Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ______________________________________________ FORM 10-K ______________________________________________ (Mark One) ☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2025 ______________________________________________ OR ☐ TRANSITION PERIOD PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM TO C ...

Core Viewpoint - DHI Group has been upgraded to a Zacks Rank 1 (Strong Buy) due to an upward trend in earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Price Movement - The Zacks rating system emphasizes the importance of changing earnings estimates, which are closely correlated with near-term stock price movements [4][6]. - An increase in earnings estimates typically leads to higher fair value calculations by institutional investors, resulting in buying or selling actions that affect stock prices [4]. Company Performance and Outlook - The upgrade for DHI Group indicates a positive outlook on its earnings, suggesting potential buying pressure and an increase in stock price [3][5]. - DHI Group is expected to earn $0.27 per share for the fiscal year ending December 2026, with a 29.6% increase in the Zacks Consensus Estimate over the past three months [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [7]. - DHI Group's upgrade places it in the top 5% of Zacks-covered stocks, indicating strong potential for market-beating returns in the near term [10].

Core Insights - DHI Group emphasizes its proprietary skills taxonomy, categorizing over 100,000 tech skills, including 360 distinct skills related to AI, which sets it apart from title-centric platforms [1] - The company has over 9 million tech professionals profiled, representing more than two-thirds of skilled technologists in the U.S., attributed to its long-standing history with Dice and ClearanceJobs [2] Company Overview - DHI Group operates two tech-oriented recruiting platforms, ClearanceJobs and Dice, which serve as two-sided marketplaces for recruiters and candidates [3] - The company reported $128 million in revenue for 2025, with a 27% adjusted EBITDA margin and $21 million in operating cash flow [7][12] Financial Performance - ClearanceJobs generated approximately $55 million in revenue with over 40% adjusted EBITDA margin, while Dice reported $73 million but faced declines in bookings and revenue [5][18] - DHI's overall revenue is over 90% recurring, driven by annual subscription contracts, with a target of 25% adjusted EBITDA margin for 2026 [14][13] Product Initiatives - Recent product initiatives include a new self-service monthly offering for Dice and a premium candidate experience on ClearanceJobs [6][8] - DHI acquired Agile ATS, a government-focused applicant tracking system, which has seen significant growth since the acquisition [9] Market Conditions - The company noted a multi-year "hiring recession," particularly affecting tech staffing, which constitutes about 80% of Dice's revenue [11][19] - Management believes that the demand environment is normalizing, with expectations for growth driven by large addressable markets and increased defense spending [20] Capital Allocation - DHI repurchased $11.4 million in shares in 2025 and announced a new $10 million buyback program for 2026 [15][16] - The company ended 2025 with net debt of approximately $27 million, maintaining a leverage ratio of less than 1x [15]

DHI Group (NYSE: DHX) Conference Summary Company Overview - DHI Group operates two tech-oriented recruiting platforms: ClearanceJobs and Dice, which connect employers with tech talent in the U.S. [4][5] - The company is headquartered in Denver, Colorado, and is listed on the New York Stock Exchange under the symbol DHX [4]. Financial Performance - In 2025, DHI Group reported $128 million in revenue and $126 million in bookings, with a five-year CAGR of 2% for revenue and a decline of 1% for bookings [7]. - Adjusted EBITDA was $35 million, resulting in a 27% Adjusted EBITDA margin [7]. - The company generated $21 million in operating cash flow and $14 million in free cash flow [7]. - Over 90% of revenue is recurring, with a significant portion coming from subscription contracts [6][20]. Market Dynamics - The tech staffing sector, which constitutes over 80% of Dice's revenue, is beginning to recover after a hiring recession [7][32]. - The U.S. tech workforce has grown by approximately 3% annually over the past 30 years, with a forecasted growth of at least 15% over the next decade [9][14]. - The average salary for tech professionals in the U.S. is around $111,000, significantly higher than the average worker's salary of $50,000 [11]. Competitive Advantages - DHI Group differentiates itself through specialized search algorithms that focus on tech skills rather than job titles [5]. - The company has a unique skills taxonomy that categorizes over 100,000 tech skills, which is patented and central to its value proposition [16]. - ClearanceJobs is the leading platform for accessing technology professionals with government clearances, a niche not served by competitors like LinkedIn [10]. Recent Developments - DHI Group has introduced a self-service option for managing Dice subscriptions and is testing a premium candidate experience for ClearanceJobs [6]. - The company acquired Agile ATS, an applicant tracking system optimized for government hiring, which has seen revenue growth since its integration [6][35]. - A share buyback program was reinstated, with $11.4 million worth of shares repurchased in 2025 [8]. Future Outlook - The U.S. defense budget is expected to increase significantly, providing opportunities for ClearanceJobs to expand its services to existing contractors [13][36]. - DHI Group aims to achieve a 25% Adjusted EBITDA margin for 2026 and is targeting growth in a normalized demand environment [23][30]. - The company plans to continue exploring tuck-in acquisitions to enhance its service offerings [36]. Challenges - The HR tech space has faced challenging market conditions, with bookings and revenue declining year-over-year [23][30]. - Dice's bookings have a five-year CAGR of -7%, with recent quarters showing a decline in revenue [29]. Key Metrics - ClearanceJobs revenue in 2025 was $55 million, with a five-year CAGR of 12% [28]. - Dice revenue in 2025 was $73 million, with a five-year CAGR of -4% [28]. - ClearanceJobs has a 90% revenue renewal rate and a 109% retention rate [28]. Conclusion - DHI Group is positioned to capture growth in tech hiring, supported by a strong subscription model and a focus on specialized tech recruitment [31].

Core Insights - DHI Group Inc. stock experienced a significant increase of 29.52% in after-hours trading, reaching $2.15, following the announcement of its fourth-quarter earnings and a new share repurchase program [1]. Group 1: Stock Buyback Program - The company has authorized a $10 million stock repurchase program, effective from February 9, 2026, to February 8, 2027 [2]. - CFO Greg Schippers stated that this repurchase authorization reflects confidence in the company's strategic direction and cash flow durability [2]. Group 2: Q4 Financial Performance - DHI Group reported fourth-quarter revenue of $31.4 million, a decline of 10% year-over-year [3]. - Adjusted EBITDA increased by 2% to $9.4 million, with margins improving to 30% from 26% in the previous year [3]. - Revenue from ClearanceJobs was $13.9 million, up 1%, with EBITDA margins at 43%, while Dice revenue fell 17% to $17.4 million, but margins increased to 30% from 20% [3]. Group 3: Cash Flow and Future Guidance - The company's free cash flow for the fourth quarter reached $5.7 million, up from $1.6 million in the same period of 2024 [4]. - For fiscal 2026, DHI Group projects revenue between $118 million and $122 million, with adjusted EBITDA margins of 25% [5]. - ClearanceJobs is expected to generate revenue of $56 million to $58 million, while Dice is projected to bring in $62 million to $64 million [5]. Group 4: Trading Metrics and Market Position - DHI Group has a market capitalization of $78.28 million, with a 52-week high of $3.34 and a low of $1.21 [6]. - The stock has experienced a 12-month performance decline of 40.5%, indicating challenges faced over the past year [6]. - Currently, the stock is positioned at approximately 21.1% of its 52-week range, closer to the lower end [6].

Group 1 - The article does not provide any relevant content regarding the company or industry [1]

Group 1 - DHI Group reported quarterly earnings of $0.09 per share, exceeding the Zacks Consensus Estimate of $0.08 per share, and showing an increase from $0.07 per share a year ago, representing an earnings surprise of +20.00% [1] - The company achieved revenues of $31.38 million for the quarter ended December 2025, surpassing the Zacks Consensus Estimate by 4.50%, although this is a decline from year-ago revenues of $34.78 million [2] - DHI Group has outperformed the S&P 500, with shares increasing about 9% since the beginning of the year compared to the S&P 500's gain of 1.1% [3] Group 2 - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The trend of estimate revisions for DHI Group was mixed prior to the earnings release, resulting in a Zacks Rank 3 (Hold), indicating expected performance in line with the market [6] - Current consensus EPS estimate for the upcoming quarter is $0.05 on revenues of $29.47 million, and for the current fiscal year, it is $0.26 on revenues of $120.03 million [7] Group 3 - The Internet - Content industry, to which DHI Group belongs, is currently ranked in the top 22% of over 250 Zacks industries, suggesting a favorable outlook for stocks within this sector [8] - Another company in the same industry, Shutterstock, is expected to report quarterly earnings of $1.05 per share, reflecting a year-over-year change of +56.7%, with revenues projected at $252.62 million, up 0.9% from the previous year [9]

Financial Data and Key Metrics Changes - Total revenue for Q4 2025 was $32.4 million, down 10% year-over-year and roughly flat compared to Q3 2025 [14] - Total bookings for the quarter were $31.2 million, down 5% year-over-year [14] - Adjusted EBITDA for Q4 was $9.4 million, with a margin of 30%, compared to $9.2 million and a margin of 26% in the prior year [20] - Net income for Q4 was $1.3 million or $0.03 per diluted share, compared to $1 million or $0.02 per diluted share in the prior year [20] Business Line Data and Key Metrics Changes - ClearanceJobs revenue was $13.9 million, up 1% year-over-year, with bookings at $14.6 million, up 3% year-over-year [14][15] - Dice revenue was $17.4 million, down 17% year-over-year, with bookings at $16.6 million, down 11% year-over-year [14][16] - ClearanceJobs had a revenue renewal rate of 90% and a retention rate of 109% [15] - Dice's revenue renewal rate was 78% and its retention rate was 94% [16] Market Data and Key Metrics Changes - The U.S. defense budget for fiscal year 2026 is projected to increase significantly, which is expected to benefit ClearanceJobs [8] - The tech staffing market is showing signs of recovery, with projections indicating a return to growth in 2026 after declines in previous years [11][12] Company Strategy and Development Direction - The company aims to leverage the strong defense spending environment to drive growth in ClearanceJobs [12][13] - The introduction of the Dice Employer Experience platform is intended to expand the addressable market and improve operational efficiency [11] - The company is focused on delivering long-term, sustainable, and profitable revenue growth, targeting a full-year adjusted EBITDA margin of 25% [26] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, citing the record-breaking defense budget as a growth driver for ClearanceJobs [27] - The company anticipates that the commercial tech hiring environment will improve, benefiting Dice in the long term [12][27] Other Important Information - The company has authorized a new $10 million stock repurchase program [13] - Free cash flow for the full year was $13.8 million, compared to $7.1 million in the previous year [22] Q&A Session Summary Question: What are the assumptions around the bookings trajectory for ClearanceJobs? - Management indicated that improved sales execution and the new defense budget are expected to drive bookings growth in 2026 [31] Question: How is the growth of AI-related job postings affecting Dice? - Management noted that while demand for AI professionals is increasing, the overall commercial activity remains subdued [36] Question: What is causing the margin compression for Dice? - Management explained that the margin compression is primarily due to lower revenue and bookings challenges, despite efforts to reduce operating expenses [37] Question: Can you elaborate on the new Premium subscription package for ClearanceJobs? - Management described the Premium subscription as offering features similar to LinkedIn Premium, aimed at enhancing candidate engagement with recruiters [41][42] Question: What encouraging signs are you seeing in the macro environment? - Management highlighted the positive trends in defense spending and improvements in tech staffing demand as encouraging signs [50][51]

Financial Data and Key Metrics Changes - Total revenue for Q4 2025 was $32.4 million, down 10% year-over-year and roughly flat compared to Q3 2025 [14] - Total bookings for the quarter were $31.2 million, down 5% year-over-year [14] - Adjusted EBITDA for Q4 was $9.4 million, with a margin of 30%, compared to $9.2 million and a margin of 26% in the prior year [20] - Net income for Q4 was $1.3 million or $0.03 per diluted share, compared to $1 million or $0.02 per diluted share in the prior year [20] Business Line Data and Key Metrics Changes - ClearanceJobs revenue was $13.9 million, up 1% year-over-year, with bookings at $14.6 million, up 3% year-over-year [14][15] - Dice revenue was $17.4 million, down 17% year-over-year, with bookings at $16.6 million, down 11% year-over-year [14][16] - ClearanceJobs had a revenue renewal rate of 90% and a retention rate of 109% [15] - Dice's revenue renewal rate was 78% and its retention rate was 94% [16] Market Data and Key Metrics Changes - The U.S. defense budget for fiscal year 2026 is projected to increase significantly, which is expected to benefit ClearanceJobs [8] - The tech staffing market is showing signs of recovery, with projections indicating a return to growth in 2026 after declines in previous years [11][27] Company Strategy and Development Direction - The company aims to leverage the increased defense spending to drive growth in ClearanceJobs, which is expected to be the primary growth engine [12][13] - The introduction of the Dice Employer Experience platform is intended to expand the addressable market and improve operational efficiency [11] - The company is focused on delivering long-term, sustainable, and profitable revenue growth, targeting free cash flow generation averaging at or above 10% of revenues [26] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, citing the record-breaking defense budget as a growth driver for ClearanceJobs [27] - The company anticipates that the commercial tech hiring environment will stabilize, which could lead to growth in Dice [27] - Management noted that while the hiring environment has been challenging, there are signs of improvement in the tech staffing market [27] Other Important Information - The company has authorized a new $10 million stock repurchase program starting this month [13] - Total committed contract backlog at the end of the quarter was $99.6 million, down 5% year-over-year [23] Q&A Session Summary Question: What are the assumptions around the bookings trajectory for ClearanceJobs? - Management indicated that improved sales execution and the new defense budget are expected to positively impact bookings for ClearanceJobs in 2026 [31] Question: How is the growth of AI-related job postings affecting Dice? - Management noted that there is high demand for AI professionals, and they believe this will become more visible in 2026 [34] Question: What is causing the margin compression for Dice? - Management explained that the margin compression is primarily due to lower revenue and bookings challenges, although they plan to target lower operating expenses in 2026 [37] Question: Can you elaborate on the new Premium subscription package for ClearanceJobs? - Management described the Premium subscription as offering features similar to LinkedIn Premium, aimed at enhancing candidate engagement with recruiters [41][42] Question: What encouraging signs are being observed in the macro environment? - Management highlighted the positive trends in defense spending and improvements in tech staffing demand as encouraging signs for future growth [51]

Financial Data and Key Metrics Changes - Total revenue for Q4 2025 was $32.4 million, down 10% year-over-year and roughly flat compared to Q3 2025 [15] - Total bookings for the quarter were $31.2 million, down 5% year-over-year [15] - Adjusted EBITDA for Q4 was $9.4 million, with a margin of 30%, compared to $9.2 million and a margin of 26% in the prior year [20] - Net income for Q4 was $1.3 million or $0.03 per diluted share, compared to $1 million or $0.02 per diluted share in the prior year [20] Business Line Data and Key Metrics Changes - ClearanceJobs revenue was $13.9 million, up 1% year-over-year, with bookings of $14.6 million, up 3% year-over-year [16] - Dice revenue was $17.4 million, down 17% year-over-year, with bookings of $16.6 million, down 11% year-over-year [17] - ClearanceJobs had a revenue renewal rate of 90% and a retention rate of 109% [16] - Dice's revenue renewal rate was 78% and its retention rate was 94% [17] Market Data and Key Metrics Changes - The U.S. defense budget for fiscal year 2026 is projected to increase significantly, which is expected to benefit ClearanceJobs [8] - Tech staffing trends are showing improvement, with a projected decline of 2% in 2025 and anticipated growth in 2026 [11] - At the end of 2025, 55% of Dice job postings required AI-related skills, up from 28% a year earlier [12] Company Strategy and Development Direction - The company aims to leverage the strong defense spending environment to drive growth in ClearanceJobs [8][14] - The introduction of the Dice Employer Experience platform is expected to improve operating efficiency and expand the addressable market [11] - The company is focused on delivering long-term, sustainable, and profitable revenue growth, targeting an adjusted EBITDA margin of 25% for DHI [25] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, citing the record-breaking defense budget as a growth driver for ClearanceJobs [26] - The company anticipates that the commercial tech hiring environment will stabilize, leading to potential growth for Dice [26] - Management noted that while the hiring environment has been challenging, there are signs of recovery in the tech staffing market [26] Other Important Information - The company repurchased 2.9 million shares for $5.2 million in Q4 and has authorized a new $10 million stock repurchase program [23][24] - The total committed contract backlog at the end of the quarter was $99.6 million, down 5% year-over-year [23] Q&A Session Summary Question: What are the assumptions around the bookings trajectory for ClearanceJobs? - Management indicated that improved sales execution and the new defense budget are expected to drive bookings growth in 2026 [30] Question: How is the growth of AI-related job postings affecting Dice? - Management believes that demand for AI professionals is increasing, but the overall commercial activity remains subdued [34] Question: What is causing the margin compression for Dice? - Margin compression is primarily due to lower revenue, with ongoing investments in the platform expected to improve efficiency [36] Question: Can you elaborate on the new Premium subscription package for ClearanceJobs? - The Premium subscription offers features such as profile visibility to recruiters and job matching scores, with a promising initial take rate [40][41] Question: What encouraging signs are being observed in the macro environment? - Management noted the positive impact of the defense budget and improving trends in tech staffing demand as encouraging signs [49]