Financial Data and Key Metrics Changes - Adjusted earnings per share (EPS) for Q1 2024 was $0.56, a 33% increase from $0.42 in Q1 2023 [1] - Reported earnings per share for Q1 2024 was $0.70 compared to $0.29 in 2023, including a $0.14 gain from the sale of European staffing operations [28] - Adjusted EBITDA margin improved to 3.2% in Q1 2024, up 110 basis points from the previous year [52] Business Line Data and Key Metrics Changes - Revenue in the Professional & Industrial segment declined 11% year-over-year in Q1 2024 [48] - Permanent placement fees decreased by 23% due to lower demand [23] - Revenue from the Education segment grew by 16% year-over-year, reflecting strong demand [112] Market Data and Key Metrics Changes - Overall revenue for Q1 2024 was $1.05 billion, down 17.6% from $1.27 billion in 2023, primarily due to the sale of the European staffing business [47] - On an organic basis, revenue declined by 2.6% in Q1 2024, indicating ongoing staffing market headwinds [47] - The gross profit rate was 19.7% in Q1 2024, a slight decline from 20% in the prior year [15] Company Strategy and Development Direction - The acquisition of Motion Recruitment Partners (MRP) for $425 million aims to enhance Kelly's scale and capabilities in technology, telecommunications, and government specialties [10][18] - The company is focused on transforming its business to improve efficiency and profitability, with a commitment to redeploy capital into higher-margin, higher-growth specialties [12][20] - Kelly aims to leverage its strong balance sheet to pursue additional inorganic growth opportunities while managing liquidity [30][91] Management's Comments on Operating Environment and Future Outlook - Management noted that the macroeconomic environment remains challenging, with no significant changes expected in the near term [77][96] - There is optimism regarding the potential recovery in the staffing market, with expectations for improved efficiency and growth when conditions stabilize [32][90] - The company anticipates a consistent revenue trend for Q2 2024, with organic growth projected to be between 1% to 2% [55] Other Important Information - SG&A expenses decreased by 22% year-over-year on a reported basis, reflecting the impact of restructuring and transformation efforts [105] - The company reported cash of $201 million at the end of the quarter, with no debt outstanding, indicating strong financial health [29] Q&A Session Summary Question: Can you provide details on the acquisition and its revenue contribution? - Management indicated that MRP's revenue exceeds $500 million, which is expected to significantly impact Kelly's growth and value profile [37] Question: What are the expectations for organic growth in the second quarter? - Management attributed the expected organic growth to the traction gained from transformation-related initiatives [68] Question: How is the talent supply environment affecting operations? - Management noted that the labor force participation rate and other key labor factors remain flat, with no significant changes anticipated in Q2 [77] Question: What is the outlook for the gross margin? - Management expects a gross margin improvement to around 20.2% in Q2, driven by a favorable mix in the business [95] Question: Are there plans for further acquisitions after MRP? - Management confirmed that while MRP is a significant acquisition, they remain open to pursuing additional high-quality assets as opportunities arise [98][99]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 No Change Commission File Number 0-1088 KELLY SERVICES, INC. --------------------------------------------------------------------- (Exact name of registrant as specified in its charter) (State or othe ...

Kelly Services (KELYA) came out with quarterly earnings of $0.56 per share, beating the Zacks Consensus Estimate of $0.46 per share. This compares to earnings of $0.40 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 21.74%. A quarter ago, it was expected that this staffing company would post earnings of $0.55 per share when it actually produced earnings of $0.93, delivering a surprise of 69.09%.Over the last four quarters, the ...

Kelly also reported that on May 7, its board of directors declared a dividend of $0.075 per share. The dividend is payable on June 4, 2024, to stockholders of record as of the close of business on May 20, 2024. Exhibit 99.1 Kelly Reports First-Quarter 2024 Earnings TROY, Mich. (May 9, 2024) – Kelly (Nasdaq: KELYA, KELYB), a leading specialty talent solutions provider, today announced results for the first quarter of 2024. Peter Quigley, president and chief executive officer, announced revenue for the first ...

Q1 operating earnings of $26.8 million, or up 34% on an adjusted basis Q1 revenue down following sale of European staffing operations; down 2.6% on an organic basis Q1 adjusted EBITDA margin increased 110 basis points to 3.2% driven by meaningful reduction in operating expenses resulting from business transformation initiatives and sale of European staffing operations Company expects further expansion of EBITDA margin from the planned Q2 2024 acquisition of Motion Recruitment Partners, LLC ("MRP") and ongoi ...

TROY, Mich., May 08, 2024 (GLOBE NEWSWIRE) -- Kelly (NASDAQ:KELYA, KELYB))), a leading global specialty talent solutions provider, today announced it will participate in the 18th Annual Barrington Research Virtual Spring Investment Conference on Thursday, May 16, 2024. Peter Quigley, president and chief executive officer, Olivier Thirot, executive vice president and chief financial officer, Hugo Malan, president of Kelly Science, Engineering, Technology & Telecom, and Scott Thomas, investor relations, will ...

Transformational acquisition strengthens scale and capabilities of Kelly's staffing and consulting solutions across technology, telecommunications, and government specialties in North America, and recruitment process outsourcing (RPO) solutions globallyProvides Motion Recruitment Partners and its leading brands with a highly invested partner to enable continued growth Demonstrates Kelly's commitment to rapidly redeploying capital and leveraging its strong balance sheet in pursuit of inorganic investments in ...

KellyOCG clients can now access and manage global independent talent pools on Upwork through Helix UX TROY, Mich., April 30, 2024 (GLOBE NEWSWIRE) -- KellyOCG, the outsourcing and consulting group of Kelly (NASDAQ:KELYA, KELYB))), and Upwork (NASDAQ:UPWK), the world's largest work marketplace that connects businesses with independent talent across the globe, have formed a strategic partnership that enables KellyOCG clients to source, hire, and collaborate with skilled independent professionals on Upwork thr ...

TROY, Mich., April 24, 2024 (GLOBE NEWSWIRE) -- Kelly, a leading global specialty talent solutions provider, will release its first-quarter earnings before the market opens on Thursday, May 9, 2024. In conjunction with its first-quarter earnings release, Kelly will publish a financial presentation on the Investor Relations page of its public website and will host a conference call at 9 a.m. ET. The call may be accessed in one of the following ways: Via Internet:kellyservices.com Via the Telephone (877) 692- ...

TROY, Mich., April 23, 2024 (GLOBE NEWSWIRE) -- KellyOCG, the outsourcing and consulting group of Kelly (NASDAQ:KELYA, KELYB))), has earned recognition as a Partner-level supplier for 2023 in the John Deere Achieving Excellence Program. The Partner-level status is Deere & Company's highest supplier rating. KellyOCG is a supplier of Managed Service Provider (MSP) and Recruitment Process Outsourcing (RPO) solutions to John Deere's operation in the U.S. and Canada. It was selected for the honor in recognition ...