NYSE$EFOR

ASGN Incorporated · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

ASGN's Q2 2021 financial results were reported, exceeding guidance estimates with strong growth in both Commercial and Federal Government segments.

ASGN Incorporated reported strong second-quarter results, with revenues up 17.2% year-over-year. The Commercial Segment saw significant growth, driven by consulting revenues, and the Federal Government Segment also performed well. The company has successfully completed six acquisitions since the beginning of 2020, enhancing its consulting capabilities.

  • Revenues for the quarter were $974.9 million, up 17.2 percent over the second quarter of 2020.
  • Income from continuing operations was $57.3 million, up 31.7 percent from the second quarter of 2020.
  • Adjusted EBITDA from continuing operations was $119.3 million (12.2 percent of revenues), up from $95.3 million in the second quarter of 2020.
  • Free Cash Flow from continuing operations was $72.3 million for the quarter.

Headline financials

Total Revenue

$975M

Previous: $937M+4.1%
EPS (adj)

$1.32

Previous: $1.17+12.8%
Capital Expenditures

$8.3M

Previous: $7.3M+13.7%
Free Cash Flow

$72.3M

Previous: $179M-59.6%
Net Income

$64.2M

Previous: $48.8M+31.6%
Operating Income

$87.9M

Previous: $76M+15.7%
Gross Profit

$276M

Previous: $261M+5.9%
Cash & Equivalents

$375M

Previous: $208M+80.6%
Total Assets

$3.46B

Previous: $3.07B+12.8%
Stock-Based Comp

$10.8M

Previous: $8.2M+31.7%

Revenue & EPS history

ASGN · Revenue · Quarterly

$975M

Q2 2021+4.1%vs Q2 2020
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

ASGN · $568M total across 1 segment · Q2 2021

  • Assignment Revenue
    $568M-18.5%

Forward guidance

The company's financial estimates for the third quarter of 2021 are based on current operating trends and assume no significant deterioration in the markets ASGN serves.

Tailwinds

  • Revenues between $1,035.0 million and $1,055.0 million
  • Adjusted EBITDA between $120.0 million and $125.0 million
  • Adjusted Net Income between $71.3 million and $75.0 million
  • Diluted shares outstanding of 53.7 million
  • Gross margin between 28.1% and 28.3%

Headwinds

  • SG&A expenses between $188.6 million and $191.3 million
  • Amortization of intangible assets of $14.8 million
  • Income from continuing operations between $56.8 million and $60.5 million
  • Effective tax rate of 27.0%
  • Adjusted EBITDA Margin between 11.6% and 11.9%

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 2021

Historical avgQ2 2021

-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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