Huron Consulting Group Inc.

Huron Consulting Group Inc. (Nasdaq: HURN) provides consulting, managed services and digital services to healthcare organizations, educational institutions and commercial clients. Work includes improving operations, implementing technology and running ongoing client functions such as healthcare billing and patient access.

The company reports revenue before reimbursable expenses, or RBR, alongside total revenue. RBR excludes expenses passed through to clients and is the denominator for its adjusted EBITDA margin. Total GAAP revenue includes those reimbursements.

Growth and earnings

Reported RBR grew 11.6%, with 6.7% organic growth after excluding incremental acquisition revenue. Billable utilization improved in both consulting and digital work. Adjusted EBITDA margin rose to 16.0% of RBR from 15.6%.

Adjusted EBITDA removes interest, taxes, depreciation, amortization and selected restructuring, acquisition and investment items. Adjusted EPS uses its own adjustments and tax effects. GAAP net income fell partly because of a $5.9 million noncash loss on a convertible-debt investment. That investment loss is separate from client receivables. A lower diluted share count helped GAAP EPS increase despite lower net income.

Earlier expectations and the latest outlook

February's original 2026 RBR forecast was $1.78 billion–$1.86 billion. July raised it to $1.85 billion–$1.89 billion. November narrowed it to $1.855 billion–$1.885 billion, keeping July's midpoint.

The adjusted diluted EPS forecast progressed from $8.35–$9.15 in February to $9.00–$9.40 in July and $9.20–$9.40 in November. The adjusted EBITDA margin expectation remains 14.5%–15.0% of RBR.

Huron completed its purchase of RelateCare's parent on June 3, 2026, adding clinical and patient-access services to Healthcare. RelateCare contributed $13.9 million of third-quarter revenue. The acquisition was already disclosed in July; its contribution changes comparisons with the original February outlook.

Cash, debt and repurchases

Nine-month operating cash flow fell to $15.3 million from $67.0 million. Larger cash use in billed and unbilled receivables explains much of the fresh third-quarter decline. The filing also identifies higher salaries, overhead, annual bonuses and interest as nine-month cash pressures.

At September 30, unbilled services totaled $263.2 million. They include $123.0 million of contract assets requiring a contractual event before billing, up from $91.7 million at year-end. Cash collection timing is therefore a separate test from reported growth.

Repurchase cash payments were $233.7 million for nine months and approximately $27.0 million in the third quarter. The release's $234.9 million and $26.3 million share-cost figures include excise-tax accruals and use a different basis. Quarterly operating cash covered quarterly repurchase payments.

September cash was $25.6 million. Bank principal of $815 million was below June's $834 million but above December's $511 million. The company had $259.6 million of unused revolving capacity and complied with its loan covenants. Its main facilities mature in July 2030.

The board's October increase brings lifetime repurchase authority to $1.1 billion and extends the program through December 2028. September unused authority was $65.9 million before that increase. Future spending remains discretionary.

The next results will test the conversion of unbilled work into billable fees and cash, alongside repurchase spending and debt. Read the report on Huron's larger buyback authority for the latest capital-allocation comparison.