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     141  0 Kommentare Korn Ferry Announces Fourth Quarter and Full Year FY'24 Results of Operations

    Korn Ferry (NYSE: KFY), a global organizational consulting firm, today announced fourth quarter and annual fee revenue of $690.8 million and $2,762.7 million, respectively. In addition, fourth quarter diluted earnings per share was $1.24 and adjusted diluted earnings per share was $1.26.

    “I am pleased with our fourth quarter results, as we generated $691 million in fee revenue,” said Gary D. Burnison, CEO, Korn Ferry. “Earnings and profitability increased year-over-year and sequentially as we delivered $112 million of Adjusted EBITDA, at a 16.3% margin, which is our fourth consecutive quarter of profitability improvement.”

    “In an economic environment in which companies are fighting for growth and relevancy, our portfolio is performing as designed and the strategy is clearly working. Cyclically sensitive talent acquisition offerings are being buoyed by continued stability from our diversified offerings – particularly Consulting, complemented by Digital, which have generated solid performance. As we look to a new fiscal year, I have never been more proud of our organization – from our colleagues, expertise, IP and insights to the incredibly innovative and relevant solutions we offer to clients in a rapidly changing world.”

    Selected Financial Results

    (dollars in millions, except per share amounts) (a)

     

     

    Fourth Quarter

     

    Year to Date

     

    FY’24

     

    FY’23

     

    FY’24

     

    FY’23

    Fee revenue

    $

    690.8

     

     

    $

    730.9

     

     

    $

    2,762.7

     

     

    $

    2,835.4

     

    Total revenue

    $

    699.9

     

     

    $

    738.1

     

     

    $

    2,795.5

     

     

    $

    2,863.8

     

    Operating income

    $

    83.5

     

     

    $

    72.6

     

     

    $

    212.9

     

     

    $

    316.3

     

    Operating margin

     

    12.1

    %

     

     

    9.9

    %

     

     

    7.7

    %

     

     

    11.2

    %

    Net income attributable to Korn Ferry

    $

    65.2

     

     

    $

    47.5

     

     

    $

    169.2

     

     

    $

    209.5

     

    Basic earnings per share

    $

    1.26

     

     

    $

    0.91

     

     

    $

    3.25

     

     

    $

    3.98

     

    Diluted earnings per share

    $

    1.24

     

     

    $

    0.91

     

     

    $

    3.23

     

     

    $

    3.95

     

     

     

     

     

     

     

     

     

    Adjusted Results (b):

    Fourth Quarter

     

    Year to Date

     

    FY’24

     

    FY’23

     

    FY’24

     

    FY’23

    Adjusted EBITDA

    $

    112.3

     

     

    $

    97.9

     

     

    $

    408.2

     

     

    $

    457.3

     

    Adjusted EBITDA margin

     

    16.3

    %

     

     

    13.4

    %

     

     

    14.8

    %

     

     

    16.1

    %

    Adjusted net income attributable to Korn Ferry (c)

    $

    65.7

     

     

    $

    53.0

     

     

    $

    224.0

     

     

    $

    262.2

     

    Adjusted basic earnings per share (c)

    $

    1.27

     

     

    $

    1.02

     

     

    $

    4.31

     

     

    $

    4.98

     

    Adjusted diluted earnings per share (c)

    $

    1.26

     

     

    $

    1.01

     

     

    $

    4.28

     

     

    $

    4.94

     

    ________________

    (a)

    Numbers may not total due to rounding.

    (b)

    Adjusted EBITDA refers to earnings before interest, taxes, depreciation and amortization, further adjusted to exclude integration/acquisition costs, impairment of fixed assets, impairment of right of use assets and restructuring charges, net when applicable. Adjusted results on a consolidated basis are non-GAAP financial measures that adjust for the following, as applicable (see attached reconciliations):

     

    Fourth Quarter

     

    Year to Date

     

    FY’24

     

    FY’23

     

    FY’24

     

    FY’23

    Impairment of fixed assets

    $

     

     

    $

     

     

    $

    1.6

     

     

    $

    4.4

     

    Impairment of right of use assets

    $

     

     

    $

     

     

    $

    1.6

     

     

    $

    5.5

     

    Integration/acquisition costs

    $

    1.8

     

     

    $

    5.5

     

     

    $

    14.9

     

     

    $

    14.9

     

    Restructuring charges, net

    $

     

     

    $

    1.4

     

     

    $

    68.6

     

     

    $

    42.6

     

    (c)

    Due to actions taken in connection with the worldwide minimum tax, the Company recorded a $9.7 million non-recurring tax benefit in FY'24 that resulted in the release of a valuation allowance, which is included in the Company's US GAAP results but excluded from the Adjusted results.

    Fiscal 2024 Fourth Quarter Results

    The Company reported fee revenue in Q4 FY'24 of $690.8 million, a decrease of 5% in both actual and constant currency compared to Q4 FY'23. Moderation in fee revenue from our talent acquisition offerings was buoyed by year-over-year growth in our Consulting fee revenue and stability in our Digital fee revenue, in-line with our business diversification strategy. The moderation in fee revenue in our talent acquisition offerings was driven by the challenging global economic environment (the "economic environment").

    Operating income was $83.5 million (at an operating margin of 12.1%) in Q4 FY'24, compared to $72.6 million (at an operating margin of 9.9%) in the year-ago quarter, an increase of 15% (and 220bps). Net income attributable to Korn Ferry was $65.2 million in Q4 FY'24, compared to $47.5 million in Q4 FY'23. Adjusted EBITDA was $112.3 million in Q4 FY'24 compared to $97.9 million in Q4 FY'23. Adjusted EBITDA margin was 16.3% in Q4 FY'24, an increase of 290bps.

    Operating income and margin increased as a result of pro-active workforce capacity management ("workforce actions") taken during the year and the lower cost of services expense and integration/acquisition costs compared to the year-ago quarter. These increases were partially offset by the decrease in fee revenue discussed above. Net income attributable to Korn Ferry increased due to the same factors discussed above.

    Adjusted EBITDA and margin increased due to the same factors discussed above, but excluded integration/acquisition costs.

    Fiscal 2024 Full Year Results

    The Company reported fee revenue in FY'24 of $2,762.7 million, a decrease of 3% in both actual and constant currency compared to FY'23. Fee revenue decreased primarily due to decreases in our permanent placement talent acquisition offerings, due to the economic environment. This decrease was partially offset by an increase in fee revenue from the Interim portion of Professional Search & Interim, resulting from the acquisitions of Infinity Consulting Solutions and Salo, which were acquired on August 1, 2022, and February 1, 2023, respectively, as well as year-over-year growth in Consulting and Digital fee revenue, again, in-line with our business diversification strategy.

    Operating income was $212.9 million (margin of 7.7%) in FY'24, compared to $316.3 million (margin of 11.2%) in FY'23. Net income attributable to Korn Ferry was $169.2 million in FY'24 compared to $209.5 million in FY'23. Adjusted EBITDA was $408.2 million (adjusted EBITDA margin 14.8%) in FY'24 compared to $457.3 million (adjusted EBITDA margin 16.1%) in FY'23.

    Operating income and margin decreased primarily due to a decrease in fee revenue from our permanent placement talent acquisition offerings, which have higher margins, an increase in Interim fee revenue (lower margins) and cost of services expense, and higher restructuring charges, net recorded during FY'24 compared to the year-ago period. These decreases were partially offset by decreases in compensation and benefits expense resulting from workforce actions taken during FY'24, and lower impairment charges of both fixed and right of use assets. Net income attributable to Korn Ferry declined due to the same factors discussed above partially offset by a lower effective tax rate in the current year.

    Adjusted EBITDA and margin decreased due to the same factors as operating income discussed above excluding the restructuring charges.

    Results by Line of Business

    Selected Consulting Data

    (dollars in millions) (a)

     

     

    Fourth Quarter

     

    Year to Date

     

    FY’24

     

    FY’23

     

    FY’24

     

    FY’23

    Fee revenue

    $

    182.2

     

     

    $

    175.3

     

     

    $

    695.0

     

     

    $

    677.0

     

    Total revenue

    $

    185.1

     

     

    $

    178.0

     

     

    $

    706.8

     

     

    $

    687.0

     

     

     

     

     

     

     

     

     

    Ending number of consultants and execution staff (b)

     

    1,678

     

     

     

    1,853

     

     

     

    1,678

     

     

     

    1,853

     

    Hours worked in thousands (c)

     

    417

     

     

     

    450

     

     

     

    1,656

     

     

     

    1,790

     

    Average bill rate (d)

    $

    437

     

     

    $

    390

     

     

    $

    420

     

     

    $

    378

     

     

     

     

     

     

     

     

     

    Adjusted Results (e):

    Fourth Quarter

     

    Year to Date

     

    FY’24

     

    FY’23

     

    FY’24

     

    FY’23

    Adjusted EBITDA

    $

    32.3

     

     

    $

    24.6

     

     

    $

    114.3

     

     

    $

    108.5

     

    Adjusted EBITDA margin

     

    17.8

    %

     

     

    14.0

    %

     

     

    16.4

    %

     

     

    16.0

    %

    ________________

    (a)

    Numbers may not total due to rounding.

    (b)

    Represents number of employees originating, delivering and executing consulting services.

    (c)

    The number of hours worked by consultant and execution staff during the period.

    (d)

    The amount of fee revenue divided by the number of hours worked by consultants and execution staff.

    (e)

    Adjusted results exclude the following:

     

    Fourth Quarter

     

    Year to Date

     

    FY’24

     

    FY’23

     

    FY’24

     

    FY’23

    Impairment of fixed assets

    $

     

     

    $

     

     

    $

     

     

    $

    2.8

     

    Impairment of right of use assets

    $

     

     

    $

     

     

    $

    0.6

     

     

    $

    3.1

     

    Restructuring charges, net

    $

     

     

    $

    0.8

     

     

    $

    18.9

     

     

    $

    11.6

     

    Fee revenue was $182.2 million in Q4 FY'24 compared to $175.3 million in Q4 FY'23, an increase of $6.9 million or 4% (up 5% on a constant currency basis). Growth was strongest in our assessment & succession solutions, leadership development, and organizational strategy offerings, with all product areas posting year-over-year increases in fee revenue. Fee revenue was also positively impacted by a year-over-year 12% increase in our average bill rate to $437 per hour.

    Adjusted EBITDA increased 31% to $32.3 million compared to the fourth quarter of FY'23. Adjusted EBITDA margin in the quarter increased year-over-year by 380bps to 17.8% this year. These increases resulted primarily from higher fee revenue in the previously discussed solution areas, higher bill rates, and workforce actions taken during the year and were slightly offset by an increase in cost of services expense and higher general and administrative expenses.

    Selected Digital Data

    (dollars in millions) (a)

     

     

    Fourth Quarter

     

    Year to Date

     

    FY’24

     

    FY’23

     

    FY’24

     

    FY’23

    Fee revenue

    $

    91.3

     

     

    $

    91.5

     

     

    $

    366.7

     

     

    $

    354.7

     

    Total revenue

    $

    91.4

     

     

    $

    91.5

     

     

    $

    366.9

     

     

    $

    355.0

     

     

     

     

     

     

     

     

     

    Ending number of consultants

     

    267

     

     

     

    347

     

     

     

    267

     

     

     

    347

     

    Subscription & License fee revenue

    $

    33.3

     

     

    $

    31.6

     

     

    $

    131.0

     

     

    $

    119.7

     

     

     

     

     

     

     

     

     

    Adjusted Results (b):

    Fourth Quarter

     

    Year to Date

     

    FY’24

     

    FY’23

     

    FY’24

     

    FY’23

    Adjusted EBITDA

    $

    28.0

     

     

    $

    23.6

     

     

    $

    108.7

     

     

    $

    97.5

     

    Adjusted EBITDA margin

     

    30.7

    %

     

     

    25.8

    %

     

     

    29.6

    %

     

     

    27.5

    %

    ________________

    (a)

    Numbers may not total due to rounding.

    (b)

    Adjusted results exclude the following:

     

    Fourth Quarter

     

    Year to Date

     

    FY’24

     

    FY’23

     

    FY’24

     

    FY’23

    Impairment of fixed assets

    $

     

     

    $

     

     

    $

    1.5

     

     

    $

    1.5

     

    Impairment of right of use assets

    $

     

     

    $

     

     

    $

     

     

    $

    1.7

     

    Restructuring charges, net

    $

     

     

    $

     

     

    $

    9.5

     

     

    $

    2.9

     

    Fee revenue was $91.3 million in Q4 FY'24 compared to $91.5 million in Q4 FY'23, flat year-over-year and up 1% on a constant currency basis.

    Adjusted EBITDA was $28.0 million in Q4 FY'24 compared to $23.6 million in the year-ago quarter. Adjusted EBITDA margin in the quarter increased year-over-year by 490bps to 30.7%. The increase in Adjusted EBITDA and Adjusted EBITDA margin was mainly due to workforce actions taken during FY'24.

    Selected Executive Search Data(a)

    (dollars in millions) (b)

     

     

    Fourth Quarter

     

    Year to Date

     

    FY’24

     

    FY’23

     

    FY’24

     

    FY’23

    Fee revenue

    $

    198.7

     

     

    $

    212.6

     

     

    $

    806.2

     

     

    $

    875.8

     

    Total revenue

    $

    200.8

     

     

    $

    214.6

     

     

    $

    814.3

     

     

    $

    883.3

     

     

     

     

     

     

     

     

     

    Ending number of consultants

     

    542

     

     

     

    602

     

     

     

    542

     

     

     

    602

     

    Average number of consultants

     

    552

     

     

     

    609

     

     

     

    572

     

     

     

    594

     

    Engagements billed

     

    3,456

     

     

     

    3,772

     

     

     

    8,978

     

     

     

    10,091

     

    New engagements (c)

     

    1,586

     

     

     

    1,608

     

     

     

    6,091

     

     

     

    6,686

     

     

     

     

     

     

     

     

     

    Adjusted Results (d):

    Fourth Quarter

     

    Year to Date

     

    FY’24

     

    FY’23

     

    FY’24

     

    FY’23

    Adjusted EBITDA

    $

    45.5

     

     

    $

    42.7

     

     

    $

    171.1

     

     

    $

    205.8

     

    Adjusted EBITDA margin

     

    22.9

    %

     

     

    20.1

    %

     

     

    21.2

    %

     

     

    23.5

    %

    ________________

    (a)

    Executive Search is the sum of the individual Executive Search Reporting Segments described in our annual and quarterly reporting on Forms 10-K and 10-Q and is presented on a consolidated basis as it is consistent with the Company’s discussion of its Lines of Business, and financial metrics used by the Company’s investor base.

    (b)

    Numbers may not total due to rounding.

    (c)

    Represents new engagements opened in the respective period.

    (d)

    Executive Search Adjusted EBITDA and Adjusted EBITDA margin are non-GAAP financial measures that adjust for the following:

     

    Fourth Quarter

     

    Year to Date

     

    FY’24

     

    FY’23

     

    FY’24

     

    FY’23

    Impairment of fixed assets

    $

     

     

    $

     

     

    $

    0.1

     

     

    $

     

    Impairment of right of use assets

    $

     

     

    $

     

     

    $

    0.9

     

     

    $

     

    Restructuring charges, net

    $

     

     

    $

    0.6

     

     

    $

    28.2

     

     

    $

    20.1

     

    Fee revenue was $198.7 million and $212.6 million in Q4 FY'24 and Q4 FY'23, respectively, a decrease of $13.9 million or 7% (down 6% on a constant currency basis). The decrease in fee revenue was primarily driven by a decline in the number of Executive Search engagements billed, as a result of the current economic environment.

    Adjusted EBITDA was $45.5 million in Q4 FY'24 compared to $42.7 million in the year-ago quarter. Adjusted EBITDA margin increased by 280bps to 22.9% in Q4 FY'24. The increase in Adjusted EBITDA and Adjusted EBITDA margin was primarily due to workforce actions taken during the year and increased consultant productivity, partially offset by the decrease in fee revenue discussed above.

    Selected Professional Search & Interim Data

    (dollars in millions) (a)

     

     

    Fourth Quarter

     

    Year to Date

     

    FY’24

     

    FY’23

     

    FY’24

     

    FY’23

    Fee revenue

    $

    129.2

     

     

    $

    151.7

     

     

    $

    540.6

     

     

    $

    503.4

     

    Total revenue

    $

    130.1

     

     

    $

    152.6

     

     

    $

    544.5

     

     

    $

    507.1

     

     

     

     

     

     

     

     

     

    Permanent Placement:

     

     

     

     

     

     

     

    Fee revenue

    $

    56.3

     

     

    $

    62.5

     

     

    $

    223.5

     

     

    $

    281.1

     

    Engagements billed

     

    1,939

     

     

     

    2,304

     

     

     

    5,619

     

     

     

    7,435

     

    New engagements (b)

     

    1,086

     

     

     

    1,364

     

     

     

    4,500

     

     

     

    6,486

     

    Ending number of consultants

     

    331

     

     

     

    401

     

     

     

    331

     

     

     

    401

     

    Interim:

     

     

     

     

     

     

     

    Fee revenue

    $

    72.9

     

     

    $

    89.2

     

     

    $

    317.1

     

     

    $

    222.3

     

    Average bill rate (c)

    $

    133

     

     

    $

    124

     

     

    $

    127

     

     

    $

    115

     

    Average weekly billable consultants (d)

     

    1,157

     

     

     

    1,683

     

     

     

    1,303

     

     

     

    1,079

     

     

     

     

     

     

     

     

     

    Adjusted Results (e):

    Fourth Quarter

     

    Year to Date

     

    FY’24

     

    FY’23

     

    FY’24

     

    FY’23

    Adjusted EBITDA

    $

    28.1

     

     

    $

    27.3

     

     

    $

    101.9

     

     

    $

    110.9

     

    Adjusted EBITDA margin

     

    21.8

    %

     

     

    18.0

    %

     

     

    18.8

    %

     

     

    22.0

    %

    ________________

    (a)

    Numbers may not total due to rounding.

    (b)

    Represents new engagements opened in the respective period.

    (c)

    Fee revenue from interim divided by the number of hours worked by consultants.

    (d)

    The number of billable consultants based on a weekly average in the respective period.

    (e)

    Adjusted results exclude the following:

     

    Fourth Quarter

     

    Year to Date

     

    FY’24

     

    FY’23

     

    FY’24

     

    FY’23

    Impairment of fixed assets

    $

     

     

    $

     

     

    $

     

     

    $

    0.1

     

    Impairment of right of use assets

    $

     

     

    $

     

     

    $

     

     

    $

    0.6

     

    Integration/acquisition costs

    $

    1.8

     

     

    $

    4.3

     

     

    $

    14.5

     

     

    $

    11.0

     

    Restructuring charges, net

    $

     

     

    $

     

     

    $

    3.8

     

     

    $

    4.8

     

    Fee revenue was $129.2 million in Q4 FY'24, a decrease of $22.5 million or 15% in both actual and constant currency. The decrease in fee revenue in both the Permanent Placement and Interim portions of the business resulted from the economic environment and, in the case of the Interim portion, the continued wind-down during Q4 FY’23 of a non-recurring engagement that ultimately concluded in Q1 FY’24.

    Adjusted EBITDA was $28.1 million in Q4 FY'24 compared to $27.3 million in the year-ago quarter. Adjusted EBITDA margin increased year-over-year by 380bps to 21.8% in Q4 FY'24. The increase in Adjusted EBITDA and Adjusted EBITDA margin was primarily due to the lower cost of services expense, combined with decreases in compensation and benefit and general and administrative expense (both excluding integration/acquisition costs) as a result of workforce and other cost saving actions, partially offset by the decrease in fee revenue discussed above.

    Selected Recruitment Process Outsourcing ("RPO") Data

    (dollars in millions) (a)

     

     

    Fourth Quarter

     

    Year to Date

     

    FY’24

     

    FY’23

     

    FY’24

     

    FY’23

    Fee revenue

    $

    89.5

     

     

    $

    99.8

     

     

    $

    354.1

     

     

    $

    424.6

     

    Total revenue

    $

    92.5

     

     

    $

    101.4

     

     

    $

    363.0

     

     

    $

    431.5

     

     

     

     

     

     

     

     

     

    Remaining revenue under contract (b)

    $

    657.1

     

     

    $

    776.7

     

     

    $

    657.1

     

     

    $

    776.7

     

    RPO new business (c)

    $

    128.4

     

     

    $

    115.1

     

     

    $

    439.6

     

     

    $

    597.8

     

     

     

     

     

     

     

     

     

    Adjusted Results (d):

    Fourth Quarter

     

    Year to Date

     

    FY’24

     

    FY’23

     

    FY’24

     

    FY’23

    Adjusted EBITDA

    $

    11.8

     

     

    $

    9.0

     

     

    $

    40.4

     

     

    $

    52.6

     

    Adjusted EBITDA margin

     

    13.2

    %

     

     

    9.0

    %

     

     

    11.4

    %

     

     

    12.4

    %

    ________________

    (a)

    Numbers may not total due to rounding.

    (b)

    Estimated fee revenue associated with signed contracts for which revenue has not yet been recognized.

    (c)

    Estimated total value of a contract at the point of execution of the contract.

    (d)

    Adjusted results exclude the following:

     

    Fourth Quarter

     

    Year to Date

     

    FY’24

     

    FY’23

     

    FY’24

     

    FY’23

    Impairment of right of use assets

    $

     

     

    $

     

     

    $

    0.1

     

     

    $

    0.1

     

    Restructuring charges, net

    $

     

     

    $

     

     

    $

    7.9

     

     

    $

    3.1

     

    Fee revenue was $89.5 million in Q4 FY'24, a decrease of $10.3 million or 10% in both actual and constant currency. RPO fee revenue decreased due to moderation in the hiring volume in the existing base of clients due to the economic environment, a higher percentage of FY'24 new business coming from renewals and extensions versus new logos, as well as a continuation of clients' "labor hoarding" throughout the year.

    Adjusted EBITDA was $11.8 million in Q4 FY'24 compared to $9.0 million in the year-ago quarter. Adjusted EBITDA margin increased 420bps to 13.2% in Q4 FY'24. The increase in Adjusted EBITDA and Adjusted EBITDA margin both resulted from the workforce actions taken during the year, partially offset by the decline in fee revenue discussed above.

    Outlook

    Assuming worldwide geopolitical conditions, economic conditions, financial markets and foreign exchange rates remain steady, on a consolidated basis:

    • Q1 FY’25 fee revenue is expected to be in the range of $655 million and $675 million; and
    • Q1 FY’25 diluted earnings per share is expected to range between $1.05 to $1.15.

    On a consolidated adjusted basis:

    • Q1 FY’25 adjusted diluted earnings per share is expected to be in the range from $1.07 to $1.17.

     

    Q1 FY’25

    Earnings Per Share Outlook

     

    Low

     

    High

     

     

    Consolidated diluted earnings per share

    $

    1.05

     

     

    $

    1.15

     

    Integration/acquisition costs

     

    0.03

     

     

    0.03

     

    Tax rate impact

     

    (0.01

    )

     

     

    (0.01

    )

    Consolidated adjusted diluted earnings per share(1)

    $

    1.07

     

    $

    1.17
    ________________

    (1)

    Consolidated adjusted diluted earnings per share is a non-GAAP financial measure that excludes the items listed in the table.

    Earnings Conference Call Webcast

    The earnings conference call will be held today at 11:00 AM (EDT) and hosted by CEO Gary Burnison, CFO Robert Rozek, SVP Business Development & Analytics Gregg Kvochak and VP Investor Relations Tiffany Louder. The conference call will be webcast and available online at ir.kornferry.com. We will also post to the investor relations section of our website earnings slides, which will accompany our webcast, and other important information, and encourage you to review the information that we make available on our website.

    About Korn Ferry

    Korn Ferry is a global organizational consulting firm. We help clients synchronize strategy and talent to drive superior performance. We work with organizations to design their structures, roles, and responsibilities. We help them hire the right people to bring their strategy to life. And we advise them on how to reward, develop, and motivate their people. Visit kornferry.com for more information.

    Forward-Looking Statements

    Statements in this press release and our conference call that relate to our outlook, projections, goals, strategies, future plans and expectations, including statements relating to expected demand for and relevance of our products and services, expected results of our business diversification strategy, and other statements of future events or conditions are forward-looking statements that involve a number of risks and uncertainties. Words such as “believes”, “expects”, “anticipates”, “goals”, “estimates”, “guidance”, “may”, “should”, “could”, “will” or “likely”, and variations of such words and similar expressions are intended to identify such forward-looking statements. Readers are cautioned not to place undue reliance on such statements. Such statements are based on current expectations; actual results in future periods may differ materially from those currently expected or desired because of a number of risks and uncertainties that are beyond the control of Korn Ferry. The potential risks and uncertainties include those relating to global and local political and or economic developments in or affecting countries where we have operations, such as inflation, interest rates, global slowdowns, or recessions, competition, geopolitical tensions, shifts in global trade patterns, changes in demand for our services as a result of automation, dependence on and costs of attracting and retaining qualified and experienced consultants, impact of inflationary pressures on our profitability, our ability to maintain relationships with customers and suppliers and retaining key employees, maintaining our brand name and professional reputation, potential legal liability and regulatory developments, portability of client relationships, consolidation of or within the industries we serve, changes and developments in government laws and regulations, evolving investor and customer expectations with regard to environmental, social and governance matters, currency fluctuations in our international operations, risks related to growth, alignment of our cost structure, including as a result of recent workforce, real estate, and other restructuring initiatives, restrictions imposed by off-limits agreements, reliance on information processing systems, cyber security vulnerabilities or events, changes to data security, data privacy, and data protection laws, dependence on third parties for the execution of critical functions, limited protection of our intellectual property ("IP"), our ability to enhance, develop and respond to new technology, including artificial intelligence, our ability to successfully recover from a disaster or other business continuity problems, employment liability risk, an impairment in the carrying value of goodwill and other intangible assets, treaties, or regulations on our business and our Company, deferred tax assets that we may not be able to use, our ability to develop new products and services, changes in our accounting estimates and assumptions, the utilization and billing rates of our consultants, seasonality, the expansion of social media platforms, the ability to effect acquisitions and integrate acquired businesses, resulting organizational changes, our indebtedness, and those relating to the ultimate magnitude and duration of any pandemic or outbreaks. For a detailed description of risks and uncertainties that could cause differences from our expectations, please refer to Korn Ferry’s periodic filings with the Securities and Exchange Commission. Korn Ferry disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

    Use of Non-GAAP Financial Measures

    This press release contains financial information calculated other than in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”). In particular, it includes:

    • Adjusted net income attributable to Korn Ferry, adjusted to exclude integration/acquisition costs, impairment of fixed assets, impairment of right of use assets, and restructuring charges, net of income tax effect and to exclude a $9.7 million non-recurring tax benefit from actions taken in connection with the worldwide minimum tax that resulted in the release of a valuation allowance;
    • Adjusted basic and diluted earnings per share, adjusted to exclude integration/acquisition costs, impairment of fixed assets, impairment of right of use assets, and restructuring charges, net of income tax effect, and to exclude a $9.7 million non-recurring tax benefit from actions taken in connection with the worldwide minimum tax that resulted in the release of a valuation allowance;
    • Constant currency (calculated using a quarterly average) percentages that represent the percentage change that would have resulted had exchange rates in the prior period been the same as those in effect in the current period; and
    • Consolidated and Executive Search Adjusted EBITDA, which is earnings before interest, taxes, depreciation and amortization, further adjusted to exclude integration/acquisition costs, impairment of fixed assets, impairment of right of use assets and restructuring charges, net when applicable, and Consolidated and Executive Search Adjusted EBITDA margin.

    This non-GAAP disclosure has limitations as an analytical tool, should not be viewed as a substitute for financial information determined in accordance with GAAP, and should not be considered in isolation or as a substitute for analysis of the Company’s results as reported under GAAP, nor is it necessarily comparable to non-GAAP performance measures that may be presented by other companies.

    Management believes the presentation of non-GAAP financial measures in this press release provides meaningful supplemental information regarding Korn Ferry’s performance by excluding certain charges that may not be indicative of Korn Ferry’s ongoing operating results. These non-GAAP financial measures are performance measures and are not indicative of the liquidity of Korn Ferry. These charges, which are described in the footnotes in the attached reconciliations, represent 1) costs we incurred to acquire and integrate a portion of our Professional Search & Interim business, 2) impairment of fixed assets primarily due to a software impairment charge in our Digital segment in FY'24 and impairment on leasehold improvements due to terminating and deciding to sublease some of our office leases in FY'23, 3) impairment of right of use assets due to the decision to terminate and sublease some of our offices, 4) restructuring charges, net to align workforce to the challenging macroeconomic business environment arising from persistent inflationary pressures, rising interest rates and global economic and geopolitical uncertainty and 5) to exclude a $9.7 million non-recurring tax benefit from actions taken in connection with the worldwide minimum tax that resulted in the release of a valuation allowance. The use of non-GAAP financial measures facilitates comparisons to Korn Ferry’s historical performance. Korn Ferry includes non-GAAP financial measures because management believes they are useful to investors in allowing for greater transparency with respect to supplemental information used by management in its evaluation of Korn Ferry’s ongoing operations and financial and operational decision-making. Adjusted net income attributable to Korn Ferry, adjusted basic and diluted earnings per share and Consolidated and Executive Search Adjusted EBITDA, exclude certain charges that management does not consider on-going in nature and allows management and investors to make more meaningful period-to-period comparisons of the Company’s operating results. Management further believes that Consolidated and Executive Search Adjusted EBITDA is useful to investors because it is frequently used by investors and other interested parties to measure operating performance among companies with different capital structures, effective tax rates and tax attributes and capitalized asset values, all of which can vary substantially from company to company. In the case of constant currency percentages, management believes the presentation of such information provides useful supplemental information regarding Korn Ferry's performance as excluding the impact of exchange rate changes on Korn Ferry's financial performance allows investors to make more meaningful period-to-period comparisons of the Company’s operating results, to better identify operating trends that may otherwise be masked or distorted by exchange rate changes and to perform related trend analysis, and provides a higher degree of transparency of information used by management in its evaluation of Korn Ferry's ongoing operations and financial and operational decision-making.

    KORN FERRY AND SUBSIDIARIES

    CONSOLIDATED STATEMENTS OF INCOME

    (in thousands, except per share amounts)

     

     

     

     

     

     

     

    Three Months Ended
    April 30,

     

    Year Ended
    April 30,

     

     

    2024

     

    2023

     

    2024

     

    2023

     

     

     

     

     

     

     

     

     

     

     

    (unaudited)

     

     

     

     

    Fee revenue

    $

    690,800

     

     

    $

    730,874

     

     

    $

    2,762,671

     

     

    $

    2,835,408

     

    Reimbursed out-of-pocket engagement expenses

     

    9,123

     

     

     

    7,250

     

     

     

    32,834

     

     

     

    28,428

     

    Total revenue

     

    699,923

     

     

     

    738,124

     

     

     

    2,795,505

     

     

     

    2,863,836

     

     

     

     

     

     

     

     

     

    Compensation and benefits

     

    454,208

     

     

     

    491,429

     

     

     

    1,844,164

     

     

     

    1,901,203

     

    General and administrative expenses

     

    64,724

     

     

     

    66,130

     

     

     

    259,039

     

     

     

    268,458

     

    Reimbursed expenses

     

    9,123

     

     

     

    7,250

     

     

     

    32,834

     

     

     

    28,428

     

    Cost of services

     

    68,499

     

     

     

    81,347

     

     

     

    300,015

     

     

     

    238,499

     

    Depreciation and amortization

     

    19,891

     

     

     

    17,976

     

     

     

    77,966

     

     

     

    68,335

     

    Restructuring charges, net

     

     

     

     

    1,411

     

     

     

    68,558

     

     

     

    42,573

     

    Total operating expenses

     

    616,445

     

     

     

    665,543

     

     

     

    2,582,576

     

     

     

    2,547,496

     

     

     

     

     

     

     

     

     

    Operating income

     

    83,478

     

     

     

    72,581

     

     

     

    212,929

     

     

     

    316,340

     

    Other income, net

     

    7,122

     

     

     

    437

     

     

     

    30,681

     

     

     

    5,261

     

    Interest expense, net

     

    (4,686

    )

     

     

    (5,776

    )

     

     

    (20,968

    )

     

     

    (25,864

    )

    Income before provision for income taxes

     

    85,914

     

     

     

    67,242

     

     

     

    222,642

     

     

     

    295,737

     

    Income tax provision

     

    20,302

     

     

     

    19,108

     

     

     

    50,081

     

     

     

    82,683

     

    Net income

     

    65,612

     

     

     

    48,134

     

     

     

    172,561

     

     

     

    213,054

     

    Net income attributable to noncontrolling interest

     

    (423

    )

     

     

    (640

    )

     

     

    (3,407

    )

     

     

    (3,525

    )

    Net income attributable to Korn Ferry

    $

    65,189

     

     

    $

    47,494

     

     

    $

    169,154

     

     

    $

    209,529

     

     

     

     

     

     

     

     

     

    Earnings per common share attributable to Korn Ferry:

     

     

     

     

     

     

     

    Basic

    $

    1.26

     

     

    $

    0.91

     

     

    $

    3.25

     

     

    $

    3.98

     

    Diluted

    $

    1.24

     

     

    $

    0.91

     

     

    $

    3.23

     

     

    $

    3.95

     

     

     

     

     

     

     

     

     

    Weighted-average common shares outstanding:

     

     

     

     

     

     

     

    Basic

     

    50,764

     

     

     

    51,009

     

     

     

    51,038

     

     

     

    51,482

     

    Diluted

     

    51,487

     

     

     

    51,234

     

     

     

    51,432

     

     

     

    51,883

     

     

     

     

     

     

     

     

     

    Cash dividends declared per share:

    $

    0.33

     

     

    $

    0.15

     

     

    $

    1.02

     

     

    $

    0.60

     

     

    KORN FERRY AND SUBSIDIARIES

    FINANCIAL SUMMARY BY REPORTING SEGMENT

    (dollars in thousands)

    (unaudited)

     

     

     

     

    Three Months Ended
    April 30,

    Year Ended
    April 30,

     

    2024

    2023

    % Change

    2024

    2023

    % Change

    Fee revenue:

     

     

     

     

     

     

    Consulting

    $

    182,177

     

    $

    175,270

     

    3.9

    %

    $

    695,007

     

    $

    677,001

     

    2.7

    %

    Digital

     

    91,304

     

     

    91,490

     

    (0.2

    %)

     

    366,699

     

     

    354,651

     

    3.4

    %

    Executive Search:

     

     

     

     

     

     

    North America

     

    125,468

     

     

    135,300

     

    (7.3

    %)

     

    506,927

     

     

    562,139

     

    (9.8

    %)

    EMEA

     

    45,643

     

     

    46,353

     

    (1.5

    %)

     

    184,516

     

     

    187,014

     

    (1.3

    %)

    Asia Pacific

     

    20,696

     

     

    23,188

     

    (10.7

    %)

     

    85,863

     

     

    95,598

     

    (10.2

    %)

    Latin America

     

    6,896

     

     

    7,764

     

    (11.2

    %)

     

    28,937

     

     

    31,047

     

    (6.8

    %)

    Total Executive Search (a)

     

    198,703

     

     

    212,605

     

    (6.5

    %)

     

    806,243

     

     

    875,798

     

    (7.9

    %)

    Professional Search & Interim

     

    129,162

     

     

    151,725

     

    (14.9

    %)

     

    540,615

     

     

    503,395

     

    7.4

    %

    RPO

     

    89,454

     

     

    99,784

     

    (10.4

    %)

     

    354,107

     

     

    424,563

     

    (16.6

    %)

    Total fee revenue

     

    690,800

     

     

    730,874

     

    (5.5

    %)

     

    2,762,671

     

     

    2,835,408

     

    (2.6

    %)

    Reimbursed out-of-pocket engagement expenses

     

    9,123

     

     

    7,250

     

    25.8

    %

     

    32,834

     

     

    28,428

     

    15.5

    %

    Total revenue

    $

    699,923

     

    $

    738,124

     

    (5.2

    %)

    $

    2,795,505

     

    $

    2,863,836

     

    (2.4

    %)

    (a)

    Total Executive Search is the sum of the individual Executive Search Reporting Segments and is presented on a consolidated basis as it is consistent with the Company’s discussion of its Lines of Business, and financial metrics used by the Company’s investor base.

     

    KORN FERRY AND SUBSIDIARIES

    CONSOLIDATED BALANCE SHEETS

    (in thousands, except per share amounts)

     

     

     

     

     

     

     

    April 30,
    2024

     

    April 30,
    2023

     

     

     

     

    ASSETS

     

     

     

    Cash and cash equivalents

    $

    941,005

     

     

    $

    844,024

     

    Marketable securities

     

    42,742

     

     

     

    44,837

     

    Receivables due from clients, net of allowance for doubtful accounts of $44,192 and $44,377 at April 30, 2024 and 2023, respectively

     

    541,014

     

     

     

    569,601

     

    Income taxes and other receivables

     

    40,696

     

     

     

    67,512

     

    Unearned compensation

     

    59,247

     

     

     

    63,476

     

    Prepaid expenses and other assets

     

    49,456

     

     

     

    49,219

     

    Total current assets

     

    1,674,160

     

     

     

    1,638,669

     

     

     

     

     

    Marketable securities, non-current

     

    211,681

     

     

     

    179,040

     

    Property and equipment, net

     

    161,849

     

     

     

    161,876

     

    Operating lease right-of-use assets, net

     

    160,464

     

     

     

    142,690

     

    Cash surrender value of company-owned life insurance policies, net of loans

     

    218,977

     

     

     

    197,998

     

    Deferred income taxes

     

    133,564

     

     

     

    102,057

     

    Goodwill

     

    908,376

     

     

     

    909,491

     

    Intangible assets, net

     

    88,833

     

     

     

    114,426

     

    Unearned compensation, non-current

     

    99,913

     

     

     

    103,607

     

    Investments and other assets

     

    21,052

     

     

     

    24,590

     

    Total assets

    $

    3,678,869

     

     

    $

    3,574,444

     

     

     

     

     

    LIABILITIES AND STOCKHOLDERS' EQUITY

     

     

     

    Accounts payable

    $

    50,112

     

     

    $

    53,386

     

    Income taxes payable

     

    24,076

     

     

     

    19,969

     

    Compensation and benefits payable

     

    525,466

     

     

     

    532,934

     

    Operating lease liability, current

     

    36,073

     

     

     

    45,821

     

    Other accrued liabilities

     

    298,792

     

     

     

    324,150

     

    Total current liabilities

     

    934,519

     

     

     

    976,260

     

     

     

     

     

    Deferred compensation and other retirement plans

     

    440,396

     

     

     

    396,534

     

    Operating lease liability, non-current

     

    143,507

     

     

     

    119,220

     

    Long-term debt

     

    396,946

     

     

     

    396,194

     

    Deferred tax liabilities

     

    4,540

     

     

     

    5,352

     

    Other liabilities

     

    21,636

     

     

     

    27,879

     

    Total liabilities

     

    1,941,544

     

     

     

    1,921,439

     

     

     

     

     

    Stockholders' equity

     

     

     

    Common stock: $0.01 par value, 150,000 shares authorized, 77,460 and 76,693 shares issued and 51,983 and 52,269 shares outstanding at April 30, 2024 and 2023, respectively

     

    414,885

     

     

     

    429,754

     

    Retained earnings

     

    1,425,844

     

     

     

    1,311,081

     

    Accumulated other comprehensive loss, net

     

    (107,671

    )

     

     

    (92,764

    )

    Total Korn Ferry stockholders' equity

     

    1,733,058

     

     

     

    1,648,071

     

    Noncontrolling interest

     

    4,267

     

     

     

    4,934

     

    Total stockholders' equity

     

    1,737,325

     

     

     

    1,653,005

     

    Total liabilities and stockholders' equity

    $

    3,678,869

     

     

    $

    3,574,444

     

     

    KORN FERRY AND SUBSIDIARIES

    RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES

    (dollars in thousands)

    (unaudited)

     

     

     

     

     

     

     

    Three Months Ended
    April 30,

     

    Year Ended
    April 30,

     

     

    2024

     

    2023

     

    2024

     

    2023

     

     

     

     

     

     

     

     

    Net income attributable to Korn Ferry

    $

    65,189

     

     

    $

    47,494

     

     

    $

    169,154

     

     

    $

    209,529

     

    Net income attributable to non-controlling interest

     

    423

     

     

     

    640

     

     

     

    3,407

     

     

     

    3,525

     

    Net income

     

    65,612

     

     

     

    48,134

     

     

     

    172,561

     

     

     

    213,054

     

    Income tax provision

     

    20,302

     

     

     

    19,108

     

     

     

    50,081

     

     

     

    82,683

     

    Income before provision for income taxes

     

    85,914

     

     

     

    67,242

     

     

     

    222,642

     

     

     

    295,737

     

    Other income, net

     

    (7,122

    )

     

     

    (437

    )

     

     

    (30,681

    )

     

     

    (5,261

    )

    Interest expense, net

     

    4,686

     

     

     

    5,776

     

     

     

    20,968

     

     

     

    25,864

     

    Operating income

     

    83,478

     

     

     

    72,581

     

     

     

    212,929

     

     

     

    316,340

     

    Depreciation and amortization

     

    19,891

     

     

     

    17,976

     

     

     

    77,966

     

     

     

    68,335

     

    Other income, net

     

    7,122

     

     

     

    437

     

     

     

    30,681

     

     

     

    5,261

     

    Integration/acquisition costs (1)

     

    1,809

     

     

     

    5,450

     

     

     

    14,866

     

     

     

    14,922

     

    Impairment of fixed assets (2)

     

     

     

     

     

     

     

    1,575

     

     

     

    4,375

     

    Impairment of right of use assets (3)

     

     

     

     

     

     

     

    1,629

     

     

     

    5,471

     

    Restructuring charges, net (4)

     

     

     

     

    1,411

     

     

     

    68,558

     

     

     

    42,573

     

    Adjusted EBITDA

    $

    112,300

     

     

    $

    97,855

     

     

    $

    408,204

     

     

    $

    457,277

     

     

     

     

     

     

     

     

     

    Operating margin

     

    12.1

    %

     

     

    9.9

    %

     

     

    7.7

    %

     

     

    11.2

    %

    Depreciation and amortization

     

    2.9

    %

     

     

    2.5

    %

     

     

    2.8

    %

     

     

    2.4

    %

    Other income, net

     

    1.0

    %

     

     

    0.1

    %

     

     

    1.1

    %

     

     

    0.2

    %

    Integration/acquisition costs (1)

     

    0.3

    %

     

     

    0.7

    %

     

     

    0.5

    %

     

     

    0.5

    %

    Impairment of fixed assets (2)

     

    %

     

     

    %

     

     

    0.1

    %

     

     

    0.1

    %

    Impairment of right of use assets (3)

     

    %

     

     

    %

     

     

    0.1

    %

     

     

    0.2

    %

    Restructuring charges, net (4)

     

    %

     

     

    0.2

    %

     

     

    2.5

    %

     

     

    1.5

    %

    Adjusted EBITDA margin

     

    16.3

    %

     

     

    13.4

    %

     

     

    14.8

    %

     

     

    16.1

    %

     

     

     

     

     

     

     

     

    Net income attributable to Korn Ferry

    $

    65,189

     

     

    $

    47,494

     

     

    $

    169,154

     

     

    $

    209,529

     

    Integration/acquisition costs (1)

     

    1,809

     

     

     

    5,450

     

     

     

    14,866

     

     

     

    14,922

     

    Impairment of fixed assets (2)

     

     

     

     

     

     

     

    1,575

     

     

     

    4,375

     

    Impairment of right of use assets (3)

     

     

     

     

     

     

     

    1,629

     

     

     

    5,471

     

    Restructuring charges, net (4)

     

     

     

     

    1,411

     

     

     

    68,558

     

     

     

    42,573

     

    Tax effect on the adjusted items (5)

     

    (1,267

    )

     

     

    (1,309

    )

     

     

    (22,030

    )

     

     

    (14,719

    )

    Tax adjustment (6)

     

     

     

     

     

     

     

    (9,714

    )

     

     

     

    Adjusted net income attributable to Korn Ferry

    $

    65,731

     

     

    $

    53,046

     

     

    $

    224,038

     

     

    $

    262,151

     

    Explanation of Non-GAAP Adjustments

    (1)

    Costs associated with previous acquisitions, such as legal and professional fees, retention awards and the on-going integration expenses to combine the companies.

    (2)

    Costs associated with impairment of fixed assets primarily due to software impairment charge in our Digital segment in FY'24 and impairment on leasehold improvements due to terminating and deciding to sublease some of our office leases in FY'23.

    (3)

    Costs associated with impairment of right-of-use assets due to terminating and deciding to sublease some of our office leases.

    (4)

    Restructuring charges incurred to align our workforce to the challenging macroeconomic business environment arising from persistent inflationary pressures, rising interest rates and global economic geopolitical uncertainty.

    (5)

    Tax effect on integration/acquisition costs, impairment of fixed assets and right of use assets, and restructuring charges, net.

    (6)

    Due to actions taken in connection with the worldwide minimum tax, the Company recorded a $9.7 million non-recurring tax benefit in fiscal 2024 that resulted in the release of a valuation allowance, which is included in the Company's US GAAP results but excluded from the Adjusted results.

     

    KORN FERRY AND SUBSIDIARIES

    RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES - CONTINUED

    (unaudited)

     

     

     

     

     

     

     

    Three Months Ended
    April 30,

     

    Year Ended
    April 30,

     

     

    2024

     

    2023

     

    2024

     

    2023

     

     

     

     

     

    Basic earnings per common share

    $

    1.26

     

    $

    0.91

     

    $

    3.25

     

    $

    3.98

     

    Integration/acquisition costs (1)

     

    0.04

     

     

    0.11

     

     

    0.29

     

     

    0.29

     

    Impairment of fixed assets (2)

     

     

     

     

     

    0.03

     

     

    0.08

     

    Impairment of right of use assets (3)

     

     

     

     

     

    0.03

     

     

    0.10

     

    Restructuring charges, net (4)

     

     

     

    0.03

     

     

    1.33

     

     

    0.82

     

    Tax effect on the adjusted items (5)

     

    (0.03

    )

     

    (0.03

    )

     

    (0.43

    )

     

    (0.29

    )

    Tax adjustment (6)

     

     

     

     

     

    (0.19

    )

     

     

    Adjusted basic earnings per share

    $

    1.27

     

    $

    1.02

     

    $

    4.31

     

    $

    4.98

     

     

     

     

     

     

    Diluted earnings per common share

    $

    1.24

     

    $

    0.91

     

    $

    3.23

     

    $

    3.95

     

    Integration/acquisition costs (1)

     

    0.04

     

     

    0.10

     

     

    0.29

     

     

    0.28

     

    Impairment of fixed assets (2)

     

     

     

     

     

    0.03

     

     

    0.08

     

    Impairment of right of use assets (3)

     

     

     

     

     

    0.03

     

     

    0.10

     

    Restructuring charges, net (4)

     

     

     

    0.03

     

     

    1.32

     

     

    0.82

     

    Tax effect on the adjusted items (5)

     

    (0.02

    )

     

    (0.03

    )

     

    (0.43

    )

     

    (0.29

    )

    Tax adjustment (6)

     

     

     

     

     

    (0.19

    )

     

     

    Adjusted diluted earnings per share

    $

    1.26

     

    $

    1.01

     

    $

    4.28

     

    $

    4.94

     

    Explanation of Non-GAAP Adjustments

    (1)

    Costs associated with previous acquisitions, such as legal and professional fees, retention awards and the on-going integration expenses to combine the companies.

    (2)

    Costs associated with impairment of fixed assets primarily due to software impairment charge in our Digital segment in FY'24 and impairment on leasehold improvements due to terminating and deciding to sublease some of our office leases in FY'23.

    (3)

    Costs associated with impairment of right-of-use assets due to terminating and deciding to sublease some of our office leases.

    (4)

    Restructuring charges incurred to align our workforce to the challenging macroeconomic business environment arising from persistent inflationary pressures, rising interest rates and global economic geopolitical uncertainty.

    (5)

    Tax effect on integration/acquisition costs, impairment of fixed assets and right of use assets, and restructuring charges, net.

    (6)

    Due to actions taken in connection with the worldwide minimum tax, the Company recorded a $9.7 million non-recurring tax benefit in fiscal 2024 that resulted in the release of a valuation allowance, which is included in the Company's US GAAP results but excluded from the Adjusted results.

     

    KORN FERRY AND SUBSIDIARIES

    RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES - CONTINUED

    (unaudited)

     

     

     

     

     

    Three Months Ended April 30,

     

     

    2024

     

    2023

     

     

    Fee
    revenue

     

    Total
    revenue

     

    Adjusted
    EBITDA

     

    Adjusted
    EBITDA
    margin

     

    Fee
    revenue

     

    Total
    revenue

     

    Adjusted
    EBITDA

     

    Adjusted
    EBITDA
    margin

     

     

    (dollars in thousands)

    Consulting

    $

    182,177

     

    $

    185,130

     

    $

    32,340

     

    17.8

    %

    $

    175,270

     

    $

    177,985

     

    $

    24,558

     

    14.0

    %

    Digital

     

    91,304

     

     

    91,361

     

     

    27,991

     

    30.7

    %

     

    91,490

     

     

    91,488

     

     

    23,603

     

    25.8

    %

    Executive Search:

     

     

     

     

     

     

     

     

    North America

     

    125,468

     

     

    127,140

     

     

    33,136

     

    26.4

    %

     

    135,300

     

     

    136,926

     

     

    28,686

     

    21.2

    %

    EMEA

     

    45,643

     

     

    45,931

     

     

    6,846

     

    15.0

    %

     

    46,353

     

     

    46,671

     

     

    6,803

     

    14.7

    %

    Asia Pacific

     

    20,696

     

     

    20,819

     

     

    4,233

     

    20.5

    %

     

    23,188

     

     

    23,287

     

     

    5,499

     

    23.7

    %

    Latin America

     

    6,896

     

     

    6,906

     

     

    1,275

     

    18.5

    %

     

    7,764

     

     

    7,765

     

     

    1,684

     

    21.7

    %

    Total Executive Search

     

    198,703

     

     

    200,796

     

     

    45,490

     

    22.9

    %

     

    212,605

     

     

    214,649

     

     

    42,672

     

    20.1

    %

    Professional Search & Interim

     

    129,162

     

     

    130,105

     

     

    28,122

     

    21.8

    %

     

    151,725

     

     

    152,628

     

     

    27,292

     

    18.0

    %

    RPO

     

    89,454

     

     

    92,531

     

     

    11,782

     

    13.2

    %

     

    99,784

     

     

    101,374

     

     

    9,026

     

    9.0

    %

    Corporate

     

     

     

     

     

    (33,425

    )

     

     

     

     

     

     

    (29,296

    )

     

    Consolidated

    $

    690,800

     

    $

    699,923

     

    $

    112,300

     

    16.3

    %

    $

    730,874

     

    $

    738,124

     

    $

    97,855

     

    13.4

    %

     

    Year Ended April 30,

     

    2024

     

    2023

     

    Fee
    revenue

     

    Total
    revenue

     

    Adjusted
    EBITDA

     

    Adjusted
    EBITDA
    margin

     

    Fee
    revenue

     

    Total
    revenue

     

    Adjusted
    EBITDA

     

    Adjusted
    EBITDA
    margin

     

    (dollars in thousands)

    Consulting

    $

    695,007

     

    $

    706,805

     

    $

    114,260

     

    16.4

    %

    $

    677,001

     

    $

    686,979

     

    $

    108,502

     

    16.0

    %

    Digital

     

    366,699

     

     

    366,924

     

     

    108,669

     

    29.6

    %

     

    354,651

     

     

    354,967

     

     

    97,458

     

    27.5

    %

    Executive Search:

     

     

     

     

     

     

     

     

    North America

     

    506,927

     

     

    513,545

     

     

    120,710

     

    23.8

    %

     

    562,139

     

     

    568,212

     

     

    140,850

     

    25.1

    %

    EMEA

     

    184,516

     

     

    185,552

     

     

    25,902

     

    14.0

    %

     

    187,014

     

     

    188,114

     

     

    31,380

     

    16.8

    %

    Asia Pacific

     

    85,863

     

     

    86,273

     

     

    18,923

     

    22.0

    %

     

    95,598

     

     

    95,956

     

     

    24,222

     

    25.3

    %

    Latin America

     

    28,937

     

     

    28,956

     

     

    5,571

     

    19.3

    %

     

    31,047

     

     

    31,054

     

     

    9,370

     

    30.2

    %

    Total Executive Search

     

    806,243

     

     

    814,326

     

     

    171,106

     

    21.2

    %

     

    875,798

     

     

    883,336

     

     

    205,822

     

    23.5

    %

    Professional Search & Interim

     

    540,615

     

     

    544,453

     

     

    101,868

     

    18.8

    %

     

    503,395

     

     

    507,058

     

     

    110,879

     

    22.0

    %

    RPO

     

    354,107

     

     

    362,997

     

     

    40,399

     

    11.4

    %

     

    424,563

     

     

    431,496

     

     

    52,588

     

    12.4

    %

    Corporate

     

     

     

     

     

    (128,098

    )

     

     

     

     

     

     

    (117,972

    )

     

    Consolidated

    $

    2,762,671

     

    $

    2,795,505

     

    $

    408,204

     

    14.8

    %

    $

    2,835,408

     

    $

    2,863,836

     

    $

    457,277

     

    16.1

    %

     


    The Korn Ferry Stock at the time of publication of the news with a raise of 0,00 % to 58,75EUR on Lang & Schwarz stock exchange (13. Juni 2024, 12:50 Uhr).


    Business Wire (engl.)
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    Korn Ferry Announces Fourth Quarter and Full Year FY'24 Results of Operations Korn Ferry (NYSE: KFY), a global organizational consulting firm, today announced fourth quarter and annual fee revenue of $690.8 million and $2,762.7 million, respectively. In addition, fourth quarter diluted earnings per share was $1.24 and …