Korn Ferry International Inc. (NYSE: KFY) today reported total fee revenue rose 10.2%, or 8.9% in constant currency, in its fiscal second quarter ended Oct. 31. The Los Angeles-based provider of executive search and consulting reported the increase was across business lines. Fee revenue growth was partially offset by increased compensation and benefits as well as administrative expenses.

• Executive search fee revenue rose 13.2% in the second quarter, or 11.9% on a constant currency basis, to $176.8 million.
• Hay Group fee revenue rose 5.9% in the second quarter, or 4.7% in constant currency, to $200.0 million.
• Fee revenue at Futurestep rose 16.7% to $66.3 million in the second quarter. The increase was 15.1% in constant currency.

Quote

“Korn Ferry has evolved into a full-fledged consulting firm, with offerings that span search, organizational advisory services, strategy execution, leadership development, compensation and rewards and more,” CEO Gary Burnison said. “The acquisitions we have made over the years, the talent we have brought on board and our relentless focus on solutions aligned toward our clients' business outcomes are making a notable impact.”

Guidance

Korn Ferry expects third-quarter fee revenue to range between $406 million and $426 million, a year-over-year increase of between 6% and 11.5%.

Share price and market cap

Shares in Korn Ferry were down 2.18% to $41.25 as of 12:38 p.m. Eastern time. The company had a market cap of $2.34 billion.