NYSE$KFY

Korn Ferry · Q2 2025 earnings

Q2 2025 earnings · · Investor relations

Briefing

Korn Ferry's financial performance showcased resilience with stable Talent Acquisition revenues, improving Digital new business trends, and consistent Consulting performance.

Korn Ferry reported Q2 FY25 fee revenue of $674.4 million, a 4% year-over-year decrease but flat sequentially. Diluted EPS was $1.14, and adjusted diluted EPS was $1.21. The company achieved its sixth consecutive quarter of improved profitability, with an operating margin increase to 13.0% and adjusted EBITDA margin of 17.4%.

  • Fee revenue reached $674.4 million, a 4% decrease year-over-year but flat sequentially.
  • Operating income was $87.5 million, with operating margin increasing to 13.0%.
  • Net income attributable to Korn Ferry was $60.8 million, with diluted EPS at $1.14 and adjusted diluted EPS at $1.21.
  • Adjusted EBITDA was $117.0 million, representing a 17.4% margin.

Headline financials

Total Revenue

$682M

Previous: $712M-4.3%
EPS

$1.14

Previous: $0.97+17.5%
Exec Search Engagements Billed

3.6K

Previous: 3.5K+2.2%
Exec Search New Engagements

1.6K

Previous: 1.5K+5.9%
Digital Sub & License Revenue

$34.6M

Previous: $32.4M+6.8%
Consulting Avg Bill Rate

$419.00

Previous: $413.00+1.5%
Consulting Hours Worked

398.0K

No prior period
Consulting Ending Consultants

1.6K

No prior period
Digital Ending Consultants

260

No prior period
Exec Search Ending Consultants

555

No prior period
Exec Search Avg Consultants

557

No prior period
Perm Placement Engagements

1.7K

No prior period
Perm Placement New Engagements

947

No prior period
Interim Average Bill Rate

$140.00

Previous: $126.00+11.1%
Interim Avg Weekly Consultants

980

No prior period
RPO New Business

$101M

No prior period
Perm Placement Consultants

292

No prior period
Capital Expenditures

-$24.8M

Previous: -$31.5M+21.3%
Free Cash Flow

$36M

Previous: -$33.2M+208.3%
Net Income

$60.8M

Previous: -$1.71M+3653.5%
Operating Income

$87.5M

Previous: $22.8M+283.4%
Gross Profit

$1.21M

Previous: $1.05M+14.7%
Cash & Equivalents

$695M

Previous: $621M+11.9%
Total Assets

$3.53B

Previous: $3.36B+4.9%
Stock-Based Comp

$11.4M

Previous: $11.2M+1.4%

Revenue & EPS history

Korn Ferry · Revenue · Quarterly

$682M

Q2 2025-4.3%vs Q2 2024
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Korn Ferry · $616M total across 4 segments · Q2 2024

  • Executive Search
    $203M-7.1%
  • Consulting
    $178M+2.7%
  • Professional Search & Interim
    $138M+2.7%
  • Digital
    $97.1M+3.0%

Forward guidance

Korn Ferry anticipates Q3 FY25 fee revenue to be between $635 million and $665 million, with diluted earnings per share expected to range from $1.02 to $1.16, and adjusted diluted earnings per share between $1.06 and $1.18.

Tailwinds

  • Q3 FY’25 fee revenue is expected to be in the range of $635 million and $665 million.
  • Q3 FY’25 diluted earnings per share is expected to range between $1.02 to $1.16.
  • Q3 FY’25 adjusted diluted earnings per share is expected to be in the range from $1.06 to $1.18.
  • Guidance assumes steady worldwide geopolitical, economic, and financial market conditions.
  • Guidance assumes steady foreign exchange rates.

Headwinds

  • Guidance is contingent on worldwide geopolitical conditions remaining steady.
  • Guidance is contingent on economic conditions remaining steady.
  • Guidance is contingent on financial markets remaining steady.
  • Guidance is contingent on foreign exchange rates remaining steady.
  • Actual results may differ materially due to risks and uncertainties beyond the control of Korn Ferry.

Historical earnings impact

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

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q2 2025

Historical avgQ2 2025

+0.1%

Avg return

Earnings day

-0.4%

Avg return

5 days after

-0.3%

Avg return

30 days after

49%

34 / 69 earnings

Positive

+15.1%

Q3 2018

Best reaction

-23.2%

Q1 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026-0.3%+0.2%
Q3 2026-1.5%-4.6%+0.5%
Q2 2026+4.2%+7.6%+4.7%
Q1 2026+0.4%-0.3%-2.9%
Q4 2025+0.0%+6.7%+11.2%
Q3 2025+7.6%+7.7%+0.7%
Q2 2025-9.0%-8.5%-13.5%
Q1 2025-6.6%-1.6%+2.3%
Q4 2024+5.2%+4.9%+6.5%
Q3 2024+1.5%+1.2%-0.8%
Q2 2024+1.0%+4.8%+3.4%
Q1 2024-2.6%-3.6%-2.6%
Q4 2023-5.2%-2.6%+2.0%
Q3 2023+2.6%-5.1%-10.0%
Q2 2023-5.4%-4.6%-3.9%
Q1 2023-14.7%-11.9%-17.0%
Q4 2022+3.6%+7.8%+16.0%
Q3 2022-0.1%+2.8%+5.9%
Q2 2022+1.2%+1.6%-4.5%
Q1 2022+3.3%+0.3%+4.3%
Q4 2021+8.4%+12.3%+0.3%
Q3 2021+11.4%+8.8%+6.8%
Q2 2021+7.1%+9.2%+16.0%
Q1 2021-5.1%-6.1%-5.1%
Q4 2020-3.0%-9.1%-7.5%
Q3 2020-5.5%-7.2%-3.3%
Q2 2020-0.8%-0.3%+6.7%
Q1 2020-5.2%-4.5%-6.5%
Q4 2019-15.7%-18.7%-17.4%
Q3 2019-4.7%-0.6%+0.5%
Q2 2019-3.5%-0.7%-10.3%
Q1 2019-23.2%-23.5%-25.7%
Q4 2018+13.4%+14.4%+14.8%
Q3 2018+15.1%+16.8%+24.3%
Q2 2018-1.1%-2.1%-1.0%
Q1 2018+7.9%+8.0%+19.9%
Q4 2017+4.3%+3.0%+3.5%
Q3 2017-3.2%-3.5%-5.9%
Q2 2017+10.4%+14.5%+6.0%
Q1 2017-5.3%-9.3%-12.1%
Q4 2016-21.1%-20.8%-18.2%
Q3 2016-6.6%
Q2 2016-1.9%
Q1 2016+0.9%
Q4 2015+2.3%
Q3 2015-2.8%
Q2 2015+1.3%
Q1 2015-1.3%
Q4 2014-3.4%
Q3 2014+13.9%
Q2 2014+4.4%
Q1 2014+14.0%
Q4 2013+4.5%
Q3 2013-1.3%
Q2 2013+2.3%
Q1 2013-5.3%
Q4 2012-0.5%
Q3 2012+2.8%
Q2 2012-1.7%
Q1 2012-1.3%
Q4 2009+1.5%
Q4 2011+1.5%
Q3 2010-0.3%
Q3 2011-0.3%
Q2 2011+1.6%
Q1 2011+3.5%
Q1 2010+3.5%
Q4 2010+3.5%
Q2 2010+3.5%

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