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S&P 500 (NYSE:SPY) component Robert Half International Inc. (NYSE:RHI) reported net income above Wall Street’s expectations for the second 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 Inc. Earnings Cheat Sheet
Results: Net income for Robert Half International Inc. rose to $45.3 million (32 cents per share) vs. $36.4 million (25 cents per share) in the same quarter a year earlier. This marks a rise of 24.4% from the year-earlier quarter.
Revenue: Rose 9.8% to $1.03 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: Robert Half International Inc. reported adjusted net income of 38 cents per share. By that measure, the company beat the mean estimate of 35 cents per share. Analysts were expecting revenue of $1.04 billion.
Quoting Management: “Demand for our specialized staffing and consulting services remained strong during the quarter, particularly in our U.S. staffing operations, which grew 17 percent versus the prior year,” said Harold M. Messmer, Jr., chairman and CEO of Robert Half International. “Gross margins continued to expand with an increasing mix of permanent placement and temp-to-hire conversion revenues.”
The company has now seen its net income rise for three quarters in a row. In the first quarter, net income rose 81% and in the fourth quarter of the last fiscal year, the figure rose 71.9%.
Revenue has increased for four quarters in a row. Revenue increased 15.3% to $1.02 billion in the first quarter. The figure rose 14.3% in the fourth quarter of the last fiscal year from the year earlier and climbed 20.5% in the third quarter of the last fiscal year from the year-ago quarter.
The company has beaten estiamtes for two quarters in a row. In the first quarter, it topped expectations with net income of 34 cents versus a mean estimate of net income of 28 cents per share.
Looking Forward: Analysts appear increasingly optimistic about the company’s results for the next quarter. The average estimate for the third quarter has moved up from 38 cents a share to 39 cents over the last ninety days. For the fiscal year, the average estimate has moved up from $1.36 a share to $1.46 over the last ninety days.
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(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)
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