NYSE$KFY

Korn Ferry · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

Korn Ferry reported a decrease in fee revenue and a net loss for the fourth quarter of fiscal year 2020.

Korn Ferry announced its Q4 and Fiscal Year 2020 results, with Q4 fee revenue at $440.5 million, a 10% decrease year-over-year. The company reported a net loss of $0.8 million for the quarter, with adjusted diluted earnings per share at $0.60.

  • Fee revenue was $440.5 million in Q4 FY’20, a decrease of 10% as compared to Q4 FY’19.
  • Net loss attributable to Korn Ferry was $0.8 million in Q4 FY’20, with an operating margin of 5.0%.
  • Q4 FY’20 diluted loss per share was $0.02 and adjusted diluted earnings per share was $0.60.
  • The Company ended the year with total cash and cash equivalents and marketable securities of $863 million.

Headline financials

Total Revenue

$449M

Previous: $503M-10.7%
EPS (adj)

$0.60

Previous: $0.88-31.8%
Exec Search Engagements Billed

3.4K

Previous: 3.9K-13.2%
Exec Search New Engagements

1.2K

Previous: 1.7K-28.4%
Digital Sub & License Revenue

$20.9M

Previous: $14.6M+43.2%
Consulting Avg Bill Rate

$292.00

Previous: $329.00-11.2%
Capital Expenditures

$7.71M

Previous: $9.8M-21.3%
Free Cash Flow

$172M

Previous: $148M+15.8%
Net Income

-$802K

Previous: $50.3M-101.6%
Operating Income

$22.2M

Previous: $62.3M-64.3%
Gross Profit

$421M

Previous: $470M-10.5%
Cash & Equivalents

$689M

Previous: $626M+10.0%
Total Assets

$2.74B

Previous: $2.33B+17.5%
Stock-Based Comp

$5.83M

Previous: $5.36M+8.8%

Revenue & EPS history

Korn Ferry · Revenue · Quarterly

$449M

Q4 2020-10.7%vs Q4 2019
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

Korn Ferry · $440M total across 4 segments · Q4 2020

  • Executive Search
    $168M
  • Consulting
    $121M
  • Professional Search & Interim
    $82.4M
  • Digital
    $69.3M

Forward guidance

Due to the uncertainty caused by COVID-19, Korn Ferry will not issue specific revenue or earnings guidance for the first quarter of FY'21. The company plans to reassess the suspension of guidance once the coronavirus uncertainties have largely passed.

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 Q4 2020

Historical avgQ4 2020

+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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