NYSE$EFOR

ASGN Incorporated · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Reported solid results with revenues exceeding internal expectations and illustrative scenarios.

ASGN Incorporated reported revenues of $936.8 million for Q2 2020, a 3.6% decrease year-over-year. Net income increased by 13.3% to $48.8 million, and free cash flow was $178.8 million, representing 19.1% of revenues. The company's government business remained strong, and they are reinstating guidance based on current trends.

  • Revenues were $936.8 million, down 3.6% year-over-year.
  • Net income was $48.8 million ($0.92 per diluted share), up 13.3 percent year-over-year.
  • Free cash flow was $178.8 million, representing 19.1% of revenues.
  • Commercial business declines flattened, while government business remained strong.

Headline financials

Total Revenue

$937M

Previous: $972M-3.7%
EPS (adj)

$1.17

Previous: $1.18-0.8%
Capital Expenditures

$7.3M

Previous: $8.4M-13.1%
Free Cash Flow

$179M

Previous: $88.1M+103.0%
Net Income

$48.8M

Previous: $43.1M+13.2%
Operating Income

$76M

Previous: $73.3M+3.7%
Gross Profit

$261M

Previous: $285M-8.6%
Cash & Equivalents

$208M

Previous: $40.1M+418.5%
Total Assets

$3.07B

Previous: $2.8B+9.5%
Stock-Based Comp

$8.2M

Previous: $13.8M-40.6%

Revenue & EPS history

ASGN · Revenue · Quarterly

$937M

Q2 2020-3.7%vs Q2 2019
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

ASGN · $697M total across 1 segment · Q2 2020

  • Assignment Revenue
    $697M-10.8%

Forward guidance

The Company is providing financial estimates for the third quarter of 2020, which are based on recent operating trends in the business and assume no significant deterioration in the markets ASGN serves.

Tailwinds

  • Recent operating trends show a flattening of weekly revenues from our commercial divisions (Apex and Oxford Segments)
  • Continued high growth from our federal government business (ECS Segment).

Headwinds

  • Any worsening of the COVID-19 pandemic could affect our results over the remainder of the quarter.
  • Estimates do not include any acquisition, integration or strategic planning expenses
  • Assumes no significant change in current foreign exchange rates.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2020

Historical avgQ2 2020

-1.3%

Avg return

Earnings day

-1.9%

Avg return

5 days after

-1.9%

Avg return

30 days after

47%

31 / 66 earnings

Positive

+11.3%

Q2 2025

Best reaction

-52.2%

Q1 2026

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-52.2%-45.3%-51.9%
Q4 2025-0.4%-7.4%-19.5%
Q3 2025-7.9%-6.1%-11.0%
Q2 2025+11.3%+7.0%+8.2%
Q1 2025-11.6%-13.1%-8.5%
Q4 2024-5.9%-9.6%-18.9%
Q3 2024+1.3%+1.4%-3.7%
Q2 2024+3.3%+3.3%+5.5%
Q1 2024-2.0%-2.1%-5.4%
Q4 2023+1.0%+2.7%+9.1%
Q3 2023+5.5%+4.7%+17.0%
Q2 2023-3.2%-6.1%-0.6%
Q1 2023-5.2%-2.9%-10.0%
Q4 2022-7.5%-3.8%-13.4%
Q3 2022-11.2%-11.1%-5.6%
Q2 2022+7.0%+9.7%+4.4%
Q1 2022+3.0%-0.4%-15.8%
Q4 2021-3.4%-5.5%-8.8%
Q3 2021+0.9%+4.1%+4.5%
Q2 2021+4.2%+3.6%+16.6%
Q1 2021-2.5%-2.6%-4.0%
Q4 2020+0.2%+0.0%+7.1%
Q3 2020-2.6%+0.3%+16.4%
Q2 2020+5.9%+3.2%+9.6%
Q1 2020+10.5%+9.0%+28.3%
Q4 2019-5.1%-7.6%-39.9%
Q3 2019+3.8%+6.6%+6.5%
Q2 2019+0.9%+2.2%-2.3%
Q1 2019-7.4%-6.2%-20.5%
Q4 2018-0.6%+1.8%-0.9%
Q3 2018+4.8%+3.5%+6.9%
Q2 2018+10.1%+5.5%+8.4%
Q1 2018+0.7%-1.6%-4.5%
Q4 2017+3.6%-3.1%+2.4%
Q3 2017+5.6%+4.6%+11.7%
Q2 2017-8.6%-7.6%-14.7%
Q1 2017+9.1%+4.4%+6.7%
Q4 2016+3.2%+5.9%+4.7%
Q3 2016-8.8%-6.3%+16.7%
Q2 2016-9.4%-9.2%-6.0%
Q1 2016+0.2%
Q4 2015+7.1%
Q3 2015+9.8%
Q2 2015+2.9%
Q1 2015-13.2%
Q4 2014+2.1%
Q3 2014-4.7%
Q2 2014-23.2%
Q1 2014-2.2%
Q4 2013+5.0%
Q3 2013-5.3%
Q2 2013+10.5%
Q1 2013+6.9%
Q4 2012-11.6%
Q3 2012-2.5%
Q2 2012+7.5%
Q1 2011-0.8%
Q1 2012+3.5%
Q4 2011-1.2%
Q4 2009-1.2%
Q3 2010-2.5%
Q3 2011-2.5%
Q2 2011-3.4%
Q2 2010-3.4%
Q4 2010-3.4%
Q1 2010-2.2%

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