Huron Consulting Group Inc. (NASDAQ:HURN) Q4 2023 Results Conference Call February 27, 2024 5:00 PM ET
Company Participants
Mark Hussey - President and Chief Executive Officer
John Kelly - Chief Financial Officer
Conference Call Participants
Tobey Sommer - Truist Securities
Andrew Nicholas - William Blair & Company
William Sutherland - The Benchmark Company
Kevin Steinke - Barrington Research Associates
Operator
Good afternoon, and welcome to Huron Consulting Group’s Webcast to Discuss Financial Results for the Fourth Quarter and Full-year of 2023. [Operator Instructions] As a reminder, this conference call is being recorded.
Before we begin, I would like to point all of you to the disclosure at the end of the company’s news release for information about any forward-looking statements that may be made or discussed on this call. The news release is posted on Huron’s website. Please review that information along with the filings with the SEC for a disclosure of factors that may impact subjects discussed in this afternoon’s webcast.
The company will be discussing one or more non-GAAP financial measures. Please look at the earnings release and on Huron’s website for all of the disclosures required by the SEC, including reconciliations to the most comparable GAAP numbers.
And now I would like to turn the call over to Mark Hussey, Chief Executive Officer and President of Huron Consulting Group. Mr. Hussey, please go ahead.
Mark Hussey
Good afternoon, and welcome to Huron Consulting Group’s Fourth Quarter and Full-year 2023 Earnings Call. With me today are John Kelly, our Chief Financial Officer; and Ronnie Dale, our Chief Operating Officer.
Driven by strong growth across all three operating segments in 2023, we achieved record revenues and expanded our operating margins for the third consecutive year. Our fourth quarter performance was consistent with our expectations, culminating in record financial performance for full-year 2023.
Revenues in the fourth quarter and full-year 2023 grew 8% and 20%, respectively. In 2023, our consulting and managed services capability, which represents over half of our revenues, grew 23%, while our digital capability grew 17%, achieving revenue that is approaching $600 million and represented 43% of our revenues across all three operating segments.
Full-year adjusted EBITDA margins improved 70 basis points over the prior year, reflecting continued progress toward our objective of returning to mid-teen EBITDA margins by 2025, and our strong cash flow enabled us to return $124 million to shareholders via share repurchases in 2023 while maintaining a strong financial position.