FTI Consulting reported third quarter revenues from its strategic communications operation declined 5.4% to $43.3M as lower retainer fees in North America and weak M&A activity in the Asia-Pacific region affected growth.

While FTI across its five business units saw revenues climb 7.4% to $414.6M, it swung to a net loss of $50.6M – compared with net income of $22.7M in Q3 of 2012 -- on an $83.8M goodwill charge in strategic communications and a "special charge" for restructuring of $10.4M in other units.

CEO Jack Dunn said in a conference call that pricing pressure for discretionary services in communications led the company to lower its near-term outlook for the segment, which led to the charge.

CFO Roger Carlile said PR offerings like IPO support services are showing volume but increased competition, which drives down prices, and in a requisite review of the book value of the segment the company determined "it was not likely the conditions would improve in the near term."

Carlile said FTI is maintaining market share in communications and investing to expand its work outside of its core financial or crisis communications. 

Through the first three quarters, FTI provided PR counsel for 142 deals worth $102.4B, according to mergermarket, as it fell to No. 8 among global deal PR advisors by value from No. 4 in 2012.

FTI's March acquisition of PA shop C2 Group contributed $1.6M to the quarter and Dunn said public and governmental affairs -- along with digital and social media -- will be a key area of growth for the communications operation going forward, both in the U.S. and abroad.

The company has spent $40.8M on acquisitions and $48.8M on stock re-purchases through the third quarter. 

FTI's economic consulting (+17.3% to $113.1M) and forensic/litigation consulting (+12.5% to $113.1M) led revenue growth for the company.