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View All NewsRobert Half revenue up 11%
Professional staffing firm Robert Half International Inc. (NYSE: RHI) reported revenue rose 11.2% in the first quarter to $1.21 billion, with growth rates the strongest in its US operations.
(US$ thousands) | Q1 2015 | Q1 2014 | % growth |
Net service revenues | $1,205,563 | $1,084,342 | 11.2% |
Gross margin | $494,087 | $438,495 | 12.7% |
Gross margin percentage | 41.0% | 40.4% | |
Net income | $77,922 | $61,551 | 26.6% |
The Menlo Park, Calif.-based staffing provider’s US temporary and consulting staffing revenue rose 14.8% year over year, and US permanent placement revenue increased 15.6%.
Robert Half’s international temporary and consulting staffing operations revenue fell 6.0%; however, it rose 10.6% on a same billing days and constant currency basis. International permanent placement revenue fell 9.8% but rose 4.0% on a same billing days and constant currency basis.
Quote
“Led by Protiviti and Robert Half Technology, all of our divisions contributed to a solid first quarter,” said Chairman and CEO Harold Messmer Jr. “We saw broad-based revenue gains and higher service demand in every line of business. First-quarter revenues from our staffing operations were up 10% from the year-ago first quarter. Protiviti revenues for the quarter were up 22%.”
“Growth rates remained the strongest in our US operations, but currency-adjusted revenues outside the United States grew nicely, too,” Messmer added. “This was Robert Half's 20th straight quarter of double-digit net income and earnings per share percentage growth on a year-over-year basis. Unlevered return on equity was 32%.”
Revenue by segment
(US$ thousands) | Q1 2015 | Q1 2014 | % growth |
Accountemps | $413,842 | $383,024 | 8.0% |
OfficeTeam | $231,093 | $211,060 | 9.5% |
Robert Half Technology | $153,744 | $132,305 | 16.2% |
Robert Half Management Resources | $144,839 | $131,181 | 10.4% |
Robert Half Finance & Accounting | $98,413 | $92,625 | 6.2% |
Protiviti | $163,632 | $134,147 | 22.0% |
Revenue growth by geography and temp/perm
Year-over-year revenue growth rates | ||||||
2013 | 2014 | 2015 | ||||
Q4 | Q1 | Q2 | Q3 | Q4 | Q1 | |
Global | ||||||
Accountemps | -0.4% | 1.7% | 6.5% | 10.1% | 9.6% | 8.0% |
OfficeTeam | 3.0% | 4.7% | 9.1% | 14.1% | 12.6% | 9.5% |
Robert Half Technology | 14.1% | 9.3% | 7.8% | 11.0% | 11.4% | 16.2% |
Robert Half Management Resources | 0.7% | 5.6% | 12.4% | 18.9% | 14.1% | 10.4% |
Temporary and consulting staffing | 2.7% | 4.1% | 8.2% | 12.5% | 11.3% | 10.0% |
Permanent placement staffing | 6.6% | 11.1% | 13.8% | 16.0% | 12.8% | 6.2% |
United States | ||||||
Temporary and consulting staffing | 5.0% | 5.9% | 9.3% | 13.2% | 13.8% | 14.8% |
Permanent placement staffing | 11.0% | 12.6% | 15.8% | 21.8% | 20.8% | 15.6% |
International | ||||||
Temporary and consulting staffing | -4.2% | -1.2% | 4.6% | 10.4% | 3.1% | -6.0% |
Permanent placement staffing | 0.0% | 8.6% | 10.6% | 6.3% | -0.6% | -9.8% |
Guidance
Robert Half estimated second-quarter revenue of between $1.245 billion to $1.295 billion, up from $1.165 billion in the second quarter of 2014.
Share price and market cap
Shares in Robert Half fell 3.80% in early morning trading today to $2.26. The company had a market cap of $7.73 billion, according to Yahoo!