ROBERT HALF INTERNATIONAL, INC 
By MENLO PARK, Calif., Jan. 28 /PRNewswire-FirstCall/ -- Robert Half International Inc. (NYSE: RHI) today reported revenues and earnings for the fourth quarter ended December 31, 2009.
For the quarter ended December 31, 2009, net income was $13.5 million or $.09 per share, on revenues of $737.4 million. Net income for the prior year's fourth quarter was $39.0 million or $.25 per share, on revenues of $989.8 million.
For the year ended December 31, 2009, net income was $37.3 million or $.24 per share, on revenues of $3.04 billion. For the year ended December 31, 2008, net income was $250.2 million or $1.59 per share, on revenues of $4.60 billion.
Harold M. Messmer, Jr., chairman and CEO of Robert Half International, commented: "We were encouraged to see broad-based, improving demand for our professional staffing services during the fourth quarter. Each of our staffing divisions reported sequential revenue growth, as did Protiviti on a same-day basis."
Robert Half International management will conduct a conference call today at 5 p.m. EST following the release. The dial-in number is 800-862-9098 (+1-785-424-1051 outside the United States) and the passcode is "Robert Half International." A taped recording of this call will be available for replay beginning at approximately 8 p.m. EST today and ending at 8 p.m. EST on February 5. The dial-in number for the replay is 800-374-0934 (+1-402-220-0680 outside the United States). The conference call also will be archived in audio format on the company's website at www.rhi.com.
Founded in 1948, Robert Half International Inc., the world's first and largest specialized staffing firm, is a recognized leader in professional consulting and staffing services, and is the parent company of Protiviti®, a global consulting and internal audit firm composed of experts in risk, advisory and transaction services. The company's specialized staffing divisions include Accountemps®, Robert Half® Finance & Accounting and Robert Half® Management Resources, for temporary, full-time and senior-level project professionals, respectively, in the fields of accounting and finance; OfficeTeam®, for highly skilled temporary administrative support personnel; Robert Half® Technology, for information technology professionals; Robert Half® Legal, for legal personnel; and The Creative Group®, for advertising, marketing and web design professionals.
Robert Half International has staffing and consulting operations in more than 400 locations worldwide.
Certain information contained in this press release may be deemed forward-looking statements regarding events and financial trends that may affect the company's future operating results or financial positions. These statements may be identified by words such as "estimate", "forecast", "project", "plan", "intend", "believe", "expect", "anticipate", or variations or negatives thereof, or by similar or comparable words or phrases. Forwardlooking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the statements.
These risks and uncertainties include, but are not limited to, the following: the global financial and economic situation; changes in levels of unemployment and other economic conditions in the United States or foreign countries where the company does business, or in particular regions or industries; reduction in the supply of candidates for temporary employment or the company's ability to attract candidates; the entry of new competitors into the marketplace or expansion by existing competitors; the ability of the company to maintain existing client relationships and attract new clients in the context of changing economic or competitive conditions; the impact of competitive pressures, including any change in the demand for the company's services, on the company's ability to maintain its margins; the possibility of the company incurring liability for its activities, including the activities of its temporary employees, or for events impacting its temporary employees on clients' premises; the possibility that adverse publicity could impact the company's ability to attract and retain clients and candidates; the success of the company in attracting, training, and retaining qualified management personnel and other staff employees; the company's ability to comply with governmental regulations affecting personnel services businesses in particular or employer/employee relationships in general; whether there will be ongoing demand for Sarbanes-Oxley or other regulatory compliance services; the company's reliance on short-term contracts for a significant percentage of its business; litigation relating to prior or current transactions or activities, including litigation that may be disclosed from time to time in the company's SEC filings; the ability of the company to manage its international operations and comply with foreign laws and regulations; the impact of fluctuations in foreign currency exchange rates; the possibility that the company's computer and communications hardware and software systems could be damaged or their service interrupted; and the possibility that the company may fail to maintain adequate financial and management controls and as a result suffer errors in its financial reporting.
Additionally, with respect to Protiviti, other risks and uncertainties include the fact that future success will depend on its ability to retain employees and attract clients; there can be no assurance that there will be ongoing demand for Sarbanes-Oxley or other regulatory compliance services; failure to produce projected revenues could adversely affect financial results; and there is the possibility of involvement in litigation relating to prior or current transactions or activities.
Because long-term contracts are not a significant part of the company's business, future results cannot be reliably predicted by considering past trends or extrapolating past results. The company undertakes no obligation to update information contained in this release.
A copy of this release is available at www.rhi.com.
ATTACHED: Summary of Operations
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Supplemental Financial Information
ROBERT HALF INTERNATIONAL INC. AND SUBSIDIARIES
SUMMARY OF OPERATIONS
(in thousands, except per share amounts)
Quarter Year
Ended December 31, Ended December 31,
------------------ ------------------
2009 2008 2009 2008
---- ---- ---- ----
(Unaudited) (Unaudited)
Net service revenues $737,423 $989,837 $3,036,547 $4,600,554
Direct costs of services 458,940 587,451 1,932,868 2,686,983
------- ------- --------- ---------
Gross margin 278,483 402,386 1,103,679 1,913,571
Selling, general and
administrative expenses 255,972 334,895 1,036,899 1,496,839
Amortization of intangible
assets 281 740 1,460 2,617
Interest income (209) (323) (1,443) (5,161)
---- ---- ------ ------
Income before income taxes 22,439 67,074 66,763 419,276
Provision for income taxes 8,911 28,066 29,500 169,095
------ ------ ------ -------
Net income $13,528 $39,008 $37,263 $250,181
======= ======= ======= ========
Net income available to common
stockholders $12,969 $37,806 $35,067 $242,744
======= ======= ======= ========
Diluted net income per share $.09 $.25 $.24 $1.59
Shares:
Basic 144,124 148,191 145,912 151,607
Diluted 145,161 148,582 146,611 152,528
ROBERT HALF INTERNATIONAL INC. AND SUBSIDIARIES
SUPPLEMENTAL FINANCIAL INFORMATION
(in thousands)
Quarter Year
Ended December 31, Ended December 31,
------------------ ------------------
2009 2008 2009 2008
---- ---- ---- ----
(Unaudited) (Unaudited)
REVENUES:
Accountemps $287,797 $374,179 $1,214,822 $1,735,412
OfficeTeam 141,587 179,882 557,049 827,559
Robert Half Technology 76,263 101,360 309,854 437,477
Robert Half Management
Resources 90,596 134,654 389,407 625,735
Robert Half Finance &
Accounting 45,434 75,578 181,856 427,499
Protiviti 95,746 124,184 383,559 546,872
------ ----- ------- -------
Total $737,423 $989,837 $3,036,547 $4,600,554
======== ======== ========== ==========
GROSS MARGIN:
Temporary and consultant
staffing $205,597 $292,564 $842,101 $1,331,549
Permanent placement staffing 45,412 75,546 181,679 427,375
Risk consulting and internal
audit services 27,474 34,276 79,899 154,647
------ ------ ------ -------
Total $278,483 $402,386 $1,103,679 $1,913,571
======== ======== ========== ==========
OPERATING INCOME:
Temporary and consultant
staffing $22,212 $63,421 $104,521 $348,963
Permanent placement staffing 6 2,589 (6,973) 60,482
Risk consulting and internal
audit services 293 1,481 (30,768) 7,287
------ ----- ------- -----
Total $22,511 $67,491 $66,780 $416,732
======= ======= ======= ========
SELECTED CASH FLOW
INFORMATION:
Amortization of intangible
assets $281 $740 $1,460 $2,617
Depreciation expense $15,560 $16,708 $63,806 $70,593
Capital expenditures $10,248 $17,926 $41,248 $73,413
Open market repurchases of
common stock (shares) 2,004 4,018 4,724 9,376
ROBERT HALF INTERNATIONAL INC. AND SUBSIDIARIES
SUPPLEMENTAL FINANCIAL INFORMATION
(in thousands)
December 31,
------------
2009 2008
---- ----
(Unaudited)
SELECTED BALANCE SHEET INFORMATION:
Cash and cash equivalents $365,794 $354,756
Accounts receivable, less allowances $362,392 $484,808
Total assets $1,283,535 $1,411,850
Current liabilities $366,968 $412,852
Notes payable and other indebtedness,
less current portion $1,779 $1,892
Total stockholders' equity $899,810 $983,888
SOURCE Robert Half International Inc.
