ASGN rporated(ASGN)2024-10-30 22:52Financial Performance - Revenues for the three months ended September 30, 2024, were $1,031.0 million, a decrease of 7.6% compared to $1,116.8 million for the same period in 2023[6] - Net income for the three months ended September 30, 2024, was $47.5 million, down 20.1% from $59.4 million in the same period last year[5] - Operating income for the three months ended September 30, 2024, was $78.9 million, a decline of 20.0% compared to $98.6 million for the same period in 2023[6] - Basic earnings per share for the three months ended September 30, 2024, were $1.07, down from $1.23 in the same period last year, representing a decrease of 13.0%[6] - Comprehensive income for the three months ended September 30, 2024, was $47.7 million, compared to $58.1 million for the same period in 2023, reflecting a decrease of 18.0%[5] - Total revenues for the nine months ended September 30, 2024, were $3,114.7 million, down 7.8% from $3,376.5 million in the same period of 2023[27] - Net income for the nine months ended September 30, 2024, was $132.8 million, down from $169.0 million in the same period of 2023, representing a decrease of approximately 21.4%[9] - Basic earnings per share for the nine months ended September 30, 2024, was $2.93, compared to $3.46 for the same period in 2023, a decline of approximately 15.3%[23] Costs and Expenses - Costs of services for the three months ended September 30, 2024, were $730.6 million, down from $794.4 million in the same period last year, a decrease of 8.0%[6] - Selling, general, and administrative expenses for the three months ended September 30, 2024, were $207.5 million, slightly up from $206.0 million in the same period last year[6] - Stock-based compensation expense for the nine months ended September 30, 2024, was $32.6 million, slightly down from $33.7 million in 2023, a decrease of about 3.3%[9] Cash Flow and Investments - Net cash provided by operating activities for the nine months ended September 30, 2024, was $299.8 million, compared to $340.5 million for the same period in 2023, a decrease of about 11.9%[9] - The company reported a net cash used in investing activities of $24.0 million for the nine months ended September 30, 2024, compared to $33.3 million in 2023, indicating a decrease of about 28.0%[9] - The company’s cash paid for income taxes increased to $22.8 million for the nine months ended September 30, 2024, compared to $12.0 million in the same period of 2023[10] - The company’s cash and cash equivalents at the end of the period were $166.6 million, compared to $145.6 million at the end of September 30, 2023, an increase of about 14.5%[9] Shareholder Equity and Stock Repurchase - The company repurchased and retired shares amounting to $95.1 million during the three months ended September 30, 2024[7] - The company repurchased $283.3 million of common stock during the nine months ended September 30, 2024, compared to $197.7 million in the same period of 2023, an increase of about 43.2%[9] - The balance of retained earnings as of September 30, 2024, was $1,091.4 million, down from $1,207.9 million as of September 30, 2023[8] - The total stockholders' equity decreased from $1,926.6 million on June 30, 2023, to $1,774.4 million on September 30, 2024, representing a decline of approximately 7.9%[7] Debt and Financial Obligations - Long-term debt as of September 30, 2024, totaled $1,034.4 million, slightly down from $1,036.6 million at December 31, 2023[16] - The company has $550.0 million of unsecured senior notes due in 2028, bearing interest at 4.625%[18] - The company is required to make quarterly minimum principal payments totaling $5.0 million annually on the term loan until maturity[16] Segment Performance - The Federal Government Segment generated revenues of $312.2 million for the three months ended September 30, 2024, compared to $334.4 million in the same period of 2023, a decline of 6.6%[27] - Revenues from the Commercial Segment for the three months ended September 30, 2024, were $718.8 million, down 8.2% from $782.4 million in the same period of 2023[27] - Department of Defense and Intelligence Agencies revenue for Q3 2024 was $141.5 million, a decrease of 14.1% from $164.8 million in Q3 2023[28] - Federal Civilian revenue for Q3 2024 was $159.8 million, slightly up from $159.5 million in Q3 2023, indicating a growth of 0.2%[28] Goodwill and Assets - The company’s total goodwill as of September 30, 2024, was $1,894.3 million, slightly up from $1,894.1 million at December 31, 2023[13] - The balance of goodwill as of September 30, 2024, was $1,894.3 million, reflecting a slight increase from $1,891.9 million as of December 31, 2022[13] - The carrying amounts of cash and cash equivalents, accounts receivable, and accounts payable approximate their fair value due to their short-term nature[29] Other Financial Information - The company reported a foreign currency translation adjustment of $0.2 million for the three months ended September 30, 2024[5] - There were no fair value adjustments for non-financial assets or liabilities during Q3 2024[30] - Estimated future amortization expense is projected to total $180.9 million over the next several years[15] - The company amended its senior secured credit facility in March 2024, resulting in a 50-basis point reduction in the term loan B interest rate[17]