Kforce reports uncertain environment in Q4 with revenue down
Kforce reports uncertain environment in Q4 with revenue down

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Fourth-quarter revenue at professional staffing firm Kforce (NYSE: KFRC) fell 5.4% to $343.8 million in a subdued environment, though it was above the midpoint of guidance.
“We have been operating in an uncertain macro environment for more than two years, though demand for our technology services stabilized early in 2024 and remained stable throughout the year,” President and CEO Joseph J. Liberatore said in a press release.
Liberatore also said in a conference call with analysts that the operating environment may improve this year, citing post-election conversations with clients and the preponderance of economic views.
Still, the company has not seen signs of a positive inflection point in its key indicators and the road ahead appears murky.
“While the political uncertainty has been resolved with President Trump and his administration taking office on January 20th, the impacts from potential policy changes is unclear,” Liberatore said. “In addition, the prospects for further Fed rate cuts in 2025 appear less certain, with inflation indicators proving a bit stickier and continued strength in the labor markets.”
Still, the company is seeing stability in its business with the exception of normal seasonality, he said. In addition, Kforce’s IT business grew sequentially by almost 1% per billing day.
The company forecast first-quarter revenue of between $330 million and $338 million, a year-over-year decline of between 3.9% and 6.2%.
Kforce - Q4 2024
(US$ thousands) | Q4 2024 | Q4 2023 | % change |
Revenue | 343,782 | 363,447 | -5.4% |
Gross profit | 92,655 | 99,363 | -6.8% |
Gross margin percentage | 27.0% | 27.3% | - |
Net income | 11,061 | 15,716 | -29.6% |
Revenue by Function and Segment
(US$ thousands) | Q4 2024 | Q4 2023 | % change |
Total flex revenue | 337,104 | 355,611 | -5.2% |
Total direct-hire revenue | 6,678 | 7,836 | -14.8% |
Technology | |||
Technology flex revenue | 314,019 | 325,992 | -3.7% |
Technology direct-hire revenue | 3,255 | 3,403 | -4.3% |
Total technology revenue | 317,274 | 329,395 | -3.7% |
Finance & accounting | |||
Finance & accounting flex revenue | 23,085 | 29,619 | -22.1% |
Finance & accounting direct-hire revenue | 3,423 | 4,433 | -22.8% |
Total finance & accounting revenue | 26,508 | 34,052 | -22.2% |
Full-Year Earnings
(US$ thousands) | FY 2024 | FY 2023 | % change |
Revenue | 1,405,308 | 1,531,756 | -8.3% |
Gross profit | 385,445 | 427,066 | -9.7% |
Gross margin percentage | 27.4% | 27.9% | - |
Net income | 50,414 | 61,075 | -17.5% |
Share Price
Shares in Kforce were up 0.32% to $53.92 as of 10:55 a.m. Eastern time Feb. 4. They were 1.81% above their 52-week low.