Key Highlights

  • Revenues before reimbursements were USD 321.6 million, down 0.2%, or down 2.6% excluding the foreign exchange benefit.
  • Pre-tax income rose to USD 22.3 million from USD 18.2 million, and Net Income rose to USD 15.0 million.
  • Foreign exchange added USD 7.9 million, or 2.4%, to revenues before reimbursements in the quarter.
  • Corporate interest expense, net of interest income, fell to USD 2.9 million from USD 3.8 million a year earlier.

Quarter in Numbers

Crawford & Company (NYSE:CRD.A), a provider of claims management and outsourcing solutions, reported third-quarter 2026 revenues before reimbursements of USD 321.6 million, down USD 0.5 million, or 0.2%, from USD 322.2 million. Reimbursements fell to USD 8.3 million from USD 10.6 million, so total revenues were USD 329.9 million versus USD 332.8 million. Changes in foreign exchange rates increased revenues before reimbursements by USD 7.9 million, or 2.4%, for the quarter and by USD 23.5 million, or 2.4%, for the nine months. By our calculation, Revenue at constant exchange rates fell about 2.6% in the quarter.

Costs of services before reimbursements fell to USD 223.0 million from USD 228.4 million, and total costs of services were USD 231.3 million versus USD 239.0 million. Selling, general and administrative expenses rose to USD 71.6 million from USD 69.4 million. Corporate interest expense, net of interest income of USD 0.9 million, was USD 2.9 million versus USD 3.8 million, and other loss, net, was USD 1.8 million versus USD 2.4 million.

Profitability

Income before income taxes was USD 22.3 million versus USD 18.2 million, an increase of about 22.7%. The provision for income taxes was USD 7.3 million versus USD 5.8 million, an effective rate of about 32.8%, and net income was USD 15.0 million versus USD 12.4 million. By our calculation, the cost of services ratio before reimbursements improved to 69.3% of revenue from 70.9%, which more than offset the rise in selling and administrative costs to 22.3% of revenue from 21.5%.

For the nine months, net income was USD 33.3 million compared with USD 26.9 million. Earnings per share, for both Class A and Class B common stock, were USD 0.31 on a basic and diluted basis versus USD 0.25, an increase of about 24%. Weighted-average diluted Class A shares fell to 29.6 million from 30.9 million, which contributed to the per share gain.

Segment Trends

The Property and Casualty segment declined in the third quarter and year to date, primarily because of a continued decrease in staff augmentation and weather-driven services within Catastrophe Services and Contractor Connection. Case volumes decreased slightly as weather-related reductions in Catastrophe Services and Global Technical Services were partly offset by increases in Claims Solutions and Contractor Connection.

Broadspire revenues decreased across all service lines, although cases received rose slightly on more Subrogation cases and new disability clients, partly offset by fewer casualty and utilization review claims. International Operations revenues, excluding currency effects, decreased on reductions in the United Kingdom, Australia, Latin America, Europe and Asia, partly offset by an increase in Canada.

Liquidity Indicators

Cash and cash equivalents were USD 79.0 million at September 30, 2026, and total Liquidity under the Credit Facility framework was USD 356.4 million. Items to track include catastrophe-related demand, Broadspire service line trends, currency effects on reported revenue, Working Capital movements in Accounts Receivable and unbilled revenues, and the pace of expense control relative to revenue.