Crawford & Company · NYSE:CRD.A
Crawford & — Q2 2025 Earnings Presentation
35 slides from Crawford &'s earnings presentation, Aug 5, 2025
Slide 1: Second Quarter 2025 Financial Results
® CRD-A & CRD-B (NYSE) Crawford & Company Second Quarter 2025 Financial Results
Slide 2: Forward-Looking Statements & Additional Information
2 Forward-Looking Statements & Additional Information Forwa rd-Looking Statements This presentation contains forward-looking statements, including statements about the expected future financial condition, results of operations and earnings outlook of Crawford & Company. Statements, both qualitative
Slide 3: Strategic Update
3 STRATEGIC UPDATE Rohit Verma President & Chief Executive Officer Q2 2025 FINANCIAL RESULTS
Slide 4: Global Reach; Trusted Partner
4 Global Reach; Trusted Partner 70 $20B+ Countries Claims Managed Annually 10,000+ 50,000+ Employees Field Resources Q2 2025 FINANCIAL RESULTS
Slide 5: Multiple Growth Drivers Benefitting Crawford
5 Multiple Growth Drivers Benefitting Crawford Increasing weather Diversified global Gaining market share Growing and Industry-leading volatility continues to business model within fragmented U.S. strengthening strategic expertise and drive global demand in addresses multiple market as carriers purs
Slide 6: Second Quarter 2025 Highlights
• Second Quarter 2025 Highlights YoY Revenue Growth 66 • Consolidated revenue growth of 2.8% YoY • Revenue growth in North America Loss Adjusting, $323.0 $314.2M International Operations and Broadspire segments • Consolidated operating earnings consistent with 2Q24 • NALA operating earnings and marg
Slide 7: Diversified Business Model Supports Growth Through Weather and Market Fluctuations
7 Diversified Business Model Supports Growth Through Weather and Market Fluctuations U.S. Severe Storm Reports1,2 Consolidated Weather-Related vs. Non-Weather-Related Revenue +2.8% +1% $323.0M $314.2M 12,867 13,021 $84.6M -3.8% $81.4M +5.2% $229.6M $241.6M Q2 ‘24 Q2 ‘25 Q2 ‘24 Q2 ‘25 Non-weather-rel
Slide 8: Our Capital Allocation Strategy
8 Our Capital Allocation Strategy Committed to Industry-Leading Financial Strength and Employing a Disciplined Approach to Capital Allocation Investing in long-term growth Strong liquidity Paid quarterly dividend of $0.07 through Cap Ex and M&A Leverage ratio significantly below per share industry a
Slide 9: Operational Update
99 OPERATIONAL UPDATE Bruce Swain, Chief Financial Officer Q2 2025 FINANCIAL RESULTS
Slide 10: Second Quarter 2025 Revenue Contribution
10 Second Quarter 2025 Revenue Contribution North America International Broadspire Platform Solutions Loss Adjusting Operations (U.S.-only) (US-only) 24% 34% 31% 11% Comprised of the Following Comprised of All Service Lines Third Party Administration for: Comprised of the Following North American Se
Slide 11: North America Loss Adjusting
11 11 North America Loss Adjusting Second Quarter 2025 Results $78.1M $4.6M Revenues Operating Earnings • Revenue increased 2.7% • Operating earnings decreased by 6% YoY • Growth in GTS was offset by a decline in U.S. Field Operations due to lower property claims activity • Operating margin decrease
Slide 12: International Operations
12 12 International Operations Second Quarter 2025 Results $109.1M $7.6M Revenues Operating Earnings • Revenue growth of 6.6% or 6.9% when measured in constant currency • Strong performances in UK, Europe and Asia driven by organic new business growth and weather-related claims • Operating earnings
Slide 13: Broadspire
13 13 Broadspire Second Quarter 2025 Results $100.6M $13.7M Revenues Operating Earnings • Record quarterly revenues • YoY growth of 3.6% with growth across all service lines driven by new business wins • Operating earnings and margin impacted by strategic headcount additions related to new client wi
Slide 14: Platform Solutions
14 14 Platform Solutions Second Quarter 2025 Results $35.2M $3.1M Revenues Operating Earnings • Revenue down by 9.2% YoY • Networks revenues decreased by 31.1% YoY primarily due to pullback in claims outsourcing from key client • Contractor Connection revenues increased 2.0% YoY • Subrogation (Praxi
Slide 15: Financial Update
15 15 FINANCIAL UPDATE Bruce Swain, Chief Financial Officer Q2 2025 FINANCIAL RESULTS
Slide 16: Q2 2025 Financial Summary
16 Q2 2025 Financial Summary Quarter Ended Unaudited ($ in millions, except per share amounts) June 30, 2025 June 30, 2024 % Change Revenues $323.0 $314.2 3% Non-GAAP Revenues excluding foreign exchange fluctuations(1) $323.5 $314.2 3% Net Income Attributable to Shareholders of Crawford & Company $7
Slide 17: Balance Sheet Highlights
17 Balance Sheet Highlights Unaudited ($ in thousands) Jun 30, 2025 Dec 31, 2024 Change Cash and cash equivalents $ 58,529 $ 55,412 $ 3,117 Accounts receivable, net 136,063 142,064 (6,001) Unbilled revenues, net 145,345 131,080 14,265 Total receivables 281,408 273,144 8,264 Goodwill 76,587 76,368 21
Slide 18: Net Debt and Pension Liability
18 Net Debt and Pension Liability Net Debt Pension Liability 250,000 70,000 $74.3M 60,000 200,000 $166.9M 50,000 150,000 $137.3M 40,000 30,000 100,000 $20.5M 20,000 50,000 10,000 - - 2019 2020 2021 2022 2023 2024 Q2 2025 2019 2020 2021 2022 2023 2024 Q2 2025 Net debt at $166.9 million Pension liabil
Slide 19: Operating and Free Cash Flow
Operating and Free Cash Flow 19 Unaudited ($ in thousands) 2025 2024 Change Net Income Attributable to Shareholders of Crawford & Company $ 14,466 $ 11,421 $ 3,045 Depreciation and Other Non-Cash Operating Items 23,670 20,756 2,914 Contingent Earnout Adjustments 443 581 (138) Billed Receivables Chan
Slide 20: Additional Financial Matters
20 Additional Financial Matters • Unallocated corporate costs of $7.0 million in Q2 ‘25 compared to Unallocated corporate costs of $5.1 million in Q2 ‘24 Corporate and Shared • Variance was primarily due to a one-time $3.1 million indirect tax expense caused by a change in international tax law and
Slide 21: Summary
21 Summary Leveraging strong relationships to enhance market position Leading the industry with next generation Insurtech capabilities Capitalizing on the changing landscape due to climate change and demographic shifts Financial strength and liquidity provide flexibility to pursue market opportuniti
Slide 22: Appendix: Segment Results and Non-GAAP Financial Information
22 22 Appendix: Segment Results and Non-GAAP Financial Information Q2 2025 FINANCIAL RESULTS
Slide 23: North America Loss Adjusting
23 North America Loss Adjusting Three months ended Unaudited (in thousands, except percentages) June 30, 2025 June 30, 2024 Variance Revenues $78,074 $76,030 2.7% Direct expenses 63,827 61,473 3.8% Gross profit 14,247 14,557 (2.1)% Indirect expenses 9,652 9,672 (0.2)% Operating earnings $4,595 $4,88
Slide 24: International Operations
24 International Operations Three months ended Unaudited (in thousands, except percentages) June 30, 2025 June 30, 2024 Variance Revenues $109,070 $102,283 6.6% Direct expenses 85,907 83,096 3.4% Gross profit 23,163 19,187 20.7% Indirect expenses 15,527 13,485 15.1% Operating earnings $7,636 $5,702
Slide 25: Broadspire
25 Broadspire Three months ended Unaudited (in thousands, except percentages) June 30, 2025 June 30, 2024 Variance Revenues $100,617 $97,087 3.6% Direct expenses 74,393 70,744 5.2% Gross profit 26,224 26,343 (0.5)% Indirect expenses 12,572 11,252 11.7% Operating earnings $13,652 $15,091 (9.5)% Gross
Slide 26: Platform Solutions
26 Platform Solutions Three months ended Unaudited (in thousands, except percentages) June 30, 2025 June 30, 2024 Variance Revenues $35,236 $38,827 (9.2)% Direct expenses 27,164 31,511 (13.8)% Gross profit 8,072 7,316 10.3% Indirect expenses 4,940 5,847 (15.5)% Operating earnings $3,132 $1,469 113.2
Slide 27: Non-GAAP Financial Information
27 Non-GAAP Financial Information Measurements of financial performance not calculated in accordance with GAAP should be considered as supplements to, and not substitutes for, performance measurements calculated or derived in accordance with GAAP. Any such measures are not necessarily comparable to
Slide 28: Non-GAAP Financial Information (cont.)
28 Non-GAAP Financial Information (cont.) Segment and Consolidated Operating Earnings Operating earnings is the primary financial performance measure used by our senior management and chief operating decision ma ker to evaluate the financial performance of our Company and operating segments and make
Slide 29: Total Revenue Before Reimbursements by Major Currency
Total Revenue Before Reimbursements by Major Currency 29 The following table illustrates revenue as a percentage of total revenue in the major currencies of the geographic areas in which Crawford does business: Three Months Ended Unaudited (in thousands) June 30, 2025 June 30, 2024 Geographic Area C
Slide 30: Reconciliation of Non-GAAP Item
30 Reconciliation of Non-GAAP Item Revenues and Costs of Services Provided Quarter Ended Quarter Ended Unaudited ($ in thousands) June 30, 2025 June 30, 2024 Revenues Before Reimbursements Total Revenues $ 334,595 $ 326,853 Reimbursements (11,598) (12,626) Revenues Before Reimbursements 322,997 314,
Slide 31: Reconciliation of Non-GAAP Items (cont.)
31 Reconciliation of Non-GAAP Items (cont.) Operating Earnings Quarter Ended Quarter Ended June 30, 2025 June 30,2024 Unaudited ($ in thousands) North America Loss Adjusting $ 4,595 $ 4,885 International Operations 7,636 5,702 Broadspire 13,652 15,091 Platform Solutions 3,132 1,469 Unallocated corpo
Slide 32: Reconciliation of Non-GAAP items (cont.)
32 Reconciliation of Non-GAAP items (cont.) Adjusted EBITDA Quarter Ended Quarter Ended June 30, 2025 June 30, 2024 Unaudited ($ in thousands) Net Income Attributable to Shareholders of Crawford & Company $ 7,782 $ 8,584 Add: Depreciation and amortization 9,814 8,845 Stock-based compensation 1,695 1
Slide 33: Non-GAAP Financial Information (cont.)
33 Non-GAAP Financial Information (cont.) Net Debt June 30, 2025 December 31, 2024 Unaudited ($ in thousands) Short-term borrowings $ 22,745 $ 17,750 Current installments of finance leases and other obligations 46 72 Long-term debt and finance leases, less current installments 202,658 200,315 Total
Slide 34: Non-GAAP Financial Information (cont.)
Non-GAAP Financial Information (cont.) 34 Segment Gross Profit Three months ended Unaudited ($ in thousands) June 30, 2025 June 30, 2024 North America Loss Adjusting $ 14,247 $ 14,557 International Operations 23,163 19,187 Broadspire 26,224 26,343 Platform Solutions 8,072 7,316 Segment gross profit
Slide 35: Reconciliation of Second Quarter Non-GAAP Results
Reconciliation of Second Quarter Non-GAAP Results 35 Three Months Ended June 30, 2025 Net Income Attributable to Crawford & Diluted Earnings Diluted Earnings Unaudited ($ in thousands) Pretax Earnings Company per CRD-A Share(1) per CRD-B Share(1) GAAP $ 13,665 $ 7,782 $ 0.16 $ 0.16 Adjustments: Amor