Exponent, Inc. (NASDAQ:EXPO) Q2 2024 Earnings Conference Call July 25, 2024 4:30 PM ET

Company Participants

Joni Konstantelos - Investor Relations
Catherine Corrigan - President and Chief Executive Officer
Rich Schlenker - Executive Vice President and Chief Financial Officer

Conference Call Participants

Andrew Nicholas - William Blair
Joshua Chan - UBS
Tobey Sommer - Truist

Operator

Good afternoon and welcome to the Exponent, Second Quarter 2024 Earnings Conference Call. All participants will be in listen only mode. [Operator Instructions] Please note this event is being recorded.

I would now like to turn the conference over to Joni Konstantelos, Managing Director, Riveron Consulting. Please go ahead.

Joni Konstantelos

Thank you. Good afternoon, ladies and gentlemen. Thank you for joining us on Exponent’s second quarter 2024 financial results conference call. Please note that this call will be simultaneously webcast on the Investor Relations section of the company’s corporate website at investors.exponent.com. This conference call is the property of Exponent and any taping or other reproduction is expressly prohibited without prior written consent.

Joining me on the call today are Dr. Catherine Corrigan, President and Chief Executive Officer; and Rich Schlenker, Executive Vice President and Chief Financial Officer.

Before we start, I would like to remind you that the following discussion contains forward-looking statements, including, but not limited to, Exponent’s market opportunities and future financial results that involve risks and uncertainties that may cause actual results to differ materially from those discussed here. Additional information that could cause actual results to differ from forward-looking statements can be found in Exponent’s periodic SEC filings, including those factors discussed under the caption Risk Factor in Exponent’s most recent Form 10-Q. The forward-looking statements and risks in this conference call are based on current expectations as of today and Exponent assumes no obligation to update or revise them, whether as a result of new developments or otherwise.

And now, I will turn the call over to Dr. Catherine Corrigan, Chief Executive Officer. Catherine?

Catherine Corrigan

Thank you Joanie and thank you everyone for joining us today. I will start off by reviewing our second quarter 2024 business performance. Rich will then provide a more detailed review of our financial results and outlook and we will then open the call for questions.

We delivered net income growth of 14% and expanded EBITDA margin in the second quarter, reflecting the results of efforts to align our operating model with market demand. As expected, revenue growth moderated during the quarter due to ongoing headwinds in the consumer electronics and chemical sectors and a tough comparison against 20% growth in our reactive work last year.