Revenue Performance - Revenue for Q3 2024 was $353.3 million, a decrease of 0.8% sequentially and 5.3% year over year[2] - Total revenue for Q3 2024 was $353.3 million, a decrease of 5.3% from Q3 2023's $373.1 million[9] - Flex revenue decreased to $345.8 million in Q3 2024, down 5.0% year-over-year from $364.2 million[9] - Technology Flex revenue decreased 0.6% sequentially and 3.6% year over year[2] - Direct hire revenue fell to $7.5 million in Q3 2024, a decline of 16.5% compared to $9.0 million in Q3 2023[9] - Total placements decreased to 342 in Q3 2024, down from 431 in Q3 2023, representing a decline of 20.7%[9] Profitability Metrics - Diluted earnings per share for Q3 2024 were $0.75, an increase of 38.9% year over year[2] - Gross profit margins for Q3 2024 were 27.9%, an increase of 10 basis points sequentially and 20 basis points year over year[2] - Gross profit margin (GP %) improved to 27.9% in Q3 2024 from 27.7% in Q3 2023[9] - Adjusted EBITDA decreased to $23,808,000 from $24,753,000 in the previous quarter and down from $29,039,000 year-over-year[18] - Net income for the three months ended September 30, 2024, was $14,209,000, a slight increase from $14,157,000 in the previous quarter and a significant rise from $10,575,000 year-over-year[18] Expenses and Cash Flow - SG&A expenses as a percentage of revenue for Q3 2024 were 22.2%, increasing 40 basis points sequentially[2] - Free cash flow for the nine months ended September 30, 2024, was $56.6 million, down from $63.0 million in the same period of 2023[14] - Interest expense, net, was $429,000, down from $504,000 in the previous quarter and up from $181,000 year-over-year[18] - Income tax expense for the quarter was $4,078,000, a decrease from $5,039,000 in the previous quarter and $5,277,000 year-over-year[18] Future Guidance - Guidance for Q4 2024 estimates revenue between $337 million and $345 million[3] - Expected earnings per share for Q4 2024 is projected to be between $0.56 and $0.64[3] Shareholder Returns - The company returned $17.1 million to shareholders through open market repurchases and dividends in Q3 2024[2] - The company plans to pay a cash dividend of $0.38 per share on December 20, 2024[2] Community Support - Kforce will donate $500,000 to aid recovery efforts in areas affected by recent hurricanes[1] Taxation - The effective tax rate for Q3 2024 was 33.3%, compared to 27.8% as adjusted[16] Organizational Changes - The company did not incur any organizational realignment activities or legal settlement expenses in the current quarter, contrasting with $3,662,000 and $2,175,000 respectively in the same quarter last year[18]

TAMPA, Fla., Oct. 04, 2024 (GLOBE NEWSWIRE) -- Kforce Inc. (NYSE: KFRC), a provider of professional staffing services and solutions, will release third quarter results post-market on Monday, October 28, 2024, followed by a conference call at 5:00 pm ET to discuss the results. The dial-in number is (800) 715-9871 and the conference passcode is "Kforce". A replay of the call will be available on our website at https://investor.kforce.com for one year after the call. About Kforce Inc. Kforce is a solutions fir ...

TAMPA, Fla., Sept. 04, 2024 (GLOBE NEWSWIRE) -- Kforce Inc. (NYSE: KFRC), a provider of professional staffing services and solutions, today announced that management will participate in the J.P. Morgan Ultimate Services Investor Conference (USIC) in New York on November 14, 2024. The investor presentation can be accessed at http://investor.kforce.com/ under "Events and Presentations". About Kforce Inc. Kforce is a solutions firm specializing in technology, finance and accounting, and professional staffing s ...

Exhibit 99.1 KFORCE REPORTS SECOND QUARTER 2024 REVENUE OF $356.3 MILLION AND EPS OF $0.75 TAMPA, FL, July 29, 2024 — Kforce Inc. (NYSE: KFRC), a solutions firm that specializes in technology and other professional staffing services, today announced results for the second quarter of 2024. Joseph J. Liberatore, President and Chief Executive Officer, said, "We are pleased with our second quarter performance, including the sequential growth in our Technology business. Operating trends over the first half of 20 ...

TAMPA, Fla., July 11, 2024 (GLOBE NEWSWIRE) -- Kforce Inc. (NYSE: KFRC), a provider of professional staffing services and solutions, today announced that management will participate in the 9th Annual Wells Fargo FinTech, Information & Business Services Forum at the Newport Harbor Island Resort in Rhode Island on August 21, 2024. The investor presentation can be accessed at http://investor.kforce.com/ under "Events and Presentations". (813) 552-2927 Kforce is a solutions firm specializing in technology, fina ...

Company Overview - Kforce Inc. is a solutions firm specializing in technology, finance and accounting, and professional staffing services [2] - The company has a 60-year history of deploying highly skilled professionals on a temporary and direct-hire basis [2] - Each year, over 20,000 experts work with a significant majority of the Fortune 500 [2] Upcoming Financial Results - Kforce Inc. is expected to release its second quarter results on July 29, 2024, after market close [1] - A conference call to discuss the results will take place at 5:00 pm ET on the same day [1] - The conference call can be accessed via a dial-in number and will be available for replay on the company's website for one year [1]

About Kforce Inc. Kforce is a solutions firm specializing in technology, finance and accounting, and professional staffing services. Our KNOWLEDGEforce® empowers industry-leading companies to achieve their digital transformation goals. We curate teams of technical experts who build solutions custom-tailored to each client's needs. These scalable, flexible outcomes are shaped by deep market knowledge, thought leadership and our multi-industry expertise. Our integrated approach is rooted in 60 years of proven ...

TAMPA, Fla., May 06, 2024 (GLOBE NEWSWIRE) -- Kforce Inc. (NASDAQ:KFRC) ("Kforce"), a solutions firm that specializes in technology and professional staffing services, announced today that it will transfer the listing and trading of its common stock to the New York Stock Exchange ("NYSE") from the Nasdaq Stock Market LLC ("Nasdaq"). Kforce's common stock is expected to begin trading on the NYSE on May 20, 2024, and will continue to be traded under its current ticker symbol "KFRC." Kforce's common stock is e ...

TAMPA, Fla., May 02, 2024 (GLOBE NEWSWIRE) -- Kforce Inc. (NASDAQ:KFRC), a solutions firm that specializes in technology and professional staffing services, today announced that management will participate at Baird's Global Consumer, Technology, and Services Conference on June 5, 2024, in New York City. A link to the webcast and presentation, which is currently scheduled for 4:20pm, can be accessed at www.kforce.com under "Events and Presentations." A replay of the webcast will be available for three months ...

PART I FINANCIAL INFORMATION [Item 1. Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) Kforce Inc.'s Q1 2024 unaudited condensed consolidated financial statements are presented, showing a year-over-year decline in key financial metrics | (in thousands) | 2024 | 2023 | | :--- | :--- | :--- | | **Revenue** | $351,889 | $405,997 | | **Gross profit** | $95,250 | $113,976 | | **Income from operations** | $15,727 | $23,403 | | **Net income** | $10,987 | $16,210 | | **Earnings per share – diluted** | $0.58 | $0.82 | | (in thousands) | March 31, 2024 | December 31, 2023 | | :--- | :--- | :--- | | **Total current assets** | $246,175 | $244,459 | | **Total assets** | $366,333 | $357,979 | | **Total current liabilities** | $106,104 | $102,975 | | **Total liabilities** | $201,828 | $198,899 | | **Total stockholders' equity** | $164,505 | $159,080 | | (in thousands) | 2024 | 2023 | | :--- | :--- | :--- | | **Cash provided by operating activities** | $13,169 | $19,056 | | **Cash (used in) provided by investing activities** | $(2,404) | $2,437 | | **Cash used in financing activities** | $(10,778) | $(21,443) | [Notes to Unaudited Condensed Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) Notes detail accounting policies, segment performance, revenue disaggregation, and credit facility compliance, highlighting the Technology segment's primary role - Quarterly operating results are affected by billing days, seasonality, and holiday/vacation schedules, with the first quarter typically experiencing higher costs due to U.S. employment tax resets, adversely affecting profitability[26](index=26&type=chunk) Segment Revenue | Segment Revenue (in thousands) | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Technology | $322,084 | $364,844 | | FA | $29,805 | $41,153 | | **Total** | **$351,889** | **$405,997** | Revenue by Type | Revenue by Type (in thousands) | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Flex revenue | $344,724 | $395,532 | | Direct Hire revenue | $7,165 | $10,465 | | **Total** | **$351,889** | **$405,997** | - As of March 31, 2024, the company had **$40.8 million** outstanding under its Amended and Restated Credit Facility and was in compliance with all financial covenants[37](index=37&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=12&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Q1 2024 financial results, attributing revenue decline to macroeconomic uncertainty, covering segment performance, margins, liquidity, and non-GAAP measures [Executive Summary & Business Overview](index=12&type=section&id=Executive%20Summary%20%26%20Business%20Overview) This summary highlights Q1 2024's revenue and net income declines, primarily due to macroeconomic uncertainty, despite capital returns to shareholders - Total revenue for Q1 2024 decreased **13.3%** year-over-year to **$351.9 million**, with Technology revenue down **11.7%** and FA revenue down **27.6%**[45](index=45&type=chunk) - Net income for Q1 2024 decreased **32.2%** year-over-year to **$11.0 million**, or **$0.58 per share**[45](index=45&type=chunk) - The company's results are being negatively impacted by ongoing macroeconomic uncertainty, including inflation, interest rate levels, and geopolitical concerns[47](index=47&type=chunk) [Results of Operations](index=13&type=section&id=Results%20of%20Operations) This section details Q1 2024 operating results, showing revenue decline across Flex and Direct Hire, with gross profit margin contraction and increased SG&A Revenue Change | Revenue Change (Q1 2024 vs Q1 2023) | % Change | | :--- | :--- | | Total Technology revenue | (11.7)% | | Total FA revenue | (27.6)% | | Total Flex revenue | (12.8)% | | Total Direct Hire revenue | (31.5)% | | **Total Revenue** | **(13.3)%** | - The total gross profit percentage decreased by **100 basis points** year-over-year to **27.1%**, mainly due to a decline in the mix of Direct Hire revenue and lower Technology Flex gross profit margins[56](index=56&type=chunk) - Technology Flex gross profit margins decreased **60 basis points** year-over-year due to a tighter pricing environment, with management expecting sequential increases in Q2 2024 due to lower seasonal payroll taxes[59](index=59&type=chunk) - SG&A expenses as a percentage of revenue increased **20 basis points** year-over-year to **22.2%**, reflecting SG&A deleverage as the company retains productive associates despite lower revenue levels[60](index=60&type=chunk) [Non-GAAP Financial Measures](index=17&type=section&id=Non-GAAP%20Financial%20Measures) The company presents non-GAAP measures like Free Cash Flow and Adjusted EBITDA, which both declined in Q1 2024, for insight into performance and core profitability Free Cash Flow | (in thousands) | 2024 | 2023 | | :--- | :--- | :--- | | Net cash provided by operating activities | $13,169 | $19,056 | | Capital expenditures | $(1,875) | $(1,872) | | **Free cash flow** | **$11,294** | **$17,184** | Adjusted EBITDA | (in thousands) | 2024 | 2023 | | :--- | :--- | :--- | | Net income | $10,987 | $16,210 | | **Adjusted EBITDA** | **$20,560** | **$28,729** | [Liquidity and Capital Resources](index=19&type=section&id=Liquidity%20and%20Capital%20Resources) Kforce's liquidity is supported by operating cash flows and its credit facility, continuing capital returns through dividends and increased stock repurchase authorization - As of March 31, 2024, Kforce had **$40.8 million** outstanding under its credit facility and borrowing availability of **$158.2 million**[70](index=70&type=chunk) - During Q1 2024, the company paid **$7.1 million** in dividends (**$0.38 per share**) and repurchased approximately **29 thousand shares** for **$2.0 million**[74](index=74&type=chunk)[77](index=77&type=chunk) - In February 2024, the Board of Directors increased the stock repurchase authorization to a total of **$100.0 million**, with **$98.0 million** remaining available as of March 31, 2024[77](index=77&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=20&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) No material changes occurred in the company's quantitative and qualitative disclosures about market risk since the 2023 Annual Report on Form 10-K - There have been no material changes to the information regarding market risk previously disclosed in the company's 2023 Annual Report on Form 10-K[81](index=81&type=chunk) [Item 4. Controls and Procedures](index=20&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded disclosure controls and procedures were effective as of March 31, 2024, with no material changes to internal control over financial reporting - Based on an evaluation as of March 31, 2024, the CEO and CFO concluded that the company's disclosure controls and procedures were effective[82](index=82&type=chunk) - No changes occurred in the company's internal control over financial reporting during the first quarter of 2024 that are likely to materially affect it[83](index=83&type=chunk) PART II OTHER INFORMATION [Item 1. Legal Proceedings](index=21&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in ordinary course legal proceedings, which are not expected to materially affect its consolidated financial statements - Kforce is involved in legal proceedings arising in the ordinary course of business, which are not expected to have a material effect on its financial statements[88](index=88&type=chunk) [Item 1A. Risk Factors](index=21&type=section&id=Item%201A.%20Risk%20Factors) No material changes occurred in the company's risk factors from those previously disclosed in the 2023 Annual Report on Form 10-K - There have been no material changes in the risk factors previously disclosed in the 2023 Annual Report on Form 10-K[89](index=89&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=21&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This section details Q1 2024 common stock repurchases and the Board's increased stock repurchase authorization, with $98.0 million remaining Stock Repurchases | Period (2024) | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | January | — | $— | | February | 1,854 | $69.18 | | March | 28,640 | $69.84 | | **Total** | **30,494** | **$69.80** | - In February 2024, the Board of Directors increased the stock repurchase authorization to **$100.0 million**; as of March 31, 2024, approximately **$98.0 million** remained available under the plan[91](index=91&type=chunk)[90](index=90&type=chunk) [Other Items (3, 4, 5)](index=21&type=section&id=Other%20Items%20(3,%204,%205)) This section confirms no defaults on senior securities, no mine safety disclosures, and no new or terminated insider trading arrangements during the quarter - The company reported no defaults upon senior securities, no mine safety disclosures, and no new or terminated Rule 10b5-1 trading plans by officers or directors during the quarter[92](index=92&type=chunk)[93](index=93&type=chunk)[94](index=94&type=chunk) [Item 6. Exhibits](index=22&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the Form 10-Q, including corporate governance documents and required CEO and CFO certifications - The report includes a list of filed exhibits, notably the CEO and CFO certifications pursuant to Sections 302 and 906 of the Sarbanes-Oxley Act[95](index=95&type=chunk)