EX-99.1 2 dex991.htm PRESS RELEASE Press Release

Exhibit 99.1

FOR IMMEDIATE RELEASE

 

  Contact:      

M. Keith Waddell

Vice Chairman, President and

Chief Financial Officer

(650) 234-6000

ROBERT HALF INTERNATIONAL INC. REPORTS REVENUES AND EARNINGS FOR THE FOURTH QUARTER OF 2009

MENLO PARK, California, January 28, 2010—Robert Half International Inc. (NYSE symbol: RHI) today reported revenues and earnings for the fourth quarter ended December 31, 2009.

For the quarter ended December 31, 2009, net income was $13.5 million or $.09 per share, on revenues of $737.4 million. Net income for the prior year’s fourth quarter was $39.0 million or $.25 per share, on revenues of $989.8 million.

For the year ended December 31, 2009, net income was $37.3 million or $.24 per share, on revenues of $3.04 billion. For the year ended December 31, 2008, net income was $250.2 million or $1.59 per share, on revenues of $4.60 billion.

Harold M. Messmer, Jr., chairman and CEO of Robert Half International, commented: “We were encouraged to see broad-based, improving demand for our professional staffing services during the fourth quarter. Each of our staffing divisions reported sequential revenue growth, as did Protiviti on a same-day basis.”

Robert Half International management will conduct a conference call today at 5 p.m. EST following the release. The dial-in number is 800-862-9098 (+1-785-424-1051 outside the United States) and the passcode is “Robert Half International.” A taped recording of this call will be available for replay beginning at approximately 8 p.m. EST today and ending at 8 p.m. EST on February 5. The dial-in number for the replay is 800-374-0934 (+1-402-220-0680 outside the United States). The conference call also will be archived in audio format on the company’s website at www.rhi.com.

Founded in 1948, Robert Half International Inc., the world’s first and largest specialized staffing firm, is a recognized leader in professional consulting and staffing services, and is the parent company of Protiviti®, a global consulting and internal audit firm composed of experts in risk, advisory and transaction services. The company’s specialized staffing divisions include Accountemps®, Robert Half® Finance & Accounting and Robert Half® Management Resources, for temporary, full-time and senior-level project professionals, respectively, in the fields of accounting and finance; OfficeTeam®, for highly skilled temporary administrative support personnel; Robert Half® Technology, for information technology professionals; Robert Half® Legal, for legal personnel; and The Creative Group®, for advertising, marketing and web design professionals.

Robert Half International has staffing and consulting operations in more than 400 locations worldwide.

Certain information contained in this press release may be deemed forward-looking statements regarding events and financial trends that may affect the company’s future operating results or financial positions. These statements may be identified by words such as “estimate”, “forecast”, “project”, “plan”, “intend”, “believe”, “expect”, “anticipate”, or variations or negatives thereof, or by similar or comparable words or phrases. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the statements.


These risks and uncertainties include, but are not limited to, the following: the global financial and economic situation; changes in levels of unemployment and other economic conditions in the United States or foreign countries where the company does business, or in particular regions or industries; reduction in the supply of candidates for temporary employment or the company’s ability to attract candidates; the entry of new competitors into the marketplace or expansion by existing competitors; the ability of the company to maintain existing client relationships and attract new clients in the context of changing economic or competitive conditions; the impact of competitive pressures, including any change in the demand for the company’s services, on the company’s ability to maintain its margins; the possibility of the company incurring liability for its activities, including the activities of its temporary employees, or for events impacting its temporary employees on clients’ premises; the possibility that adverse publicity could impact the company’s ability to attract and retain clients and candidates; the success of the company in attracting, training, and retaining qualified management personnel and other staff employees; the company’s ability to comply with governmental regulations affecting personnel services businesses in particular or employer/employee relationships in general; whether there will be ongoing demand for Sarbanes-Oxley or other regulatory compliance services; the company’s reliance on short-term contracts for a significant percentage of its business; litigation relating to prior or current transactions or activities, including litigation that may be disclosed from time to time in the company’s SEC filings; the ability of the company to manage its international operations and comply with foreign laws and regulations; the impact of fluctuations in foreign currency exchange rates; the possibility that the company’s computer and communications hardware and software systems could be damaged or their service interrupted; and the possibility that the company may fail to maintain adequate financial and management controls and as a result suffer errors in its financial reporting.

Additionally, with respect to Protiviti, other risks and uncertainties include the fact that future success will depend on its ability to retain employees and attract clients; there can be no assurance that there will be ongoing demand for Sarbanes-Oxley or other regulatory compliance services; failure to produce projected revenues could adversely affect financial results; and there is the possibility of involvement in litigation relating to prior or current transactions or activities.

Because long-term contracts are not a significant part of the company’s business, future results cannot be reliably predicted by considering past trends or extrapolating past results. The company undertakes no obligation to update information contained in this release.

A copy of this release is available at www.rhi.com.

 

ATTACHED: Summary of Operations

 

  Supplemental Financial Information

 

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ROBERT HALF INTERNATIONAL INC. AND SUBSIDIARIES

SUMMARY OF OPERATIONS

(in thousands, except per share amounts)

 

     Quarter
Ended December 31,
    Year
Ended December 31,
 
     2009     2008     2009     2008  
     (Unaudited)     (Unaudited)        

Net service revenues

   $ 737,423      $ 989,837      $ 3,036,547      $ 4,600,554   

Direct costs of services

     458,940        587,451        1,932,868        2,686,983   
                                

Gross margin

     278,483        402,386        1,103,679        1,913,571   

Selling, general and administrative expenses

     255,972        334,895        1,036,899        1,496,839   

Amortization of intangible assets

     281        740        1,460        2,617   

Interest income

     (209     (323     (1,443     (5,161
                                

Income before income taxes

     22,439        67,074        66,763        419,276   

Provision for income taxes

     8,911        28,066        29,500        169,095   
                                

Net income

   $ 13,528      $ 39,008      $ 37,263      $ 250,181   
                                

Net income available to common stockholders

   $ 12,969      $ 37,806      $ 35,067      $ 242,744   
                                

Diluted net income per share

   $ .09      $ .25      $ .24      $ 1.59   

Shares:

        

Basic

     144,124        148,191        145,912        151,607   

Diluted

     145,161        148,582        146,611        152,528   

 

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ROBERT HALF INTERNATIONAL INC. AND SUBSIDIARIES

SUPPLEMENTAL FINANCIAL INFORMATION

(in thousands)

 

     Quarter
Ended December 31,
   Year
Ended December 31,
     2009    2008    2009     2008
     (Unaudited)    (Unaudited)      

REVENUES:

          

Accountemps

   $ 287,797    $ 374,179    $ 1,214,822      $ 1,735,412

OfficeTeam

     141,587      179,882      557,049        827,559

Robert Half Technology

     76,263      101,360      309,854        437,477

Robert Half Management Resources

     90,596      134,654      389,407        625,735

Robert Half Finance & Accounting

     45,434      75,578      181,856        427,499

Protiviti

     95,746      124,184      383,559        546,872
                            

Total

   $ 737,423    $ 989,837    $ 3,036,547      $ 4,600,554
                            

GROSS MARGIN:

          

Temporary and consultant staffing

   $ 205,597    $ 292,564    $ 842,101      $ 1,331,549

Permanent placement staffing

     45,412      75,546      181,679        427,375

Risk consulting and internal audit services

     27,474      34,276      79,899        154,647
                            

Total

   $ 278,483    $ 402,386    $ 1,103,679      $ 1,913,571
                            

OPERATING INCOME:

          

Temporary and consultant staffing

   $ 22,212    $ 63,421    $ 104,521      $ 348,963

Permanent placement staffing

     6      2,589      (6,973     60,482

Risk consulting and internal audit services

     293      1,481      (30,768     7,287
                            

Total

   $ 22,511    $ 67,491    $ 66,780      $ 416,732
                            

SELECTED CASH FLOW INFORMATION:

          

Amortization of intangible assets

   $ 281    $ 740    $ 1,460      $ 2,617

Depreciation expense

   $ 15,560    $ 16,708    $ 63,806      $ 70,593

Capital expenditures

   $ 10,248    $ 17,926    $ 41,248      $ 73,413

Open market repurchases of common stock (shares)

     2,004      4,018      4,724        9,376

 

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ROBERT HALF INTERNATIONAL INC. AND SUBSIDIARIES

SUPPLEMENTAL FINANCIAL INFORMATION

(in thousands)

 

     December 31,
     2009    2008
     (Unaudited)     

SELECTED BALANCE SHEET INFORMATION:

     

Cash and cash equivalents

   $ 365,794    $ 354,756

Accounts receivable, less allowances

   $ 362,392    $ 484,808

Total assets

   $ 1,283,535    $ 1,411,850

Current liabilities

   $ 366,968    $ 412,852

Notes payable and other indebtedness, less current portion

   $ 1,779    $ 1,892

Total stockholders’ equity

   $ 899,810    $ 983,888

 

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