Robert Half(RHI) ZACKS·2025-04-24 16:50Core Insights - Robert Half International Inc. (RHI) reported first-quarter 2025 results that were narrower than expected, with earnings of 17 cents per share missing consensus by 52.8% and declining 72.1% year over year. Revenues of $1.35 billion also lagged consensus by 3.4% and decreased 8.4% year over year [1] Group 1: Financial Performance - Talent Solutions revenues were $875.3 million, down 11% year over year and below the estimate of $914.2 million. U.S. Talent Solutions revenues were $676 million, down 10% year over year, while non-U.S. revenues decreased 15% to $199 million [2] - Protiviti revenues were $477 million, up 5% year over year but below the expectation of $503.1 million. U.S. Protiviti revenues increased 4% to $387 million, and non-U.S. revenues rose 8% to $90 million. Currency exchange rate movements negatively impacted revenues by $12 million [3] - Adjusted gross profit was $495 million, down 13.3% year over year, with an adjusted gross profit margin of 36.6%, declining 210 basis points year over year [4] Group 2: Balance Sheet and Cash Flow - The company ended the quarter with cash and cash equivalents of $342.5 million, down from $541 million in the first quarter of 2024. Operating cash was $59 million, and capital expenditures were $12.4 million. RHI paid out $61 million in dividends [5] Group 3: Future Guidance - For the second quarter of 2025, RHI expects revenues between $1.31 billion and $1.41 billion, with the midpoint of $1.36 billion below the current Zacks Consensus Estimate of $1.44 billion. EPS is expected to be between 36 cents and 46 cents, while the consensus estimate is 62 cents [6] - The company anticipates 63.2 billing days in the second quarter of 2025, with capital expenditures projected between $15 million and $25 million. For the full year, capital expenditures are expected to be $75 million to $95 million, with an estimated tax rate between 31% and 33% [7]