236 Other15,764 11,119 Total accrued expenses$134,439 $181,413 As of March 29, 2025 and December 28, 2024, approximately $66.7 million and $144.2 million, respectively, of accrued bonuses were included above in “Compensation and related expenses.”

13

Table of ContentsCRA INTERNATIONAL, INC.NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)(Unaudited)

6. Income Taxes

For the fiscal quarters ended March 29, 2025 and March 30, 2024, CRA’s effective income tax rate (“ETR”) was 27.0% and 28.0%, respectively. The ETR for the first quarter of fiscal 2025 was lower than the first quarter of fiscal 2024 primarily due to the impact of state tax law changes effective for the 2025 tax year and an increase in the tax benefit related to share-based compensation.

7. Net Income Per Share

CRA calculates basic earnings per share using the two-class method. CRA calculates diluted earnings per share using the more dilutive of either the two-class method or treasury stock method. The two-class method was more dilutive for the fiscal quarters ended March 29, 2025 and March 30, 2024.Under the two-class method, net earnings are allocated to each class of common stock and participating security as if all the net earnings for the period had been distributed. CRA's participating securities consist of unvested share-based payment awards that contain a nonforfeitable right to receive dividends and therefore are considered to participate in