Review Investment action KFY reported 4Q24 earnings yesterday, with FY24 total revenue coming in at $2.79 billion (pretty much in line with my FY24 estimates) and net income of $224 million (beat my estimate by $7 million). Although I welcome this beat, I have become less confident in the growth outlook for KFY as the macro conditions are not showing the signs of recovery that I was expecting. The bullish investors are probably celebrating the fact that KFY is seeing stabilizing labor market trends (as per ...

Financial Data and Key Metrics Changes - The company reported adjusted EBITDA of over $112 million in Q4, with a margin of 16.3%, up nearly 300 basis points year-over-year [116][121] - Adjusted fully diluted earnings per share were $1.26, reflecting a 25% increase year-over-year [10] - The company returned $107 million to shareholders through dividends and share repurchases in fiscal 2024 [8][24] Business Line Data and Key Metrics Changes - Consulting fee revenue grew 4% year-over-year to $182 million, reaching an all-time high for the segment [124] - Digital fee revenue was flat year-over-year at $91 million, with digital subscription and license fee revenue up 3% [45] - Talent acquisition solutions, including executive search and interim, saw a combined fee revenue decline of 10% year-over-year [120] Market Data and Key Metrics Changes - Executive search revenue was $199 million in Q4, down 7% year-over-year [11] - The permanent placement portion of Professional Search was down 10% year-over-year but up 7% sequentially [9] - Recruitment Process Outsourcing (RPO) new business totaled $128 million, with $67 million from new logos [48] Company Strategy and Development Direction - The company aims to enhance cross-line business referrals, which accounted for 25% of total fee revenue in FY '24 [20][17] - There is a focus on integrated solutions and larger multi-year deals, moving away from point solutions [57][84] - The company is committed to leveraging its data insights and enhancing its digital capabilities to drive growth [30][31] Management's Comments on Operating Environment and Future Outlook - Management noted stabilization in the talent acquisition market, with expectations for continued improvement in RPO [35][52] - The company anticipates fee revenue in Q1 FY '25 to range from $655 million to $675 million, with adjusted EBITDA margins between 15.8% and 16.2% [28] - Management expressed confidence in the long-term growth potential driven by demographic trends and the need for talent solutions [91][100] Other Important Information - The company repurchased approximately $23 million worth of stock in Q4, bringing total repurchases for FY '24 to about 930,000 shares [21] - The average hourly bill rate for consulting increased by 12% year-over-year to $437 [117] - The company is focused on maintaining profitability while making strategic investments for long-term growth [32][96] Q&A Session Summary Question: What trends are seen in cyclically sensitive businesses? - Management noted stabilization in RPO and improvement in professional recruiting, with profitability up 300 basis points [35][36] Question: How sustainable are the current margins? - Margins are expected to remain sustainable depending on the economic environment, with guidance for Q1 at 16% EBITDA margin [72][73] Question: What is the outlook for Executive Search? - Management indicated that while Executive Search is facing challenges, there is potential for growth if economic conditions improve [102][103]

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health. View all Key Company Metrics for Korn/Ferry here>>> Korn/Ferry (KFY) reported $690.8 million in revenue for the quarter ended April 2024, representing a yearover-year decline of 5.5%. EPS of $1.26 for the same period compares to $1.01 a year ago. Here is how Korn/Ferry per ...

Core Insights - Korn/Ferry reported quarterly earnings of $1.26 per share, exceeding the Zacks Consensus Estimate of $1.13 per share, and showing an increase from $1.01 per share a year ago [10] - The company achieved revenues of $690.8 million for the quarter ended April 2024, surpassing the Zacks Consensus Estimate by 0.77%, although this represents a decline from year-ago revenues of $730.87 million [8] - The current consensus EPS estimate for the upcoming quarter is $1.07 on revenues of $682.76 million, and for the current fiscal year, it is $4.72 on revenues of $2.83 billion [7] Company Performance - Korn/Ferry has surpassed consensus EPS estimates in all four of the last quarters [5] - The stock has added approximately 6.8% since the beginning of the year, compared to the S&P 500's gain of 13.7% [11] - The company is currently ranked 3 (Hold) by Zacks, indicating expected performance in line with the market in the near future [12] Industry Context - The Staffing Firms industry, to which Korn/Ferry belongs, is currently in the bottom 25% of the Zacks Industry Rank, which may negatively impact stock performance [9] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, suggesting that investors should monitor these revisions closely [3]

Exhibit 99.1 FOR IMMEDIATE RELEASE Contacts: Investor Relations: Tiffany Louder, (214) 310-8407 Media: Dan Gugler, (310) 226-2645 Korn Ferry Announces Fourth Quarter and Full Year FY'24 Results of Operations Fourth Quarter and Full Year Highlights Los Angeles, CA, June 13, 2024 – Korn Ferry (NYSE: KFY), a global organizational consulting firm, today announced fourth quarter and annual fee revenue of $690.8 million and $2,762.7 million, respectively. In addition, fourth quarter diluted earnings per share was ...

Core Insights - Korn/Ferry (KFY) is expected to report quarterly earnings of $1.13 per share, an increase of 11.9% year-over-year, while revenues are forecasted at $685.5 million, reflecting a decrease of 6.2% compared to the previous year [1] - The consensus EPS estimate has remained unchanged over the last 30 days, indicating a collective reevaluation by analysts [1] Revenue Estimates - Total executive search fee revenue is projected to be $199.91 million, showing a year-over-year decline of 6% [3] - Overall fee revenue is estimated to reach $685.50 million, indicating a 6.2% decrease year-over-year [4] - Consulting fee revenue is expected to be $177.82 million, reflecting a year-over-year increase of 1.5% [6] - Digital fee revenue is forecasted at $95.41 million, representing a 4.3% increase from the prior-year quarter [7] - RPO and Professional Search fee revenue is anticipated to be $212.38 million, indicating a significant decline of 15.6% from the year-ago quarter [8] Market Performance - Over the past month, Korn/Ferry shares have returned -1.9%, contrasting with the Zacks S&P 500 composite's increase of +3.3% [7] - Korn/Ferry currently holds a Zacks Rank 3 (Hold), suggesting its performance may align with the overall market in the near future [7]

While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use fun ...

Here are three stocks with buy rank and strong momentum characteristics for investors to consider today, March 12th:Li Auto Inc. (LI) : This China-based new energy vehicles company has a Zacks Rank #1 and witnessed the Zacks Consensus Estimate for its current year earnings increasing 6.7% over the last 60 days.Li Auto’s shares gained 22.1% over the past month compared with the S&P 500’s advance of 3%. The company possesses a Momentum Score  of A.Sumitomo Mitsui Financial Group, Inc. (SMFG) : This company th ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended January 31, 2024 OR o 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 001-14505 KORN FERRY (Exact Name of Registrant as Specified in its Charter) (State or Other Jurisdiction of ...

Financial Performance - FY'24 Q3 - Korn Ferry's Fee Revenue reached $669 million, a decrease of 2% year-over-year[15] - Adjusted EBITDA stood at $102 million, reflecting a 6% increase year-over-year[15] - Adjusted EBITDA Margin was 15.2%[15] - Adjusted Diluted EPS increased by 6% year-over-year to $1.07[15] Business Segment Performance - FY'24 Q3 - Consulting Fee Revenue was $167 million, a 3% increase year-over-year[44] - Digital Fee Revenue was $90 million, a 6% increase year-over-year[46] - Executive Search Fee Revenue was $199 million, a 6% decrease year-over-year[48] - Recruitment Process Outsourcing (RPO) Fee Revenue was $81 million, a 22% decrease year-over-year[58] - Professional Search & Interim Fee Revenue was $130.9 million, an 11% increase year-over-year[50, 81] Capital Allocation - The company deployed $122 million of cash year-to-date in FY'24 Q3, including $37 million in CAPEX, $18 million in debt service, and $67 million returned to shareholders through dividends and share repurchases[61] - Investable Cash stood at $496 million[62]