Robert Half International Inc. Earnings: Five Straight Quarters of Double-Digit Growth

S&P 500 (NYSE:SPY) component Robert Half International Inc. (NYSE:RHI) reported its results for the fourth quarter. Robert Half International offers specialized staffing and risk consulting services in North America, South America, Europe, Asia and Australia.

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Robert Half International Earnings Cheat Sheet for the Fourth Quarter

Results: Net income for the staffing and outsourcing services company rose to $42.6 million (30 cents per share) vs. $24.8 million (17 cents per share) in the same quarter a year earlier. This marks a rise of 71.9% from the year earlier quarter.

Revenue: Rose 14.3% to $973.5 million from the year earlier quarter.

Actual vs. Wall St. Expectations: RHI fell short of the mean analyst estimate of 31 cents per share. Analysts were expecting revenue of $986.5 million.

Quoting Management: “Our specialized staffing divisions and Protiviti reported solid results in the fourth quarter. This marks the sixth consecutive quarter of double-digit, year-over-year revenue growth for the company,” said Harold M. Messmer, Jr., chairman and CEO of Robert Half International. “Additionally, growth rates in net income and earnings per share have significantly exceeded revenue growth rates during this period. This reflects the ongoing strong demand for skilled talent, particularly in the technology and accounting sectors.”

Key Stats:

The company has enjoyed double-digit year-over-year percentage revenue growth for the past five quarters. Over that span, the company has averaged growth of 18.3%, with the biggest boost coming in the second quarter when revenue rose 22% from the year earlier quarter.

The company has now seen net income rise in three straight quarters. In the third quarter, net income rose more than twofold and in the second quarter, the figure rose more than twofold.

The company fell short of forecasts after beating estimates in the previous two quarters. In the third quarter, it topped the mark by 3 cents, and in the second quarter, it was ahead by 3 cents.

Looking Forward: Over the past sixty days, the outlook for the company’s performance next quarter has become increasingly unfavorable. The average estimate for the first quarter of the next fiscal year is 27 cents per share, a drop from 29 cents. The average estimate hasn’t changed from $1.05 per share for the fiscal year.

Competitors to Watch: Kelly Services, Inc. (NASDAQ:KELYA), ManpowerGroup (NYSE:MAN), Kforce Inc. (NASDAQ:KFRC), SFN Group Inc (NYSE:SFN), Barrett Business Services, Inc. (NASDAQ:BBSI), Volt Information Sciences, Inc. (NYSE:VOL), TrueBlue, Inc. (NYSE:TBI), and CDI Corp. (NYSE:CDI).

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(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)

To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com