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View All NewsWorld – Robert Half Q4 revenue up 10% amid robust market, skill shortage
Fourth-quarter revenue rose 10.1% at Robert Half International Inc. (NYSE: RHI) amid a robust labour market and demand fueled by the skills shortage, according to the company. Revenue was up 10.3% on a constant-currency, same-billing day basis.
Temp staffing revenue rose 7.1% in the fourth quarter while permanent placement revenue rose 12.8%.
(USD thousands) | Q4 2018 | Q4 2017 | % change |
Net service revenue | 1,481,658 | 1,346,282 | 10.1% |
Gross margin | 620,062 | 553,146 | 12.1% |
Gross margin percentage | 41.8% | 41.1% | N/A |
Net income | 113,564 | 47,047 | 141.4% |
Robert Half’s Protiviti division posted the fastest revenue growth, up 22.8% in the fourth quarter.
Revenue by segment
(USD thousands) | Q4 2018 | Q4 2017 | % change |
Accountemps | 483,487 | 446,017 | 8.4% |
OfficeTeam | 268,489 | 258,118 | 4.0% |
Robert Half Technology | 174,829 | 156,969 | 11.4% |
Robert Half Management Resources | 165,733 | 159,228 | 4.1% |
Robert Half Finance and Accounting | 125,884 | 111,595 | 12.8% |
Protiviti | 263,236 | 214,355 | 22.8% |
“Full-year 2018 revenues and operating income reached all-time-high levels for the company, with broad-based strength in our staffing and Protiviti operations,” said Harold Messmer Jr., chairman and CEO of Robert Half. “The US labour market remains very robust, with significant demand due to talent shortages across our professional disciplines.”
Robert Half also published full-year results as follows.
(US$ thousands) | FY 2018 | FY 2017 | % change |
Net service revenue | 5,800,271 | 5,266,789 | 10.1% |
Gross margin | 2,410,014 | 2,163,812 | 11.4% |
Gross margin percentage | 41.6% | 41.1% | N/A |
Net income | 434,288 | 290,584 | 49.5% |
In trading yesterday Robert Half International Inc shares closed at $65.19, up 7.36% on the day and 26.95% above the 52 week low of $51.35 set on 9 February 2018. Based on its current share price the company has a market value of $7.92 billion.