Heidrick & Struggles International, Inc. Reports Unaudited Consolidated Earnings Results for the Fourth Quarter and Year Ended December 31, 2016; Provides Consolidated Revenue Guidance for the First Quarter of 2017; Provides Tax Rate Guidance for the Full Year 2017
February 27, 2017 at 04:01 pm EST
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Heidrick & Struggles International, Inc. reported unaudited consolidated earnings results for the fourth quarter and year ended December 31, 2016. For the quarter, total revenue was $164,564,000 against $149,296,000 a year ago. Operating income was $7,665,000 against $5,285,000 a year ago. Income before income taxes was $9,608,000 against $4,773,000 a year ago. Net income was $493,000 against $1,260,000 a year ago. Basic and diluted net income per common share was $0.03 against $0.07 a year ago. Net cash provided by operating activities was $73,837,000 against $77,623,000 a year ago. Capital expenditures were $3,172,000 against $2,530,000 a year ago. Adjusted EBITDA was $14,856,000 against $11,355,000 a year ago.
For the year, total revenue was $600,906,000 against $548,311,000 a year ago. Operating income was $35,233,000 against $34,062,000 a year ago. Income before income taxes was $37,766,000 against $31,554,000 a year ago. Net income was $15,413,000 against $17,132,000 a year ago. Diluted net income per common share was $0.81 against $0.92 a year ago. Net cash provided by operating activities was $24,823,000 against $57,583,000 a year ago. Capital expenditures were $5,351,000 against $16,427,000 a year ago. Adjusted EBITDA was $61,220,000 against $55,835,000 a year ago.
The company is forecasting first quarter 2017 consolidated net revenue of between $140 million and $150 million. This forecast is based on the average currency rates in December 2016 and reflects, among other factors, management's assumptions for the anticipated volume of new Executive Search confirmations, Leadership Consulting assignments and Culture Shaping services, the current backlog, consultant productivity, consultant retention, and the seasonality of its business.
For the full year 2017, the company expects effective tax rate of between 44% and 46%, which will be more the norm.
Heidrick & Struggles International, Inc. is an advisory firm providing executive search, consulting and on-demand talent services to businesses and business leaders worldwide. It provides its services to a range of clients through the expertise of over 500 consultants located in cities around the world. Its service offerings include Executive Search, On-Demand Talent and Heidrick Consulting. Executive search firms are generally separated into two categories: retained search and contingency search. Its on-demand services provide clients seamless on-demand access to top independent talent, including professionals with deep industry and functional expertise for interim leadership roles and critical, project-based initiatives. Heidrick Consulting offers its clients impactful approaches to human capital development through a myriad of solutions, ranging from leadership assessment and development, team and organization acceleration, diversity and inclusion advisory services and others.
Heidrick & Struggles International, Inc. Reports Unaudited Consolidated Earnings Results for the Fourth Quarter and Year Ended December 31, 2016; Provides Consolidated Revenue Guidance for the First Quarter of 2017; Provides Tax Rate Guidance for the Full Year 2017