Hackett Group Inc (The). - HCKT STOCK NEWS

The Hackett Group (NASDAQ: HCKT) has released its first Digital World Class Matrix™ for contract life-cycle management (CLM) software. The report highlights the transformative potential of AI-enabled CLM solutions for large enterprises. Key findings include:

- 45% operational efficiency gains in negotiation and contract creation
- 35% reduction in contract cycle times
- 5x decrease in noncompliance-related losses
- 63% improvement in contracting efficiency and automation
- 89% customer satisfaction with CLM solutions

The CLM market is projected to grow by 11% in 2024, with 28% of companies planning to pilot CLM technology. The report analyzes 21 AI-enabled providers across 18 criteria, offering insights for both buyers and vendors in the rapidly evolving CLM landscape.

The Hackett Group's (NASDAQ: HCKT) latest research reveals a critical turning point in working capital management for the largest U.S. public companies. For the first time in a decade, all three key metrics - days sales outstanding (DSO), days inventory outstanding (DIO), and days payables outstanding (DPO) - have deteriorated simultaneously. This triple threat exposes a potential $1.76 trillion in untapped working capital opportunity.

Key findings include:

• DSO increased by 3% to 40.1 days
• DIO rose slightly by 0.01 days
• DPO declined by 0.1 days
• Revenue growth remained flat at 0.3%
• The performance gap between best-in-class and median companies widened by 8%

The research emphasizes the urgent need for companies to optimize working capital amidst ongoing economic uncertainties, high interest rates, and inflationary pressures. It also highlights the potential of generative AI to enhance working capital management across various business operations.

Answerthink, a Hackett Group company (NASDAQ: HCKT), has achieved the GROW With SAP designation, demonstrating its capability to help midsize companies adopt cloud ERP solutions. This designation signifies Answerthink's readiness to implement SAP S/4HANA Cloud, public edition, with speed and efficiency.

The GROW With SAP offering provides products, best-practice support, adoption acceleration services, and learning opportunities for customers. Answerthink's achievement underscores its commitment to innovation and excellence in empowering clients with cloud ERP solutions. The company's long-standing partnership with SAP, spanning over 25 years, has been important in attaining this distinction.

The Hackett Group (NASDAQ: HCKT) announced its Q2 2024 financial results.

Total revenue was $77.7 million, exceeding guidance, and adjusted revenue before reimbursements was $75.9 million, up from $75.6 million last year. GAAP diluted EPS was $0.31, slightly down from $0.32 in Q2 2023, while adjusted EPS remained steady at $0.39.

Operating cash flow increased significantly to $13.7 million from $7.7 million in Q2 2023. The company holds cash balances of $19.1 million against $27.0 million in outstanding credit.

The Board declared a Q3 2024 dividend of $0.11 per share. Guidance for Q3 2024 estimates total revenue between $74.5-$76.0 million and adjusted EPS between $0.39-$0.41.

CEO Ted A. Fernandez highlighted the company's efforts to enhance AI XPLR capabilities. Version 2 of AI XPLR will include significant use case simulations and design functionality, set to release this month.

The Hackett Group (NASDAQ: HCKT) has announced an expanded collaboration with Oracle to offer Hackett Pay™, a new managed services solution for Oracle Payroll. This comprehensive offering provides full business process outsourcing, staff support, and access to The Hackett Group's best practices for payroll optimization.

Hackett Pay™ covers all aspects of payroll operations support, including wage payments, employee tax, wage garnishments, W-2 management, employee verification, tax credits, and unemployment claims. It is designed to help growth and hypergrowth companies streamline payroll processes, ensure accuracy, and improve employee experience.

According to The Hackett Group's benchmarks, Digital World Class® companies see 88% lower payroll administration costs and generate 67% fewer payroll errors compared to their peers. The collaboration aims to enable companies to focus on core business growth while benefiting from efficient and accurate payroll management.

The Hackett Group (NASDAQ: HCKT) has announced its upcoming 2024 Second Quarter Earnings Conference Call, scheduled for Tuesday, August 6, 2024, after market close. The company will release its financial results for the quarter ended June 28, 2024, followed by a conference call at 5:00 P.M. ET. Investors can participate by dialing (800) 593-0486 (US) or (517) 308-9371 (International) with the passcode 'Second Quarter'. A rebroadcast will be available from 8:00 P.M. ET on August 6 until 5:00 P.M. ET on August 20, 2024. The call will also be webcast live on the company's website, with an online replay available afterwards.

The Hackett Group (NASDAQ: HCKT) has released its inaugural Digital World Class Matrix™ for the human capital management (HCM) software market, evaluating 11 global providers. The report categorizes providers into five segments: Digital World Class®, Innovators, Enterprise Leaders, Challengers, and Emerging. The study highlights the importance of HCM technology in optimizing HR processes and improving workforce analytics. Despite the growing integration of artificial intelligence in HR, only 15% of organizations are piloting Gen AI, with a mere 2% in production. Hackett projects potential 51% HR staff productivity boost and 44% cost reduction from full Gen AI adoption. Key challenges include fragmentation in HR tech stacks and cautious AI deployment.

The Hackett Group (NASDAQ: HCKT) has integrated generative AI (Gen AI) insights from its AI XPLR™ platform into its Executive Advisory programs. This integration, based on discussions with hundreds of leading companies, provides comprehensive guidance on Gen AI adoption. The research reveals that less than 10% of companies have explored breakthrough Gen AI use cases, although there is a potential 40% productivity improvement. Hackett's approach emphasizes a top-down, enterprise-wide strategy for Gen AI deployment, ensuring the entire organization is educated and mobilized. This integration offers clients access to AI use cases, benchmarks, and best practices, providing a competitive edge.

The Hackett Group (NASDAQ: HCKT) released its first Digital World Class Matrix™, focusing on Multi-Process Human Resources Outsourcing (MPHRO) vendors. This report highlights that many organizations are not fully leveraging digital HR solutions, AI, and intelligent automation, despite significant investments. Increased innovation, ease of integration, and a shift towards AI are key value drivers for MPHRO vendors. However, the market remains fragmented with underutilized services like HR transaction processing, contact center support, and interview scheduling. The report evaluates 12 global providers, categorizing them based on their service capabilities and customer satisfaction. It also offers strategies for providers to effectively market their services and support HR functions. The Hackett Group plans to release a new HR system evaluation report later this year.