DELAWARE | 0-1088 | 38-1510762 |
(State or other | (Commission | (IRS Employer |
jurisdiction of | File Number) | Identification |
incorporation) | Number) |
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 Instruction 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. [ ] |
KELLY SERVICES, INC. | ||
November 7, 2018 | ||
/s/ Olivier G. Thirot Olivier G. Thirot Executive Vice President and Chief Financial Officer (Principal Financial Officer) |
November 7, 2018 | ||
/s/ Laura S. Lockhart Laura S. Lockhart Vice President, Corporate Controller and Chief Accounting Officer (Principal Accounting Officer) |
• | Q3 revenue up 1.0%; up 1.9% in constant currency |
• | Q3 operating earnings up 21% from last year |
• | Q3 earnings per share of $0.84, or $0.56 on an adjusted basis, compared to $0.58 last year |
U.S. | 1 800 288-9626 |
International | 1 651 291-5254 |
KELLY SERVICES, INC. AND SUBSIDIARIES | ||||||||||||||||
CONSOLIDATED STATEMENTS OF EARNINGS | ||||||||||||||||
FOR THE 13 WEEKS ENDED SEPTEMBER 30, 2018 AND OCTOBER 1, 2017 | ||||||||||||||||
(UNAUDITED) | ||||||||||||||||
(In millions of dollars except per share data) | ||||||||||||||||
% | CC % | |||||||||||||||
2018 | 2017 | Change | Change | Change | ||||||||||||
Revenue from services | $ | 1,342.4 | $ | 1,328.8 | $ | 13.6 | 1.0 | % | 1.9 | % | ||||||
Cost of services | 1,103.3 | 1,098.1 | 5.2 | 0.5 | ||||||||||||
Gross profit | 239.1 | 230.7 | 8.4 | 3.6 | 4.5 | |||||||||||
Selling, general and administrative expenses | 217.2 | 212.5 | 4.7 | 2.2 | 3.0 | |||||||||||
Earnings from operations | 21.9 | 18.2 | 3.7 | 20.6 | ||||||||||||
Gain on investment in Persol Holdings | 15.8 | — | 15.8 | 100.0 | ||||||||||||
Other expense, net | (0.7 | ) | (0.4 | ) | (0.3 | ) | (74.3 | ) | ||||||||
Earnings before taxes and equity in net earnings (loss) of affiliate | 37.0 | 17.8 | 19.2 | 108.2 | ||||||||||||
Income tax expense (benefit) | 5.9 | (4.1 | ) | 10.0 | 246.4 | |||||||||||
Net earnings before equity in net earnings (loss) of affiliate | 31.1 | 21.9 | 9.2 | 42.0 | ||||||||||||
Equity in net earnings (loss) of affiliate | 2.0 | 1.1 | 0.9 | 80.5 | ||||||||||||
Net earnings | $ | 33.1 | $ | 23.0 | $ | 10.1 | 43.9 | % | ||||||||
Basic earnings per share | $ | 0.84 | $ | 0.59 | $ | 0.25 | 42.4 | % | ||||||||
Diluted earnings per share | $ | 0.84 | $ | 0.58 | $ | 0.26 | 44.8 | % | ||||||||
STATISTICS: | ||||||||||||||||
Permanent placement income (included in revenue from services) | $ | 18.4 | $ | 14.2 | $ | 4.2 | 30.2 | % | 32.4 | % | ||||||
Gross profit rate | 17.8 | % | 17.4 | % | 0.4 | pts. | ||||||||||
Conversion rate | 9.2 | 7.9 | 1.3 | |||||||||||||
% Return: | ||||||||||||||||
Earnings from operations | 1.6 | 1.4 | 0.2 | |||||||||||||
Net earnings | 2.5 | 1.7 | 0.8 | |||||||||||||
Effective income tax rate | 16.1 | % | (22.9 | ) | % | 39.0 | pts. | |||||||||
Average number of shares outstanding (millions): | ||||||||||||||||
Basic | 38.8 | 38.3 | ||||||||||||||
Diluted | 38.9 | 38.8 |
KELLY SERVICES, INC. AND SUBSIDIARIES | ||||||||||||||||
CONSOLIDATED STATEMENTS OF EARNINGS | ||||||||||||||||
FOR THE 39 WEEKS ENDED SEPTEMBER 30, 2018 AND OCTOBER 1, 2017 | ||||||||||||||||
(UNAUDITED) | ||||||||||||||||
(In millions of dollars except per share data) | ||||||||||||||||
% | CC % | |||||||||||||||
2018 | 2017 | Change | Change | Change | ||||||||||||
Revenue from services | $ | 4,099.2 | $ | 3,952.1 | $ | 147.1 | 3.7 | % | 2.8 | % | ||||||
Cost of services | 3,381.4 | 3,261.0 | 120.4 | 3.7 | ||||||||||||
Gross profit | 717.8 | 691.1 | 26.7 | 3.9 | 3.1 | |||||||||||
Selling, general and administrative expenses | 663.5 | 636.2 | 27.3 | 4.3 | 3.6 | |||||||||||
Earnings from operations | 54.3 | 54.9 | (0.6 | ) | (1.0 | ) | ||||||||||
Loss on investment in Persol Holdings | (13.0 | ) | — | (13.0 | ) | (100.0 | ) | |||||||||
Other expense, net | (1.8 | ) | (2.5 | ) | 0.7 | 29.3 | ||||||||||
Earnings before taxes and equity in net earnings (loss) of affiliate | 39.5 | 52.4 | (12.9 | ) | (24.4 | ) | ||||||||||
Income tax (benefit) expense | (3.3 | ) | 0.1 | (3.4 | ) | NM | ||||||||||
Net earnings before equity in net earnings (loss) of affiliate | 42.8 | 52.3 | (9.5 | ) | (18.0 | ) | ||||||||||
Equity in net earnings (loss) of affiliate | 4.0 | 1.6 | 2.4 | 143.5 | ||||||||||||
Net earnings | $ | 46.8 | $ | 53.9 | $ | (7.1 | ) | (13.0 | ) | % | ||||||
Basic earnings per share | $ | 1.20 | $ | 1.38 | $ | (0.18 | ) | (13.0 | ) | % | ||||||
Diluted earnings per share | $ | 1.19 | $ | 1.37 | $ | (0.18 | ) | (13.1 | ) | % | ||||||
STATISTICS: | ||||||||||||||||
Permanent placement income (included in revenue from services) | $ | 52.3 | $ | 41.4 | $ | 10.9 | 26.4 | % | 24.6 | % | ||||||
Gross profit rate | 17.5 | % | 17.5 | % | — | pts. | ||||||||||
Conversion rate | 7.6 | 7.9 | (0.3 | ) | ||||||||||||
% Return: | ||||||||||||||||
Earnings from operations | 1.3 | 1.4 | (0.1 | ) | ||||||||||||
Net earnings | 1.1 | 1.4 | (0.3 | ) | ||||||||||||
Effective income tax rate | (8.2 | ) | % | 0.2 | % | (8.4 | ) | pts. | ||||||||
Average number of shares outstanding (millions): | ||||||||||||||||
Basic | 38.7 | 38.3 | ||||||||||||||
Diluted | 38.8 | 38.8 |
KELLY SERVICES, INC. AND SUBSIDIARIES | ||||||||||||||
RESULTS OF OPERATIONS BY SEGMENT | ||||||||||||||
(UNAUDITED) | ||||||||||||||
(In millions of dollars) | ||||||||||||||
Third Quarter | ||||||||||||||
% | CC % | |||||||||||||
2018 | 2017 | Change | Change | |||||||||||
AMERICAS STAFFING | ||||||||||||||
Revenue from services | $ | 561.8 | $ | 554.8 | 1.3 | % | 2.0 | % | ||||||
Gross profit | 106.0 | 98.8 | 7.3 | 7.9 | ||||||||||
Total SG&A expenses | 91.2 | 85.5 | 6.6 | 7.3 | ||||||||||
Earnings from operations | 14.8 | 13.3 | 11.3 | |||||||||||
Gross profit rate | 18.9 | % | 17.8 | % | 1.1 | pts. | ||||||||
Conversion rate | 14.0 | 13.5 | 0.5 | |||||||||||
Return on sales | 2.6 | 2.4 | 0.2 | |||||||||||
GLOBAL TALENT SOLUTIONS | ||||||||||||||
Revenue from services | $ | 507.6 | $ | 503.0 | 0.9 | % | 1.2 | % | ||||||
Gross profit | 97.3 | 93.0 | 4.6 | 5.1 | ||||||||||
Total SG&A expenses | 73.2 | 72.2 | 1.5 | 1.9 | ||||||||||
Earnings from operations | 24.1 | 20.8 | 15.7 | |||||||||||
Gross profit rate | 19.2 | % | 18.5 | % | 0.7 | pts. | ||||||||
Conversion rate | 24.7 | 22.4 | 2.3 | |||||||||||
Return on sales | 4.7 | 4.1 | 0.6 | |||||||||||
INTERNATIONAL STAFFING | ||||||||||||||
Revenue from services | $ | 277.2 | $ | 275.6 | 0.6 | % | 2.8 | % | ||||||
Gross profit | 36.4 | 39.5 | (7.8 | ) | (5.6 | ) | ||||||||
Total SG&A expenses | 31.6 | 32.3 | (2.7 | ) | (0.3 | ) | ||||||||
Earnings from operations | 4.8 | 7.2 | (31.1 | ) | ||||||||||
Gross profit rate | 13.2 | % | 14.3 | % | (1.1 | ) | pts. | |||||||
Conversion rate | 13.5 | 18.0 | (4.5 | ) | ||||||||||
Return on sales | 1.8 | 2.6 | (0.8 | ) |
KELLY SERVICES, INC. AND SUBSIDIARIES | ||||||||||||||
RESULTS OF OPERATIONS BY SEGMENT | ||||||||||||||
(UNAUDITED) | ||||||||||||||
(In millions of dollars) | ||||||||||||||
September Year to Date | ||||||||||||||
% | CC % | |||||||||||||
2018 | 2017 | Change | Change | |||||||||||
AMERICAS STAFFING | ||||||||||||||
Revenue from services | $ | 1,770.1 | $ | 1,703.5 | 3.9 | % | 4.1 | % | ||||||
Gross profit | 322.5 | 307.9 | 4.7 | 4.9 | ||||||||||
SG&A expenses excluding restructuring charges | 273.8 | 252.6 | 8.4 | 8.6 | ||||||||||
Restructuring charges | — | 0.4 | (100.0 | ) | (100.0 | ) | ||||||||
Total SG&A expenses | 273.8 | 253.0 | 8.2 | 8.4 | ||||||||||
Earnings from operations | 48.7 | 54.9 | (11.4 | ) | ||||||||||
Earnings from operations excluding restructuring charges | 48.7 | 55.3 | (12.0 | ) | ||||||||||
Gross profit rate | 18.2 | % | 18.1 | % | 0.1 | pts. | ||||||||
Conversion rate | 15.1 | 17.8 | (2.7 | ) | ||||||||||
Conversion rate excluding restructuring charges | 15.1 | 18.0 | (2.9 | ) | ||||||||||
Return on sales | 2.8 | 3.2 | (0.4 | ) | ||||||||||
Return on sales excluding restructuring charges | 2.8 | 3.2 | (0.4 | ) | ||||||||||
GLOBAL TALENT SOLUTIONS | ||||||||||||||
Revenue from services | $ | 1,494.1 | $ | 1,495.8 | (0.1 | ) | % | (0.3 | ) | % | ||||
Gross profit | 281.8 | 272.2 | 3.6 | 3.2 | ||||||||||
SG&A expenses excluding restructuring charges | 224.0 | 218.8 | 2.4 | 2.0 | ||||||||||
Restructuring charges | — | 2.0 | (100.0 | ) | (100.0 | ) | ||||||||
Total SG&A expenses | 224.0 | 220.8 | 1.5 | 1.0 | ||||||||||
Earnings from operations | 57.8 | 51.4 | 12.5 | |||||||||||
Earnings from operations excluding restructuring charges | 57.8 | 53.4 | 8.3 | |||||||||||
Gross profit rate | 18.9 | % | 18.2 | % | 0.7 | pts. | ||||||||
Conversion rate | 20.5 | 18.9 | 1.6 | |||||||||||
Conversion rate excluding restructuring charges | 20.5 | 19.6 | 0.9 | |||||||||||
Return on sales | 3.9 | 3.4 | 0.5 | |||||||||||
Return on sales excluding restructuring charges | 3.9 | 3.6 | 0.3 | |||||||||||
INTERNATIONAL STAFFING | ||||||||||||||
Revenue from services | $ | 848.5 | $ | 766.0 | 10.8 | % | 5.9 | % | ||||||
Gross profit | 115.4 | 112.7 | 2.3 | (2.1 | ) | |||||||||
Total SG&A expenses | 99.2 | 96.2 | 3.0 | (1.0 | ) | |||||||||
Earnings from operations | 16.2 | 16.5 | (1.4 | ) | ||||||||||
Gross profit rate | 13.6 | % | 14.7 | % | (1.1 | ) | pts. | |||||||
Conversion rate | 14.1 | 14.6 | (0.5 | ) | ||||||||||
Return on sales | 1.9 | 2.2 | (0.3 | ) |
KELLY SERVICES, INC. AND SUBSIDIARIES | ||||||||||
CONSOLIDATED BALANCE SHEETS | ||||||||||
(UNAUDITED) | ||||||||||
(In millions of dollars) | ||||||||||
September 30, 2018 | Dec. 31, 2017 | October 1, 2017 | ||||||||
Current Assets | ||||||||||
Cash and equivalents | $ | 20.8 | $ | 32.5 | $ | 22.2 | ||||
Trade accounts receivable, less allowances of | ||||||||||
$12.4, $12.9, and $13.1 respectively | 1,294.0 | 1,286.7 | 1,271.7 | |||||||
Prepaid expenses and other current assets | 68.0 | 65.1 | 70.0 | |||||||
Total current assets | 1,382.8 | 1,384.3 | 1,363.9 | |||||||
Noncurrent Assets | ||||||||||
Property and equipment, net | 85.0 | 86.1 | 81.4 | |||||||
Deferred taxes | 196.5 | 183.4 | 192.0 | |||||||
Goodwill | 107.3 | 107.1 | 107.1 | |||||||
Investment in Persol Holdings | 213.6 | 228.1 | 212.4 | |||||||
Investment in equity affiliate | 120.3 | 117.4 | 116.4 | |||||||
Other assets | 287.6 | 271.8 | 263.5 | |||||||
Total noncurrent assets | 1,010.3 | 993.9 | 972.8 | |||||||
Total Assets | $ | 2,393.1 | $ | 2,378.2 | $ | 2,336.7 | ||||
Current Liabilities | ||||||||||
Short-term borrowings | $ | 8.1 | $ | 10.2 | $ | 23.9 | ||||
Accounts payable and accrued liabilities | 497.0 | 537.7 | 496.1 | |||||||
Accrued payroll and related taxes | 304.7 | 287.4 | 312.6 | |||||||
Accrued insurance | 25.9 | 25.7 | 25.6 | |||||||
Income and other taxes | 66.5 | 65.2 | 60.0 | |||||||
Total current liabilities | 902.2 | 926.2 | 918.2 | |||||||
Noncurrent Liabilities | ||||||||||
Accrued insurance | 50.2 | 49.9 | 49.7 | |||||||
Accrued retirement benefits | 186.9 | 178.1 | 175.0 | |||||||
Other long-term liabilities | 68.0 | 72.5 | 66.8 | |||||||
Total noncurrent liabilities | 305.1 | 300.5 | 291.5 | |||||||
Stockholders' Equity | ||||||||||
Common stock | 40.1 | 40.1 | 40.1 | |||||||
Treasury stock | (27.3 | ) | (35.2 | ) | (35.2 | ) | ||||
Paid-in capital | 25.0 | 32.2 | 30.0 | |||||||
Earnings invested in the business | 1,165.0 | 983.6 | 968.8 | |||||||
Accumulated other comprehensive income | (17.0 | ) | 130.8 | 123.3 | ||||||
Total stockholders' equity | 1,185.8 | 1,151.5 | 1,127.0 | |||||||
Total Liabilities and Stockholders' Equity | $ | 2,393.1 | $ | 2,378.2 | $ | 2,336.7 | ||||
STATISTICS: | ||||||||||
Working Capital | $ | 480.6 | $ | 458.1 | $ | 445.7 | ||||
Current Ratio | 1.5 | 1.5 | 1.5 | |||||||
Debt-to-capital % | 0.7 | % | 0.9 | % | 2.1 | % | ||||
Global Days Sales Outstanding | 58 | 55 | 58 | |||||||
Year-to-Date Free Cash Flow | $ | 15.4 | $ | 46.2 | $ | 18.3 |
KELLY SERVICES, INC. AND SUBSIDIARIES | ||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||
FOR THE 39 WEEKS ENDED SEPTEMBER 30, 2018 AND OCTOBER 1, 2017 | ||||||
(UNAUDITED) | ||||||
(In millions of dollars) | ||||||
2018 | 2017 | |||||
Cash flows from operating activities: | ||||||
Net earnings | $ | 46.8 | $ | 53.9 | ||
Noncash adjustments: | ||||||
Depreciation and amortization | 19.5 | 16.5 | ||||
Provision for bad debts | 1.3 | 3.6 | ||||
Stock-based compensation | 6.7 | 6.8 | ||||
Loss on investment in Persol Holdings | 13.0 | — | ||||
Other, net | (5.0 | ) | (2.3 | ) | ||
Changes in operating assets and liabilities, net of acquisition | (49.0 | ) | (45.5 | ) | ||
Net cash from operating activities | 33.3 | 33.0 | ||||
Cash flows from investing activities: | ||||||
Capital expenditures | (17.9 | ) | (14.7 | ) | ||
Acquisition of company, net of cash received | — | (37.2 | ) | |||
Investment in equity securities | (5.0 | ) | — | |||
(Loan to) proceeds from repayment of loan to equity affiliate | (2.9 | ) | 0.6 | |||
Other investing activities | (0.8 | ) | — | |||
Net cash used in investing activities | (26.6 | ) | (51.3 | ) | ||
Cash flows from financing activities: | ||||||
Net change in short-term borrowings | (1.9 | ) | 23.9 | |||
Dividend payments | (8.8 | ) | (8.7 | ) | ||
Payments of tax withholding for stock awards | (6.3 | ) | (1.7 | ) | ||
Other financing activities | — | (0.1 | ) | |||
Net cash (used in) from financing activities | (17.0 | ) | 13.4 | |||
Effect of exchange rates on cash, cash equivalents and restricted cash | (0.7 | ) | (2.3 | ) | ||
Net change in cash, cash equivalents and restricted cash | (11.0 | ) | (7.2 | ) | ||
Cash, cash equivalents and restricted cash at beginning of period | 36.9 | 34.3 | ||||
Cash, cash equivalents and restricted cash at end of period | $ | 25.9 | $ | 27.1 |
KELLY SERVICES, INC. AND SUBSIDIARIES | |||||||||||||
REVENUE FROM SERVICES | |||||||||||||
(UNAUDITED) | |||||||||||||
(In millions of dollars) | |||||||||||||
Third Quarter (Americas, International and GTS) | |||||||||||||
% | CC % | ||||||||||||
2018 | 2017 | Change | Change | ||||||||||
Americas | |||||||||||||
United States | $ | 942.5 | $ | 941.1 | 0.1 | % | 0.1 | % | |||||
Canada | 37.0 | 37.1 | (0.2 | ) | 4.0 | ||||||||
Mexico | 32.3 | 32.9 | (1.9 | ) | 4.3 | ||||||||
Puerto Rico | 28.2 | 15.9 | 77.0 | 77.0 | |||||||||
Brazil | 8.1 | 12.3 | (33.9 | ) | (20.8 | ) | |||||||
Total Americas | 1,048.1 | 1,039.3 | 0.8 | 1.3 | |||||||||
EMEA | |||||||||||||
France | 68.8 | 73.0 | (5.6 | ) | (4.7 | ) | |||||||
Switzerland | 53.8 | 59.1 | (9.0 | ) | (7.0 | ) | |||||||
Portugal | 48.2 | 46.0 | 4.5 | 5.5 | |||||||||
United Kingdom | 28.1 | 23.3 | 20.4 | 20.9 | |||||||||
Russia | 24.0 | 22.5 | 7.0 | 19.3 | |||||||||
Italy | 18.3 | 15.9 | 15.3 | 16.5 | |||||||||
Germany | 13.8 | 15.5 | (10.3 | ) | (9.4 | ) | |||||||
Ireland | 11.3 | 8.3 | 36.7 | 38.2 | |||||||||
Norway | 8.8 | 8.9 | (1.7 | ) | 1.8 | ||||||||
Other | 13.0 | 12.1 | 7.0 | 9.3 | |||||||||
Total EMEA | 288.1 | 284.6 | 1.3 | 3.5 | |||||||||
Total APAC | 6.2 | 4.9 | 28.9 | 37.5 | |||||||||
Total Kelly Services, Inc. | $ | 1,342.4 | $ | 1,328.8 | 1.0 | % | 1.9 | % | |||||
KELLY SERVICES, INC. AND SUBSIDIARIES | |||||||||||||
REVENUE FROM SERVICES | |||||||||||||
(UNAUDITED) | |||||||||||||
(In millions of dollars) | |||||||||||||
September Year to Date (Americas, International and GTS) | |||||||||||||
% | CC % | ||||||||||||
2018 | 2017 | Change | Change | ||||||||||
Americas | |||||||||||||
United States | $ | 2,898.4 | $ | 2,866.8 | 1.1 | % | 1.1 | % | |||||
Canada | 107.6 | 105.8 | 1.7 | 0.3 | |||||||||
Mexico | 92.7 | 85.0 | 9.1 | 10.5 | |||||||||
Puerto Rico | 74.2 | 51.2 | 45.0 | 45.0 | |||||||||
Brazil | 26.6 | 38.3 | (30.6 | ) | (23.9 | ) | |||||||
Total Americas | 3,199.5 | 3,147.1 | 1.7 | 1.7 | |||||||||
EMEA | |||||||||||||
France | 212.7 | 202.1 | 5.3 | (1.8 | ) | ||||||||
Switzerland | 156.3 | 161.3 | (3.1 | ) | (4.0 | ) | |||||||
Portugal | 150.5 | 124.0 | 21.3 | 13.1 | |||||||||
United Kingdom | 85.6 | 64.3 | 33.1 | 25.7 | |||||||||
Russia | 75.7 | 69.3 | 9.3 | 15.4 | |||||||||
Italy | 58.1 | 45.3 | 28.4 | 19.8 | |||||||||
Germany | 45.0 | 43.3 | 4.0 | (3.3 | ) | ||||||||
Ireland | 34.3 | 23.4 | 46.4 | 36.8 | |||||||||
Norway | 26.4 | 24.9 | 5.8 | 2.6 | |||||||||
Other | 38.2 | 33.5 | 13.9 | 7.2 | |||||||||
Total EMEA | 882.8 | 791.4 | 11.6 | 6.6 | |||||||||
Total APAC | 16.9 | 13.6 | 24.5 | 25.6 | |||||||||
Total Kelly Services, Inc. | $ | 4,099.2 | $ | 3,952.1 | 3.7 | % | 2.8 | % | |||||
KELLY SERVICES, INC. AND SUBSIDIARIES | ||||||||||||||||
RECONCILIATION OF NON-GAAP MEASURES | ||||||||||||||||
(UNAUDITED) | ||||||||||||||||
(In millions of dollars except per share data) | ||||||||||||||||
Third Quarter | September Year to Date | |||||||||||||||
2018 | 2017 | 2018 | 2017 | |||||||||||||
Earnings from operations | $ | 21.9 | $ | 18.2 | $ | 54.3 | $ | 54.9 | ||||||||
Restructuring charges (Note 1) | — | — | — | 2.4 | ||||||||||||
Adjusted earnings from operations | $ | 21.9 | $ | 18.2 | $ | 54.3 | $ | 57.3 | ||||||||
Third Quarter | September Year to Date | |||||||||||||||
2018 | 2017 | 2018 | 2017 | |||||||||||||
Income tax expense (benefit) | $ | 5.9 | $ | (4.1 | ) | $ | (3.3 | ) | $ | 0.1 | ||||||
Tax (expense) benefit on investment in Persol Holdings (Note 2) | (4.9 | ) | — | 4.0 | — | |||||||||||
Tax expense on restructuring charges (Note 1) | — | — | — | 0.7 | ||||||||||||
Adjusted income tax expense (benefit) | $ | 1.0 | $ | (4.1 | ) | $ | 0.7 | $ | 0.8 | |||||||
Third Quarter | September Year to Date | |||||||||||||||
2018 | 2017 | 2018 | 2017 | |||||||||||||
Net earnings | $ | 33.1 | $ | 23.0 | $ | 46.8 | $ | 53.9 | ||||||||
(Gain) loss on investment in Persol Holdings, net of taxes (Note 2) | (10.9 | ) | — | 9.0 | — | |||||||||||
Restructuring charges, net of taxes (Note 1) | — | — | — | 1.7 | ||||||||||||
Adjusted net earnings | $ | 22.2 | $ | 23.0 | $ | 55.8 | $ | 55.6 | ||||||||
Third Quarter | September Year to Date | |||||||||||||||
2018 | 2017 | 2018 | 2017 | |||||||||||||
Per Share | Per Share | |||||||||||||||
Net earnings | $ | 0.84 | $ | 0.58 | $ | 1.19 | $ | 1.37 | ||||||||
(Gain) loss on investment in Persol Holdings, net of taxes (Note 2) | (0.28 | ) | — | 0.23 | — | |||||||||||
Restructuring charges, net of taxes (Note 1) | — | — | — | 0.04 | ||||||||||||
Adjusted net earnings | $ | 0.56 | $ | 0.58 | $ | 1.42 | $ | 1.41 |
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