Equibles

8-K

CRAWFORD & CO (CRD-A)

8-K 2021-03-31 For: 2021-03-31
View Original
Added on April 06, 2026

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): March 31, 2021

CRAWFORD & COMPANY

(Exact Name of Registrant as Specified in Its Charter)

Georgia

(State or Other Jurisdiction of Incorporation)

1-10356 58-0506554
(Commission File Number) (IRS Employer Identification No.)
5335 Triangle Parkway, Peachtree Corners, Georgia 30092
(Address of Principal Executive Offices) (Zip Code)

(404) 300-1000

(Registrant's Telephone Number, Including Area Code)

N/A

(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:

☐Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 or Rule 12b-2 of the Securities Act of 1934.

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.     ☐

Securities Registered Pursuant to Section 12(b) of the Act:

Title of each class Trading Symbol(s) Name of each exchange on which registered
Class A Common Stock — $1.00 Par Value CRD-A New York Stock Exchange, Inc.
Class B Common Stock — $1.00 Par Value CRD-B New York Stock Exchange, Inc.

Item 7.01. Regulation FD Disclosure

Segment Realignment

Subsequent to December 31, 2020, the Company has reorganized its global service line structure to consist of Crawford Loss Adjusting, Crawford TPA Solutions: Broadspire, and Crawford Platform Solutions. The Company's revised reportable segments are comprised of the following:

• Crawford Loss Adjusting, which services the global property and casualty market. This is comprised of the previously reported Crawford Claims Solutions segment, excluding both Networks (as defined below) and Crawford Legal Services, and including the Global Technical Services service line previously reported within Crawford Specialty Solutions.
• Crawford TPA Solutions: Broadspire, which provides third party administration for workers' compensation, auto and liability, disability absence management, medical management, and accident and health to corporations, brokers and insurers worldwide. This is comprised of the previously reported Crawford TPA Solutions segment and the Crawford Legal Services service line previously reported within the Crawford Claims Solutions segment.
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• Crawford Platform Solutions, which consists of the Contractor Connection and Networks service lines. This is comprised of the previously reported Contractor Connection service line within Crawford Specialty Solutions and the Networks service line, which includes Catastrophe operations, WeGoLook, and certain international network businesses previously reported within the Crawford Claims Solutions segment.
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The Company’s financial statements for the succeeding interim and annual periods will disclose the reportable segments under the new basis with prior periods restated to reflect the change. Attached hereto as Exhibit 99.1 and incorporated herein by this reference are the historical results of operations for 2019 and 2020 and for each quarter of 2019 and 2020 revised to conform to the current presentation of the Company’s reportable segments.

Segment Expenses

Our discussion and analysis of segment operating expenses is comprised of two components: "Direct Compensation, Fringe Benefits & Non-Employee Labor" and "Expenses Other Than Direct Compensation, Fringe Benefits & Non-Employee Labor."

"Direct Compensation, Fringe Benefits & Non-Employee Labor" includes direct compensation, payroll taxes, and benefits provided to the employees of each segment, as well as payments to outsourced service providers that augment our staff in each segment. As a service company, these costs represent our most significant and variable operating expenses.

As part of our segment realignment, costs of certain administrative functions that are dedicated to a specific segment, such as aspects of Information Technology and Finance, are now included as direct costs of each operating segment. Previously, direct compensation, payroll taxes, and benefits for these functions were recorded as indirect costs and allocated to each operating segment based on usage and reflected within "Expenses Other Than Direct Compensation, Fringe Benefits & Non-Employee Labor" of each operating segment.

The transfer of these administrative functions to each segment will increase their direct expenses and result in a lower gross profit, but have minimal impact on segment operating earnings, the Company's primary performance measure. We believe this transfer will improve the management and performance delivery of these functions in each operating segment.

In addition to allocated corporate and shared costs, "Expenses Other Than Direct Compensation, Fringe Benefits & Non-Employee Labor" includes travel and entertainment, office rent and occupancy costs, automobile expenses, office operating expenses, data processing costs, cost of risk, professional fees, and amortization and depreciation expense other than amortization of acquisition-related intangible assets.

Non-GAAP Presentation

In addition, the Company has updated its presentation of non-GAAP EPS to exclude after-tax acquisition-related intangible amortization expense. The Company believes reporting non-GAAP EPS in this manner better reflects its core operating results and offers greater consistency with our other non-GAAP measures. A full reconciliation between GAAP and non-GAAP EPS for the historical results of operations for 2019 and 2020 and for each quarter of 2019 and 2020 is attached hereto as Exhibit 99.2 and incorporated herein.

Acquisition-related amortization expense is a non-cash expense for finite-lived customer-relationship and amortizable trade name intangible assets acquired in business combinations. This expense does not relate directly to the performance of our services or operating activities and, therefore, will be excluded from non-GAAP EPS. Acquisition-related intangible amortization is already excluded from segment operating earnings and Adjusted EBITDA in order to better assess the results of each segment's operating activities on a consistent basis.

In addition, we will no longer report the impact of foreign exchange movements in our non-GAAP Earnings or EPS reconciliation. We will continue to provide the impact of foreign exchange movements in our revenue disclosures to explain the movement between periods, but the impact will not be presented in our non-GAAP reconciliations.

Item 9.01. Financial Statements and Exhibits

(d) The following exhibits are being filed herewith:

Exhibit No. Description
99.1 Schedule of Revised Reportable Segment Data
99.2 Reconciliation of Non-GAAP Earnings Per Share
104 Cover Page Interactive Data File (embedded within the Inline XBRL document)

The information contained in this current report on Form 8-K and in the accompanying exhibits shall not be incorporated by reference into any filing of the Company with the SEC, whether made before or after the date hereof, regardless of any general incorporation by reference language in such filing, unless expressly incorporated by specific reference to such filing. The information, including the exhibits hereto, shall not be deemed to be "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section or Sections 11 and 12(a)(2) of the Securities Act of 1933, as amended.

SIGNATURE

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

CRAWFORD & COMPANY
(Registrant)
By: /s/ W. BRUCE SWAIN
W. Bruce Swain
Executive Vice President -
Chief Financial Officer
Dated: March 31, 2021

4

crda-ex991_9.htm

Exhibit 99.1

CRAWFORD & COMPANY

RESULTS OF OPERATIONS BY QUARTER (UNAUDITED)

Revised for Realignment of Reportable Segments

2020 Quarterly Period First Second Third Fourth Full Year
(Dollars in thousands)
Revenues Before Reimbursements:
Crawford Loss Adjusting $ 107,104 $ 109,062 $ 110,928 $ 111,397 $ 438,491
Crawford TPA Solutions 97,997 88,668 88,909 95,818 371,392
Crawford Platform Solutions 32,430 36,686 53,287 50,206 172,609
Total, before reimbursements 237,531 234,416 253,124 257,421 982,492
Reimbursements 8,515 8,459 8,545 8,184 33,703
Total Revenues 246,046 242,875 261,669 265,605 1,016,195
Direct Compensation, Fringe Benefits & Non-Employee Labor:
Crawford Loss Adjusting 70,573 65,571 66,155 67,518 269,817
% of related revenues before reimbursements 65.9 % 60.1 % 59.6 % 60.6 % 61.5 %
Crawford TPA Solutions 61,400 56,937 56,703 59,139 234,179
% of related revenues before reimbursements 62.7 % 64.2 % 63.8 % 61.7 % 63.1 %
Crawford Platform Solutions 20,409 21,170 33,516 33,612 108,707
% of related revenues before reimbursements 62.9 % 57.7 % 62.9 % 66.9 % 63.0 %
Total 152,382 143,678 156,374 160,269 612,703
% of Revenues before reimbursements 64.2 % 61.3 % 61.8 % 62.3 % 62.4 %
Expenses Other than Direct Compensation, Fringe Benefits & Non-Employee Labor:
Crawford Loss Adjusting 35,859 33,449 30,634 27,628 127,570
% of related revenues before reimbursements 33.5 % 30.8 % 27.6 % 24.7 % 29.1 %
Crawford TPA Solutions 30,299 28,609 27,918 29,880 116,706
% of related revenues before reimbursements 30.9 % 32.3 % 31.4 % 31.2 % 31.5 %
Crawford Platform Solutions 8,882 8,371 9,116 9,883 36,252
% of related revenues before reimbursements 27.4 % 22.8 % 17.1 % 19.7 % 21.0 %
Total, before reimbursements 75,040 70,429 67,668 67,391 280,528
% of Revenues before reimbursements 31.6 % 30.0 % 26.7 % 26.2 % 28.6 %
Reimbursements 8,515 8,459 8,545 8,184 33,703
Total 83,555 78,888 76,213 75,575 314,231
% of Revenues 34.0 % 32.5 % 29.1 % 28.5 % 30.9 %
Segment Operating Earnings ^(1)^:
Crawford Loss Adjusting 672 10,042 14,139 16,251 41,104
% of related revenues before reimbursements 0.6 % 9.2 % 12.7 % 14.6 % 9.4 %
Crawford TPA Solutions 6,298 3,122 4,288 6,799 20,507
% of related revenues before reimbursements 6.4 % 3.5 % 4.8 % 7.1 % 5.5 %
Crawford Platform Solutions 3,139 7,145 10,655 6,711 27,650
% of related revenues before reimbursements 9.7 % 19.5 % 20.0 % 13.4 % 16.0 %
Deduct:
Unallocated corporate and shared costs (3,096 ) (2,066 ) (1,027 ) (11,242 ) (17,431 )
Goodwill impairment (17,674 ) - - - (17,674 )
Net corporate interest expense (2,224 ) (2,452 ) (1,599 ) (1,648 ) (7,923 )
Stock option expense (290 ) (286 ) (457 ) (89 ) (1,122 )
Amortization of customer-relationship intangible assets (2,756 ) (2,732 ) (3,665 ) (2,500 ) (11,653 )
Restructuring and other costs, net (5,714 ) - - (2,419 ) (8,133 )
(Loss) gain on disposal of businesses, net - (341 ) 14,104 - 13,763
Pretax (Loss) Income (21,645 ) 12,432 36,438 11,863 39,088
Provision for income taxes 8,486 (6,311 ) (11,729 ) (2,459 ) (12,013 )
Net (Loss) Income (13,159 ) 6,121 24,709 9,404 27,075
Net loss (income) attributable to noncontrolling interests 1,760 (224 ) (312 ) (3 ) 1,221
Net Income (Loss) Attributable to Shareholders of Crawford & Company $ (11,399 ) $ 5,897 $ 24,397 $ 9,401 $ 28,296

^(1)^ A non-GAAP financial measurement which represents net income attributable to the applicable reporting segment excluding income taxes, net corporate interest expense, stock option expense, amortization of acquisition-related intangible assets, goodwill impairment, restructuring and other costs, gain/loss on dispositions, and certain unallocated corporate and shared costs.

Page 1 of 5

CRAWFORD & COMPANY

RESULTS OF OPERATIONS BY QUARTER (UNAUDITED)

Revised for Realignment of Reportable Segments

2019 Quarterly Period First Second Third Fourth Full Year
(Dollars in thousands)
Revenues Before Reimbursements:
Crawford Loss Adjusting $ 111,768 $ 116,288 $ 115,495 $ 113,933 $ 457,484
Crawford TPA Solutions 98,185 100,755 100,504 98,182 397,626
Crawford Platform Solutions 37,105 39,838 38,678 35,071 150,692
Total, before reimbursements 247,058 256,881 254,677 247,186 1,005,802
Reimbursements 9,319 10,965 11,165 10,376 41,825
Total Revenues 256,377 267,846 265,842 257,562 1,047,627
Direct Compensation, Fringe Benefits & Non-Employee Labor:
Crawford Loss Adjusting 71,389 71,388 71,841 70,282 284,900
% of related revenues before reimbursements 63.9 % 61.4 % 62.2 % 61.7 % 62.3 %
Crawford TPA Solutions 60,859 63,543 61,141 61,343 246,886
% of related revenues before reimbursements 62.0 % 63.1 % 60.8 % 62.5 % 62.1 %
Crawford Platform Solutions 21,728 22,329 23,367 21,643 89,067
% of related revenues before reimbursements 58.6 % 56.0 % 60.4 % 61.7 % 59.1 %
Total 153,976 157,260 156,349 153,268 620,853
% of Revenues before reimbursements 62.3 % 61.2 % 61.4 % 62.0 % 61.7 %
Expenses Other than Direct Compensation, Fringe Benefits & Non-Employee Labor:
Crawford Loss Adjusting 34,901 37,906 35,092 34,560 142,459
% of related revenues before reimbursements 31.2 % 32.7 % 30.4 % 30.2 % 31.1 %
Crawford TPA Solutions 31,026 31,291 29,798 30,119 122,234
% of related revenues before reimbursements 31.6 % 31.1 % 29.6 % 30.7 % 30.8 %
Crawford Platform Solutions 8,489 10,780 8,107 7,572 34,948
% of related revenues before reimbursements 22.9 % 27.1 % 21.0 % 21.6 % 23.2 %
Total, before reimbursements 74,416 79,977 72,997 72,251 299,641
% of Revenues before reimbursements 30.1 % 31.1 % 28.7 % 29.2 % 29.8 %
Reimbursements 9,319 10,965 11,165 10,376 41,825
Total 83,735 90,942 84,162 82,627 341,466
% of Revenues 32.7 % 34.0 % 31.7 % 32.1 % 32.6 %
Segment Operating Earnings ^(1)^:
Crawford Loss Adjusting 5,478 6,994 8,562 9,091 30,125
% of related revenues before reimbursements 4.9 % 6.0 % 7.4 % 8.0 % 6.6 %
Crawford TPA Solutions 6,300 5,921 9,565 6,720 28,506
% of related revenues before reimbursements 6.4 % 5.9 % 9.5 % 6.8 % 7.2 %
Crawford Platform Solutions 6,888 6,729 7,204 5,856 26,677
% of related revenues before reimbursements 18.6 % 16.9 % 18.6 % 16.7 % 17.7 %
Deduct:
Unallocated corporate and shared costs (3,965 ) 2,874 (1,671 ) (4,937 ) (7,699 )
Goodwill impairment - - - (17,484 ) (17,484 )
Net corporate interest expense (2,716 ) (2,468 ) (3,162 ) (2,428 ) (10,774 )
Stock option expense (485 ) (413 ) (450 ) (537 ) (1,885 )
Amortization of customer-relationship intangible assets (2,798 ) (2,802 ) (2,829 ) (2,848 ) (11,277 )
Arbitration and claim settlements - (11,352 ) (1,200 ) - (12,552 )
Pretax Income (Loss) 8,702 5,483 16,019 (6,567 ) 23,637
Provision for income taxes (2,933 ) (2,859 ) (5,328 ) (2,991 ) (14,111 )
Net Income (Loss) 5,769 2,624 10,691 (9,558 ) 9,526
Net loss attributable to noncontrolling interests 340 18 355 2,246 2,959
Net Income (Loss) Attributable to Shareholders of Crawford & Company $ 6,109 $ 2,642 $ 11,046 $ (7,312 ) $ 12,485

^(1)^ A non-GAAP financial measurement which represents net income attributable to the applicable reporting segment excluding income taxes, net corporate interest expense, stock option expense, amortization of acquisition-related intangible assets, goodwill impairment, arbitration and claim settlements, and certain unallocated corporate and shared costs.

Page 2 of 5

CRAWFORD & COMPANY

REVENUES BY GEOGRAPHIC AREA AND SERVICE LINE WITHIN SEGMENTS

BY QUARTER (UNAUDITED)

2020 Quarterly Period First Second Third Fourth Full Year
(Dollars in thousands)
Crawford Loss Adjusting $ 107,104 $ 109,062 $ 110,928 $ 111,397 $ 438,491
Crawford TPA Solutions 97,997 88,668 88,909 95,818 371,392
Crawford Platform Solutions 32,430 36,686 53,287 50,206 172,609
Total Revenue $ 237,531 $ 234,416 $ 253,124 $ 257,421 $ 982,492
Crawford Loss Adjusting
US $ 30,478 $ 31,057 $ 34,438 $ 32,369 $ 128,342
UK 26,192 26,843 24,568 27,844 105,447
Canada 15,645 13,226 13,797 12,884 55,552
Australia 14,793 17,942 18,855 17,817 69,407
Europe 12,080 12,426 11,631 12,594 48,731
Rest of World 7,916 7,568 7,639 7,889 31,012
Total Crawford Loss Adjusting $ 107,104 $ 109,062 $ 110,928 $ 111,397 $ 438,491
Crawford TPA Solutions
US $ 78,093 $ 69,173 $ 70,726 $ 75,456 $ 293,448
UK 4,013 4,227 4,145 4,145 16,530
Canada 6,449 5,583 5,489 5,152 22,673
Europe 8,580 8,814 7,603 8,506 33,503
Rest of World 862 871 946 2,559 5,238
Total Crawford TPA Solutions $ 97,997 $ 88,668 $ 88,909 $ 95,818 $ 371,392
Claims Management $ 55,928 $ 54,093 $ 53,316 $ 58,549 $ 221,886
Medical Management 42,069 34,575 35,593 37,269 149,506
Total Crawford TPA Solutions $ 97,997 $ 88,668 $ 88,909 $ 95,818 $ 371,392
Crawford Platform Solutions
US $ 25,875 $ 31,659 $ 47,555 $ 43,941 $ 149,030
UK 2,178 1,489 1,354 1,676 6,697
Canada 3,126 2,044 2,981 2,787 10,938
Europe and Rest of World 1,251 1,494 1,397 1,802 5,944
Total Crawford Platform Solutions $ 32,430 $ 36,686 $ 53,287 $ 50,206 $ 172,609
Contractor Connection $ 19,038 $ 20,748 $ 23,542 $ 21,346 $ 84,674
Network Business 13,392 15,938 29,745 28,860 87,935
Total Crawford Platform Solutions $ 32,430 $ 36,686 $ 53,287 $ 50,206 $ 172,609

Page 3 of 5

CRAWFORD & COMPANY

REVENUES BY GEOGRAPHIC AREA AND SERVICE LINE WITHIN SEGMENTS

BY QUARTER (UNAUDITED)

2019 Quarterly Period First Second Third Fourth Full Year
(Dollars in thousands)
Crawford Loss Adjusting $ 111,768 $ 116,288 $ 115,495 $ 113,933 $ 457,484
Crawford TPA Solutions 98,185 100,755 100,504 98,182 397,626
Crawford Platform Solutions 37,105 39,838 38,678 35,071 150,692
Total Revenue $ 247,058 $ 256,881 $ 254,677 $ 247,186 $ 1,005,802
Crawford Loss Adjusting
US $ 32,237 $ 33,438 $ 33,855 $ 31,205 $ 130,735
UK 26,304 26,074 25,575 26,355 104,308
Canada 18,060 18,033 17,669 17,186 70,948
Australia 15,662 18,617 17,821 15,589 67,689
Europe 10,937 11,715 11,842 12,832 47,326
Rest of World 8,568 8,411 8,733 10,766 36,478
Total Crawford Loss Adjusting $ 111,768 $ 116,288 $ 115,495 $ 113,933 $ 457,484
Crawford TPA Solutions
US $ 77,196 $ 79,819 $ 80,376 $ 77,850 $ 315,241
UK 3,709 4,276 3,987 4,368 16,340
Canada 7,577 6,806 6,968 6,476 27,827
Europe 9,029 9,124 8,309 8,647 35,109
Rest of World 674 730 864 841 3,109
Total Crawford TPA Solutions $ 98,185 $ 100,755 $ 100,504 $ 98,182 $ 397,626
Claims Management $ 57,302 $ 56,971 $ 57,480 $ 55,617 $ 227,370
Medical Management 40,883 43,784 43,024 42,565 170,256
Total Crawford TPA Solutions $ 98,185 $ 100,755 $ 100,504 $ 98,182 $ 397,626
Crawford Platform Solutions
US $ 30,197 $ 33,268 $ 31,928 $ 27,858 $ 123,251
UK 1,537 1,184 1,298 1,646 5,665
Canada 4,247 3,963 3,714 3,740 15,664
Europe and Rest of World 1,124 1,423 1,738 1,827 6,112
Total Crawford Platform Solutions $ 37,105 $ 39,838 $ 38,678 $ 35,071 $ 150,692
Contractor Connection $ 21,572 $ 26,051 $ 22,892 $ 20,158 $ 90,673
Network Business 15,533 13,787 15,786 14,913 60,019
Total Crawford Platform Solutions $ 37,105 $ 39,838 $ 38,678 $ 35,071 $ 150,692

Page 4 of 5

CRAWFORD & COMPANY

CASE VOLUME AND FULL TIME EQUIVALENT DATA

BY QUARTER (UNAUDITED)

Quarterly Period First Second Third Fourth Full Year
2020 2019 2020 2019 2020 2019 2020 2019 2020 2019
CASE VOLUME ANALYSIS
Crawford Loss Adjusting 83,101 94,466 84,686 92,362 89,557 88,056 80,593 79,968 337,937 354,852
Crawford TPA Solutions 207,486 204,095 187,045 199,613 196,385 215,758 188,207 203,225 779,123 822,691
Crawford Platform Solutions 97,088 108,634 96,741 110,482 131,948 108,908 118,856 94,209 444,633 422,233
Total Company 387,675 407,195 368,472 402,457 417,890 412,722 387,656 377,402 1,561,693 1,599,776
Crawford Loss Adjusting
US 34,445 40,153 35,022 39,101 42,876 38,766 33,837 33,980 146,180 152,000
UK 13,012 13,911 14,544 13,356 14,503 13,443 16,010 14,236 58,069 54,946
Canada 7,991 13,804 6,586 11,471 7,877 11,546 6,585 9,125 29,039 45,946
Australia 11,858 10,847 14,900 12,625 10,352 8,560 9,560 7,545 46,670 39,577
Europe 9,485 8,576 8,605 8,597 8,048 8,239 8,601 7,773 34,739 33,185
Rest of World 6,310 7,175 5,029 7,212 5,901 7,502 6,000 7,309 23,240 29,198
Total Crawford Loss Adjusting 83,101 94,466 84,686 92,362 89,557 88,056 80,593 79,968 337,937 354,852
Crawford TPA Solutions
US 126,673 119,963 101,224 119,070 130,272 130,718 118,069 120,200 476,238 489,951
UK 12,736 9,677 12,286 10,683 10,378 11,325 14,150 13,828 49,550 45,513
Canada 19,124 21,625 16,921 17,521 11,213 17,857 13,193 16,382 60,451 73,385
Europe 47,198 51,456 54,924 50,638 43,294 53,796 40,638 51,292 186,054 207,182
Rest of World 1,755 1,374 1,690 1,701 1,228 2,062 2,157 1,523 6,830 6,660
Total Crawford TPA Solutions 207,486 204,095 187,045 199,613 196,385 215,758 188,207 203,225 779,123 822,691
Crawford Platform Solutions
US 78,485 86,085 79,318 89,571 112,449 87,186 95,210 75,403 365,462 338,245
UK 2,233 1,231 2,047 2,758 2,191 2,567 3,838 2,815 10,309 9,371
Canada 11,578 17,476 10,931 13,762 13,212 13,743 15,162 10,596 50,883 55,577
Europe and Rest of World 4,792 3,842 4,445 4,391 4,096 5,412 4,646 5,395 17,979 19,040
Total Crawford Platform Solutions 97,088 108,634 96,741 110,482 131,948 108,908 118,856 94,209 444,633 422,233
AVERAGE FULL TIME EQUIVALENT EMPLOYEE DATA
Crawford Loss Adjusting 3,388 3,449 3,337 3,412 3,275 3,442 3,310 3,413 3,327 3,429
Crawford TPA Solutions 3,224 3,126 3,108 3,135 3,030 3,174 3,151 3,187 3,128 3,156
Crawford Platform Solutions 998 1,105 961 1,115 1,086 1,141 1,298 1,095 1,086 1,114
Administration 925 866 901 873 925 900 943 904 923 886
Total Company 8,535 8,546 8,307 8,535 8,316 8,658 8,702 8,600 8,465 8,585

Page 5 of 5

crda-ex992_10.htm

Exhibit 99.2

CRAWFORD & COMPANY

Revised Reconciliation of Non-GAAP Results (UNAUDITED)

Following are the reconciliations of GAAP Revenue, Operating Earnings, Pretax Earnings, Net Income and Earnings Per Share to related non-GAAP Adjusted figures for the years and quarters of 2020 and 2019. Results are presented before acquisition-related amortization of intangible assets, goodwill impairment, restructuring costs and gain on disposition of businesses, arbitration and claim settlements and tax valuation allowances:

Three Months Ended March 31, 2020
(in thousands) Revenues Non-GAAP<br><br><br>Operating earnings^(1)^ Pretax earnings Net income<br><br><br>attributable to Crawford & Company Diluted earnings per<br><br><br>CRD-A<br><br><br>share^(2)^ Diluted earnings per<br><br><br>CRD-B<br><br><br>share^(2)^
GAAP $ 237,531 $ 7,013 $ (21,465 ) $ (11,399 ) $ (0.21 ) $ (0.23 )
Adjustments:
Amortization of intangible assets — — 2,756 2,067 0.04 0.04
Goodwill impairment — — 17,674 9,133 0.18 0.18
Restructuring costs — — 5,714 3,263 0.06 0.06
Non-GAAP Adjusted $ 237,531 $ 7,013 $ 4,679 $ 3,064 $ 0.07 $ 0.05
Three Months Ended June 30, 2020
--- --- --- --- --- --- --- --- --- --- --- --- ---
(in thousands) Revenues Non-GAAP<br><br><br>Operating earnings^(1)^ Pretax earnings Net income<br><br><br>attributable to Crawford & Company Diluted earnings per<br><br><br>CRD-A<br><br><br>share^(2)^ Diluted earnings per<br><br><br>CRD-B<br><br><br>share^(2)^
GAAP $ 234,416 $ 18,244 $ 12,433 $ 5,898 $ 0.11 $ 0.11
Adjustments:
Amortization of intangible assets — — 2,732 2,049 0.04 0.04
Income tax impact of first quarter goodwill impairment — — — 2,206 0.04 0.04
Gain on disposition of businesses, net — — 341 265 — —
Non-GAAP Adjusted $ 234,416 $ 18,244 $ 15,506 $ 10,418 $ 0.19 $ 0.19
Three Months Ended September 30, 2020
--- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- ---
(in thousands) Revenues Non-GAAP<br><br><br>Operating earnings^(1)^ Pretax earnings Net income<br><br><br>attributable to Crawford & Company Diluted earnings per<br><br><br>CRD-A<br><br><br>share^(2)^ Diluted earnings per<br><br><br>CRD-B<br><br><br>share^(2)^
GAAP $ 253,124 $ 28,055 $ 36,438 $ 24,397 $ 0.46 $ 0.46
Adjustments:
Amortization of intangible assets — — 3,665 2,749 0.05 0.05
Income tax impact of first quarter goodwill impairment — — — 1,935 0.04 0.04
Gain on disposition of businesses, net — — (14,104 ) (11,072 ) (0.21 ) (0.21 )
Non-GAAP Adjusted $ 253,124 $ 28,055 $ 25,999 $ 18,009 $ 0.34 $ 0.34

Page 1 of 3

Three Months Ended December 31, 2020
(in thousands) Revenues Non-GAAP<br><br><br>Operating earnings^(1)^ Pretax earnings Net income<br><br><br>attributable to Crawford & Company Diluted earnings per<br><br><br>CRD-A<br><br><br>share^(2)^ Diluted earnings per<br><br><br>CRD-B<br><br><br>share^(2)^
GAAP $ 257,421 $ 18,518 $ 11,862 $ 9,400 $ 0.18 $ 0.18
Adjustments:
Amortization of intangible assets — — 2,500 1,875 0.03 0.03
Income tax impact of first quarter goodwill impairment — — — 935 0.02 0.02
Restructuring and other costs, net — — 2,419 1,664 0.03 0.03
Non-GAAP Adjusted $ 257,421 $ 18,518 $ 16,781 $ 13,874 $ 0.26 $ 0.26
Year Ended December 31, 2020
--- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- ---
(in thousands) Revenues Non-GAAP<br><br><br>Operating earnings^(1)^ Pretax earnings Net income<br><br><br>attributable to Crawford & Company Diluted earnings per<br><br><br>CRD-A<br><br><br>share^(2)^ Diluted earnings per<br><br><br>CRD-B<br><br><br>share^(2)^
GAAP $ 982,492 $ 71,830 $ 39,088 $ 28,296 $ 0.54 $ 0.52
Adjustments:
Amortization of intangible assets — — 11,653 8,740 0.16 0.16
Goodwill impairment — — 17,674 14,209 0.27 0.27
Restructuring costs — — 8,133 4,927 0.09 0.09
Gain on disposition of businesses, net — — (13,763 ) (10,807 ) (0.20 ) (0.20 )
Non-GAAP Adjusted $ 982,492 $ 71,830 $ 62,785 $ 45,365 $ 0.86 $ 0.84
Three Months Ended March 31, 2019
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(in thousands) Revenues Non-GAAP<br><br><br>Operating earnings^(1)^ Pretax earnings Net income<br><br><br>attributable to Crawford & Company Diluted earnings per<br><br><br>CRD-A<br><br><br>share^(2)^ Diluted earnings per<br><br><br>CRD-B<br><br><br>share^(2)^
GAAP $ 247,058 $ 14,701 $ 8,702 $ 6,109 $ 0.12 $ 0.10
Adjustments:
Amortization of intangible assets — — 2,798 2,099 0.04 0.04
Non-GAAP Adjusted $ 247,058 $ 14,701 $ 11,500 $ 8,208 $ 0.16 $ 0.14
Three Months Ended June 30, 2019
--- --- --- --- --- --- --- --- --- --- --- --- ---
(in thousands) Revenues Non-GAAP<br><br><br>Operating earnings^(1)^ Pretax earnings Net income<br><br><br>attributable to Crawford & Company Diluted earnings per<br><br><br>CRD-A<br><br><br>share^(2)^ Diluted earnings per<br><br><br>CRD-B<br><br><br>share^(2)^
GAAP $ 256,881 $ 22,518 $ 5,483 $ 2,642 $ 0.06 $ 0.04
Adjustments:
Amortization of intangible assets — — 2,802 2,102 0.04 0.04
Arbitration and claim settlements — — 11,352 8,389 0.15 0.15
Non-GAAP Adjusted $ 256,881 $ 22,518 $ 19,637 $ 13,133 $ 0.25 $ 0.23

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Three Months Ended September 30, 2019
(in thousands) Revenues Non-GAAP<br><br><br>Operating earnings^(1)^ Pretax earnings Net income<br><br><br>attributable to Crawford & Company Diluted earnings per<br><br><br>CRD-A<br><br><br>share^(2)^ Diluted earnings per<br><br><br>CRD-B<br><br><br>share^(2)^
GAAP $ 254,677 $ 23,660 $ 16,019 $ 11,046 $ 0.21 $ 0.19
Adjustments:
Amortization of intangible assets — — 2,829 2,122 0.04 0.04
Arbitration and claim settlements — — 1,200 887 0.02 0.02
Non-GAAP Adjusted $ 254,677 $ 23,660 $ 20,048 $ 14,055 $ 0.27 $ 0.25
Three Months Ended December 31, 2019
--- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- ---
(in thousands) Revenues Non-GAAP<br><br><br>Operating earnings^(1)^ Pretax earnings Net income<br><br><br>attributable to Crawford & Company Diluted earnings per<br><br><br>CRD-A<br><br><br>share^(2)^ Diluted earnings per<br><br><br>CRD-B<br><br><br>share^(2)^
GAAP $ 247,186 $ 16,730 $ (6,567 ) $ (7,312 ) $ (0.13 ) $ (0.15 )
Adjustments:
Amortization of intangible assets — — 2,848 2,136 0.04 0.04
Goodwill impairment — — 17,484 13,057 0.24 0.24
Tax valuation allowances — — — 1,991 0.04 0.04
Non-GAAP Adjusted $ 247,186 $ 16,730 $ 13,765 $ 9,872 $ 0.19 $ 0.17
Year Ended December 31, 2019
--- --- --- --- --- --- --- --- --- --- --- --- ---
(in thousands) Revenues Non-GAAP<br><br><br>Operating earnings^(1)^ Pretax earnings Net income<br><br><br>attributable to Crawford & Company Diluted earnings per<br><br><br>CRD-A<br><br><br>share^(2)^ Diluted earnings per<br><br><br>CRD-B<br><br><br>share^(2)^
GAAP $ 1,005,802 $ 77,609 $ 23,637 $ 12,485 $ 0.26 $ 0.19
Adjustments:
Amortization of intangible assets — — 11,277 8,459 0.16 0.15
Goodwill impairment charge — — 17,484 13,057 0.24 0.24
Arbitration and claim settlements — — 12,552 9,276 0.17 0.17
Tax valuation allowances — — — 1,991 0.04 0.04
Non-GAAP Adjusted $ 1,005,802 $ 77,609 $ 64,950 $ 45,268 $ 0.87 $ 0.79
^(1)^ Reconciliations of Non-GAAP Operating earnings to Net income attributable to shareholders of Crawford & Company were performed for each quarterly and year end schedule in press releases at Exhibit 99.1 for each respective quarter.
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^(2)^ Due to the method used in calculating per share data as prescribed by ASC 260, “Earnings per Share,” the quarterly per share data may not total to the full-year per share data.
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