Here are 1-2 brief analogies to describe Exponent (EXPO):

• The **McKinsey & Company** for highly specialized scientific and engineering problem-solving, often involving failure analysis and litigation support.
• Like **Deloitte Consulting** or **Accenture**, but exclusively focused on deep technical investigations, product safety, and scientific expert testimony rather than IT or business strategy.

• Engineering & Scientific Consulting: Provides deep technical expertise to solve complex engineering, scientific, and business challenges across various industries.
• Litigation & Expert Witness Support: Offers independent scientific and engineering analysis and expert testimony for legal disputes and regulatory proceedings.
• Failure Analysis & Incident Investigation: Investigates the root causes of failures, accidents, and incidents involving products, materials, or systems.
• Product Design & Development Support: Assists clients with the safety, reliability, and performance aspects of product design, testing, and regulatory compliance.
• Environmental & Health Consulting: Assesses health and environmental risks, exposure pathways, and regulatory compliance related to chemicals, contaminants, and public health.

Exponent (symbol: EXPO) is a scientific and engineering consulting firm that primarily sells its services to other companies and organizations, not individuals.

Due to the confidential nature of their consulting engagements and client relationships, Exponent does not publicly disclose the names of its specific major customer companies. However, based on their public filings and investor materials, their client base consists of various types of organizations across a wide range of industries.

The major categories of customers Exponent serves include:

• Corporations: Companies across diverse sectors such as manufacturing, technology, automotive, energy, consumer products, and healthcare. These clients seek expert analysis for product development, failure analysis, regulatory compliance, risk management, and litigation support.
• Law Firms: Representing clients in complex litigation, including product liability, intellectual property, environmental, and construction defect cases, requiring expert witness testimony, litigation consulting, and technical analysis.
• Insurance Carriers: Utilizing Exponent's expertise for accident investigation, claim analysis, subrogation, and risk assessment related to various insured events, including property damage, personal injury, and casualty claims.

Catherine Ford Corrigan, Ph.D. President, Chief Executive Officer and Director

Dr. Corrigan joined Exponent in 1996 and became CEO in 2018. Her early focus at the company was on the biomechanics of human injury. Over her career at Exponent, she has held various leadership roles, including being promoted to principal in 2002, corporate vice president in 2005, and group vice president to lead the Transportation Group in 2012. She was named president of Exponent, Inc. in July 2016.

Richard L. Schlenker Jr. Executive Vice President, Chief Financial Officer and Corporate Secretary

Mr. Schlenker joined Exponent in October 1990 and has served as Chief Financial Officer since July 1999. He holds a B.S. in finance from the University of Southern California. Prior to his CFO role, he held various positions in finance and accounting, including Business Manager for Exponent Failure Analysis Associates until 1996, Manager of Corporate Development, and Director of Corporate Development. He was appointed Corporate Secretary in November 1997.

Subbaiah V. Malladi, Ph.D., P.E. Group Vice President and Principal Engineer

Dr. Malladi is a Group Vice President and a Principal Engineer at Exponent.

Joseph Sala, Ph.D. Corporate Vice President, Practice Director and Principal Scientist

Dr. Sala serves as Corporate Vice President, Practice Director, and Principal Scientist at Exponent.

Maureen Reitman, Sc.D., P.E., NAE, FSPE Group Vice President and Principal Engineer

Dr. Reitman is a Group Vice President and a Principal Engineer at Exponent.

The key risks to Exponent's business (EXPO) primarily revolve around its human capital, the evolving technological landscape, and broader economic conditions.

1. Reliance on Key Personnel and Impact of Technological Advancements: Exponent's business model is deeply dependent on its highly specialized and credentialed workforce, consisting of scientists, engineers, and other experts. Consequently, the ability to attract, retain, and effectively utilize these key employees is paramount to its success. Furthermore, advances in automation and artificial intelligence (AI) pose a significant risk by potentially reducing the demand for some of Exponent's specialized consulting services, which could intensify competition and exert pressure on pricing and long-term revenue growth.
2. General Economic Conditions and Demand for Services: Exponent's demand for services is sensitive to general and industry-specific economic conditions. Economic downturns or adverse changes in particular industries can lead to a decline in client engagements, affect clients' ability to utilize services at previous levels, and introduce risks related to the timing of engagements, as well as credit and collectability.
3. Regulatory Changes and Liabilities from Professional Services: The company faces risks associated with changes in tort reform and government regulation that could impact its business operations and potential liabilities. Moreover, as a consulting firm providing expert analysis and testimony, Exponent is exposed to liabilities resulting from claims made against it in the course of its professional services.

The addressable market for Exponent's main products and services, which primarily consist of engineering and scientific consulting services, can be identified at both a global and U.S. regional level.

Global Market

The global engineering consulting services market was valued at approximately USD 175.43 billion in 2025 and is projected to reach USD 348.79 billion by 2034, growing at a compound annual growth rate (CAGR) of 7.93% from 2025 to 2034. Another estimate indicates the market size was USD 202.5 billion in 2025 and is expected to grow to USD 300 billion by 2035, with a CAGR of around 4.0% during that period.

U.S. Market

In the United States, the engineering services market, which includes consulting, reached approximately USD 388.56 billion in 2025. This market is projected to grow to USD 507.35 billion by 2030, exhibiting a CAGR of 5.48%. Another source estimates the U.S. engineering services market to be USD 350.8 billion in 2025. Additionally, the U.S. market is projected to reach USD 581.0 billion by 2030, with a CAGR of 6.2% from 2025 to 2030.

1. Strong Demand for Dispute-Related Work: Exponent anticipates continued robust demand for its dispute-related consulting services, particularly within the energy, transportation, life sciences, and construction sectors. This reactive work, often addressing urgent client challenges such as litigation or failure analysis, has been a primary growth driver.
2. Growth in Proactive Risk Management and Regulatory Consulting: The company expects ongoing momentum in proactive engagements, including risk management and asset integrity projects in the utility sector and regulatory consulting in chemicals. This also extends to an intensifying focus on safety, risk management, and product reliability across various industries.
3. Expansion into AI Integration and Emerging Technologies: Exponent is actively involved in early-stage initiatives tied to transformative technologies, including AI integration. The firm's deep roots in failure analysis are driving growth as technical challenges become more novel and complex, including emerging fields such as advanced driver assistance systems, battery storage, and wearables.
4. Strategic Headcount Growth and Increased Utilization: Exponent plans to increase its technical headcount by approximately 4-6% in high-demand sectors in 2026, aiming to sustain utilization levels. Increased headcount allows the company to take on more projects and leverage its multidisciplinary expertise.
5. Realized Rate Increases: The company projects realized rate increases of 4% to 5% for the fourth quarter and full year 2025, reflecting its premium position in the marketplace and differentiated expertise. This ability to command higher rates contributes directly to revenue growth.

Share Repurchases

• Exponent repurchased $155.9 million of common stock in fiscal year 2022. The Board of Directors authorized a $150 million expansion to its share repurchase program in February 2022, bringing the total available for repurchase to approximately $179.5 million.
• In 2023, the company repurchased $24.2 million in common stock. For the full year 2024, share repurchases amounted to $5.7 million.
• An additional $100 million was authorized for the share repurchase program on October 30, 2025, adding to the $21.6 million that remained available as of October 3, 2025.

Share Issuance

• Stock-based compensation expense was $20.4 million in fiscal year 2022.
• For the first quarter of 2023, stock-based compensation expense was $7.1 million.
• The estimated stock-based compensation expense for the full year 2024 was between $23 million and $23.5 million.

Capital Expenditures

• Capital expenditures were approximately $12.6 million in fiscal year 2022, driven by increased investment in corporate infrastructure.
• In fiscal year 2023, capital expenditures increased to approximately $18.7 million.
• For fiscal year 2024, capital expenditures were approximately $6.9 million, with an expectation of $10 million to $12 million for the full year 2025.