Exponent (EXPO) Q4 2025 Earnings Call Transcript

Motley Fool Transcribing, The Motley Fool

Fri, February 6, 2026 astatine 8:05 AM CST 32 min read

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Thursday, Feb. 5, 2026, astatine 4:30 p.m. ET

• Chief Executive Officer — Catherine Corrigan

• Executive Vice President and Chief Financial Officer — Richard Schlenker

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Catherine Corrigan: Thank you, Joni, and convey you, everyone, for joining america today. I volition commencement disconnected by reviewing our 4th fourth and fiscal twelvemonth 2025 concern performance. Rich volition past supply a much elaborate reappraisal of our fiscal results and outlook for 2026, and we volition past unfastened the telephone for questions. We delivered a beardown decorativeness to 2025, reflecting the strength, diversification and resilience of our portfolio. During the 4th quarter, we saw maturation successful proactive engagements, driven by accrued request for idiosyncratic probe successful user electronics, on with continued enlargement of our hazard absorption enactment successful the inferior sector.

Growth successful our reactive services was driven by nonaccomplishment investigation and dispute-related engagements crossed a wide scope of industries, including energy, construction, proscription and beingness sciences. Turning to our engagements successful much detail. Growth successful proactive engagements successful the 4th fourth reflected continued diversification crossed a broader premix of clients and an expanding scope of products and technologies. In user electronics, we saw accrued request for idiosyncratic probe engagements, driven by the request to measure merchandise show and idiosyncratic enactment arsenic artificial quality becomes progressively embedded successful some each time and caller devices. We besides saw continued maturation successful hazard absorption and plus integrity services for utilities, supported by rising vigor request and accrued absorption connected grid reliability.

In Life Sciences, engagements accrued crossed regulatory compliance, merchandise show and information consulting for aesculapian devices arsenic these information captious technologies proceed to go much complex. Turning to our reactive engagements. Demand for Exponent's nonaccomplishment investigation and dispute-related services drove maturation successful the 4th quarter, reflecting the indispensable relation our engineers and scientists play erstwhile systems bash not execute arsenic expected. In transportation, we saw accrued nonaccomplishment investigation enactment tied to electrification and artillery systems successful commercialized vehicles arsenic customers code performance, information and reliability challenges. We expanded our nonaccomplishment probe enactment successful information halfway infrastructure, for example, addressing board-level cooling and thermal absorption issues wherever multidisciplinary teams are required to find the basal origin of failure.