ICFI ICF International Inc

 

 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): November 02, 2023

 

 

ICF International, Inc.

(Exact name of registrant as specified in its charter)

 

 

Delaware			001-33045	22-3661438
(State or other jurisdiction of incorporation)			(Commission File Number)	(IRS Employer Identification No.)
1902 Reston Metro Plaza
Reston, Virginia				20190
(Address of principal executive offices)				(Zip Code)

 

Registrant’s Telephone Number, Including Area Code: 703 934-3000

 

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instructions A.2 below):

Securities registered pursuant to Section 12(b) of the Act:

Title of each class		Trading Symbol(s)		Name of each exchange on which registered
Common Stock		ICFI		The Nasdaq Global Select Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

Item 2.02 Results of Operations and Financial Condition

On November 2, 2023, ICF International, Inc. (the “Company”) announced its financial results for the third quarter ended September 30, 2023. The press release containing this announcement is attached hereto as Exhibit 99.1.

 

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The information contained in this report, including Exhibit 99.1, is considered to be “furnished” and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liability of that section. The information in this report shall not be incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

The release contains forward-looking statements regarding the Company and includes a cautionary statement identifying important factors that could cause actual result to differ materially from those anticipated.

 

Item 8.01 Other Events

On November 2, 2023, the Company's Board of Directors declared a quarterly dividend in an amount equal to $0.14 per share. This quarterly cash dividend will be paid on January 12, 2024, to stockholders of record as of the close of business on December 8, 2023.

The cash dividend policy and the payment of future cash dividends under that policy will be made at the discretion of the Company's Board of Directors and will depend on earnings, operating and financial conditions, capital requirements, and other factors deemed relevant by the Board, including the applicable requirements of the Delaware General Corporation Law and the best interests of the Company’s stockholders.

Item 9.01 Financial Statements and Exhibits

(d) Exhibits

 

99.1		Press Release dated November 2, 2023
104		Cover Page Interactive Data File (embedded within the Inline XBRL document)

 

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Exhibit Index

 

Exhibit Number		Description
99.1		Press Release dated November 2, 2023
104		Cover Page Interactive Data File (embedded within the Inline XBRL document)

 

 

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

		ICF International, Inc.
Date: November 2, 2023		By:	/s/ Barry Broadus
			Barry Broadus
			Chief Financial Officer

 

 

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Exhibit 99.1

NEWS RELEASE

ICF Reports Third Quarter 2023 Results

— Strong Revenue Growth Across Major Markets —

— New Business Pipeline at $9.8 Billion After Record Q3 Contract Awards —

— Raising GAAP and Non-GAAP EPS Guidance to Reflect Lower Tax Rate —

RESTON, Va.— Nov. 2, 2023-- ICF (NASDAQ: ICFI), a global consulting and technology services provider, reported results for the third quarter ended September 30, 2023.

Commenting on the results, John Wasson, chair and chief executive officer, said, “This was another quarter of strong execution for ICF. Revenues increased 7.2% year-on-year. Adjusting for the sale of the Commercial Marketing Group that was completed in the third quarter and the commercial U.K. events business that we exited at the end of the second quarter, revenue growth is estimated at 8.4%1, with our two major market categories, Energy, Environment & Infrastructure and Disaster Recovery and Health & Social Programs posting revenue increases of 14% and 7%, respectively.

“This also was a robust period for contract wins, which reached a third quarter record of $875 million and included record federal government awards led by IT modernization, public health, and cybersecurity. Year-to-date contract awards increased 10%, and 70% of the dollar amount of the awards represented new business, a strong indication of how well aligned ICF’s capabilities and priority markets are with client demand and funding.

“Third quarter profitability benefited from higher utilization, lower facility costs, favorable mix, and scale efficiencies. Additionally, net income and per share earnings were bolstered by tax optimization strategies that have helped to offset higher interest expense.

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“At quarter-end, our business development pipeline was $9.8 billion, 10% above the same period last year. The pipeline represents a diversified set of opportunities, which together with our strong backlog and book-to-bill metrics, support our expectation that 2024 will be another year of considerable recurring revenue growth for ICF.”

Third Quarter 2023 Results

Third quarter 2023 total revenue increased 7.2% to $501.5 million from $467.8 million in the third quarter of 2022. Subcontractor and other direct costs were 27.1% of total revenues compared to 28.3% in last year’s third quarter. Operating income increased 13.0% to $31.9 million, up from $28.2 million, and operating margin on total revenue increased to 6.4%. Net income totaled $23.7 million, and diluted EPS was $1.25 per share in the 2023 third quarter, representing increases of 24.3% and 23.8%, respectively. Third quarter 2023 net income and diluted EPS included $5.1 million, or $0.20 per share, in tax-effected special charges, net of the gain on the sale of the company’s Commercial Marketing Group. Special charges in the third quarter of 2023 related to facilities reductions (including the previously disclosed one-time non-cash stranded facilities charge), M&A, and severance costs. Also included was a one-time tax benefit and other tax optimization strategies representing $0.13 per share.

Non-GAAP EPS1 increased 12.4% to $1.81 per share, from the $1.61 per share reported in the comparable period in 2022, inclusive of a one-time tax benefit and other tax optimization strategies totaling $0.13 per share. EBITDA was $49.2 million, an increase of 14.3% compared to the $43.0 million reported for the year-ago period. Adjusted EBITDA increased 7.3% to $54.3 million, from $50.6 million for the comparable period in 2022.

Backlog and New Business

Total backlog was $3.8 billion at the end of the third quarter of 2023. Funded backlog was $1.8 billion, or approximately 47% of the total backlog. The total value of contracts awarded in the 2023 third quarter was $875 million representing a book-to-bill ratio of 1.7, and trailing-twelve-month contract awards totaled $2.5 billion for a book-to-bill ratio of 1.3.

 

Government Revenue Third Quarter 2023 Highlights

Revenue from government clients was $383.3 million, up 6.6% year-over-year.

 

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Key Government Contracts Awarded in the Third Quarter 2023

Notable government contract awards won in the third quarter of 2023 included:

Health and Social Programs

Digital Modernization

Disaster Management and Mitigation

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Energy and Environment

Commercial Revenue Third Quarter 2023 Highlights

Commercial revenue was $118.2 million, 9.2% above the $108.2 million reported in the third quarter of 2022.

Key Commercial Contracts Awarded in the Third Quarter

Notable commercial awards won in the third quarter of 2023 included:

Energy Markets

Dividend Declaration

On November 2, 2023, ICF declared a quarterly cash dividend of $0.14 per share, payable on January 12, 2024, to shareholders of record on December 8, 2023.

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Summary and Outlook

“ICF’s strong year-to-date performance has put us firmly on track to achieve our full-year guidance and has set the stage for continued growth in 2024. Our key growth markets, utility consulting, disaster management, IT modernization/digital transformation, and climate, environment, and infrastructure services, represented approximately 80% of our total nine-month revenues, adjusted for the sale of our Commercial Marketing Group and the exit of our commercial U.K. events business. We are also encouraged by our year-to-date profitability metrics, which reflect actions we have taken to deploy our resources to support these growth markets, strengthen operating efficiencies, and streamline our business.

 

“Based on our results to date, the recent sale of our Commercial Marketing Group and the exit of our commercial U.K. events business in the second quarter, we are narrowing our guidance range for full-year 2023 revenue to $1,950 million to $1,980 million, and we anticipate subcontractor and other direct costs will be approximately 27% of total revenue. Adjusted EBITDA is expected to range from $212 million to $218 million. We are raising our guidance ranges for diluted EPS to $5.00 to $5.10, exclusive of special charges, and Non-GAAP EPS to $6.40 to $6.50 due to a lower than anticipated tax rate. Operating cash flow is projected at approximately $150 million in 2023. Included in full year 2023 guidance are $60 million in year-to-date revenues from our Commercial Marketing Group and our commercial U.K. events business, which were divested in 2023. At similar margins to the rest of our business, these service lines are estimated to have contributed EPS of approximately $0.20 that will not recur in 2024.

 

“Looking ahead to 2024, our record sales, substantial backlog, and robust business development pipeline support our expectations for high single-digit organic growth in recurring revenues.

 

“In the third quarter, Forbes named ICF one of America’s Best Employers for Women for the second consecutive year, and in 2023 ICF also was included on Forbes’ America’s Best Management Consulting Firms list for the eighth straight year and on its Best Employers for Diversity List for the third straight year. These recognitions speak volumes about the collaborative and inclusive corporate culture that we work every day to maintain. We encourage all our stakeholders to read our latest Corporate Citizenship Report, which details how ICF and our people are impacting society,” Mr. Wasson concluded.

 

1 Non-GAAP EPS, EBITDA, and Adjusted EBITDA are non-GAAP measurements. A reconciliation of all non-GAAP measurements to the most applicable GAAP number is set forth below. Special charges are items that were included within our consolidated statements of comprehensive income but are not indicative of ongoing performance and have been presented net of applicable U.S. GAAP taxes. The presentation of non-GAAP measurements may not be comparable to other similarly titled measures used by other companies.

 

 

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About ICF

ICF is a global consulting and technology services company with approximately 9,000 employees, but we are not your typical consultants. At ICF, business analysts and policy specialists work together with digital strategists, data scientists and creatives. We combine unmatched industry expertise with cutting-edge engagement capabilities to help organizations solve their most complex challenges. Since 1969, public and private sector clients have worked with ICF to navigate change and shape the future. Learn more at icf.com.

Caution Concerning Forward-looking Statements

Statements that are not historical facts and involve known and unknown risks and uncertainties are "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. Such statements may concern our current expectations about our future results, plans, operations and prospects and involve certain risks, including those related to the government contracting industry generally; our particular business, including our dependence on contracts with U.S. federal government agencies; and our ability to acquire and successfully integrate businesses. These and other factors that could cause our actual results to differ from those indicated in forward-looking statements that are included in the "Risk Factors" section of our securities filings with the Securities and Exchange Commission. The forward-looking statements included herein are only made as of the date hereof, and we specifically disclaim any obligation to update these statements in the future.

Note on Forward-Looking Non-GAAP Measures

The company does not reconcile its forward-looking non-GAAP financial measures to the corresponding U.S. GAAP measures, due to the variability and difficulty in making accurate forecasts and projections and because not all of the information necessary for a quantitative reconciliation of these forward-looking non-GAAP financial measures (such as the effect of share-based compensation or the impact of future extraordinary or non-recurring events like acquisitions) is available to the company without unreasonable effort. For the same reasons, the company is unable to estimate the probable significance of the unavailable information. The company provides forward-looking non-GAAP financial measures that it believes will be achievable, but it cannot accurately predict all of the components of the adjusted calculations, and the U.S. GAAP financial measures may be materially different than the non-GAAP financial measures.

Investor Contacts:

Lynn Morgen, ADVISIRY PARTNERS, lynn.morgen@advisiry.com +1.212.750.5800

David Gold, ADVISIRY PARTNERS, david.gold@advisiry.com +1.212.750.5800

Company Information Contact:

Lauren Dyke, ICF, lauren.dyke@ICF.com+1.571.373.5577

 

 

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ICF International, Inc. and Subsidiaries

Consolidated Statements of Comprehensive Income

(Unaudited)

 

		Three Months Ended								Nine Months Ended
		September 30,								September 30,
(in thousands, except per share amounts)		2023				2022				2023				2022
Revenue		$	501,519			$	467,777			$	1,484,886			$	1,304,355
Direct costs			323,504				307,295				961,473				834,358
Operating costs and expenses:
Indirect and selling expenses			131,553				118,290				381,808				350,145
Depreciation and amortization			5,917				5,297				19,052				15,198
Amortization of intangible assets			8,644				8,661				27,154				18,941
Total operating costs and expenses			146,114				132,248				428,014				384,284
Operating income			31,901				28,234				95,399				85,713
Interest, net			(10,557	)			(7,420	)			(30,146	)			(14,096	)
Other income			2,736				833				1,501				438
Income before income taxes			24,080				21,647				66,754				72,055
Provision for income taxes			340				2,542				6,304				16,691
Net income		$	23,740			$	19,105			$	60,450			$	55,364
Earnings per Share:
Basic		$	1.26			$	1.01			$	3.22			$	2.94
Diluted		$	1.25			$	1.01			$	3.19			$	2.91
Weighted-average Shares:
Basic			18,815				18,826				18,795				18,806
Diluted			18,974				19,009				18,958				19,001
Cash dividends declared per common share		$	0.14			$	0.14			$	0.42			$	0.42
Other comprehensive loss, net of tax			(4,053	)			(1,555	)			(2,236	)			(3,107	)
Comprehensive income, net of tax		$	19,687			$	17,550			$	58,214			$	52,257

 

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ICF International, Inc. and Subsidiaries

Reconciliation of Non-GAAP Financial Measures(2)

(Unaudited)

 

		Three Months Ended								Nine Months Ended
		September 30,								September 30,
(in thousands, except per share amounts)		2023				2022				2023				2022
Reconciliation of Revenue, Adjusted for Impact of Exited Business
Revenue		$	501,519			$	467,777			$	1,484,886			$	1,304,355
Less: Adjustment to 2022 revenue from exited business (3)			—				(5,015	)			—				(5,015	)
Total Revenue, Adjusted for Impact of Exited Business		$	501,519			$	462,762			$	1,484,886			$	1,299,340
Reconciliation of EBITDA and Adjusted EBITDA
Net income		$	23,740			$	19,105			$	60,450			$	55,364
Interest, net			10,557				7,420				30,146				14,096
Provision for income taxes			340				2,542				6,304				16,691
Depreciation and amortization			14,561				13,958				46,206				34,139
EBITDA (4)		$	49,198			$	43,025			$	143,106			$	120,290
Impairment of long-lived assets (5)			2,912				—				3,806				—
Acquisition and divestiture-related expenditures (6)			1,779				1,940				4,685				5,521
Severance and other costs related to staff realignment (7)			595				3,757				4,455				5,168
Charges for facility consolidations and office closures (8)			2,220				—				2,579				—
Pre-tax gain from divestiture of a business (9)			(2,425	)			—				(2,425	)			—
Expenses related to the transfer to our new corporate headquarters (10)			—				1,883				—				5,647
Total Adjustments			5,081				7,580				13,100				16,336
Adjusted EBITDA		$	54,279			$	50,605			$	156,206			$	136,626
Net Income Margin Percent on Revenue (11)			4.7	%			4.1	%			4.1	%			4.2	%
EBITDA Margin Percent on Revenue (12)			9.8	%			9.2	%			9.6	%			9.2	%
Adjusted EBITDA Margin Percent on Revenue (12)			10.8	%			10.8	%			10.5	%			10.5	%
Reconciliation of Non-GAAP Diluted EPS
U.S. GAAP Diluted EPS		$	1.25			$	1.01			$	3.19			$	2.91
Impairment of long-lived assets			0.15				—				0.20				—
Acquisition and divestiture-related expenditures			0.09				0.10				0.25				0.29
Severance and other costs related to staff realignment			0.03				0.20				0.23				0.27
Charges for facility consolidations and office closures			0.12				—				0.14				—
Pre-tax gain from divestiture of a business			(0.13	)			—				(0.13	)			—
Expenses related to the transfer to our new corporate headquarters			—				0.10				—				0.30
Amortization of intangibles			0.46				0.46				1.43				1.00
Income tax effects of the adjustments (13)			(0.16	)			(0.26	)			(0.50	)			(0.54	)
Non-GAAP Diluted EPS		$	1.81			$	1.61			$	4.81			$	4.23

 

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(2) These tables provide reconciliations of non-GAAP financial measures to the most applicable GAAP numbers. While we believe that these non-GAAP financial measures may be useful in evaluating our financial information, they should be considered supplemental in nature and not as a substitute for financial information prepared in accordance with GAAP. Other companies may define similarly titled non-GAAP measures differently and, accordingly, care should be exercised in understanding how we define these measures.
(3) Includes adjustment to revenue for the three and nine months ended September 30, 2022 to reflect the impact of exiting our U.K. commercial marketing business as of June 30, 2023 and the divestiture of our U.S. commercial marketing business on September 11, 2023. The adjustment of revenue related to our U.K. commercial marketing business was for the period July 1 to September 30 totaling $2.8 million for both the three and the nine months ended September 30, 2022, respectively. The adjustment of revenue related to our U.S. commercial marketing business was for the period September 12 to September 30 totaling $2.2 million for both the three and nine months ended September 30, 2022, respectively.
(4) The calculation of EBITDA for the three and nine months ended September 30, 2022 has been revised to conform to the current period calculation of EBITDA. Specifically, interest income of $0.1 million and $0.2 million, respectively, was reclassified from "Other expense" to "Interest, net" on the consolidated statements of comprehensive income.
(5) We recorded impairment of $0.9 million and $2.9 million in the first and the third quarter of 2023, respectively, related to impairment of an intangible asset and operating lease right-of-use assets.
(6) These costs consist primarily of third-party costs and integration costs associated with our acquisitions and/or potential acquisitions and separation costs associated with business discontinuation/divestitures.
(7) These costs are mainly due to involuntary employee termination benefits for our officers, and/or groups of employees who have been notified that they will be terminated as part of a consolidation or reorganization.
(8) These costs are exit costs associated with terminated leases or full office closures. The exit costs include charges incurred under a contractual obligation that existed as of the date of the accrual and for which (i) we will continue to pay until the contractual obligation is satisfied but with no economic benefit to us or (ii) we contractually terminated the obligation and ceased utilizing the facilities.
(9) During the third quarter of 2023, we recognized a pre-tax gain of $2.4 million from sale of assets related to the divestiture of our U.S. commercial marketing business.
(10) These costs represent incremental non-cash lease expense associated with a straight-line rent accrual during the “free rent” period in the lease for our new corporate headquarters in Reston, Virginia. We took possession of the new facility during the fourth quarter of 2021, while also maintaining and incurring lease costs for the former headquarters in Fairfax, Virginia. The transition to the new corporate headquarters was completed in the fourth quarter of 2022.
(11) Net Income Margin Percent on Revenue was calculated by dividing net income by revenue.
(12) EBITDA Margin Percent and Adjusted EBITDA Margin Percent on Revenue were calculated by dividing the non-GAAP measure by the corresponding revenue.
(13) Income tax effects were calculated using the effective tax rate, adjusted for certain discrete items, if any, of 21.7% and 29.4% for the three months ended September 30, 2023 and 2022, respectively, and 23.5% and 28.5% for the nine months ended September 30, 2023 and 2022, respectively.

 

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ICF International, Inc. and Subsidiaries

Consolidated Balance Sheets

(Unaudited)

 

(in thousands, except share and per share amounts)		September 30, 2023				December 31, 2022
ASSETS
Current Assets:
Cash and cash equivalents		$	5,084			$	11,257
Restricted cash			2,770				1,711
Contract receivables, net			214,818				232,337
Contract assets			209,267				169,088
Prepaid expenses and other assets			34,294				40,709
Income tax receivable			11,175				11,616
Total Current Assets			477,408				466,718
Property and Equipment, net			78,706				85,402
Other Assets:
Goodwill			1,219,326				1,212,898
Other intangible assets, net			103,211				126,537
Operating lease - right-of-use assets			134,172				149,066
Other assets			42,297				51,637
Total Assets		$	2,055,120			$	2,092,258
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities:
Current portion of long-term debt		$	23,250			$	23,250
Accounts payable			123,414				135,778
Contract liabilities			16,989				25,773
Operating lease liabilities			19,230				19,305
Finance lease liabilities			2,441				2,381
Accrued salaries and benefits			77,123				85,991
Accrued subcontractors and other direct costs			42,049				45,478
Accrued expenses and other current liabilities			64,681				78,036
Total Current Liabilities			369,177				415,992
Long-term Liabilities:
Long-term debt			510,687				533,084
Operating lease liabilities - non-current			174,718				182,251
Finance lease liabilities - non-current			14,277				16,116
Deferred income taxes			40,148				68,038
Other long-term liabilities			52,783				23,566
Total Liabilities			1,161,790				1,239,047
Commitments and Contingencies
Stockholders’ Equity:
Preferred stock, par value $.001; 5,000,000 shares authorized; none issued			—				—
Common stock, par value $.001; 70,000,000 shares authorized; 23,948,590 and 23,771,596 shares issued at September 30, 2023 and December 31, 2022, respectively; 18,816,914 and 18,883,050 shares outstanding at September 30, 2023 and December 31, 2022, respectively			24				23
Additional paid-in capital			414,633				401,957
Retained earnings			755,572				703,030
Treasury stock, 5,131,676 and 4,906,209 shares at September 30, 2023 and December 31, 2022 respectively			(266,530	)			(243,666	)
Accumulated other comprehensive loss			(10,369	)			(8,133	)
Total Stockholders’ Equity			893,330				853,211
Total Liabilities and Stockholders’ Equity		$	2,055,120			$	2,092,258

 

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ICF International, Inc. and Subsidiaries

Consolidated Statements of Cash Flows

(Unaudited)

		Nine Months Ended
		September 30,
(in thousands)		2023				2022
Cash Flows from Operating Activities
Net income		$	60,450			$	55,364
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for credit losses			691				91
Deferred income taxes and unrecognized income tax benefits			(3,533	)			6,023
Non-cash equity compensation			10,134				10,023
Depreciation and amortization			46,207				34,139
Facilities consolidation reserve			—				(236	)
Amortization of debt issuance costs			984				940
Impairment of long-lived assets			3,801				—
Gain on divestiture of a business			(4,302	)			—
Other adjustments, net			(2,222	)			474
Changes in operating assets and liabilities, net of the effects of acquisitions:
Net contract assets and liabilities			(52,010	)			(72,619	)
Contract receivables			12,087				(31,770	)
Prepaid expenses and other assets			11,893				(11,991	)
Operating lease assets and liabilities, net			3,897				(1,305	)
Accounts payable			(13,333	)			23,394
Accrued salaries and benefits			(8,521	)			(13,971	)
Accrued subcontractors and other direct costs			(3,353	)			9,441
Accrued expenses and other current liabilities			(18,727	)			(476	)
Income tax receivable and payable			450				(1,667	)
Other liabilities			959				742
Net Cash Provided by Operating Activities			45,552				6,596
Cash Flows from Investing Activities
Capital expenditures for property and equipment and capitalized software			(17,876	)			(17,323	)
Proceeds from working capital adjustments related to prior business acquisition			—				2,911
Payments for business acquisitions, net of cash acquired			(32,664	)			(238,991	)
Proceeds from divestiture of a business			47,151				—
Net Cash Used in Investing Activities			(3,389	)			(253,403	)
Cash Flows from Financing Activities
Advances from working capital facilities			972,266				1,358,335
Payments on working capital facilities			(995,244	)			(1,074,888	)
Proceeds from other short-term borrowings			25,394				—
Repayments of other short-term borrowings			(18,845	)			—
Receipt of restricted contract funds			6,412				13,525
Payment of restricted contract funds			(7,042	)			(23,358	)
Debt issuance costs			—				(4,852	)
Payments of principal portion of finance leases			(1,780	)			—
Proceeds from exercise of options			279				412
Dividends paid			(7,903	)			(7,912	)
Net payments for stock issuances and buybacks			(20,601	)			(21,105	)
Payments on business acquisition liabilities			—				(1,132	)
Net Cash (Used in) Provided by Financing Activities			(47,064	)			239,025
Effect of Exchange Rate Changes on Cash, Cash Equivalents, and Restricted Cash			(213	)			(2,175	)
Decrease in Cash, Cash Equivalents, and Restricted Cash			(5,114	)			(9,957	)
Cash, Cash Equivalents, and Restricted Cash, Beginning of Period			12,968				20,433
Cash, Cash Equivalents, and Restricted Cash, End of Period		$	7,854			$	10,476
Supplemental Disclosure of Cash Flow Information
Cash paid during the period for:
Interest		$	29,173			$	13,595
Income taxes		$	12,604			$	14,384
Non-cash investing and financing transactions:
Tenant improvements funded by lessor		$	—			$	20,253
Acquisition of property and equipment through finance lease		$	—			$	15,027

 

11

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ICF International, Inc. and Subsidiaries

Supplemental Schedule(14)(15)

 

		Three Months Ended				Nine Months Ended
		September 30,				September 30,
Client Markets:		2023		2022		2023		2022
Energy, environment, infrastructure, and disaster recovery		41%		38%		40%		40%
Health and social programs		42%		42%		42%		39%
Security and other civilian & commercial		17%		20%		18%		21%
Total		100%		100%		100%		100%
		Three Months Ended				Nine Months Ended
		September 30,				September 30,
Client Type:		2023		2022		2023		2022
U.S. federal government		56%		58%		55%		55%
U.S. state and local government		15%		14%		16%		15%
International government		5%		5%		5%		6%
Total Government		76%		77%		76%		76%
Commercial		24%		23%		24%		24%
Total		100%		100%		100%		100%
		Three Months Ended				Nine Months Ended
		September 30,				September 30,
Contract Mix:		2023		2022		2023		2022
Time-and-materials		41%		40%		41%		40%
Fixed-price		45%		45%		45%		45%
Cost-based		14%		15%		14%		15%
Total		100%		100%		100%		100%

 

(14) As is shown in the supplemental schedule, we track revenue by key metrics that provide useful information about the nature of our operations. Client markets provide insight into the breadth of our expertise. Client type is an indicator of the diversity of our client base. Revenue by contract mix provides insight in terms of the degree of performance risk that we have assumed.
(15) During the first quarter of 2023, we re-aligned our client markets from four to three and reclassified the 2022 percentages to conform to the current presentation. Certain immaterial revenue percentages in the prior year have also been reclassified due to minor adjustments and reclassification.

 

12

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v3.23.3

Document And Entity Information	Nov. 02, 2023
Cover [Abstract]
Document Type	8-K
Amendment Flag	false
Document Period End Date	Nov. 02, 2023
Entity Registrant Name	ICF International, Inc.
Entity Central Index Key	0001362004
Entity Emerging Growth Company	false
Securities Act File Number	001-33045
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	22-3661438
Entity Address, Address Line One	1902 Reston Metro Plaza
Entity Address, City or Town	Reston
Entity Address, State or Province	VA
Entity Address, Postal Zip Code	20190
City Area Code	703
Local Phone Number	934-3000
Entity Information, Former Legal or Registered Name	Not Applicable
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Title of 12(b) Security	Common Stock
Trading Symbol	ICFI
Security Exchange Name	NASDAQ

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