Kforce Inc. (NYSE:KFRC) Q2 2020 Earnings Conference Call August 10, 2020 5:00 PM ET Company Participants David Dunkel - Chairman and Chief Executive Officer Joe Liberatore - President Dave Kelly - Chief Financial Officer Conference Call Participants Josh Vogel - Sidoti & Company Tim Mulrooney - William Blair Mark Marcon - Baird Tobey Sommer - Truist Operator Ladies and gentlemen, thank you for standing by and welcome to the Second Quarter 2020 Kforce Inc. Earnings Conference Call. At this time, all particip ...

Table of Contents 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 June 30, 2020 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 000-26058 Kforce Inc. Exact name of registrant as specified in its ch ...

| --- | --- | --- | --- | --- | |-------|-------|-------|-------|-------| | | | | | | | | | | | | Forward Looking Statements • All of the information presented that is not historical in nature should be considered to be forwardlooking statements that are subject to certain risks, uncertainties or assumptions and may be affected by certain other factors, including but not limited to the specific factors discussed in the Firm's periodic filings with the SEC. Should one or more of these risks, uncertainties or ...

Kforce Inc. (NYSE:KFRC) Q1 2020 Earnings Conference Call May 6, 2020 5:00 PM ET Company Participants David Dunkel - Chairman & Chief Executive Officer Joe Liberatore - President Dave Kelly - Chief Financial Officer Conference Call Participants Tobey Sommer - SunTrust Tim Mulrooney - William Blair Kevin McVeigh - Credit Suisse Andre Childress - Baird Operator Ladies and gentlemen, thank you for standing by and welcome to the Kforce Inc. Q1 2020 Earnings Conference Call. At this time, all participants' lines ...

```markdown PART I - FINANCIAL INFORMATION This section presents Kforce Inc.'s unaudited condensed consolidated financial statements and detailed notes for the three months ended March 31, 2020 and 2019 [Item 1. Financial Statements.](index=4&type=section&id=Item%201.%20Financial%20Statements.) This section provides Kforce Inc.'s unaudited condensed consolidated financial statements and comprehensive notes for the periods ended March 31, 2020 and 2019 [Unaudited Condensed Consolidated Statements of Operations and Comprehensive Income](index=4&type=section&id=UNAUDITED%20CONDENSED%20CONSOLIDATED%20STATEMENTS%20OF%20OPERATIONS%20AND%20COMPREHENSIVE%20INCOME) This statement details Kforce Inc.'s unaudited consolidated operating results and comprehensive income for the three months ended March 31, 2020 and 2019 | Metric | Three Months Ended March 31, 2020 (in thousands) | Three Months Ended March 31, 2019 (in thousands) | | :-------------------------------- | :------------------------------------------------- | :------------------------------------------------- | | Revenue | $335,208 | $326,738 | | Gross profit | $94,524 | $93,176 | | Income from operations | $13,915 | $11,713 | | Net income | $9,106 | $26,855 | | Comprehensive income | $7,985 | $26,575 | | Earnings per share – basic (Continuing operations) | $0.42 | $0.33 | | Earnings per share – diluted (Continuing operations) | $0.42 | $0.32 | | Weighted average shares outstanding – basic | 21,553 | 24,516 | | Weighted average shares outstanding – diluted | 21,860 | 25,019 | [Unaudited Condensed Consolidated Balance Sheets](index=5&type=section&id=UNAUDITED%20CONDENSED%20CONSOLIDATED%20BALANCE%20SHEETS) This statement presents Kforce Inc.'s unaudited consolidated financial position, including assets, liabilities, and equity, as of March 31, 2020 and December 31, 2019 | Metric | March 31, 2020 (in thousands) | December 31, 2019 (in thousands) | | :-------------------------------- | :------------------------------ | :------------------------------- | | Total assets | $405,488 | $381,125 | | Total liabilities | $252,089 | $213,862 | | Total stockholders' equity | $153,399 | $167,263 | | Cash and cash equivalents | $31,774 | $19,831 | | Trade receivables, net | $235,587 | $217,929 | | Long-term debt – credit facility | $100,000 | $65,000 | [Unaudited Condensed Consolidated Statement of Changes in Stockholders' Equity](index=6&type=section&id=UNAUDITED%20CONDENSED%20CONSOLIDATED%20STATEMENT%20OF%20CHANGES%20IN%20STOCKHOLDERS'%20EQUITY) This statement outlines the changes in Kforce Inc.'s unaudited consolidated stockholders' equity from December 31, 2019, to March 31, 2020 | Metric | Balance, December 31, 2019 (in thousands) | Balance, March 31, 2020 (in thousands) | | :-------------------------------- | :---------------------------------------- | :--------------------------------------- | | Total Stockholders' Equity | $167,263 | $153,399 | | Net income | $9,106 | $9,106 | | Dividends ($0.20 per share) | N/A | $(4,293) | | Repurchases of common stock | N/A | $(20,380) | [Unaudited Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=UNAUDITED%20CONDENSED%20CONSOLIDATED%20STATEMENTS%20OF%20CASH%20FLOWS) This statement presents Kforce Inc.'s unaudited consolidated cash flows from operating, investing, and financing activities for the three months ended March 31, 2020 and 2019 | Metric | Three Months Ended March 31, 2020 (in thousands) | Three Months Ended March 31, 2019 (in thousands) | | :-------------------------------- | :------------------------------------------------- | :------------------------------------------------- | | Cash provided by operating activities | $3,005 | $11,789 | | Cash used in investing activities | $(1,971) | $(2,496) | | Cash provided by (used in) financing activities | $10,909 | $(9,146) | | Change in cash and cash equivalents | $11,943 | $147 | | Cash and cash equivalents, end of period | $31,774 | $259 | | Supplemental Disclosure | 2020 (in thousands) | 2019 (in thousands) | | :-------------------------------- | :------------------ | :------------------ | | Cash Paid During the Period For: | | | | Income taxes | $399 | $184 | | Operating lease liabilities | $1,987 | $1,836 | | Interest, net | $541 | $627 | | Non-Cash Investing and Financing Transactions: | | | | ROU assets obtained from new operating leases | $924 | $817 | | Unsettled repurchases of common stock | $910 | $369 | | Employee stock purchase plan | $142 | $140 | [Note A - Summary of Significant Accounting Policies](index=9&type=section&id=Note%20A%20-%20Summary%20of%20Significant%20Accounting%20Policies) This note details Kforce Inc.'s significant accounting policies, including the adoption of new standards and factors influencing quarterly operating results - The company adopted new accounting standards for credit losses (CECL model) and reference rate reform (LIBOR) effective **January 1, 2020**. The CECL adoption resulted in a **$0.3 million increase** to the allowance for credit losses[31](index=31&type=chunk)[32](index=32&type=chunk)[41](index=41&type=chunk) - Quarterly operating results are affected by billing days, client business seasonality, and increased holiday/vacation days. First quarters typically see increased costs from U.S. state and federal employment tax resets, negatively impacting gross profit and profitability[26](index=26&type=chunk) [Note B - Discontinued Operations](index=10&type=section&id=Note%20B%20-%20Discontinued%20Operations) This note reports on the sale of Kforce's Government Solutions segment and its financial results as discontinued operations for prior periods - Kforce completed the sale of its Government Solutions (GS) segment in 2019 to focus on commercial technical and professional staffing services. The GS segment's results are reported as discontinued operations for all prior periods[34](index=34&type=chunk) | Metric | Three Months Ended March 31, 2019 (in thousands) | | :-------------------------------- | :----------------------------------------------- | | Revenue | $26,426 | | Income from discontinued operations, before income taxes | $880 | | Income tax benefit | $18,001 | | Income from discontinued operations, net of tax | $18,881 | - Cash provided by operating activities and cash used in investing activities for discontinued operations were **$5.7 million** and **$0.1 million**, respectively, for the three months ended **March 31, 2019**[36](index=36&type=chunk) [Note C - Reportable Segments](index=11&type=section&id=Note%20C%20-%20Reportable%20Segments) This note provides financial information for Kforce's Technology and Finance and Accounting reportable segments - Kforce operates through two segments: Technology (Tech) and Finance and Accounting (FA)[37](index=37&type=chunk) | Segment | Revenue (3 Months Ended March 31, 2020, in thousands) | Gross Profit (3 Months Ended March 31, 2020, in thousands) | | :-------- | :---------------------------------------------------- | :------------------------------------------------------- | | Tech | $266,784 | $72,454 | | FA | $68,424 | $22,070 | | Total | $335,208 | $94,524 | | Segment | Revenue (3 Months Ended March 31, 2019, in thousands) | Gross Profit (3 Months Ended March 31, 2019, in thousands) | | :-------- | :---------------------------------------------------- | :------------------------------------------------------- | | Tech | $255,643 | $68,822 | | FA | $71,095 | $24,354 | | Total | $326,738 | $93,176 | [Note D - Disaggregation of Revenue](index=11&type=section&id=Note%20D%20-%20Disaggregation%20of%20Revenue) This note disaggregates Kforce's revenue by service type (Flex and Direct Hire) across its Technology and Finance and Accounting segments | Revenue Type | Tech (3 Months Ended March 31, 2020, in thousands) | FA (3 Months Ended March 31, 2020, in thousands) | Total (3 Months Ended March 31, 2020, in thousands) | | :------------- | :------------------------------------------------- | :----------------------------------------------- | :------------------------------------------------ | | Flex revenue | $262,569 | $63,540 | $326,109 | | Direct Hire revenue | $4,215 | $4,884 | $9,099 | | Total Revenue | $266,784 | $68,424 | $335,208 | | Revenue Type | Tech (3 Months Ended March 31, 2019, in thousands) | FA (3 Months Ended March 31, 2019, in thousands) | Total (3 Months Ended March 31, 2019, in thousands) | | :------------- | :------------------------------------------------- | :----------------------------------------------- | :------------------------------------------------ | | Flex revenue | $250,216 | $64,765 | $314,981 | | Direct Hire revenue | $5,427 | $6,330 | $11,757 | | Total Revenue | $255,643 | $71,095 | $326,738 | [Note E - Allowance for Credit Losses](index=12&type=section&id=Note%20E%20-%20Allowance%20for%20Credit%20Losses) This note details Kforce's methodology for determining the allowance for credit losses and the impact of the COVID-19 crisis on this estimate - The allowance for credit losses is determined by historical trends, specific analysis of past-due balances, client concentration, and the U.S. economy. The company applies credit loss rates by aging category and performs quarterly credit reviews for certain clients[40](index=40&type=chunk) | Metric | Amount (in thousands) | | :---------------------------------------------------- | :-------------------- | | Allowance for credit losses, January 1, 2020 | $1,843 | | Current period provision | $2,229 | | Write-offs charged against the allowance, net of recoveries | $(182) | | Allowance for credit losses, March 31, 2020 | $3,890 | - Due to the COVID-19 crisis, Kforce increased its allowance for credit losses by applying higher credit loss rates to receivables in significantly impacted industries and for higher-risk clients[43](index=43&type=chunk) [Note F - Other Assets, Net](index=12&type=section&id=Note%20F%20-%20Other%20Assets%2C%20Net) This note provides a breakdown of Kforce's other assets, net, including assets held in Rabbi Trust, right-of-use assets, and equity method investments | Asset Category | March 31, 2020 (in thousands) | December 31, 2019 (in thousands) | | :-------------------------------- | :------------------------------ | :------------------------------- | | Assets held in Rabbi Trust | $30,843 | $35,413 | | Right-of-use assets for operating leases, net | $17,606 | $18,344 | | Capitalized software, net | $9,841 | $8,759 | | Equity method investment | $7,574 | $8,169 | | Deferred loan costs, net | $766 | $855 | | Other non-current assets | $1,048 | $1,298 | | Total Other assets, net | $67,678 | $72,838 | - Kforce holds a **50% noncontrolling interest** in WorkLLama, LLC, accounted for as an equity method investment. A loss of **$0.6 million** from this investment was recorded for the three months ended **March 31, 2020**[45](index=45&type=chunk) [Note G - Current Liabilities](index=13&type=section&id=Note%20G%20-%20Current%20Liabilities) This note provides a detailed breakdown of Kforce's current liabilities, including accounts payable, accrued payroll costs, and current operating lease liabilities | Liability Category | March 31, 2020 (in thousands) | December 31, 2019 (in thousands) | | :-------------------------------- | :------------------------------ | :------------------------------- | | Accounts payable and other accrued liabilities | $37,125 | $33,232 | | Accrued payroll costs | $45,988 | $44,001 | | Current portion of operating lease liabilities | $5,201 | $5,685 | | Income taxes payable | $4,026 | $878 | | Other current liabilities | $954 | $1,168 | | Total current liabilities | $93,294 | $84,964 | | Accrued Payroll Costs Breakdown | March 31, 2020 (in thousands) | December 31, 2019 (in thousands) | | :-------------------------------- | :------------------------------ | :------------------------------- | | Payroll and benefits | $40,141 | $38,035 | | Health insurance liabilities | $3,976 | $3,907 | | Payroll taxes | $870 | $992 | | Workers' compensation liabilities | $1,001 | $1,067 | | Total Accrued payroll costs | $45,988 | $44,001 | [Note H - Other Long-Term Liabilities](index=13&type=section&id=Note%20H%20-%20Other%20Long-Term%20Liabilities) This note details Kforce's other long-term liabilities, including deferred compensation, SERP, and long-term operating lease liabilities | Liability Category | March 31, 2020 (in thousands) | December 31, 2019 (in thousands) | | :-------------------------------- | :------------------------------ | :------------------------------- | | Deferred compensation plan | $24,044 | $30,361 | | Supplemental executive retirement plan | $18,290 | $18,080 | | Operating lease liabilities | $14,235 | $14,627 | | Interest rate swap derivative instruments | $1,684 | $179 | | Other long-term liabilities | $542 | $651 | | Total Other long-term liabilities | $58,795 | $63,898 | [Note I - Employee Benefit Plans](index=13&type=section&id=Note%20I%20-%20Employee%20Benefit%20Plans) This note describes Kforce's Supplemental Executive Retirement Plan (SERP) and its net periodic benefit cost for the reported periods - Kforce maintains a non-qualified Supplemental Executive Retirement Plan (SERP) for two executives. The projected benefit obligation was **$18.3 million** as of **March 31, 2020**, with no contributions made or anticipated for 2020[49](index=49&type=chunk)[50](index=50&type=chunk) | Net Periodic Benefit Cost Component | Three Months Ended March 31, 2020 (in thousands) | Three Months Ended March 31, 2019 (in thousands) | | :-------------------------------- | :----------------------------------------------- | :----------------------------------------------- | | Service cost | $86 | $65 | | Interest cost | $125 | $151 | | Net periodic benefit cost | $211 | $216 | [Note J - Stock Incentive Plans](index=14&type=section&id=Note%20J%20-%20Stock%20Incentive%20Plans) This note outlines Kforce's stock incentive plans, including the 2020 plan, restricted stock activity, and related compensation expense - Shareholders approved the 2020 Stock Incentive Plan on **April 28, 2020**, reserving approximately **3.6 million shares** for various stock-based awards[51](index=51&type=chunk) | Restricted Stock Activity | Number of Restricted Stock (in thousands) | Weighted-Average Grant Date Fair Value | | :-------------------------------- | :---------------------------------------- | :------------------------------------- | | Outstanding at December 31, 2019 | 1,180 | $29.51 | | Granted | 7 | $29.60 | | Forfeited | (12) | $22.62 | | Vested | (8) | $22.15 | | Outstanding at March 31, 2020 | 1,167 | $29.63 | - Total unrecognized stock-based compensation expense related to restricted stock was **$29.0 million** as of **March 31, 2020**, to be recognized over a weighted-average remaining period of **3.3 years**. Stock-based compensation expense from continuing operations was **$2.9 million** for the three months ended **March 31, 2020**, up from **$2.5 million** in 2019[52](index=52&type=chunk) [Note K - Derivative Instruments and Hedging Activity](index=14&type=section&id=Note%20K%20-%20Derivative%20Instruments%20and%20Hedging%20Activity) This note details Kforce's use of interest rate swaps as cash flow hedges to manage interest rate risk on variable rate debt - Kforce uses interest rate swaps (Swap A and Swap B) as cash flow hedges to mitigate rising interest rate risks on variable rate debt. Swap A has a fixed rate of **1.81%** and a notional amount of **$65.0 million** (decreasing to **$25.0 million** in **May 2020**). Swap B, entered in **March 2020**, has a fixed rate of **0.61%** and a notional amount of **$35.0 million** (increasing to **$75.0 million** in **May 2020** and **$100.0 million** in **May 2022**)[53](index=53&type=chunk)[54](index=54&type=chunk)[55](index=55&type=chunk) | Derivative Instrument Activity | Three Months Ended March 31, 2020 (in thousands) | Three Months Ended March 31, 2019 (in thousands) | | :-------------------------------- | :----------------------------------------------- | :----------------------------------------------- | | Accumulated derivative instrument (loss) gain, beginning of period | $(179) | $900 | | Net change associated with current period hedging transactions | $(1,505) | $(375) | | Accumulated derivative instrument (loss) gain, end of period | $(1,684) | $525 | [Note L - Fair Value Measurements](index=15&type=section&id=Note%20L%20-%20Fair%20Value%20Measurements) This note describes the fair value measurement of Kforce's interest rate swap derivative instruments using Level 2 inputs - Interest rate swaps are measured at fair value using Level 2 inputs (readily observable inputs) and are recorded as Other long-term liabilities[58](index=58&type=chunk) | Asset/(Liability) Measured at Fair Value | At March 31, 2020 (in thousands) | At December 31, 2019 (in thousands) | | :--------------------------------------- | :------------------------------- | :-------------------------------- | | Interest rate swap derivative instruments | $(1,684) | $(179) | [Note M - Commitments and Contingencies](index=15&type=section&id=Note%20M%20-%20Commitments%20and%20Contingencies) This note outlines Kforce's commitments and contingencies, including executive employment agreements, legal matters, and joint venture obligations - Kforce has employment agreements with certain executives that include severance payments under specific termination circumstances, with potential liabilities of **$39.7 million** (change in control) or **$16.8 million** (no change in control) as of **March 31, 2020**[60](index=60&type=chunk) - The company is involved in ordinary course legal proceedings, claims, and administrative matters, for which accruals have been made but are not considered individually or in aggregate material[61](index=61&type=chunk) - Under the WorkLLama joint venture, Kforce is obligated to make additional cash contributions contingent on operational and financial milestones, with a maximum potential of **$22.5 million**. **$9.0 million** was contributed in 2019, and no contingent contributions were recorded as of **March 31, 2020**, due to early stage uncertainty[62](index=62&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations.](index=15&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations.) This section provides management's analysis of Kforce's financial condition and operating results for Q1 2020, focusing on COVID-19 impacts, revenue, expenses, and liquidity [Executive Summary](index=16&type=section&id=EXECUTIVE%20SUMMARY) This summary provides an overview of Kforce's business, the initial impact of the COVID-19 crisis, and proactive liquidity management measures - Kforce provides professional staffing services (Flex and Direct Hire) through its Tech and FA segments, operating with **50 field offices** and over **2,200 associates** and **10,000 consultants**[64](index=64&type=chunk) - The COVID-19 crisis began negatively impacting operating trends in **March 2020**, particularly in FA Flex and Direct Hire, leading to significant uncertainty in near-term results[65](index=65&type=chunk)[66](index=66&type=chunk) - The company took proactive measures, including drawing down **$35.0 million** from its credit facility and entering a new interest rate swap to take advantage of low rates and reduce liquidity risk[66](index=66&type=chunk) - Kforce returned **$24.6 million** to shareholders through dividends (**$4.3 million**) and stock repurchases (**$20.3 million**) during **Q1 2020**, and the Board increased the repurchase authorization to **$100.0 million**[66](index=66&type=chunk) [Results of Operations](index=16&type=section&id=RESULTS%20OF%20OPERATIONS) This section analyzes Kforce's operating performance, including revenue growth, segment contributions, and profitability for the reported periods - Revenue for **Q1 2020** increased **2.6%** (**1.0%** on a billing day basis) to **$335.2 million** from **$326.7 million** in **Q1 2019**[66](index=66&type=chunk) - Flex revenue increased **3.5%** to **$326.1 million**, with Tech Flex up **4.9%** and FA Flex down **1.9%**. Direct Hire revenue decreased **22.6%** to **$9.1 million**[66](index=66&type=chunk) - Income from continuing operations increased **14.2%** to **$9.1 million**, or **$0.42 per diluted share**, from **$8.0 million**, or **$0.32 per diluted share**, in **Q1 2019**, partly due to significant stock repurchases[66](index=66&type=chunk) - The company secured large, temporary opportunities in customer service, loan processing, and administration to assist the U.S. economy during the crisis, expected to partially offset negative impacts in Q2 revenues by **$20-30 million**[69](index=69&type=chunk)[74](index=74&type=chunk) | Metric (as % of Revenue) | Three Months Ended March 31, 2020 | Three Months Ended March 31, 2019 | | :-------------------------------- | :-------------------------------- | :-------------------------------- | | Tech Revenue | 79.6% | 78.2% | | FA Revenue | 20.4% | 21.8% | | Flex Revenue | 97.3% | 96.4% | | Direct Hire Revenue | 2.7% | 3.6% | | Gross profit | 28.2% | 28.5% | | Selling, general and administrative expenses | 23.6% | 24.4% | | Income from operations | 4.2% | 3.6% | | Net income | 2.7% | 8.2% | [Liquidity and Capital Resources](index=23&type=section&id=LIQUIDITY%20AND%20CAPITAL%20RESOURCES) This section examines Kforce's liquidity, capital resources, credit facility utilization, and shareholder return activities - Kforce relies on operating cash flow and its **$300.0 million** credit facility for liquidity. Cash and cash equivalents increased to **$31.8 million** at **March 31, 2020**, from **$19.8 million** at **December 31, 2019**[96](index=96&type=chunk) - In **March 2020**, the company drew an additional **$35.0 million** from its credit facility, bringing the total outstanding balance to **$100.0 million**, to leverage low interest rates and mitigate liquidity risks during the COVID-19 crisis[97](index=97&type=chunk) - Working capital (excluding cash) was approximately **$150.0 million** as of **March 31, 2020**, providing a reliable source of liquidity amidst expected revenue declines[98](index=98&type=chunk) - The CARES Act is expected to significantly benefit cash flows through provisions like deferment of employer social security payments and employee retention credits[99](index=99&type=chunk) | Cash Flow Impact of Common Stock Repurchase Activity (in thousands) | Three Months Ended March 31, 2020 | Three Months Ended March 31, 2019 | | :----------------------------------------------------------------- | :-------------------------------- | :-------------------------------- | | Open market repurchases | $19,382 | $14,775 | | Repurchase of shares related to tax withholding requirements | $88 | $100 | | Total cash flow impact of common stock repurchases | $19,470 | $14,875 | - The Board approved an **11% increase** in the quarterly dividend to **$0.20 per share** in **January 2020**. Dividends paid were **$4.3 million** (**$0.20 per share**) in **Q1 2020**, compared to **$4.4 million** (**$0.18 per share**) in **Q1 2019**[106](index=106&type=chunk) [Critical Accounting Estimates](index=24&type=section&id=CRITICAL%20ACCOUNTING%20ESTIMATES) This section discusses critical accounting estimates, including goodwill impairment and allowance for credit losses, and their sensitivity to the COVID-19 crisis - The COVID-19 crisis introduces uncertainty and disruption, potentially impacting inputs and assumptions for critical accounting estimates, including goodwill and equity method investment impairment, and allowance for credit losses[114](index=114&type=chunk)[115](index=115&type=chunk)[117](index=117&type=chunk) - The valuation methodologies for goodwill and equity method investment fair value estimates are sensitive to critical estimates like forecasted operating results, long-term growth rates, future economic cycles, and market multiples[115](index=115&type=chunk) - The allowance for credit losses on trade receivables is based on factors such as write-off and delinquency trends, specific analysis of past-due balances, client concentration, and the U.S. economy[116](index=116&type=chunk) [New Accounting Standards](index=25&type=section&id=NEW%20ACCOUNTING%20STANDARDS) This section refers to Note A for details on recently adopted and not yet adopted accounting standards - Refer to Note A for a discussion of recently adopted accounting standards (credit losses and reference rate reform) and standards not yet adopted (defined benefit plan disclosure requirements)[118](index=118&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk.](index=25&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk.) This section updates disclosures on market risk, specifically highlighting the company's recent actions regarding interest rate swaps to manage exposure to variable interest rates - Kforce entered into an additional forward-starting interest rate swap agreement on **March 12, 2020**, effective **March 17, 2020**, maturing **May 30, 2025**. This swap has a fixed interest rate of **0.61%** and a notional amount of **$35.0 million** at **March 31, 2020**, which will increase to **$75.0 million** in **May 2020** and **$100.0 million** in **May 2022**[120](index=120&type=chunk) [Item 4. Controls and Procedures.](index=25&type=section&id=Item%204.%20Controls%20and%20Procedures.) This section details the evaluation of Kforce's disclosure controls and procedures, confirming their effectiveness as of March 31, 2020. It also states that no material changes occurred in internal control over financial reporting during the last fiscal quarter - The CEO and CFO concluded that the design and operation of Kforce's Disclosure Controls were effective as of **March 31, 2020**, ensuring timely and accurate financial reporting[121](index=121&type=chunk) - No material changes in internal control over financial reporting occurred during the last fiscal quarter[122](index=122&type=chunk) - The report acknowledges the inherent limitations of internal control over financial reporting, including the possibility of collusion or management override, which could lead to undetected misstatements[123](index=123&type=chunk) PART II - OTHER INFORMATION This section provides other information, including legal proceedings, updated risk factors, equity security sales, and a list of exhibits [Item 1. Legal Proceedings.](index=26&type=section&id=Item%201.%20Legal%20Proceedings.) This section confirms no material developments in legal proceedings since the 2019 Annual Report on Form 10-K - No material developments in legal proceedings have occurred since the **2019 Annual Report on Form 10-K**[126](index=126&type=chunk) - The company is involved in ordinary course legal proceedings, claims, and administrative matters, which are not considered material[126](index=126&type=chunk) [Item 1A. Risk Factors.](index=26&type=section&id=Item%201A.%20Risk%20Factors.) This section updates risk factors, focusing on the material adverse effects of the COVID-19 global pandemic on Kforce's business and financial results - The COVID-19 pandemic may have a material adverse effect on Kforce's business and financial results due to reduced client demand, cost-cutting initiatives, and negative impacts on profitability or accounts receivable collection[128](index=128&type=chunk) - Specific impacts include reduction/elimination of consultants, lower bill rates, extended payment terms, temporary furloughs, and decreased leading indicators like job orders and direct hire placements[128](index=128&type=chunk) - Operational disruptions from COVID-19, such as worker absences, office closures, and travel restrictions, could impair the ability to serve clients and potentially lead to an event of default under credit facility covenants[129](index=129&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.](index=26&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds.) This section details Kforce's common stock repurchase activities during Q1 2020, including increased authorization - In **March 2020**, the Board approved an increase in the stock repurchase authorization to an aggregate total of **$100.0 million**[130](index=130&type=chunk) | Period | Total Number of Shares Purchased | Average Price Paid per Share | Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs | Approximate Dollar Value of Shares that May Yet Be Purchased Under the Plans or Programs | | :----------------------------------- | :------------------------------- | :--------------------------- | :------------------------------------------------------------------------------- | :----------------------------------------------------------------------------------- | | January 1, 2020 to January 31, 2020 | — | $— | — | $44,297,260 | | February 1, 2020 to February 29, 2020 | 284,333 | $33.59 | 281,748 | $34,834,323 | | March 1, 2020 to March 31, 2020 | 400,357 | $27.05 | 400,357 | $93,634,225 | | Total | 684,690 | $29.76 | 682,105 | $93,634,225 | [Item 3. Defaults Upon Senior Securities.](index=26&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities.) This section states that there were no defaults upon senior securities [Item 4. Mine Safety Disclosures.](index=26&type=section&id=Item%204.%20Mine%20Safety%20Disclosures.) This section states that there are no mine safety disclosures [Item 5. Other Information.](index=26&type=section&id=Item%205.%20Other%20Information.) This section indicates that there is no other information to report [Item 6. Exhibits.](index=27&type=section&id=Item%206.%20Exhibits.) This section lists all exhibits filed with the Form 10-Q, including corporate documents, stock incentive plans, certifications, and XBRL data - Exhibits include Amended and Restated Articles of Incorporation, Amended & Restated Bylaws, Kforce Inc. 2020 Stock Incentive Plan, Form of Restricted Stock Award Agreement, CEO and CFO Certifications (Section 302 and 906 of Sarbanes-Oxley Act), and XBRL formatted financial data[133](index=133&type=chunk) [SIGNATURES](index=28&type=section&id=SIGNATURES) This section contains the signatures of authorized officers certifying the report - The report is signed by David M. Kelly, Executive Vice President and Chief Financial Officer, and Jeffrey B. Hackman, Senior Vice President, Finance and Accounting, on **May 7, 2020**[137](index=137&type=chunk) ```

Part I [Item 1. Business](index=5&type=section&id=Item%201.%20Business.) Kforce Inc. provides professional staffing services via Technology and Finance & Accounting segments, focusing on temporary and permanent placements after its 2019 Government Solutions divestiture - Kforce provides professional staffing services through its Technology (Tech) and Finance and Accounting (FA) segments, offering both temporary (Flex) and permanent (Direct Hire) solutions[17](index=17&type=chunk) - In 2019, Kforce sold its Government Solutions (GS) segment, which is now reported as discontinued operations, to sharpen its focus on commercial staffing[19](index=19&type=chunk) 2019 Segment Performance Overview | Segment | 2019 Revenue | YoY Growth | Key Metrics | | :--- | :--- | :--- | :--- | | **Tech** | $1.1 billion | 6.8% | Average bill rate: ~$76/hour (+3.1% YoY) | | **FA** | $289.5 million | -7.7% | Average bill rate: ~$37/hour (+5.7% YoY) | - Flex revenue represents about **96%** of total revenue, driven by the number of consultants, billable hours, and bill rates. Direct Hire revenue, though less than **4%** of the total, contributes significantly to gross profit[23](index=23&type=chunk)[25](index=25&type=chunk)[26](index=26&type=chunk) - Key business strategies include investing in a new talent relationship management system (TRM), enhancing client partnerships, improving the consultant experience through referral technology, and expanding into managed services and solutions[31](index=31&type=chunk)[32](index=32&type=chunk)[35](index=35&type=chunk)[37](index=37&type=chunk) [Item 1A. Risk Factors](index=8&type=section&id=Item%201A.%20Risk%20Factors.) Kforce faces significant risks including economic sensitivity, talent recruitment challenges, employment-related legal issues, cybersecurity threats, and complex government regulations - Demand for staffing services is highly dependent on general economic activity and employment conditions. An economic downturn could materially adversely affect business, financial condition, and operating results[46](index=46&type=chunk) - The company faces significant competition for qualified technical and professional individuals, and a constrained supply of consultants, especially in the Tech segment, could adversely affect the business[47](index=47&type=chunk) - Cybersecurity risks are a major concern, as the company collects and retains personal information. A breach could lead to operational disruption, litigation, regulatory penalties, and reputational damage[50](index=50&type=chunk)[51](index=51&type=chunk) - The business is subject to extensive government regulation, including employment laws, licensing, and immigration restrictions. Changes in H-1B visa availability could restrain the ability to employ skilled professionals needed for the Tech segment[53](index=53&type=chunk)[54](index=54&type=chunk)[55](index=55&type=chunk) - The business is dependent on the proper functioning of its information systems for critical operations like matching resources to clients and billing. System failures, including those at third-party cloud providers, could have a material adverse effect[62](index=62&type=chunk) [Item 1B. Unresolved Staff Comments](index=13&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments.) The company reports no unresolved staff comments - None[77](index=77&type=chunk) [Item 2. Properties](index=13&type=section&id=Item%202.%20Properties.) Kforce owns its **128,000 sq. ft.** Tampa headquarters and leases **247,000 sq. ft.** across **50** U.S. field offices as of December 31, 2019 - Owns corporate headquarters in Tampa, FL (**128,000 sq. ft.**)[78](index=78&type=chunk) - Leases approximately **247,000 sq. ft.** for **50 field offices** across the U.S. as of year-end 2019[78](index=78&type=chunk) [Item 3. Legal Proceedings](index=13&type=section&id=Item%203.%20Legal%20Proceedings.) The company is involved in ordinary course legal proceedings, none of which are currently deemed material to its financial position - The company is involved in ordinary course legal proceedings but does not believe any are currently material[79](index=79&type=chunk) [Item 4. Mine Safety Disclosures](index=13&type=section&id=Item%204.%20Mine%20Safety%20Disclosures.) This item is not applicable to the company - Not applicable[80](index=80&type=chunk) Part II [Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=13&type=section&id=Item%205.%20Market%20for%20Registrant%27s%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities.) Kforce common stock trades on NASDAQ (KFRC); the company repurchased **823,168 shares** for approximately **$31.4 million** in Q4 2019 under a **$150.0 million** authorization - The company's common stock trades on NASDAQ under the symbol **KFRC**[82](index=82&type=chunk) Q4 2019 Stock Repurchases | Period | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | Oct 2019 | 703,579 | $37.90 | | Nov 2019 | 835 | $40.18 | | Dec 2019 | 118,754 | $39.95 | | **Total Q4 2019** | **823,168** | **$38.20** | - As of December 31, 2019, approximately **$44.3 million** remained available for repurchase under the publicly announced program[83](index=83&type=chunk) [Item 6. Selected Financial Data](index=14&type=section&id=Item%206.%20Selected%20Financial%20Data.) This section summarizes five-year financial data, showing 2019 revenue of **$1.35 billion** and net income of **$54.6 million** from continuing operations, reflecting the GS segment divestiture Selected Financial Data (Continuing Operations, in thousands, except per share data) | Metric | 2019 | 2018 | 2017 | | :--- | :--- | :--- | :--- | | Revenue | $1,347,387 | $1,303,937 | $1,253,646 | | Gross profit | $395,038 | $386,487 | $375,597 | | Income from continuing operations | $54,566 | $50,876 | $29,594 | | EPS – diluted, continuing operations | $2.29 | $2.02 | $1.16 | | Dividends declared per share | $0.72 | $0.60 | $0.48 | Selected Balance Sheet Data (As of Dec 31, in thousands) | Metric | 2019 | 2018 | | :--- | :--- | :--- | | Total assets | $381,125 | $379,908 | | Total outstanding borrowings | $65,000 | $71,800 | | Stockholders' equity | $167,263 | $168,331 | - The sale of the GS segment was completed in 2019, and its results are presented as discontinued operations for all periods shown[89](index=89&type=chunk) [Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=15&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations.) Kforce's 2019 revenue from continuing operations grew **3.3%** to **$1.35 billion**, driven by Tech segment growth, while income increased **7.3%** to **$54.6 million**, supported by strong liquidity and strategic initiatives [Executive Summary](index=15&type=section&id=Executive%20Summary) Kforce's 2019 revenue increased **3.3%** to **$1.35 billion**, with income from continuing operations up **7.3%** to **$54.6 million**, while returning **$134.4 million** to shareholders 2019 Financial Highlights vs. 2018 | Metric | 2019 | 2018 | Change | | :--- | :--- | :--- | :--- | | Revenue | $1.35B | $1.30B | +3.3% | | - Tech Revenue | - | - | +6.8% | | - FA Revenue | - | - | -7.7% | | Income from Continuing Ops | $54.6M | $50.9M | +7.3% | | Diluted EPS from Continuing Ops | $2.29 | $2.02 | +13.4% | | SG&A as % of Revenue | 23.3% | 23.6% | -30 bps | - The company returned **$134.4 million** to shareholders in 2019, consisting of **$16.6 million** in dividends and **$117.8 million** in share repurchases[94](index=94&type=chunk) - Total outstanding debt under the Credit Facility decreased by **$6.8 million** to **$65.0 million** at year-end 2019[94](index=94&type=chunk) [Results of Operations](index=16&type=section&id=Results%20of%20Operations) Kforce's 2019 total revenue grew **3.3%** to **$1.35 billion**, driven by Tech segment growth despite FA segment decline, while gross profit margin decreased to **29.3%** and SG&A improved to **23.3%** of revenue Revenue by Segment (in thousands) | Segment | 2019 Revenue | 2018 Revenue | % Change | | :--- | :--- | :--- | :--- | | Tech | $1,057,859 | $990,089 | 6.8% | | FA | $289,528 | $313,848 | -7.7% | | **Total** | **$1,347,387** | **$1,303,937** | **3.3%** | - Tech Flex revenue growth of **6.8%** in 2019 was more than double SIA's projected industry growth rate of **3%**, driven by large clients[99](index=99&type=chunk) - FA Flex revenue declined **8.6%** due to a strategic repositioning towards higher-skilled positions, which resulted in a **5.7%** increase in average bill rates but lower volume[100](index=100&type=chunk) - Total gross profit percentage decreased by **30 basis points** to **29.3%** in 2019, primarily due to a **40 basis point** decline in Flex gross profit margin caused by business mix shifts towards larger clients with slightly lower margin profiles[104](index=104&type=chunk)[105](index=105&type=chunk) - SG&A as a percentage of revenue decreased **30 basis points** to **23.3%**, reflecting increased associate productivity and expense discipline, even with **$2.0 million** in severance costs from the GS divestiture[109](index=109&type=chunk) [Discontinued Operations](index=20&type=section&id=Discontinued%20Operations) Kforce completed the sale of its GS segment in 2019, including KGS for **$115.0 million** (net gain **$72.3 million**) and TFX for **$18.4 million** (net gain **$7.0 million**), resulting in **$76.3 million** income from discontinued operations - On April 1, 2019, Kforce sold its KGS business to ManTech International for **$115.0 million**, realizing a net gain of **$72.3 million**[114](index=114&type=chunk) - On June 7, 2019, Kforce sold its TFX business for **$18.4 million**, realizing a net gain of **$7.0 million**[115](index=115&type=chunk) - Total income from discontinued operations for 2019 was **$76.3 million**, net of tax, which includes the gains from the sales of KGS and TFX[113](index=113&type=chunk) [Liquidity and Capital Resources](index=21&type=section&id=Liquidity%20and%20Capital%20Resources) Kforce maintains strong liquidity with **$66.6 million** in operating cash flow and a **$300 million** credit facility, enabling **$117.8 million** in share repurchases and dividend increases in 2019 Summary of Cash Flows (in thousands) | Cash Flow Activity | 2019 | 2018 | | :--- | :--- | :--- | | Operating activities | $66,617 | $87,723 | | Investing activities | $103,185 | $(4,170) | | Financing activities | $(150,083) | $(83,820) | - Cash from operations decreased in 2019 primarily due to the timing of income tax payments and refunds, and lower cash contribution from the divested GS segment[127](index=127&type=chunk) - The company repurchased **3.3 million shares** for **$117.8 million** in 2019, utilizing proceeds from the GS divestiture[94](index=94&type=chunk)[133](index=133&type=chunk)[134](index=134&type=chunk) - As of Dec 31, 2019, **$65.0 million** was outstanding on the credit facility, with **$231.6 million** available. The company also has an interest rate swap to hedge against rising rates[131](index=131&type=chunk)[132](index=132&type=chunk) [Critical Accounting Estimates](index=24&type=section&id=Critical%20Accounting%20Estimates) Management's critical accounting estimates involve significant judgment for doubtful accounts, income taxes, equity method investment and goodwill impairment, self-insured liabilities, and pension plan assumptions - Key estimates requiring significant management judgment include: Allowance for Doubtful Accounts, Accounting for Income Taxes, Equity Method Investment valuation, Goodwill Impairment, Self-Insured Liabilities, and Defined Benefit Pension Plan assumptions[143](index=143&type=chunk) - Goodwill is tested for impairment annually or more frequently if indicators exist, using qualitative assessments or quantitative methods like discounted cash flow and market approaches[151](index=151&type=chunk)[152](index=152&type=chunk) - The company is self-insured for certain health and workers' compensation claims, requiring estimates for reported claims and claims incurred but not reported (IBNR)[154](index=154&type=chunk) [Item 7A. Quantitative and Qualitative Disclosures About Market Risk](index=25&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk.) Kforce's primary market risk is interest rate exposure on its **$65.0 million** variable-rate debt, mitigated by an interest rate swap, while monitoring the LIBOR transition - The company's main market risk is interest rate changes on its **$65.0 million** of outstanding debt as of year-end 2019[159](index=159&type=chunk)[160](index=160&type=chunk) - Kforce uses an interest rate swap to hedge against rising interest rates. The swap fixes the rate on a notional amount of **$65.0 million** until May 2020, after which the notional amount decreases to **$25.0 million** through maturity in 2022[161](index=161&type=chunk) - The company is evaluating the impact of the expected discontinuation of LIBOR after 2021 and the transition to an alternative benchmark rate[162](index=162&type=chunk) [Item 8. Financial Statements and Supplementary Data](index=26&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data.) This section presents Kforce's audited consolidated financial statements for 2017-2019, with Deloitte & Touche LLP providing an unqualified opinion and identifying the equity method investment as a critical audit matter - The independent auditor, Deloitte & Touche LLP, issued an unqualified opinion on the consolidated financial statements and the effectiveness of internal control over financial reporting as of December 31, 2019[165](index=165&type=chunk) - The auditor identified the accounting for the equity method investment in WorkLLama as a critical audit matter due to the significant judgment required by management in estimating future contingent contributions to determine the initial investment value[174](index=174&type=chunk)[175](index=175&type=chunk) Consolidated Statement of Operations Highlights (in thousands) | Line Item | 2019 | 2018 | 2017 | | :--- | :--- | :--- | :--- | | Revenue | $1,347,387 | $1,303,937 | $1,253,646 | | Gross Profit | $395,038 | $386,487 | $375,597 | | Income from Continuing Operations | $54,566 | $50,876 | $29,594 | | Income from Discontinued Operations | $76,296 | $7,104 | $3,691 | | **Net Income** | **$130,862** | **$57,980** | **$33,285** | Consolidated Balance Sheet Highlights (in thousands) | Line Item | Dec 31, 2019 | Dec 31, 2018 | | :--- | :--- | :--- | | Total Current Assets | $245,235 | $248,462 | | Total Assets | $381,125 | $379,908 | | Total Current Liabilities | $84,964 | $90,358 | | Total Liabilities | $213,862 | $211,577 | | Total Stockholders' Equity | $167,263 | $168,331 | [Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure](index=52&type=section&id=Item%209.%20Changes%20in%20and%20Disagreements%20with%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure.) The company reports no changes in or disagreements with its accountants regarding accounting and financial disclosure - None[312](index=312&type=chunk) [Item 9A. Controls and Procedures](index=52&type=section&id=Item%209A.%20Controls%20and%20Procedures.) Management, including the CEO and CFO, concluded that disclosure controls and internal controls over financial reporting were effective as of December 31, 2019, with no material changes in Q4 2019 - The CEO and CFO concluded that the company's disclosure controls and procedures were effective as of December 31, 2019[312](index=312&type=chunk) - Management assessed internal control over financial reporting as effective as of December 31, 2019, based on the COSO framework[318](index=318&type=chunk) - No material changes to internal controls over financial reporting were identified during the fourth quarter of 2019[313](index=313&type=chunk) [Item 9B. Other Information](index=53&type=section&id=Item%209B.%20Other%20Information.) The company reports no other information for this item - None[320](index=320&type=chunk) Part III [Item 10. Directors, Executive Officers and Corporate Governance](index=53&type=section&id=Item%2010.%20Directors%2C%20Executive%20Officers%20and%20Corporate%20Governance.) Information on directors, executive officers, and corporate governance is incorporated by reference from the 2020 Annual Meeting of Shareholders proxy statement - Information is incorporated by reference to the definitive proxy statement for the 2020 Annual Meeting of Shareholders[322](index=322&type=chunk) [Item 11. Executive Compensation](index=53&type=section&id=Item%2011.%20Executive%20Compensation.) Information on executive compensation is incorporated by reference from the 2020 Annual Meeting of Shareholders proxy statement - Information is incorporated by reference to the definitive proxy statement for the 2020 Annual Meeting of Shareholders[324](index=324&type=chunk) [Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=53&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters.) Information on security ownership and related matters is incorporated by reference from the 2020 Annual Meeting of Shareholders proxy statement - Information is incorporated by reference to the definitive proxy statement for the 2020 Annual Meeting of Shareholders[325](index=325&type=chunk) [Item 13. Certain Relationships and Related Transactions, and Director Independence](index=53&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions%2C%20and%20Director%20Independence.) Information on related transactions and director independence is incorporated by reference from the 2020 Annual Meeting of Shareholders proxy statement - Information is incorporated by reference to the definitive proxy statement for the 2020 Annual Meeting of Shareholders[326](index=326&type=chunk) [Item 14. Principal Accounting Fees and Services](index=53&type=section&id=Item%2014.%20Principal%20Accounting%20Fees%20and%20Services.) Information on principal accounting fees and services is incorporated by reference from the 2020 Annual Meeting of Shareholders proxy statement - Information is incorporated by reference to the definitive proxy statement for the 2020 Annual Meeting of Shareholders[327](index=327&type=chunk) Part IV [Item 15. Exhibits, Financial Statement Schedules](index=54&type=section&id=Item%2015.%20Exhibits%2C%20Financial%20Statement%20Schedules.) This section lists documents filed with the Form 10-K, including consolidated financial statements, Schedule II, and an exhibit index of corporate agreements and certifications - This item includes the list of consolidated financial statements and Schedule II – Valuation and Qualifying Accounts and Reserves[329](index=329&type=chunk)[331](index=331&type=chunk) - An exhibit index is provided, listing key corporate documents, agreements, and certifications filed with the report[330](index=330&type=chunk)[335](index=335&type=chunk) [Item 16. Form 10-K Summary](index=54&type=section&id=Item%2016.%20Form%2010-K%20Summary.) This item is not applicable to the company - Not applicable[334](index=334&type=chunk)

Kforce Inc. (NYSE:KFRC) Q4 2019 Earnings Conference Call February 5, 2020 8:30 AM ET Company Participants Michael Blackman - Chief Corporate Development Officer David Dunkel - Chairman and Chief Executive Officer Joe Liberatore - President Dave Kelly - Chief Financial Officer Conference Call Participants Tobey Sommer - SunTrust Mark Marcon - Baird Tim Mulrooney - William Blair John Healy - Northcoast Research Operator Ladies and gentlemen, thank you for standing by and welcome to the Q4 2019 Kforce Inc. Ear ...

Kforce Inc. (NYSE:KFRC) Q3 2019 Results Earnings Conference Call October 30, 2019 8:30 AM ET Company Participants David Dunkel - Chairman & CEO David Kelly - Executive VP, CFO & Secretary Joseph Liberatore - President Michael Blackman - Chief Corporate Development Officer Conference Call Participants Tobey Sommer - SunTrust Greg Mendez - Baird Operator Ladies and gentlemen, thank you for standing by. And welcome to the Q3 2019 Kforce Inc. Earnings Conference Call. [Operator Instructions] Please be advised t ...

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 September 30, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission F ...

Kforce, Inc. (NYSE:KFRC) Q2 2019 Results Earnings Conference Call July 31, 2019 8:30 AM ET Company Participants Michael Blackman - Chief Corporate Development Officer David Dunkel - Chairman and Chief Executive Officer Joe Liberatore - President Dave Kelly - Chief Financial Officer Conference Call Participants Tobey Sommer - SunTrust Trevor Romeo - William Blair John Healy - Northcoast Research Operator Good morning. My name is Summer, and I will be your conference operator today. At this time, I would lik ...