NYSE$KFRC

Kforce Inc · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Kforce reported second quarter revenues and earnings per share.

Kforce Inc. announced solid overall performance in the second quarter of 2022, fueled by significant growth in the Technology business. Revenue for the quarter was $436.5 million, an increase of 8.2% year-over-year. Earnings per share were $1.30, compared to $1.00 in the same quarter last year.

  • Revenue for the quarter ended June 30, 2022 was $436.5 million, an 8.2% increase year-over-year.
  • Technology revenue increased 23.8% year-over-year.
  • Net income for the quarter ended June 30, 2022 was $26.9 million, or $1.30 per share, versus $21.2 million, or $1.00 per share, in the quarter ended June 30, 2021.
  • The Board of Directors approved a third quarter cash dividend of $0.30 per share to shareholders.

Headline financials

Total Revenue

$437M

Previous: $404M+8.2%
EPS (adj)

$1.16

Previous: $1.00+16.0%
Capital Expenditures

-$3.46M

Previous: -$2.92M-18.5%
Free Cash Flow

$23.5M

Previous: $18.3M+28.4%
Net Income

$26.9M

Previous: $21.2M+27.0%
Operating Income

$33.8M

Previous: $33.1M+2.2%
Gross Profit

$131M

Previous: $119M+10.2%
Cash & Equivalents

$30M

Previous: $117M-74.4%
Total Assets

$442M

Previous: $518M-14.7%
Stock-Based Comp

$4.41M

Previous: $3.53M+24.9%

Revenue & EPS history

Kforce · Revenue · Quarterly

$437M

Q2 2022+8.2%vs Q2 2021
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Revenue by segment

Kforce · $437M total across 2 segments · Q2 2022

  • Technology
    $385M+23.8%
  • Finance and Accounting
    $51.9M-44.1%

Forward guidance

Current estimates for the third quarter of 2022 are:

Tailwinds

  • Revenue of $430 million to $438 million
  • Earnings per share of $1.03 to $1.11
  • Gross profit margin of 29.4% to 29.6%
  • Flex gross profit margin of 26.8% to 27.0%
  • Operating margin of 7.0% to 7.4%

Headwinds

  • SG&A expense as a percent of revenue of 21.9% to 22.1%
  • WASO of 20.5 million
  • Effective tax rate of 27.4%

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 2022

Historical avgQ2 2022

+2.0%

Avg return

Earnings day

+2.7%

Avg return

5 days after

+5.0%

Avg return

30 days after

54%

35 / 65 earnings

Positive

+43.3%

Q1 2026

Best reaction

-21.9%

Q4 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+43.3%+37.6%+39.6%
Q4 2025-3.8%-1.6%-24.1%
Q3 2025+28.5%+22.8%+21.1%
Q1 2025-14.4%-9.7%-4.4%
Q4 2024+1.0%-4.0%-6.2%
Q3 2024+4.6%+2.4%+9.3%
Q2 2024+2.6%-4.5%-4.4%
Q1 2024-3.7%-0.2%-5.3%
Q4 2023-0.9%+0.7%+3.9%
Q3 2023+7.6%+8.5%+22.4%
Q2 2023-5.7%-6.6%+0.0%
Q1 2023-5.7%+0.9%+12.1%
Q4 2022-0.2%+1.1%+7.1%
Q3 2022-7.7%-10.9%-6.8%
Q2 2022-6.0%-12.0%-16.9%
Q1 2022+4.4%+3.2%-6.7%
Q4 2021+10.4%+4.0%+1.9%
Q3 2021+7.3%+16.9%+13.2%
Q2 2021-5.1%-2.0%-4.9%
Q1 2021+10.2%+7.4%+12.0%
Q4 2020+4.5%+3.4%+19.1%
Q3 2020+11.7%+5.6%+19.3%
Q2 2020+27.1%+21.0%+12.0%
Q1 2020-0.1%-1.8%+9.2%
Q4 2019-7.4%-9.6%-12.5%
Q3 2019+2.2%+3.9%-1.2%
Q2 2019-5.2%-8.2%-10.3%
Q1 2019-1.8%+0.5%-3.5%
Q4 2018+6.4%+9.5%+5.8%
Q3 2018-10.7%-7.1%-9.9%
Q2 2018+9.9%+12.7%+11.2%
Q1 2018+11.3%+17.3%+26.7%
Q4 2017+2.1%-0.2%+17.0%
Q3 2017+12.9%+15.1%+28.7%
Q2 2017-1.6%-2.4%-3.7%
Q1 2017-7.8%-7.3%-18.5%
Q4 2016+9.0%+9.7%+11.3%
Q3 2016-3.5%-4.9%+26.8%
Q2 2016-10.4%-6.6%+4.5%
Q1 2016-5.5%
Q4 2015-21.9%
Q3 2015-8.5%
Q2 2015+19.1%
Q1 2015+3.9%
Q4 2014-5.0%
Q3 2014+9.9%
Q2 2014-5.5%
Q1 2014+9.2%
Q4 2013+15.5%
Q3 2013+12.8%
Q2 2013+11.0%
Q1 2013-16.2%
Q4 2012+16.2%
Q3 2012-5.9%
Q2 2012-8.9%
Q1 2011+0.9%
Q1 2012-5.0%
Q4 2009+2.0%
Q2 2010+2.0%
Q4 2011+2.0%
Q3 2011-6.6%
Q3 2010-6.6%
Q2 2011+1.6%
Q4 2010+1.6%
Q1 2010+3.3%

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