Delaware | 01-10427 | 94-1648752 | ||
(State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) |
2884 Sand Hill Road, Menlo Park, CA | 94025 | |
(Address of principal executive offices) | (Zip Code) |
¨ | 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)) |
Item 2.02 | Results of Operations and Financial Condition. |
Item 9.01 | Financial Statements and Exhibits. |
(d) | Exhibits |
Exhibit | Description | |
99.1 | Robert Half International Inc. October 21, 2015, Press Release. |
Robert Half International Inc. | ||||
Date: October 21, 2015 | By: | /s/ M. KEITH WADDELL | ||
Name: | M. Keith Waddell | |||
Title: | Vice Chairman, President and Chief Financial Officer |
Contact: | M. Keith Waddell Vice Chairman, President and Chief Financial Officer (650) 234-6000 |
ATTACHED: | Summary of Operations Supplemental Financial Information Non-GAAP Financial Measures |
Quarter Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||
(Unaudited) | (Unaudited) | |||||||||||||||
Net service revenues | $ | 1,312,718 | $ | 1,224,308 | $ | 3,790,339 | $ | 3,473,564 | ||||||||
Direct costs of services | 762,917 | 719,088 | 2,215,949 | 2,051,405 | ||||||||||||
Gross margin | 549,801 | 505,220 | 1,574,390 | 1,422,159 | ||||||||||||
Selling, general and administrative expenses | 390,735 | 366,967 | 1,138,075 | 1,058,144 | ||||||||||||
Amortization of intangible assets | — | — | — | 557 | ||||||||||||
Interest income, net | (240 | ) | (108 | ) | (400 | ) | (570 | ) | ||||||||
Income before income taxes | 159,306 | 138,361 | 436,715 | 364,028 | ||||||||||||
Provision for income taxes | 62,581 | 53,177 | 172,362 | 142,153 | ||||||||||||
Net income | $ | 96,725 | $ | 85,184 | $ | 264,353 | $ | 221,875 | ||||||||
Diluted net income per share | $ | .73 | $ | .63 | $ | 1.98 | $ | 1.63 | ||||||||
Shares: | ||||||||||||||||
Basic | 131,285 | 134,054 | 132,280 | 134,690 | ||||||||||||
Diluted | 132,488 | 135,366 | 133,436 | 135,740 |
Quarter Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||||||||||||||
(Unaudited) | (Unaudited) | |||||||||||||||||||||||||||
REVENUES: | ||||||||||||||||||||||||||||
Accountemps | $ | 434,152 | 33.1 | % | $ | 416,413 | 34.0 | % | $ | 1,277,527 | 33.6 | % | $ | 1,202,433 | 34.6 | % | ||||||||||||
OfficeTeam | 249,087 | 19.0 | % | 237,723 | 19.4 | % | 722,282 | 19.4 | % | 675,288 | 19.5 | % | ||||||||||||||||
Robert Half Technology | 170,211 | 13.0 | % | 150,166 | 12.3 | % | 489,573 | 12.8 | % | 424,459 | 12.2 | % | ||||||||||||||||
Robert Half Management Resources | 146,372 | 11.1 | % | 149,923 | 12.2 | % | 433,560 | 11.4 | % | 420,653 | 12.1 | % | ||||||||||||||||
Robert Half Finance & Accounting | 110,748 | 8.4 | % | 102,345 | 8.4 | % | 319,744 | 8.4 | % | 297,797 | 8.6 | % | ||||||||||||||||
Protiviti | 202,148 | 15.4 | % | 167,738 | 13.7 | % | 547,653 | 14.4 | % | 452,934 | 13.0 | % | ||||||||||||||||
Total | $ | 1,312,718 | 100.0 | % | $ | 1,224,308 | 100.0 | % | $ | 3,790,339 | 100.0 | % | $ | 3,473,564 | 100.0 | % | ||||||||||||
GROSS MARGIN: | ||||||||||||||||||||||||||||
Temporary and consultant staffing | $ | 372,762 | 37.3 | % | $ | 351,791 | 36.9 | % | $ | 1,087,324 | 37.2 | % | $ | 993,714 | 36.5 | % | ||||||||||||
Permanent placement staffing | 110,610 | 99.9 | % | 102,314 | 100.0 | % | 319,226 | 99.8 | % | 297,697 | 100.0 | % | ||||||||||||||||
Risk consulting and internal audit services | 66,429 | 32.9 | % | 51,115 | 30.5 | % | 167,840 | 30.6 | % | 130,748 | 28.9 | % | ||||||||||||||||
Total | $ | 549,801 | 41.9 | % | $ | 505,220 | 41.3 | % | $ | 1,574,390 | 41.5 | % | $ | 1,422,159 | 40.9 | % | ||||||||||||
OPERATING INCOME: | ||||||||||||||||||||||||||||
Temporary and consultant staffing | $ | 102,991 | 10.3 | % | $ | 97,660 | 10.2 | % | $ | 300,404 | 10.3 | % | $ | 263,901 | 9.7 | % | ||||||||||||
Permanent placement staffing | 24,377 | 22.0 | % | 21,380 | 20.9 | % | 67,460 | 21.1 | % | 61,103 | 20.5 | % | ||||||||||||||||
Risk consulting and internal audit services | 31,698 | 15.7 | % | 19,213 | 11.5 | % | 68,451 | 12.5 | % | 39,011 | 8.6 | % | ||||||||||||||||
Total | $ | 159,066 | 12.1 | % | $ | 138,253 | 11.3 | % | $ | 436,315 | 11.5 | % | $ | 364,015 | 10.5 | % | ||||||||||||
SELECTED CASH FLOW INFORMATION: | ||||||||||||||||||||||||||||
Amortization of intangible assets | $ | — | $ | — | $ | — | $ | 557 | ||||||||||||||||||||
Depreciation expense | $ | 12,919 | $ | 12,107 | $ | 39,487 | $ | 36,170 | ||||||||||||||||||||
Capital expenditures | $ | 18,753 | $ | 13,122 | $ | 48,276 | $ | 36,207 | ||||||||||||||||||||
Open market repurchases of common stock (shares) | 1,551 | 1,237 | 2,932 | 2,543 |
September 30, | ||||||||
2015 | 2014 | |||||||
(Unaudited) | ||||||||
SELECTED BALANCE SHEET INFORMATION: | ||||||||
Cash and cash equivalents | $ | 251,818 | $ | 290,876 | ||||
Accounts receivable, less allowances | $ | 731,574 | $ | 657,105 | ||||
Total assets | $ | 1,713,873 | $ | 1,627,013 | ||||
Current liabilities | $ | 664,169 | $ | 623,905 | ||||
Notes payable and other indebtedness, less current portion | $ | 1,046 | $ | 1,196 | ||||
Total stockholders’ equity | $ | 1,006,476 | $ | 972,583 |
Year-Over-Year Growth Rates (As Reported) | Non-GAAP Year-Over-Year Growth Rates (Same Billing Days and Constant Currency) | |||||||||||||||||||||||
2014 | 2015 | 2014 | 2015 | |||||||||||||||||||||
Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | |||||||||||||
Global | ||||||||||||||||||||||||
Accountemps | 6.5 | 10.1 | 9.6 | 8.0 | 6.6 | 4.3 | 6.5 | 9.8 | 11.6 | 12.2 | 10.1 | 7.6 | ||||||||||||
OfficeTeam | 9.1 | 14.1 | 12.6 | 9.5 | 6.9 | 4.8 | 9.0 | 14.0 | 14.7 | 14.1 | 10.8 | 8.3 | ||||||||||||
RH Technology | 7.8 | 11.0 | 11.4 | 16.2 | 16.6 | 13.3 | 8.5 | 10.9 | 12.7 | 19.0 | 18.8 | 15.4 | ||||||||||||
RH Management Resources | 12.4 | 18.9 | 14.1 | 10.4 | 2.0 | -2.4 | 12.2 | 18.4 | 17.3 | 17.3 | 7.9 | 2.9 | ||||||||||||
Temporary and consultant staffing | 8.2 | 12.5 | 11.3 | 10.0 | 7.5 | 4.8 | 8.3 | 12.3 | 13.4 | 14.5 | 11.3 | 8.3 | ||||||||||||
Permanent placement staffing | 13.8 | 16.0 | 12.8 | 6.2 | 7.5 | 8.2 | 14.2 | 15.7 | 15.7 | 11.9 | 13.0 | 13.6 | ||||||||||||
Total staffing | 8.7 | 12.9 | 11.5 | 9.7 | 7.5 | 5.1 | 8.9 | 12.6 | 13.6 | 14.2 | 11.5 | 8.8 | ||||||||||||
Protiviti | 15.5 | 20.7 | 20.9 | 22.0 | 20.4 | 20.5 | 14.4 | 18.3 | 22.5 | 26.6 | 23.4 | 23.0 | ||||||||||||
Total | 9.6 | 13.9 | 12.7 | 11.2 | 9.2 | 7.2 | 9.6 | 13.4 | 14.9 | 15.9 | 13.1 | 10.9 | ||||||||||||
United States | ||||||||||||||||||||||||
Temporary and consultant staffing | 9.3 | 13.2 | 13.8 | 14.8 | 12.4 | 9.9 | 9.8 | 13.0 | 14.0 | 15.6 | 12.4 | 9.8 | ||||||||||||
Permanent placement staffing | 15.8 | 21.8 | 20.8 | 15.6 | 18.7 | 16.2 | 16.3 | 21.6 | 21.0 | 16.4 | 18.6 | 16.1 | ||||||||||||
Total staffing | 9.8 | 13.9 | 14.3 | 14.8 | 12.9 | 10.4 | 10.3 | 13.7 | 14.6 | 15.7 | 12.9 | 10.3 | ||||||||||||
Protiviti | 19.0 | 22.0 | 26.9 | 26.2 | 24.3 | 24.6 | 18.4 | 19.9 | 27.1 | 27.9 | 24.1 | 24.4 | ||||||||||||
Total | 11.0 | 15.0 | 16.0 | 16.3 | 14.5 | 12.5 | 11.4 | 14.6 | 16.4 | 17.5 | 14.5 | 12.6 | ||||||||||||
International | ||||||||||||||||||||||||
Temporary and consultant staffing | 4.6 | 10.4 | 3.1 | -6.0 | -9.3 | -12.8 | 3.3 | 9.9 | 11.4 | 10.6 | 7.7 | 3.1 | ||||||||||||
Permanent placement staffing | 10.6 | 6.3 | -0.6 | -9.8 | -11.9 | -7.3 | 10.7 | 5.6 | 6.8 | 4.0 | 3.1 | 8.9 | ||||||||||||
Total staffing | 5.4 | 9.8 | 2.6 | -6.6 | -9.7 | -12.1 | 4.4 | 9.3 | 10.8 | 9.6 | 7.0 | 3.9 | ||||||||||||
Protiviti | 2.4 | 14.6 | -1.2 | 4.8 | 4.0 | 1.2 | -0.2 | 11.0 | 5.4 | 21.3 | 20.4 | 16.4 | ||||||||||||
Total | 5.1 | 10.3 | 2.1 | -5.4 | -8.2 | -10.7 | 3.9 | 9.5 | 10.1 | 11.0 | 8.5 | 5.3 |
Year-Over-Year Revenue Growth – GLOBAL | ||||||||||||||||
Q2 2014 | Q3 2014 | Q4 2014 | Q1 2015 | Q2 2015 | Q3 2015 | |||||||||||
Accountemps | ||||||||||||||||
As Reported | 6.5 | 10.1 | 9.6 | 8.0 | 6.6 | 4.3 | ||||||||||
Billing Days Impact | 0.4 | -0.1 | 0.3 | 0.9 | -0.1 | -0.2 | ||||||||||
Currency Impact | -0.4 | -0.2 | 1.7 | 3.3 | 3.6 | 3.5 | ||||||||||
Same Billing Days and Constant Currency | 6.5 | 9.8 | 11.6 | 12.2 | 10.1 | 7.6 | ||||||||||
OfficeTeam | ||||||||||||||||
As Reported | 9.1 | 14.1 | 12.6 | 9.5 | 6.9 | 4.8 | ||||||||||
Billing Days Impact | 0.5 | -0.2 | 0.2 | 0.8 | -0.1 | -0.2 | ||||||||||
Currency Impact | -0.6 | 0.1 | 1.9 | 3.8 | 4.0 | 3.7 | ||||||||||
Same Billing Days and Constant Currency | 9.0 | 14.0 | 14.7 | 14.1 | 10.8 | 8.3 | ||||||||||
Robert Half Technology | ||||||||||||||||
As Reported | 7.8 | 11.0 | 11.4 | 16.2 | 16.6 | 13.3 | ||||||||||
Billing Days Impact | 0.5 | -0.2 | 0.3 | 0.9 | 0.0 | -0.1 | ||||||||||
Currency Impact | 0.2 | 0.1 | 1.0 | 1.9 | 2.2 | 2.2 | ||||||||||
Same Billing Days and Constant Currency | 8.5 | 10.9 | 12.7 | 19.0 | 18.8 | 15.4 | ||||||||||
Robert Half Management Resources | ||||||||||||||||
As Reported | 12.4 | 18.9 | 14.1 | 10.4 | 2.0 | -2.4 | ||||||||||
Billing Days Impact | 0.6 | -0.2 | 0.2 | 0.9 | 0.0 | 0.0 | ||||||||||
Currency Impact | -0.8 | -0.3 | 3.0 | 6.0 | 5.9 | 5.3 | ||||||||||
Same Billing Days and Constant Currency | 12.2 | 18.4 | 17.3 | 17.3 | 7.9 | 2.9 | ||||||||||
Temporary and consultant staffing | ||||||||||||||||
As Reported | 8.2 | 12.5 | 11.3 | 10.0 | 7.5 | 4.8 | ||||||||||
Billing Days Impact | 0.5 | -0.1 | 0.3 | 0.9 | 0.0 | -0.1 | ||||||||||
Currency Impact | -0.4 | -0.1 | 1.8 | 3.6 | 3.8 | 3.6 | ||||||||||
Same Billing Days and Constant Currency | 8.3 | 12.3 | 13.4 | 14.5 | 11.3 | 8.3 | ||||||||||
Permanent placement staffing | ||||||||||||||||
As Reported | 13.8 | 16.0 | 12.8 | 6.2 | 7.5 | 8.2 | ||||||||||
Billing Days Impact | 0.6 | -0.1 | 0.2 | 0.9 | 0.0 | -0.2 | ||||||||||
Currency Impact | -0.2 | -0.2 | 2.7 | 4.8 | 5.5 | 5.6 | ||||||||||
Same Billing Days and Constant Currency | 14.2 | 15.7 | 15.7 | 11.9 | 13.0 | 13.6 | ||||||||||
Total staffing | ||||||||||||||||
As Reported | 8.7 | 12.9 | 11.5 | 9.7 | 7.5 | 5.1 | ||||||||||
Billing Days Impact | 0.6 | -0.2 | 0.2 | 0.8 | 0.0 | -0.1 | ||||||||||
Currency Impact | -0.4 | -0.1 | 1.9 | 3.7 | 4.0 | 3.8 | ||||||||||
Same Billing Days and Constant Currency | 8.9 | 12.6 | 13.6 | 14.2 | 11.5 | 8.8 | ||||||||||
Protiviti | ||||||||||||||||
As Reported | 15.5 | 20.7 | 20.9 | 22.0 | 20.4 | 20.5 | ||||||||||
Billing Days Impact | -0.7 | -2.1 | 0.2 | 1.6 | -0.1 | -0.2 | ||||||||||
Currency Impact | -0.4 | -0.3 | 1.4 | 3.0 | 3.1 | 2.7 | ||||||||||
Same Billing Days and Constant Currency | 14.4 | 18.3 | 22.5 | 26.6 | 23.4 | 23.0 | ||||||||||
Total | ||||||||||||||||
As Reported | 9.6 | 13.9 | 12.7 | 11.2 | 9.2 | 7.2 | ||||||||||
Billing Days Impact | 0.4 | -0.4 | 0.3 | 1.1 | 0.0 | 0.0 | ||||||||||
Currency Impact | -0.4 | -0.1 | 1.9 | 3.6 | 3.9 | 3.7 | ||||||||||
Same Billing Days and Constant Currency | 9.6 | 13.4 | 14.9 | 15.9 | 13.1 | 10.9 |
Year-Over-Year Revenue Growth – UNITED STATES | ||||||||||||||||
Q2 2014 | Q3 2014 | Q4 2014 | Q1 2015 | Q2 2015 | Q3 2015 | |||||||||||
Temporary and consultant staffing | ||||||||||||||||
As Reported | 9.3 | 13.2 | 13.8 | 14.8 | 12.4 | 9.9 | ||||||||||
Billing Days Impact | 0.5 | -0.2 | 0.2 | 0.8 | 0.0 | -0.1 | ||||||||||
Currency Impact | — | — | — | — | — | — | ||||||||||
Same Billing Days and Constant Currency | 9.8 | 13.0 | 14.0 | 15.6 | 12.4 | 9.8 | ||||||||||
Permanent placement staffing | ||||||||||||||||
As Reported | 15.8 | 21.8 | 20.8 | 15.6 | 18.7 | 16.2 | ||||||||||
Billing Days Impact | 0.5 | -0.2 | 0.2 | 0.8 | 0.0 | -0.1 | ||||||||||
Currency Impact | — | — | — | — | — | — | ||||||||||
Same Billing Days and Constant Currency | 16.3 | 21.6 | 21.0 | 16.4 | 18.7 | 16.1 | ||||||||||
Total staffing | ||||||||||||||||
As Reported | 9.8 | 13.9 | 14.3 | 14.8 | 12.9 | 10.4 | ||||||||||
Billing Days Impact | 0.5 | -0.2 | 0.3 | 0.9 | 0.0 | -0.1 | ||||||||||
Currency Impact | — | — | — | — | — | — | ||||||||||
Same Billing Days and Constant Currency | 10.3 | 13.7 | 14.6 | 15.7 | 12.9 | 10.3 | ||||||||||
Protiviti | ||||||||||||||||
As Reported | 19.0 | 22.0 | 26.9 | 26.2 | 24.3 | 24.6 | ||||||||||
Billing Days Impact | -0.6 | -2.1 | 0.2 | 1.7 | -0.2 | -0.2 | ||||||||||
Currency Impact | — | — | — | — | — | — | ||||||||||
Same Billing Days and Constant Currency | 18.4 | 19.9 | 27.1 | 27.9 | 24.1 | 24.4 | ||||||||||
Total | ||||||||||||||||
As Reported | 11.0 | 15.0 | 16.0 | 16.3 | 14.5 | 12.5 | ||||||||||
Billing Days Impact | 0.4 | -0.4 | 0.4 | 1.2 | 0.0 | 0.1 | ||||||||||
Currency Impact | — | — | — | — | — | — | ||||||||||
Same Billing Days and Constant Currency | 11.4 | 14.6 | 16.4 | 17.5 | 14.5 | 12.6 |
Year-Over-Year Revenue Growth – INTERNATIONAL | ||||||||||||||||||
Q2 2014 | Q3 2014 | Q4 2014 | Q1 2015 | Q2 2015 | Q3 2015 | |||||||||||||
Temporary and consultant staffing | ||||||||||||||||||
As Reported | 4.6 | 10.4 | 3.1 | -6.0 | -9.3 | -12.8 | ||||||||||||
Billing Days Impact | 0.4 | -0.2 | 0.2 | 0.8 | 0.0 | -0.2 | ||||||||||||
Currency Impact | -1.7 | -0.3 | 8.1 | 15.8 | 17.0 | 16.1 | ||||||||||||
Same Billing Days and Constant Currency | 3.3 | 9.9 | 11.4 | 10.6 | 7.7 | 3.1 | ||||||||||||
Permanent placement staffing | ||||||||||||||||||
As Reported | 10.6 | 6.3 | -0.6 | -9.8 | -11.9 | -7.3 | ||||||||||||
Billing Days Impact | 0.5 | -0.2 | 0.2 | 0.7 | 0.0 | -0.1 | ||||||||||||
Currency Impact | -0.4 | -0.5 | 7.2 | 13.1 | 15.0 | 16.3 | ||||||||||||
Same Billing Days and Constant Currency | 10.7 | 5.6 | 6.8 | 4.0 | 3.1 | 8.9 | ||||||||||||
Total staffing | ||||||||||||||||||
As Reported | 5.4 | 9.8 | 2.6 | -6.6 | -9.7 | -12.1 | ||||||||||||
Billing Days Impact | 0.5 | -0.2 | 0.3 | 0.8 | 0.0 | -0.1 | ||||||||||||
Currency Impact | -1.5 | -0.3 | 7.9 | 15.4 | 16.7 | 16.1 | ||||||||||||
Same Billing Days and Constant Currency | 4.4 | 9.3 | 10.8 | 9.6 | 7.0 | 3.9 | ||||||||||||
Protiviti | ||||||||||||||||||
As Reported | 2.4 | 14.6 | -1.2 | 4.8 | 4.0 | 1.2 | ||||||||||||
Billing Days Impact | -0.6 | -2.0 | 0.1 | 1.6 | -0.1 | -0.2 | ||||||||||||
Currency Impact | -2.0 | -1.6 | 6.5 | 14.9 | 16.5 | 15.4 | ||||||||||||
Same Billing Days and Constant Currency | -0.2 | 11.0 | 5.4 | 21.3 | 20.4 | 16.4 | ||||||||||||
Total | ||||||||||||||||||
As Reported | 5.1 | 10.3 | 2.1 | -5.4 | -8.2 | -10.7 | ||||||||||||
Billing Days Impact | 0.4 | -0.3 | 0.2 | 1.1 | 0.0 | 0.0 | ||||||||||||
Currency Impact | -1.6 | -0.5 | 7.8 | 15.3 | 16.7 | 16.0 | ||||||||||||
Same Billing Days and Constant Currency | 3.9 | 9.5 | 10.1 | 11.0 | 8.5 | 5.3 |