0001564590-17-022294.txt : 20171107 0001564590-17-022294.hdr.sgml : 20171107 20171107163856 ACCESSION NUMBER: 0001564590-17-022294 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 20171107 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20171107 DATE AS OF CHANGE: 20171107 FILER: COMPANY DATA: COMPANY CONFORMED NAME: HACKETT GROUP, INC. CENTRAL INDEX KEY: 0001057379 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-MANAGEMENT CONSULTING SERVICES [8742] IRS NUMBER: 650750100 STATE OF INCORPORATION: FL FISCAL YEAR END: 1228 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 333-48123 FILM NUMBER: 171183901 BUSINESS ADDRESS: STREET 1: 1001 BRICKELL BAY DRIVE STREET 2: SUITE 3000 CITY: MIAMI STATE: FL ZIP: 33131 BUSINESS PHONE: 3053758005 MAIL ADDRESS: STREET 1: 1001 BRICKELL BAY DRIVE STREET 2: SUITE 3000 CITY: MIAMI STATE: FL ZIP: 33131 FORMER COMPANY: FORMER CONFORMED NAME: ANSWERTHINK INC DATE OF NAME CHANGE: 20000628 FORMER COMPANY: FORMER CONFORMED NAME: ANSWERTHINK CONSULTING GROUP INC DATE OF NAME CHANGE: 19980608 8-K 1 hckt-8k_20171107.htm 8-K hckt-8k_20171107.htm

 

 

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

  

 

FORM 8-K

 

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of report (Date of earliest event reported): November 7, 2017

 

 

The Hackett Group, Inc.

(Exact name of registrant as specified in its charter)

 

 

 

 

 

 

 

 

FLORIDA

 

333-48123

 

65-0750100

(State or other jurisdiction of

incorporation or organization)

 

(Commission File Number)

 

(I.R.S. Employer

Identification No.)

 

 

 

 

 

1001 Brickell Bay Drive, Suite 3000

Miami, Florida

 

33131

(Address of principal executive offices)

 

(Zip Code)

(305) 375-8005

(Registrant’s telephone number, including area code)

Not Applicable

(Former name or former address, if changed since last report)

 

 

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instructions A.2. below):

☐

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

 

 

 

 

Item 2.02

Results of Operations and Financial Condition.

On November 7, 2017, The Hackett Group, Inc. (the “Company”) issued a press release setting forth its consolidated financial results for the third fiscal quarter ended September 29, 2017. A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated by reference herein.

The information contained in Item 2.02 of this current report on Form 8-K, as well as Exhibit 99.1, is being furnished to the Securities and Exchange Commission and shall not be deemed “filed” with the Securities and Exchange Commission nor incorporated by reference in any registration statement filed by the Company under the Securities Act of 1933, as amended.

 

 

Item 9.01     Financial Statements and Exhibits.

 

(d)

Exhibits

 

Exhibit

Number

 

Description

99.1

 

Press Release of The Hackett Group, Inc., dated November 7, 2017.

 

 

 


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

 

 

 

 

 

 

 

 

 

 

 

THE HACKETT GROUP, INC.

 

 

 

 

Date: November 7, 2017

 

 

 

By:

 

/s/ Robert A. Ramirez

 

 

 

 

 

 

Robert A. Ramirez

 

 

 

 

 

 

Executive Vice President, Finance and Chief Financial Officer

 

 EX-99.1 2 hckt-ex991_6.htm EX-99.1 hckt-ex991_6.htm

Exhibit 99.1

 

 

 

Contact:

Robert A. Ramirez, CFO, 305-375-8005 or rramirez@thehackettgroup.com

 

The Hackett Group Announces Third Quarter 2017 Results

 

•

Q3 2017 gross revenue of $71.5 million, net revenue of $65.9 million and pro forma EPS of $0.26, all at high end of guidance

•

Board declares semi-annual dividend of $0.15 for shareholders of record on December 22, 2017

•

Company acquires CIMA’s joint venture interest in Certified GBS training and certification program

 

 

MIAMI, FL – Nov 7, 2017 - The Hackett Group, Inc. (NASDAQ: HCKT), a global intellectual property-based strategic consultancy and leading enterprise benchmarking and best practices implementation firm, today announced its financial results for the third quarter, which ended on September 29, 2017.

 

Q3 2017 gross revenue was $71.5 million, down 4% from prior year, and net revenue (gross revenue less reimbursable expenses) was $65.9 million, down 1% from prior year. Q3 2017 pro forma diluted earnings per share were $0.26, up 4% when compared to $0.25 for the same period in 2016. Pro forma information is provided to enhance the understanding of the Company's financial performance and is reconciled to the Company's GAAP information in the accompanying tables.

 

GAAP diluted earnings per share were $0.17 for both the third quarter of 2017 and 2016.

 

At the end of the third quarter of 2017, the Company’s cash balances were $16.2 million. During the quarter, the Company utilized cash to repurchase 250 thousand shares of the Company’s common stock at an average price per share of $14.21 for a total of $3.5 million. As of the end of the third quarter of 2017, the Company’s remaining stock repurchase program authorization was $3.1 million.

 

In its recent meeting, the Company’s Board of Directors declared a semi-annual dividend of $0.15 per share for shareholders of record on December 22, 2017, to be paid on January 5, 2018.

 

The Hackett Group today, in a separate release, also announced the launch of The Hackett Institute, offering professional education programs informed by The Hackett Group’s unmatched intellectual property derived from its benchmarking data, proprietary research and Best Practices Intelligence Center™. Concurrent with the launch of the Hackett Institute, The Hackett Group announced that it has acquired the interest of The Chartered Institute of Management Accountants (CIMA) in its Certified GBS Professionals program, which the two organizations launched as a joint project in 2015. With the launch of The Hackett Institute, The Hackett Group has also made available Analytics Foundations, the first course in its Certified Enterprise Analytics Professionals (CEAP) program.

 

 

“We delivered solid results while continuing to aggressively migrate our business to our expanded Oracle Cloud Applications capabilities,” stated Ted A. Fernandez, Chairman and CEO of The Hackett Group. “Additionally, our recent recognition as Oracle EPM Cloud Partner of the Year and favorable reviews of our Digital Transformation Platform, which premiered at Oracle OpenWorld, bode well for our Cloud and digital transformation growth prospects.”

 

Based on the current economic outlook, the Company estimates total net revenue for the fourth quarter of 2017 to be in the range of $61.5 million to $63.5 million or gross revenue (inclusive of reimbursable expenses of 8%) to be in the range of $66.5 million to $68.5 million. The Company estimates pro forma diluted earnings per share to be in the range of $0.25 to $0.27. At the high end of the guidance, pro forma EPS would increase 4% when compared to prior year.  

 

Other Highlights

 

The Hackett Group and ADP Expand Strategic Alliance - The Hackett Group and ADP® announced an expansion to their strategic alliance that will offer midsized companies new to ADP Workforce Now® access to The Hackett Group’s benchmarking tool, metrics, best practices, research and performance studies. These offerings are aimed at helping ADP Workforce Now users improve their HCM performance and monitor the efficiency and effectiveness of their HR operations.

 

Quantum Leap Launched - The Hackett Group announced the launch of Quantum Leap, a game-changing digital benchmarking and performance improvement platform that dramatically speeds up the benchmarking process, enabling companies to intelligently assess performance gaps, frame world-class solutions and ensure improvement success within general and administrative (G&A) areas such as corporate finance, procurement, human resources, and information technology.

 

The Hackett Group Achieves Oracle Cloud Premiere Status – The Hackett Group, a Platinum level member of Oracle Partner Network (OPN), announced it has achieved the Cloud Premier designation within the OPN Cloud program. The OPN Cloud program enables members to showcase their expertise, skills and investment in Oracle Cloud, as well as differentiate themselves with Oracle’s integrated cloud applications and platform services.

 

Digital Transformation Platform Launched - At Oracle OpenWorld 2017, The Hackett Group launched its Digital Transformation Platform™, a proprietary Oracle Cloud diagnostic and implementation system.  Using the platform, companies can improve ROI and optimize their Oracle cloud configurations using The Hackett Group’s performance targets, best practices and inventory of optimized cloud configuration solutions. This platform allows companies to quickly and easily identify areas of opportunity and performance gaps by leveraging The Hackett Group’s nearly 2,000 certified best practices. Specifically, this platform takes the client through a user-friendly portal to: clarify which practices and performance targets are most relevant to their situation; connect the client to the associated practices and performance levels necessary to achieve those benefits; and create a direct linkage from targets and best practices to how the related Oracle Cloud modules (ERP, HCM, EPM) should be used and configured to realize target improvements. 

 

 On Tuesday, November 7, 2017, senior management will discuss third quarter results in a conference call at 5:00 P.M. ET. The number for the conference call is (844) 358-9115, [Passcode: Third Quarter, The Hackett Group Earnings]. For International callers, please dial (209) 905-5950.

 

Please dial in at least 5-10 minutes prior to start time. If you are unable to participate on the conference call, a rebroadcast will be available beginning at 8:00 P.M. ET on Tuesday, November 7, 2017 and will run through 5:00 P.M. ET on Tuesday, November 21, 2017. To access the rebroadcast, please dial (855) 859-2056. For International callers, please dial (404) 537-3406, [Passcode: 99518204].

 

 

In addition, The Hackett Group will also be webcasting this conference call live through the StreetEvents.com service. To participate, simply visit http://www.thehackettgroup.com approximately 10 minutes prior to the start of the call and click on the conference call link provided. An online replay of the call will be available after 8:00 P.M. ET on Tuesday, November 7, 2017 and will run through 5:00 P.M. ET on Tuesday, November 21, 2017. To access the replay, visit www.thehackettgroup.com or http://www.streetevents.com.

 

About The Hackett Group

 

The Hackett Group (NASDAQ: HCKT) is an intellectual property-based strategic consultancy and leading enterprise benchmarking and best practices implementation firm to global companies, offering digital transformation including robotic process automation and enterprise cloud application implementation. Services include business transformation, enterprise analytics, working capital management and global business services. ‎The Hackett Group also provides dedicated expertise in business strategy, operations, finance, human capital management, strategic sourcing, procurement and information technology, including its award-winning Oracle and SAP practices.

 

The Hackett Group has completed more than 13,000 benchmarking studies with major corporations and government agencies, including 93% of the Dow Jones Industrials, 87% of the Fortune 100, 87% of the DAX 30 and 58% of the FTSE 100.‎ These studies drive its Best Practice Intelligence Center™ which includes the firm's benchmarking metrics, best practices repository and best practice configuration guides and process flows, which enable The Hackett Group’s clients and partners to achieve world-class performance.

 

More information on The Hackett Group is available at:www.thehackettgroup.com,info@thehackettgroup.com, or by calling (770) 225-3600.

 

 # # #

 

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and involve known and unknown risks, uncertainties and other factors that may cause The Hackett Group's actual results, performance or achievements to be materially different from the results, performance or achievements expressed or implied by the forward-looking statements. Factors that impact such forward-looking statements include, among others, the ability of our products, services, or offerings mentioned in this release to deliver the desired effect, our ability to effectively integrate acquisitions into our operations, our ability to retain existing business, our ability to attract additional business, our ability to effectively market and sell our product offerings and other services, including these referenced above, the timing of projects and the potential for contract cancellations by our customers, changes in expectations regarding the business consulting and information technology industries, our ability to attract and retain skilled employees, possible changes in collections of accounts receivable due to the bankruptcy or financial difficulties of our customers, risks of competition, price and margin trends, foreign currency fluctuations, changes in general economic conditions and interest rates, our ability to obtain debt financing through additional borrowings under an amendment to our existing credit facility as well as other risks detailed in our Company's Annual Report on Form 10-K for the most recent fiscal year filed with the Securities and Exchange Commission. We undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

 

Page 4 of 6 - The Hackett Group, Inc. Announces Third Quarter Results

 

 

The Hackett Group, Inc.

CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share data)

(unaudited)

 

 

Quarter Ended

 

 

Nine Months Ended

 

 

 

September 29,

 

 

September 30,

 

 

September 29,

 

 

September 30,

 

 

 

2017

 

 

2016

 

 

2017

 

 

2016

 

Revenue:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue before reimbursements ("net revenue")

 

$

65,947

 

 

$

66,810

 

 

$

198,742

 

$

$

196,961

 

Reimbursements

 

 

5,515

 

 

 

7,308

 

 

 

17,719

 

 

 

21,548

 

Total revenue

 

 

71,462

 

 

 

74,118

 

 

 

216,461

 

 

 

218,509

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Costs and expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cost of service:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Personnel costs before reimbursable expenses

 

 

39,807

 

 

 

40,621

 

 

 

120,906

 

 

 

120,866

 

Acquisition-related compensation expense

 

 

619

 

 

 

—

 

 

 

1,042

 

 

 

—

 

Non-cash stock compensation expense

 

 

1,082

 

 

 

1,135

 

 

 

3,440

 

 

 

3,318

 

Acquisition-related non-cash stock compensation expense

 

 

794

 

 

 

315

 

 

 

1,720

 

 

 

898

 

Reimbursable expenses

 

 

5,515

 

 

 

7,308

 

 

 

17,719

 

 

 

21,548

 

Total cost of service

 

 

47,817

 

 

 

49,379

 

 

 

144,827

 

 

 

146,630

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Selling, general and administrative costs

 

 

14,209

 

 

 

14,664

 

 

 

43,759

 

 

 

43,918

 

Non-cash stock compensation expense

 

 

894

 

 

 

793

 

 

 

2,427

 

 

 

2,251

 

Acquisition-related costs

 

 

111

 

 

 

—

 

 

 

378

 

 

 

—

 

Amortization of intangible assets

 

 

557

 

 

 

275

 

 

 

1,475

 

 

 

825

 

Restructuring costs

 

 

—-

 

 

 

—

 

 

 

1,293

 

 

 

—

 

Total selling, general, and administrative expenses

 

 

15,771

 

 

 

15,732

 

 

 

49,332

 

 

 

46,994

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total costs and operating expenses

 

 

63,588

 

 

 

65,111

 

 

 

194,159

 

 

 

193,624

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income from operations

 

 

7,874

 

 

 

9,007

 

 

 

22,302

 

 

 

24,885

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

 

(184

)

 

 

(137

)

 

 

(401

)

 

 

(288

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income from operations before income taxes

 

 

7,690

 

 

 

8,870

 

 

 

21,901

 

 

 

24,597

 

Income tax expense

 

 

2,401

 

 

 

3,382

 

 

 

3,988

 

 

 

9,281

 

Net income

 

$

5,289

 

 

$

5,488

 

 

$

17,913

 

 

$

15,316

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic net income per common share:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income per common share from operations

 

$

0.18

 

 

$

0.19

 

 

$

0.62

 

 

$

0.52

 

Weighted average common shares outstanding

 

 

28,765

 

 

 

28,579

 

 

 

28,891

 

 

 

29,251

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Diluted net income per common share:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income per common share from operations

 

$

0.17

 

 

$

0.17

 

 

$

0.56

 

 

$

0.47

 

Weighted average common and common equivalent shares outstanding

 

 

31,958

 

 

 

32,375

 

 

 

32,254

 

 

 

32,870

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pro forma data (1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income from operations before income taxes

 

$

7,690

 

 

$

8,870

 

 

$

21,901

 

 

$

24,597

 

Acquisition-related compensation expense

 

 

619

 

 

 

—

 

 

 

1,042

 

 

 

—

 

Non-cash stock compensation expense

 

 

1,976

 

 

 

1,928

 

 

 

5,867

 

 

 

5,569

 

Acquisition-related non-cash stock compensation expense

 

 

794

 

 

 

315

 

 

 

1,720

 

 

 

898

 

Acquisition-related costs

 

 

111

 

 

 

—

 

 

 

378

 

 

 

—

 

Restructuring costs

 

 

—

 

 

 

—

 

 

 

1,293

 

 

 

—

 

Amortization of intangible assets

 

 

557

 

 

 

275

 

 

 

1,475

 

 

 

825

 

Pro forma income before income taxes

 

 

11,747

 

 

 

11,388

 

 

 

33,676

 

 

 

31,889

 

Pro forma income tax expense

 

 

3,524

 

 

 

3,416

 

 

 

10,103

 

 

 

9,567

 

Pro forma net income

 

$

8,223

 

 

$

7,972

 

 

$

23,573

 

 

$

22,322

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pro forma basic net income per common share

 

$

0.29

 

 

$

0.28

 

 

$

0.82

 

 

$

0.76

 

Weighted average common shares outstanding

 

 

28,765

 

 

 

28,579

 

 

 

28,891

 

 

 

29,251

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pro forma diluted net income per common share

 

$

0.26

 

 

$

0.25

 

 

$

0.73

 

 

$

0.68

 

Weighted average common and common equivalent shares outstanding

 

 

31,958

 

 

 

32,375

 

 

 

32,254

 

 

 

32,870

 

 

 

 

 

(1)

The Company provides pro forma earnings results (which exclude the amortization of intangible assets, stock compensation expense, acquisition-related cash

and stock compensation expenses and transaction expenses, restructuring charges and include a normalized tax rate, which is our long term projected cash tax rate) as a complement to results provided in accordance with Generally Accepted Accounting Principles (GAAP). These non-GAAP results are provided to enhance the overall users' understanding of the Company's current financial performance and its prospects for the future. The Company believes the non-GAAP results provide useful information to both management and investors and by excluding certain expenses that it believes are not indicative of its core operating results. The non-GAAP measures are included to provide investors and management with an alternative method for assessing operating results in a manner that is focused on the performance of ongoing operations and to provide a more consistent basis for comparison between quarters. Further, these non-GAAP results are one of the primary indicators management uses for planning and forecasting in future periods. In addition, since the Company has historically reported non-GAAP results to the investment community, it believes the continued inclusion of non-GAAP results provides consistency in its financial reporting. The presentation of this additional information should not be considered in isolation or as a substitute for results prepared in accordance with GAAP.

 

 

 

Page 5 of 6 - The Hackett Group, Inc. Announces Third Quarter Results

 

The Hackett Group, Inc.

CONDENSED CONSOLIDATED BALANCE SHEETS

(in thousands)

(unaudited)

 

 

September 29,

 

 

December 30,

 

 

 

2017

 

 

2016

 

ASSETS

 

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

 

Cash

 

$

16,226

 

 

$

19,710

 

Accounts receivable and unbilled revenue, net

 

 

55,552

 

 

 

47,399

 

Prepaid expenses and other current assets

 

 

2,897

 

 

 

1,704

 

Total current assets

 

 

74,675

 

 

 

68,813

 

 

 

 

 

 

 

 

 

 

Property and equipment, net

 

 

17,854

 

 

 

14,774

 

Other assets

 

 

4,679

 

 

 

3,336

 

Goodwill, net

 

 

84,966

 

 

 

72,376

 

Total assets

 

$

182,174

 

 

$

159,299

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND SHAREHOLDERS' EQUITY

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

Accounts payable

 

 

8,597

 

 

$

9,089

 

Accrued expenses and other liabilities

 

 

35,971

 

 

 

46,725

 

Total current liabilities

 

 

44,568

 

 

 

55,814

 

Non-current accrued expenses and other liabilities

 

 

6,936

 

 

 

—

 

Long-term deferred tax liability, net

 

 

10,591

 

 

 

10,216

 

Long-term debt

 

 

22,000

 

 

 

7,000

 

Total liabilities

 

 

84,095

 

 

 

73,030

 

 

 

 

 

 

 

 

 

 

Shareholders' equity

 

 

98,079

 

 

 

86,269

 

Total liabilities and shareholders' equity

 

$

182,174

 

 

$

159,299

 

 

 

 

 

Page 6 of 6 - The Hackett Group, Inc. Announces Third Quarter Results

 

The Hackett Group, Inc.

SUPPLEMENTAL FINANCIAL DATA

(unaudited)

 

 

Quarter Ended

 

 

 

September 29,

 

 

September 30,

 

 

June 30,

 

 

 

2017

 

 

2016

 

 

2017

 

Revenue Breakdown by Group:

 

 

 

 

 

 

 

 

 

 

 

 

(in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

The Hackett Group (2)

 

$

60,789

 

 

$

62,610

 

 

$

62,472

 

SAP Solutions (3)

 

 

10,673

 

 

 

11,508

 

 

 

11,098

 

Total revenue

 

$

71,462

 

 

$

74,118

 

 

$

73,570

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue Concentration:

 

 

 

 

 

 

 

 

 

 

 

 

(% of total revenue)

 

 

 

 

 

 

 

 

 

 

 

 

Top customer

 

 

4

%

 

 

4

%

 

 

4

%

Top 5 customers

 

 

12

%

 

 

15

%

 

 

15

%

Top 10 customers

 

 

20

%

 

 

26

%

 

 

25

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Key Metrics and Other Financial Data:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Company:

 

 

 

 

 

 

 

 

 

 

 

 

Consultant headcount

 

 

1,022

 

 

 

942

 

 

 

1,002

 

Total headcount

 

 

1,259

 

 

 

1,158

 

 

 

1,236

 

Days sales outstanding (DSO)

 

 

71

 

 

 

59

 

 

 

61

 

Cash provided by operating activities (in thousands)

 

$

9,966

 

 

$

13,033

 

 

$

4,111

 

Depreciation (in thousands)

 

$

590

 

 

$

618

 

 

$

612

 

Amortization (in thousands)

 

$

557

 

 

$

275

 

 

$

532

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The Hackett Group (in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

The Hackett Group annualized net revenue per professional (2)

 

$

297

 

 

$

321

 

 

$

316

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SAP Solutions:

 

 

 

 

 

 

 

 

 

 

 

 

SAP Solutions consultant utilization rate (3)

 

 

72

%

 

 

76

%

 

 

78

%

SAP Solutions gross billing rate per hour (3)

 

$

131

 

 

$

134

 

 

133

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Shares Repurchased Under the Share Repurchase Plan:

 

 

 

 

 

 

 

 

 

 

 

 

Shares purchased (in thousands)

 

 

182

 

 

 

30

 

 

 

507

 

Cost of shares repurchased (in thousands)

 

$

2,492

 

 

$

449

 

 

$

7,617

 

Average price per share of shares purchased

 

$

13.73

 

 

$

14.84

 

 

$

15.01

 

Remaining Plan authorization (in thousands)

 

$

3,138

 

 

$

4,433

 

 

$

630

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Shares Purchased to Satisfy Employee Net Vesting Obligations:

 

 

 

 

 

 

 

 

 

 

 

 

Shares purchased (in thousands)

 

 

68

 

 

 

4

 

 

 

21

 

Cost of shares purchased (in thousands)

 

$

1,050

 

 

$

50

 

 

$

370

 

Average price per share of shares purchased

 

$

15.50

 

 

$

14.03

 

 

$

17.90

 

 

(2)

The Hackett Group encompasses the Benchmarking, Business Transformation and Executive Advisory groups, and EPM Groups

and excludes AMS.  Annualized revenue per professional disclosed prior to Q2 2017 utilized gross revenue; the statistics have been amended to utilize net revenue.  Prior periods have been restated.

(3)

SAP Solutions encompasses Best Practice Implementation of ERP Software, the SAP group, approximately 40% of which are offshore resources.

(4)

Certain reclassifications have been made to conform with current reporting requirements.

 

 

 

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