Robert Half International Stock Barely Moves Since Q3 Earnings

Core Insights - Robert Half International Inc. (RHI) reported third-quarter fiscal 2026 results, with earnings and revenues meeting the Zacks Consensus Estimate, but the stock has not shown significant movement since the earnings release on October 22 [1] Financial Performance - Quarterly earnings were 43 cents per share, matching the consensus but declining 32.8% year over year [1][10] - Revenues totaled $1.35 billion, in line with the consensus but down 7.5% year over year [1][10] Segment Performance - Talent Solutions revenues were $856.35 million, a decrease of 11% year over year, falling short of the estimate of $914.2 million [3] - U.S. Talent Solutions revenues were $649 million, down 11% year over year, while non-U.S. revenues declined 12% to $207 million [3] - Protiviti revenues were $498 million, down 3% year over year and below the expectation of $503.1 million [4] - U.S. Protiviti revenues decreased 6% to $398 million, while non-U.S. revenues increased 8% to $100 million [4] Currency Impact - Currency exchange rate movements contributed an increase of $9 million to total revenues year over year, with $6 million attributed to both Talent Solutions and Protiviti [5] Profitability Metrics - Adjusted gross profit was $514.65 million, down 10.9% year over year, with a gross profit margin of 38.9%, remaining flat year over year [6] Balance Sheet and Cash Flow - The company ended the quarter with cash and cash equivalents of $365.3 million, down from $570.47 million in the third quarter of 2024 [7] - Cash flow from operations was $77 million, with capital expenditures of $41.4 million and $59 million paid out in dividends [7] Future Guidance - For Q4 2025, RHI expects revenues between $1.245 billion and $1.345 billion, with an EPS forecast of 25 to 35 cents [8] - The midpoint of the revenue guidance is slightly above the current Zacks Consensus Estimate of $1.29 billion [8] - Capital expenditures for Q4 are projected to be between $15 million and $25 million [9] - For 2025, total capital expenditures are expected to range from $75 million to $90 million [11]