DHI Group Announces New $5 Million Stock Repurchase Program

Rhea-AI Summary

DHI Group (NYSE: DHX) has announced a new stock repurchase program authorized by its Board of Directors, allowing for the repurchase of up to $5 million of the company's common stock. The program will be effective from February 10, 2025 through February 9, 2026.

Management will have discretion over the conditions of share purchases, including block trades. The repurchases will be conducted through open market, private transactions, or other means, with timing, price, and structure at the company's sole discretion. The authorization doesn't obligate DHI to acquire any specific amount of shares, and the program can be suspended, modified, or terminated by the Board at any time.

Greg Schippers, Interim CFO, stated the program reflects confidence in the company's strategic priorities and business strength, noting they will monitor the program considering capital market and economic changes.

Positive

• Authorization of $5 million stock repurchase program indicates financial strength
• Program demonstrates management's commitment to shareholder value
• Flexible implementation allows strategic timing of purchases

Negative

• Relatively small buyback amount may limit impact on share price
• Program doesn't begin until February 2025, indicating delayed shareholder returns

Insights

Financial Analyst

DHI Group's newly announced $5 million stock repurchase program warrants careful analysis within the context of the company's $110 million market capitalization. This initiative, representing approximately 4.5% of the company's market value, is particularly interesting for a specialized tech recruitment platform operator in today's dynamic labor market.

The timing and structure of this buyback program reveal several strategic considerations:

• The relatively modest size suggests a balanced approach to capital allocation, maintaining flexibility while still demonstrating confidence in the company's valuation
• The one-year authorization window, starting February 10, 2025, provides management with tactical flexibility to execute purchases during potential market volatility
• The discretionary nature of the program, including block trade capabilities, enables opportunistic buying during price dips

From a financial perspective, this move carries several implications:

• With the reduced float, earnings per share could see a modest boost, though the impact may be given the program's size
• The timing aligns with broader market uncertainty, potentially allowing DHI to acquire shares at attractive valuations
• The authorization's structure, allowing for suspension or modification, provides important flexibility if market conditions change

For a tech-focused recruitment platform like DHI, which operates Dice and ClearanceJobs marketplaces, this buyback suggests management's confidence in their AI-powered business model despite current tech sector volatility. However, investors should note that the relatively small size of the program may limit its impact on overall shareholder returns and stock price support.

CENTENNIAL, Colo.--(BUSINESS WIRE)-- DHI Group, Inc. (NYSE: DHX) today announced that its Board of Directors authorized a new stock repurchase program that permits the repurchase of up to $5 million of the Company's common stock.

This new authorization will be effective February 10, 2025 and is approved to run through February 9, 2026, subject to any future extension in the discretion of DHI’s Board of Directors. Under the program, management has discretion in determining the conditions under which shares may be purchased from time to time, including block trades.

"DHI’s Board of Directors and management team are committed to delivering value to our shareholders," said Greg Schippers, Interim Chief Financial Officer of DHI Group, Inc. "We believe this repurchase program reflects our confidence in the execution of our strategic priorities and strength of the business. We will continue to monitor the program in light of changes we see in the capital markets or the economy in general.”

Repurchases will be made in accordance with applicable securities laws in the open market, in privately negotiated transactions or through other means. The number, price, structure, and timing of the repurchases, if any, will be at our sole discretion and future repurchases will be evaluated by us depending on market conditions, liquidity needs, restrictions under the agreements governing our indebtedness, and other factors. The repurchase authorization does not oblige us to acquire any particular amount of our common stock. The Board of Directors may suspend, modify, or terminate the stock repurchase program at any time without prior notice.

About DHI Group, Inc.

DHI Group, Inc (NYSE: DHX) is a provider of AI-powered career marketplaces that focus on technology roles. DHI's two brands, Dice and ClearanceJobs, enable recruiters and hiring managers to efficiently search for and connect with highly skilled technologists based on the skills requested. The Company's patented algorithm manages over 100,000 unique technology skills. Additionally, our marketplaces allow technology professionals to find their ideal next career opportunity, with relevant advice and personalized insights. Learn more at www.dhigroupinc.com.

Forward-Looking Statement

This press release and oral statements made from time to time by our representatives contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. You should not place undue reliance on those statements because they are subject to numerous uncertainties and factors relating to our operations and business environment, all of which are difficult to predict and many of which are beyond our control. Forward-looking statements include, without limitation, information concerning our possible or assumed future financial condition, liquidity and results of operations, including expectations (financial or otherwise), our strategy, plans, objectives, expectations (financial or otherwise) and intentions, growth potential, and statements regarding our 2025 financial outlook. These statements often include words such as “may,” “will,” “should,” “believe,” “expect,” “anticipate,” “intend,” “plan,” “estimate” or similar expressions. These statements are based on assumptions that we have made in light of our experience in the industry as well as our perceptions of historical trends, current conditions, expected future developments and other factors we believe are appropriate under the circumstances. Although we believe that these forward-looking statements are based on reasonable assumptions, you should be aware that many factors could affect our actual financial results or results of operations and could cause actual results to differ materially from those in the forward-looking statements. These factors include, but are not limited to, our ability to execute our tech-focused strategy, competition from existing and future competitors in the highly competitive markets in which we operate, failure to adapt our business model to keep pace with rapid changes in the recruiting and career services business, failure to maintain and develop our reputation and brand recognition, failure to increase or maintain the number of customers who purchase recruitment packages, cyclicality or downturns in the economy or industries we serve, uncertainty in respect to the regulation of data protection and data privacy, failure to attract qualified professionals to our websites or grow the number of qualified professionals who use our websites, failure to successfully identify or integrate acquisitions, U.S. and foreign government regulation of the Internet and taxation, our ability to borrow funds under our revolving credit facility or refinance our indebtedness and restrictions on our current and future operations under such indebtedness. These factors and others are discussed in more detail in the Company’s filings with the Securities and Exchange Commission, all of which are available on the Investors page of our website at www.dhigroupinc.com, including the Company’s most recently filed periodic reports on Form 10-K and Form 10-Q and subsequent filings under the headings “Risk Factors,” “Forward-Looking Statements” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” You should keep in mind that any forward-looking statement made by the Company or its representatives herein, or elsewhere, speaks only as of the date on which it is made. New risks and uncertainties come up from time to time, and it is impossible to predict these events or how they may affect us. We have no obligation to update any forward-looking statements after the date hereof, except as required by applicable federal securities laws.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250121432067/en/

Investor Contact

Todd Kehrli or Jim Byers

PondelWilkinson, Inc.

212-448-4181

ir@dhigroupinc.com

Media Contact

Rachel Ceccarelli

VP Engagement

212-448-8288

media@dhigroupinc.com

Source: DHI Group, Inc.

FAQ

What is the size of DHX's new stock repurchase program?

DHI Group's new stock repurchase program authorizes the repurchase of up to $5 million of the company's common stock.

When does DHX's stock repurchase program begin and end?

The stock repurchase program will be effective from February 10, 2025, through February 9, 2026.

How will DHX implement its stock repurchase program?

DHX management has discretion over the conditions of share purchases, including timing, price, and structure, through open market, private transactions, or other means.

Is DHX required to repurchase the full $5 million in shares?

No, the authorization does not obligate DHI Group to acquire any particular amount of common stock, and the program can be modified or terminated at any time.

What is the purpose of DHX's stock repurchase program?

The program demonstrates management's confidence in the company's strategic priorities and business strength while delivering value to shareholders.