Financial Performance - Q2 2024 revenues were $68.1 million, a slight decrease of 1.0% from Q1 2024's $68.8 million[3] - Adjusted EBITDA for Q2 2024 was $2.6 million, representing 3.8% of revenues, down from 4.0% in Q1 2024[3] - Net loss for Q2 2024 was $0.8 million, or $0.07 per diluted share, consistent with Q1 2024[3] - Revenues for the thirteen weeks ended June 30, 2024, were $68,137, a decrease of 15.0% compared to $80,800 for the same period in 2023[12] - Gross profit for the twenty-six weeks ended June 30, 2024, was $47,068, down 16.4% from $56,358 in 2023[12] - Operating income for the thirteen weeks ended June 30, 2024, was $81, compared to $5,050 in the same period of 2023, indicating a significant decline[12] - Net loss for the twenty-six weeks ended June 30, 2024, was $(1,553), an improvement from a net loss of $(13,862) in 2023[12] - Adjusted EBITDA for the thirteen weeks ended June 30, 2024, was $2.6 million, with an adjusted EBITDA margin of 3.8%[18] - Net loss income per diluted share for the thirteen weeks ended June 30, 2024, was $(0.07), compared to $0.24 for the same period in the previous year[19] - The company reported an operating income of $81,000 for the thirteen weeks ended June 30, 2024, compared to $5.05 million for the same period last year[18] - Total interest expense, net, was $1.06 million for the thirteen weeks ended June 30, 2024, down from $1.5 million in the prior year[18] - Adjusted EPS for the thirteen weeks ended June 30, 2024, was $0.07, down from $0.37 in the same period last year[19] - The company reported a net loss income of $(1.55) million for the twenty-six weeks ended June 30, 2024, compared to $(13.86) million for the same period last year[18] Segment Performance - Property Management segment revenues increased by 4.8% from Q1 2024, while Professional segment revenues declined by 4.1%[3] - Property Management segment revenue for the thirteen weeks ended June 30, 2024, was $25,726, representing 38% of total revenue[13] - Professional segment revenue for the same period was $42,411, accounting for 62% of total revenue[13] Strategic Initiatives - The company anticipates a strong revenue ramp-up in the Professional division starting in Q3 2024[6] - New contract wins in Q2 2024 outpaced contract ends by approximately 25%[5] - The company has been recognized in Staffing Industry Analysts' 2024 U.S. rankings, placing in the top 50 for U.S. IT staffing firms[7] - The company reduced headcount and lowered fixed costs in the first half of 2024 to align with revenues and strategic growth plans[4] - The company is evaluating strategic alternatives to maximize shareholder value, with no updates available at this time[6] - The company is reviewing strategic alternatives, incurring $280,000 in related costs for the thirteen weeks ended June 30, 2024[18] Cash Flow and Assets - Total assets as of June 30, 2024, were $159.8 million, down from $178.5 million a year earlier[11] - The company reported cash flows from operating activities of $14,717 for the twenty-six weeks ended June 30, 2024, compared to $12,549 in 2023[14] - The company had capital expenditures of $(995) for the twenty-six weeks ended June 30, 2024, down from $(1,490) in 2023[14] - Cash and cash equivalents at the end of the period were $226, indicating a stable liquidity position[14] Impairment and Costs - The company incurred impairment losses of $22.5 million for the thirteen weeks ended July 2, 2023[18] - Share-based compensation increased to $236,000 for the thirteen weeks ended June 30, 2024, compared to $75,000 for the same period last year[18] - Transaction fees for the thirteen weeks ended June 30, 2024, were $25,000, significantly lower than $435,000 in the prior year[18]

Financial Performance - Total revenues for the thirteen weeks ended June 30, 2024, were $68.1 million, a decrease of approximately $12.7 million (15.7%) compared to $80.8 million for the same period in 2023[85]. - Property Management segment revenues decreased by approximately $5.4 million (17.2%) to $25.7 million, primarily due to reduced billed hours and increased competition[87]. - Professional segment revenues decreased by $7.3 million (14.7%) to $42.4 million, with a decline of $8.9 million (19.6%) in the remaining Professional business[88]. - Gross profit decreased by approximately $5.9 million (20.1%) to $23.6 million, with a gross profit margin declining to 34.7% from 36.6%[90]. - Adjusted EBITDA for the thirteen weeks ended June 30, 2024, was $2.6 million, representing a margin of 3.4% of revenue, compared to $7.5 million (9.3% margin) for the same period last year[105]. - Net loss for the thirteen weeks ended June 30, 2024, was $761,000, compared to net income of $2.6 million for the same period in 2023[85]. Cost Management - Selling, general and administrative expenses decreased by $1.0 million (4.5%) to $21.6 million, reflecting cost control efforts[92]. - Selling, general and administrative expenses decreased $3.2 million (7.0%) due to expense reduction and cost control efforts[99]. - Interest expense decreased by $0.4 million (29.4%) primarily due to reduced accretion on contingent consideration[93]. - Interest expense decreased $0.4 million (15.0%) primarily due to reduced accretion on contingent consideration associated with Arroyo Consulting[100]. Strategic Initiatives - The company announced a strategic alternatives review on May 8, 2024, to maximize shareholder value[82]. - The company reduced its Revolving Facility by $10.8 million in Fiscal 2024, while paying down $0.9 million on the Term Loan[111]. - The Amended and Restated Credit Agreement allows for a revolving credit facility of up to $40 million and a delayed draw term loan commitment of $4.3 million[113]. - The company has a maximum Leverage Ratio and a minimum Fixed Charge Coverage Ratio as per the Restated Agreement[113]. Cash Flow and Working Capital - Net cash provided by operating activities was $14.7 million, an increase of $2.2 million compared to $12.5 million for Fiscal 2023[109]. - Working capital increased to $26.7 million as of June 30, 2024, compared to a negative $18.1 million at the end of December 31, 2023[108]. Market Conditions - The current inflationary environment is negatively impacting the economy, potentially affecting labor demand and increasing borrowing costs[117]. Revenue Recognition and Accounting Policies - Revenue is recognized when workforce solutions are delivered, with services including workforce solutions, contingent placements, and managed services[118]. - Intangible assets with finite useful lives are amortized over three to ten years, while those with indefinite lives are not amortized[119]. - Goodwill is reviewed for impairment annually or when circumstances indicate potential recoverability issues[120]. - The company is exposed to interest rate and inflation risks, with variable interest rates on its Revolving Facility and Term Loan[123].

Finding underpriced stocks to buy is one of the most common mantras in stock trading. While buying low and selling high is simple, it does not indicate which stocks are underpriced. Traders are constantly seeking out underpriced stocks to buy that have the potential to increase once investors recognize their true worth. With markets trading near record highs, it can be more challenging to identify stocks with strong upside potential yet underpriced. One popular method for finding underpriced stocks to buy i ...

BGSF Inc. (NYSE:BGSF) Q1 2024 Results Conference Call May 9, 2024 9:00 AM ET Company Participants Sandy Martin - Managing Director Beth Garvey - Chair, President and Chief Executive Officer John Barnett - Chief Financial Officer Conference Call Participants Jeff Martin - ROTH Capital Howard Halpern - Taglich Brothers Bill Dezellem - Tieton Capital Mike Taglich - Taglich Brothers George Melas - MKH Management Operator Good morning, and welcome to the BGSF Inc. Fiscal 2024 First Quarter Financial Results Conf ...

As a result of the economic uncertainty, we may need to make necessary changes to accounting policy judgments and estimates over time, which could result in meaningful impacts to our financial statements in future periods. Actual results and outcomes may differ from our estimates and assumptions. We derive our revenues from operations in our Property Management and Professional segments. We provide workforce solutions, placement services, and managed services. Revenues are recognized when promised workforce ...

BGSF, Inc. Reports First Quarter 2024 Financial Results Generated $7.4 Million of Operating Cash Flow • Revenues were $68.8 million for 2024, compared to $75.3 million for 2023. Beth A. Garvey, Chair, President, and CEO, said, "Our first quarter results aligned with expectations, and we are encouraged by recent activity in higher-end consulting. The Professional division has experienced meaningful progress each month this year with IT consulting and other IT-related tool deployments, and we are benefiting f ...

Upon dissolution of our company, you may not recoup all or any portion of your investment. • a classified board of directors with three-year staggered terms; • the ability of our board of directors to issue shares of preferred stock and to determine the price and other terms, including preferences and voting rights, of those shares without stockholder approval; • stockholder action can only be taken at a special or regular meeting and not by written consent except in limited circumstances; • advance notice ...

PLANO, Texas--(BUSINESS WIRE)--BGSF, Inc. (NYSE: BGSF), a growing provider of consulting, managed services, and professional solutions, today announced that Beth Garvey, Chair, President, and Chief Executive Officer, and John Barnett, Chief Financial Officer, will participate in the 36th Annual Roth Conference on March 18-19, 2024, in Laguna Niguel, CA. Investors interested in arranging a one-on-one meeting should contact your conference representative or the Company’s investor relations contacts below. Ab ...

BGSF, Inc. (NYSE:BGSF) Q4 2023 Earnings Conference Call March 14, 2024 9:00 AM ET Company Participants Sandra Martin - IR, Three Part Advisors Beth Garvey - Chair, President, & CEO John Barnett - CFO Conference Call Participants Jeff Martin - Roth MKM Howard Halpern - Taglich Brothers Bill Donohue - Teton Capital Brian Kinstlinger - Alliance Global Partners Michael Taglich - Taglich Brothers Operator Good morning, everyone. Welcome to the BGSF Inc. Fiscal 2023 Fourth Quarter and Full Year Financial Results ...

PLANO, Texas--(BUSINESS WIRE)--BGSF, Inc. (NYSE: BGSF), a growing provider of consulting, managed services, and professional workforce solutions, today reported financial results for its fiscal year and fourth fiscal quarter ended December 31, 2023. Note: Fiscal 2023 financial results are on a 52-week year ended December 31, 2023, compared to Fiscal 2022 financial results on a 53-week year ended January 1, 2023. Full Year 2023 Highlights from Continuing Operations2,3: Revenues were $313.2 million, up 4. ...