Company: CRAI
Filing Date: 2025-07-31
Form Type: 10-Q
Source: 0001053706-25-000020
Chunk: 79

Company: CRA INTERNATIONAL, INC.
Filing Date: 2025-07-31
Form: 10-Q
Item: Part I, Item 2
Chunk 79
---
 of net revenues for the second quarter of fiscal 2024. The percentage of revenue derived from fixed-price projects depends largely on the proportion of our revenues derived from our management consulting business, which typically has a higher concentration of fixed-price service contracts.

Costs of Services (exclusive of depreciation and amortization). Costs of services (exclusive of depreciation and amortization) increased by $4.7 million, or 1.9%, to $248.9 million for the fiscal year-to-date period ended June 28, 2025 from $244.2 million for the fiscal year-to-date period ended June 29, 2024. The increase in costs of services was due to an increase of $10.5 million in employee compensation and fringe benefit costs, an increase of $2.7 million in client reimbursable expenses, and an increase of $0.7 million in external consultants indirect project expenses, partially offset by a decrease in forgivable loan amortization of $9.2 million. As a percentage of revenues, costs of services (exclusive of depreciation and amortization) decreased to 67.5% for the fiscal year-to-date period ended June 28, 2025 from 71.1% for the fiscal year-to-date period ended June 29, 2024.

Selling, General and Administrative Expenses. Selling, general and administrative expenses increased by $5.1 million, or 8.2%, to $67.6 million for the fiscal year-to-date period ended June 28, 2025 from $62.5 million for the fiscal year-to-date period ended June 29, 2024. Within this category of expenses, there was a $1.8 million increase in legal and professional service fees, $0.9 million increase in rent expense, a $0.8 million increase in commissions to our non-employee experts, $0.6 million increase in employee compensation and fringe benefit costs, a $0.6 million increase in travel and entertainment expense, and a $0.4 million increase in miscellaneous and other fees for the fiscal year-to-date period ended June 28, 2025 as compared to the fiscal year-to-date period ended June 29, 2024.

As a percentage of revenues, selling, general and administrative expenses increased to 18.3% for the fiscal year-to-date period ended June 28, 2025 from 18.2% for the fiscal year-to-date period ended June 29, 2024.