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View All NewsKorn Ferry fee revenue down 0.6% in fiscal Q2
Fee revenue at Korn Ferry (NYSE: KFY) fell 0.6% in its fiscal second quarter ended Oct. 31, although it was up 1% in constant currency. Revenue fell in the company’s advisory and executive search divisions; however, revenue jumped in its RPO and professional search segment.
| (US$ thousands) | Q2 2020 | Q2 2020 | % change | % change (constant currency) |
| Fee revenue | $492,389 | $495,205 | -0.6% | 1% |
| Reimbursed expenses | $11,788 | $11,588 | 1.7% | |
| Total revenue | $504,177 | $506,793 | -0.5% | |
| Net income | $43,032 | $47,317 | -9.1% |
Los Angeles-based Korn Ferry’s divisions include executive search; “advisory,” which provides leadership and organizational consulting; and “RPO and professional search,” which provides recruitment process outsourcing services, project recruitment and professional search for middle and upper level management.
Fee revenue by segment
| (US$ thousands) | Q2 2020 | Q2 2020 | % change | % change (constant currency) |
| Total executive search | $187,855 | $197,634 | -4.9% | -3% |
| Advisory | $209,760 | $217,089 | -3.4% | -1% |
| RPO and professional search | $94,774 | $80,482 | 17.8% | 20% |
Executive search fee revenue by geography
| (US$ thousands) | Q2 2020 | Q2 2020 | % change |
| North America | $113,818 | $115,863 | -1.8% |
| Europe, the Middle East and Africa | $39,821 | $44,928 | -11.4% |
| Asia Pacific | $25,944 | $27,936 | -7.1% |
| Latin America | $8,272 | $8,907 | -7.1% |
Guidance
Korn Ferry forecast fee revenue for its fiscal third quarter will rise between 9% and 14% year over year.
Share price and market cap
Shares in Korn Ferry were down 2.86% to $39.06 as of 11:58 a.m. Eastern time; the company had a market cap of $2.25 billion, according to FT.com.