Hudson Global Reports 2024 Fourth Quarter and Full-Year Results
Hudson Global (NASDAQ: HSON) has released its financial results for Q4 and full-year 2024. Q4 highlights include revenue of $33.6M (down 1.1% YoY), adjusted net revenue of $17.6M (up 6.4% YoY), and a net loss of $0.6M ($0.20 loss per share). Adjusted EBITDA improved to $0.9M from $0.1M in Q4 2023.
Full-year 2024 performance showed revenue of $140.1M (down 13.2% YoY), with a net loss of $4.8M ($1.59 loss per share). The company invested $3.4M in sales, marketing, and technology initiatives. Regional performance varied, with Americas showing improvement while Asia Pacific and EMEA faced challenges.
The company maintains a strong financial position with $17.7M in cash and continues its share repurchase program, having bought back 154,084 shares for $2.5M in 2024. Hudson Global also holds $240M in usable U.S. net operating losses (NOL).
Hudson Global (NASDAQ: HSON) ha pubblicato i risultati finanziari per il quarto trimestre e l'intero anno 2024. Le principali informazioni del Q4 includono un fatturato di 33,6 milioni di dollari (in calo dell'1,1% rispetto all'anno precedente), un fatturato netto rettificato di 17,6 milioni di dollari (in aumento del 6,4% rispetto all'anno precedente) e una perdita netta di 0,6 milioni di dollari (perdita di 0,20 dollari per azione). L'EBITDA rettificato è migliorato a 0,9 milioni di dollari rispetto a 0,1 milioni di dollari nel Q4 2023.
Le performance dell'intero anno 2024 hanno mostrato un fatturato di 140,1 milioni di dollari (in calo del 13,2% rispetto all'anno precedente), con una perdita netta di 4,8 milioni di dollari (perdita di 1,59 dollari per azione). L'azienda ha investito 3,4 milioni di dollari in vendite, marketing e iniziative tecnologiche. Le performance regionali sono variate, con le Americhe che hanno mostrato miglioramenti, mentre Asia Pacifico ed EMEA hanno affrontato delle sfide.
L'azienda mantiene una forte posizione finanziaria con 17,7 milioni di dollari in contante e continua il suo programma di riacquisto di azioni, avendo riacquistato 154.084 azioni per 2,5 milioni di dollari nel 2024. Hudson Global detiene inoltre 240 milioni di dollari in perdite operative nette utilizzabili negli Stati Uniti (NOL).
Hudson Global (NASDAQ: HSON) ha publicado sus resultados financieros para el cuarto trimestre y el año completo 2024. Los aspectos destacados del Q4 incluyen ingresos de 33,6 millones de dólares (una disminución del 1,1% interanual), ingresos netos ajustados de 17,6 millones de dólares (un aumento del 6,4% interanual) y una pérdida neta de 0,6 millones de dólares (pérdida de 0,20 dólares por acción). El EBITDA ajustado mejoró a 0,9 millones de dólares desde 0,1 millones de dólares en el Q4 de 2023.
El rendimiento del año completo 2024 mostró ingresos de 140,1 millones de dólares (una disminución del 13,2% interanual), con una pérdida neta de 4,8 millones de dólares (pérdida de 1,59 dólares por acción). La empresa invirtió 3,4 millones de dólares en ventas, marketing e iniciativas tecnológicas. El rendimiento regional varió, con las Américas mostrando mejoras mientras que Asia-Pacífico y EMEA enfrentaron desafíos.
La empresa mantiene una sólida posición financiera con 17,7 millones de dólares en efectivo y continúa su programa de recompra de acciones, habiendo recomprado 154,084 acciones por 2,5 millones de dólares en 2024. Hudson Global también tiene 240 millones de dólares en pérdidas operativas netas utilizables en EE. UU. (NOL).
허드슨 글로벌 (NASDAQ: HSON)은 2024년 4분기 및 전체 연도 재무 결과를 발표했습니다. 4분기 주요 사항으로는 3,360만 달러의 수익(전년 대비 1.1% 감소), 조정된 순수익 1,760만 달러(전년 대비 6.4% 증가), 그리고 60만 달러의 순손실(주당 0.20달러 손실)이 포함됩니다. 조정된 EBITDA는 2023년 4분기 10만 달러에서 90만 달러로 개선되었습니다.
2024년 전체 연도 성과는 1억 4,010만 달러의 수익(전년 대비 13.2% 감소)과 480만 달러의 순손실(주당 1.59달러 손실)을 보였습니다. 회사는 판매, 마케팅 및 기술 이니셔티브에 340만 달러를 투자했습니다. 지역별 성과는 차이가 있었으며, 아메리카 지역은 개선을 보인 반면 아시아 태평양 및 EMEA는 어려움에 직면했습니다.
회사는 1,770만 달러의 현금을 보유하고 있으며 강력한 재무 상태를 유지하고 있으며, 2024년 동안 154,084주를 250만 달러에 재매입하는 주식 재매입 프로그램을 계속하고 있습니다. 허드슨 글로벌은 또한 미국에서 사용할 수 있는 2억 4천만 달러의 순 운영 손실(NOL)을 보유하고 있습니다.
Hudson Global (NASDAQ: HSON) a publié ses résultats financiers pour le quatrième trimestre et l'année entière 2024. Les points forts du Q4 incluent un chiffre d'affaires de 33,6 millions de dollars (en baisse de 1,1 % par rapport à l'année précédente), un chiffre d'affaires net ajusté de 17,6 millions de dollars (en hausse de 6,4 % par rapport à l'année précédente) et une perte nette de 0,6 million de dollars (perte de 0,20 dollar par action). L'EBITDA ajusté a augmenté à 0,9 million de dollars contre 0,1 million de dollars au Q4 2023.
La performance de l'année complète 2024 a montré un chiffre d'affaires de 140,1 millions de dollars (en baisse de 13,2 % par rapport à l'année précédente), avec une perte nette de 4,8 millions de dollars (perte de 1,59 dollar par action). L'entreprise a investi 3,4 millions de dollars dans des initiatives de vente, de marketing et de technologie. Les performances régionales ont varié, les Amériques montrant des améliorations tandis que l'Asie-Pacifique et l'EMEA ont rencontré des défis.
L'entreprise maintient une solide position financière avec 17,7 millions de dollars en espèces et continue son programme de rachat d'actions, ayant racheté 154 084 actions pour 2,5 millions de dollars en 2024. Hudson Global détient également 240 millions de dollars de pertes d'exploitation nettes utilisables aux États-Unis (NOL).
Hudson Global (NASDAQ: HSON) hat seine finanziellen Ergebnisse für das vierte Quartal und das Gesamtjahr 2024 veröffentlicht. Die Highlights des Q4 umfassen einen Umsatz von 33,6 Millionen Dollar (ein Rückgang von 1,1% im Vergleich zum Vorjahr), einen bereinigten Nettoumsatz von 17,6 Millionen Dollar (ein Anstieg von 6,4% im Vergleich zum Vorjahr) und einen Nettoverlust von 0,6 Millionen Dollar (0,20 Dollar Verlust pro Aktie). Das bereinigte EBITDA verbesserte sich auf 0,9 Millionen Dollar von 0,1 Millionen Dollar im Q4 2023.
Die Gesamtjahresleistung 2024 zeigte einen Umsatz von 140,1 Millionen Dollar (ein Rückgang von 13,2% im Vergleich zum Vorjahr) mit einem Nettoverlust von 4,8 Millionen Dollar (1,59 Dollar Verlust pro Aktie). Das Unternehmen investierte 3,4 Millionen Dollar in Vertriebs-, Marketing- und Technologieinitiativen. Die regionale Leistung variierte, wobei die Amerikas Verbesserungen zeigten, während Asien-Pazifik und EMEA mit Herausforderungen konfrontiert waren.
Das Unternehmen hält eine starke finanzielle Position mit 17,7 Millionen Dollar in bar und setzt sein Aktienrückkaufprogramm fort, nachdem es 2024 154.084 Aktien für 2,5 Millionen Dollar zurückgekauft hat. Hudson Global hält außerdem 240 Millionen Dollar an nutzbaren US-Netto-Betriebsverlusten (NOL).
- Q4 adjusted net revenue increased 6.4% YoY to $17.6M
- Q4 adjusted EBITDA improved to $0.9M from $0.1M YoY
- Americas region showed strong Q4 performance with 18% revenue growth
- Significant NOL asset of $240M available for future tax benefits
- Active share repurchase program demonstrating confidence in company value
- Full-year 2024 revenue declined 13.2% to $140.1M
- Net loss of $4.8M for full-year 2024 vs. profit of $2.2M in 2023
- Full-year adjusted EBITDA decreased to $0.9M from $5.9M in 2023
- Negative operating cash flow of $2.8M for full-year 2024
- Asia Pacific revenue declined 10% in Q4 2024
Insights
Hudson Global's Q4 2024 results reveal a mixed financial performance with some concerning annual trends but signs of stabilization in the latest quarter. The company's full-year performance shows a significant deterioration, with revenue declining
However, Q4 showed modest improvement with adjusted net revenue increasing
The company's
Management's focus on technological enhancements and the launch of a Digital Division suggests a strategic pivot to adapt to market changes, though these investments have clearly pressured near-term profitability. The continuation of share repurchases (
Hudson Global's performance reflects broader talent acquisition market challenges, with global hiring activity remaining depressed throughout 2024. The company specifically cited not only low hiring volumes but also unusually low attrition at legacy clients, a double constraint on RPO business growth. Despite these headwinds, the organization maintained its industry recognition, appearing on the HRO Today's Baker's Dozen List for the 16th consecutive year.
The strategic launch of their Digital Division under new Chief Digital Officer Stephanie Edwards represents a critical adaptation to changing talent acquisition landscapes. This initiative aligns with their
The regional performance variations are instructive for understanding global talent trends. The Americas showed the strongest recovery in Q4, suggesting potential market stabilization in that region, while Asia Pacific's mixed results indicate ongoing regional challenges. The decision to maintain technology investments despite financial pressures demonstrates a long-term strategic approach rather than short-term cost-cutting that could compromise competitive positioning.
For a company operating in the talent solutions space, these strategic technology investments and service offering expansions are essential, not optional, as the entire recruitment process is undergoing digital transformation. The critical question is whether these investments will yield sufficient efficiency gains and market differentiation to restore profitability in 2025.
Hudson Global's Q4 and full-year 2024 results reveal significant financial deterioration with some modest signs of recovery emerging in the fourth quarter. The annual performance is concerning - revenue declined
The regional breakdown provides important context: the Americas showed the strongest recovery with
Two critical factors warrant investor attention. First, cash flow from operations turned negative for the full year (
The launch of a Digital Division appears to be a defensive necessity in an evolving talent acquisition landscape rather than purely a growth initiative. Hudson's continued industry recognition (16 consecutive years on the Baker's Dozen list) confirms their service quality remains strong despite financial headwinds. However, the fundamental challenge remains: can technological investments and service expansion overcome the persistent headwinds of low hiring volumes and client attrition that are largely beyond the company's control?
OLD GREENWICH, Conn., March 14, 2025 (GLOBE NEWSWIRE) -- Hudson Global, Inc. (Nasdaq: HSON), a leading global talent solutions company, announced today financial results for the fourth quarter and full year ended December 31, 2024.
2024 Fourth Quarter Summary
- Revenue of
$33.6 million decreased1.1% from the fourth quarter of 2023, or2.0% in constant currency. - Adjusted net revenue of
$17.6 million increased6.4% from the fourth quarter of 2023, or5.7% in constant currency. - Net loss of
$0.6 million , or$0.20 loss per diluted share, versus net income of$0.7 million , or$0.23 income per diluted share, in the fourth quarter of 2023. Adjusted net loss per diluted share (Non-GAAP measure)* decreased to$0.05 from adjusted net income per diluted share of$0.04 in the fourth quarter of 2023. - Adjusted EBITDA (Non-GAAP measure)* increased to
$0.9 million , versus adjusted EBITDA of$0.1 million in the fourth quarter of 2023.
2024 Full-Year Summary
- Revenue of
$140.1 million decreased13.2% from 2023, or13.2% in constant currency. - Adjusted net revenue of
$70.2 million decreased12.6% from 2023, or12.8% in constant currency. - Net loss of
$4.8 million , or$1.59 loss per diluted share, compared to net income of$2.2 million , or$0.70 income per diluted share, in 2023. Adjusted net loss per diluted share (Non-GAAP measure)* of$0.86 decreased from adjusted net income per diluted share of$0.86 in the prior year. - Adjusted EBITDA (Non-GAAP measure)* was
$0.9 million , versus adjusted EBITDA of$5.9 million in 2023.
Jeff Eberwein, Chief Executive Officer at Hudson Global, said, “Our fourth quarter financial results reflect modest improvement over the prior year quarter, with the Americas region delivering the strongest results. Throughout 2024, we contended with a general low level of global hiring activity as well as unusually low attrition at many legacy clients. Although these challenges are largely out of our control, we are well positioned to take advantage of future growth in the market. During the year, we invested in new technologies to best support our clients' recruitment needs and streamline operations, including sourcing, screening, and onboarding procedures. Altogether in 2024, we invested approximately
Jake Zabkowicz, Hudson RPO's Global CEO, noted, “Despite the challenging global talent environment, we continued to consistently deliver best-in-class service to a growing number of clients on a global scale. To that end, we are proud to have been named on the HRO Today's Baker's Dozen List for the 16th consecutive year in the list of top enterprise RPO providers, for the 12th consecutive year as a top RPO provider in APAC and for the 8th consecutive year as a top RPO provider in EMEA.”
Mr. Zabkowicz continued, “We have been investing significantly to fuel future growth, and have enhanced our go-to-market strategy by expanding our service offering to existing and prospective clients alike. With the recent launch of our Digital Division, and the hiring of Stephanie Edwards as Chief Digital Officer, we are revolutionizing our digital capabilities and enterprise strategies to deliver innovative, efficient, cost-effective, and high-quality talent solutions to our clients worldwide.”
* The Company provides Non-GAAP measures as a supplement to financial results based on accounting principles generally accepted in the United States ("GAAP"). Constant currency, adjusted EBITDA, EBITDA, and adjusted net income or loss per diluted share are defined in the segment tables at the end of this release and a reconciliation of such Non-GAAP measures to the most directly comparable GAAP measures is included within such segment tables.
Regional Highlights
All growth rate comparisons are in constant currency.
Americas
In the fourth quarter of 2024, Americas revenue of
For full year 2024, Americas revenue of
Asia Pacific
Asia Pacific revenue of
For full year 2024, Asia Pacific revenue of
Europe, Middle East, and Africa ("EMEA")
EMEA revenue of
For full year 2024, EMEA revenue of
Corporate Costs
The Company's corporate costs of
The Company's corporate costs of
Liquidity and Capital Resources
The Company ended the fourth quarter of 2024 with
Share Repurchase Program
As a reminder, the Company approved a
NOL Carryforward
As of December 31, 2024, Hudson Global had
Conference Call/Webcast
The Company will conduct a conference call today, March 14, 2025, at 10:00 a.m. ET to discuss this announcement. Individuals wishing to listen can access the webcast on the investor information section of the Company's web site at hudsonrpo.com.
If you wish to join the conference call, please use the dial-in information below:
- Toll-Free Dial-In Number: (833) 816-1383
- International Dial-In Number: (412) 317-0476
The archived call will be available on the investor information section of the Company's web site at hudsonrpo.com.
About Hudson Global
Hudson Global, Inc. is a leading global total talent solutions provider operating under the brand name Hudson RPO. We deliver innovative, customized recruitment outsourcing and total talent solutions to organizations worldwide. Through our consultative approach, we develop tailored talent solutions designed to meet our clients’ strategic growth initiatives. As a trusted advisor, we meet our commitments, deliver quality and value, and strive to exceed expectations.
For more information, please visit us at hudsonrpo.com or contact us at ir@hudsonrpo.com.
Investor Relations:
The Equity Group
Lena Cati
212 836-9611 / lcati@equityny.com
Forward-Looking Statements
This press release contains statements that the Company believes to be "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact included in this press release, including statements regarding the Company's future financial condition, results of operations, business operations and business prospects, are forward-looking statements. Words such as “anticipate,” "estimate," "expect," "project," "intend," "plan," "predict," "believe" and similar words, expressions and variations of these words and expressions are intended to identify forward-looking statements. All forward-looking statements are subject to important factors, risks, uncertainties, and assumptions, including industry and economic conditions that could cause actual results to differ materially from those described in the forward-looking statements. Such factors, risks, uncertainties and assumptions include, but are not limited to, global economic fluctuations; the Company’s ability to successfully achieve its strategic initiatives ; risks related to potential acquisitions or dispositions of businesses by the Company; the Company’s ability to operate successfully as a company focused on its RPO business; risks related to fluctuations in the Company’s operating results from quarter to quarter due to various factors such as rising inflationary pressures and interest rates; the loss of or material reduction in our business with any of the Company’s largest customers; the ability of clients to terminate their relationship with the Company at any time; competition in the Company’s markets; the negative cash flows and operating losses that may recur in the future; risks relating to how future credit facilities may affect or restrict our operating flexibility; risks associated with the Company’s investment strategy; risks related to international operations, including foreign currency fluctuations, political events, trade wars, natural disasters or health crises, including the Russia-Ukraine war, and potential conflict in the Middle East; the Company’s dependence on key management personnel; the Company’s ability to attract and retain highly skilled professionals, management, and advisors; the Company’s ability to collect accounts receivable; the Company’s ability to maintain costs at an acceptable level; the Company’s heavy reliance on information systems and the impact of potentially losing or failing to develop technology; risks related to providing uninterrupted service to clients; the Company’s exposure to employment-related claims from clients, employers and regulatory authorities, current and former employees in connection with the Company’s business reorganization initiatives, and limits on related insurance coverage; the Company’s ability to utilize net operating loss carryforwards; volatility of the Company’s stock price; the impact of government regulations and deregulation efforts; restrictions imposed by blocking arrangements; risks related to the use of new and evolving technologies; and the adverse impacts of cybersecurity threats and attacks. Additional information concerning these, and other factors is contained in the Company's filings with the Securities and Exchange Commission. These forward-looking statements speak only as of the date of this document. The Company assumes no obligation, and expressly disclaims any obligation, to update any forward-looking statements, whether as a result of new information, future events or otherwise.
Financial Tables Follow
| HUDSON GLOBAL, INC. | ||||||||||||||
| CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||
| (in thousands, except per share amounts) | ||||||||||||||
| (unaudited) | ||||||||||||||
| Three Months Ended | Year Ended | |||||||||||||
| December 31, | December 31, | |||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||
| Revenue | $ | 33,600 | $ | 33,971 | $ | 140,056 | $ | 161,338 | ||||||
| Operating expenses: | ||||||||||||||
| Direct contracting costs and reimbursed expenses | 15,996 | 17,421 | 69,904 | 81,071 | ||||||||||
| Salaries and related | 13,910 | 13,653 | 58,309 | 62,859 | ||||||||||
| Office and general | 2,539 | 2,924 | 10,703 | 10,915 | ||||||||||
| Marketing and promotion | 961 | 849 | 3,588 | 3,643 | ||||||||||
| Depreciation and amortization | 319 | 391 | 1,361 | 1,467 | ||||||||||
| Total operating expenses | 33,725 | 35,238 | 143,865 | 159,955 | ||||||||||
| Operating (loss) income | (125 | ) | (1,267 | ) | (3,809 | ) | 1,383 | |||||||
| Non-operating income (expense): | ||||||||||||||
| Interest income, net | 80 | 88 | 360 | 372 | ||||||||||
| Other income (expense), net | 297 | 1,134 | (21 | ) | 813 | |||||||||
| Income (loss) before income taxes | 252 | (45 | ) | (3,470 | ) | 2,568 | ||||||||
| Provision for (benefit from) income taxes | 837 | (778 | ) | 1,300 | 370 | |||||||||
| Net (loss) income | $ | (585 | ) | $ | 733 | $ | (4,770 | ) | $ | 2,198 | ||||
| (Loss) earnings per share: | ||||||||||||||
| Basic | $ | (0.20 | ) | $ | 0.24 | $ | (1.59 | ) | $ | 0.72 | ||||
| Diluted | $ | (0.20 | ) | $ | 0.23 | $ | (1.59 | ) | $ | 0.70 | ||||
| Weighted-average shares outstanding: | ||||||||||||||
| Basic | 2,974 | 3,072 | 3,000 | 3,064 | ||||||||||
| Diluted | 2,974 | 3,158 | 3,000 | 3,140 | ||||||||||
| HUDSON GLOBAL, INC. | |||||||
| CONSOLIDATED BALANCE SHEETS | |||||||
| (in thousands, except per share amounts) | |||||||
| (unaudited) | |||||||
| December 31, 2024 | December 31, 2023 | ||||||
| ASSETS | |||||||
| Current assets: | |||||||
| Cash and cash equivalents | $ | 17,011 | $ | 22,611 | |||
| Accounts receivable, less allowance for expected credit losses of | 20,093 | 19,710 | |||||
| Restricted cash, current | 476 | 354 | |||||
| Prepaid and other | 2,560 | 3,172 | |||||
| Total current assets | 40,140 | 45,847 | |||||
| Property and equipment, net of accumulated depreciation of | 242 | 421 | |||||
| Operating lease right-of-use assets | 1,024 | 1,431 | |||||
| Goodwill | 5,703 | 5,749 | |||||
| Intangible assets, net of accumulated amortization of | 2,491 | 3,628 | |||||
| Deferred tax assets | 2,648 | 3,360 | |||||
| Restricted cash | 180 | 205 | |||||
| Other assets | 155 | 317 | |||||
| Total assets | $ | 52,583 | $ | 60,958 | |||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||
| Current liabilities: | |||||||
| Accounts payable | $ | 1,789 | $ | 868 | |||
| Accrued salaries, commissions, and benefits | 4,306 | 4,939 | |||||
| Accrued expenses and other current liabilities | 4,504 | 4,635 | |||||
| Operating lease obligations, current | 623 | 768 | |||||
| Total current liabilities | 11,222 | 11,210 | |||||
| Income tax payable | 93 | 87 | |||||
| Operating lease obligations | 441 | 664 | |||||
| Other liabilities | 399 | 443 | |||||
| Total liabilities | 12,155 | 12,404 | |||||
| Commitments and contingencies | |||||||
| Stockholders’ equity: | |||||||
| Preferred stock, | — | — | |||||
| Common stock, | 4 | 4 | |||||
| Additional paid-in capital | 494,209 | 493,036 | |||||
| Accumulated deficit | (430,017 | ) | (425,247 | ) | |||
| Accumulated other comprehensive loss, net of applicable tax | (2,717 | ) | (1,290 | ) | |||
| Treasury stock, 1,283 and 1,089 shares, respectively, at cost | (21,051 | ) | (17,949 | ) | |||
| Total stockholders’ equity | 40,428 | 48,554 | |||||
| Total liabilities and stockholders' equity | $ | 52,583 | $ | 60,958 | |||
| HUDSON GLOBAL, INC. | |||||||||||||||||||
| SEGMENT ANALYSIS - QUARTER TO DATE | |||||||||||||||||||
| (in thousands) | |||||||||||||||||||
| (unaudited) | |||||||||||||||||||
| For The Three Months Ended December 31, 2024 | Americas | Asia Pacific | EMEA | Corporate | Total | ||||||||||||||
| Revenue, from external customers | $ | 7,350 | $ | 19,986 | $ | 6,264 | $ | — | $ | 33,600 | |||||||||
| Adjusted net revenue, from external customers (1) | $ | 6,361 | $ | 7,396 | $ | 3,847 | $ | — | $ | 17,604 | |||||||||
| Net loss | $ | (585 | ) | ||||||||||||||||
| Provision for income taxes | 837 | ||||||||||||||||||
| Interest income, net | (80 | ) | |||||||||||||||||
| Depreciation and amortization | 319 | ||||||||||||||||||
| EBITDA (loss) (2) | $ | 450 | $ | 547 | $ | (161 | ) | $ | (345 | ) | 491 | ||||||||
| Non-operating expense (income), including corporate administration charges | (100 | ) | 131 | 82 | (410 | ) | (297 | ) | |||||||||||
| Stock-based compensation expense | 66 | 63 | 39 | 66 | 234 | ||||||||||||||
| Non-recurring severance and professional fees | (19 | ) | 183 | 228 | 41 | 433 | |||||||||||||
| Adjusted EBITDA (loss) (2) | $ | 397 | $ | 924 | $ | 188 | $ | (648 | ) | $ | 861 | ||||||||
| For The Three Months Ended December 31, 2023 | Americas | Asia Pacific | EMEA | Corporate | Total | ||||||||||||||
| Revenue, from external customers | $ | 6,246 | $ | 22,073 | $ | 5,652 | $ | — | $ | 33,971 | |||||||||
| Adjusted net revenue, from external customers (1) | $ | 6,044 | $ | 6,941 | $ | 3,565 | $ | — | $ | 16,550 | |||||||||
| Net income | $ | 733 | |||||||||||||||||
| Benefit from income taxes | (778 | ) | |||||||||||||||||
| Interest income, net | (88 | ) | |||||||||||||||||
| Depreciation and amortization | 391 | ||||||||||||||||||
| EBITDA (loss) (2) | $ | 172 | $ | 404 | $ | 587 | $ | (905 | ) | 258 | |||||||||
| Non-operating expense (income), including corporate administration charges | (963 | ) | 187 | (87 | ) | (271 | ) | (1,134 | ) | ||||||||||
| Stock-based compensation expense | 66 | 85 | 50 | 281 | 482 | ||||||||||||||
| Non-recurring severance and professional fees | — | 264 | 32 | 165 | 461 | ||||||||||||||
| Adjusted EBITDA (loss) (2) | $ | (725 | ) | $ | 940 | $ | 582 | $ | (730 | ) | $ | 67 | |||||||
- Represents Revenue less the Direct contracting costs and reimbursed expenses caption on the Consolidated Statements of Operations.
- Non-GAAP earnings before interest, income taxes, and depreciation and amortization (“EBITDA”) and non-GAAP earnings before interest, income taxes, depreciation and amortization, non-operating income (expense), stock-based compensation expense, and other non-recurring severance and professional fees (“Adjusted EBITDA”) are presented to provide additional information about the Company's operations on a basis consistent with the measures which the Company uses to manage its operations and evaluate its performance. Management also uses these measurements to evaluate capital needs and working capital requirements. EBITDA and Adjusted EBITDA should not be considered in isolation or as a substitute for operating income, cash flows from operating activities, and other income or cash flow statement data prepared in accordance with generally accepted accounting principles or as a measure of the Company's profitability or liquidity. Furthermore, EBITDA and Adjusted EBITDA as presented above may not be comparable with similarly titled measures reported by other companies.
| HUDSON GLOBAL, INC. | ||||||||||||||||||
| SEGMENT ANALYSIS - YEAR TO DATE | ||||||||||||||||||
| (in thousands) | ||||||||||||||||||
| (unaudited) | ||||||||||||||||||
| For The Year Ended December 31, 2024 | Americas | Asia Pacific | EMEA | Corporate | Total | |||||||||||||
| Revenue, from external customers | $ | 27,894 | $ | 86,704 | $ | 25,458 | $ | — | $ | 140,056 | ||||||||
| Adjusted net revenue, from external customers (1) | $ | 25,144 | $ | 29,416 | $ | 15,592 | $ | — | $ | 70,152 | ||||||||
| Net loss | $ | (4,770 | ) | |||||||||||||||
| Provision for income taxes | 1,300 | |||||||||||||||||
| Interest income, net | (360 | ) | ||||||||||||||||
| Depreciation and amortization | 1,361 | |||||||||||||||||
| EBITDA (loss) (2) | $ | 339 | $ | 482 | $ | 298 | $ | (3,588 | ) | (2,469 | ) | |||||||
| Non-operating expense (income), including corporate administration charges | 225 | 733 | 250 | (1,187 | ) | 21 | ||||||||||||
| Stock-based compensation expense | 232 | 400 | 183 | 465 | 1,280 | |||||||||||||
| Non-recurring severance and professional fees | 143 | 797 | 250 | 881 | 2,071 | |||||||||||||
| Adjusted EBITDA (loss) (2) | $ | 939 | $ | 2,412 | $ | 981 | $ | (3,429 | ) | $ | 903 | |||||||
| For The Year Ended December 31, 2023 | Americas | Asia Pacific | EMEA | Corporate | Total | |||||||||||||
| Revenue, from external customers | $ | 31,254 | $ | 103,857 | $ | 26,227 | $ | — | $ | 161,338 | ||||||||
| Adjusted net revenue, from external customers (1) | $ | 30,141 | $ | 33,675 | $ | 16,451 | $ | — | $ | 80,267 | ||||||||
| Net income | $ | 2,198 | ||||||||||||||||
| Provision for income taxes | 370 | |||||||||||||||||
| Interest income, net | (372 | ) | ||||||||||||||||
| Depreciation and amortization | 1,467 | |||||||||||||||||
| EBITDA (loss) (2) | $ | (704 | ) | $ | 5,859 | $ | 1,582 | $ | (3,074 | ) | 3,663 | |||||||
| Non-operating expense (income), including corporate administration charges | (528 | ) | 1,181 | 436 | (1,902 | ) | (813 | ) | ||||||||||
| Stock-based compensation expense | 407 | 232 | 216 | 614 | 1,469 | |||||||||||||
| Non-recurring severance and professional fees | 105 | 292 | 156 | 658 | 1,211 | |||||||||||||
| Compensation expense related to acquisitions (3) | 338 | — | — | — | 338 | |||||||||||||
| Adjusted EBITDA (loss) (2) | $ | (382 | ) | $ | 7,564 | $ | 2,390 | $ | (3,704 | ) | $ | 5,868 | ||||||
- Represents Revenue less the Direct contracting costs and reimbursed expenses caption on the Consolidated Statements of Operations.
- Non-GAAP earnings before interest, income taxes, and depreciation and amortization (“EBITDA”) and non-GAAP earnings before interest, income taxes, depreciation and amortization, non-operating (income) expense, stock-based compensation expense, and other non-recurring severance and professional fees (“Adjusted EBITDA”) are presented to provide additional information about the Company's operations on a basis consistent with the measures which the Company uses to manage its operations and evaluate its performance. Management also uses these measurements to evaluate capital needs and working capital requirements. EBITDA and Adjusted EBITDA should not be considered in isolation or as a substitute for operating income, cash flows from operating activities, and other income or cash flow statement data prepared in accordance with generally accepted accounting principles or as a measure of the Company's profitability or liquidity. Furthermore, EBITDA and Adjusted EBITDA as presented above may not be comparable with similarly titled measures reported by other companies.
- Represents compensation expense payable per the terms of acquisition agreements.
HUDSON GLOBAL, INC.
RECONCILIATION FOR CONSTANT CURRENCY
(in thousands)
(unaudited)
The Company operates on a global basis, with the majority of its revenue generated outside of the United States. Accordingly, fluctuations in foreign currency exchange rates can affect its results of operations. Constant currency information compares financial results between periods as if exchange rates had remained constant period-over-period. The company currently defines the term “constant currency” to mean that financial data for a previously reported period are translated into U.S. dollars using the same foreign currency exchange rates that were used to translate financial data for the current period. Changes in revenue, adjusted net revenue, selling, general and administrative expenses ("SG&A"), and other non-operating income (expense), operating income (loss) and EBITDA (loss) include the effect of changes in foreign currency exchange rates. Variance analysis usually describes period-to-period variances that are calculated using constant currency as a percentage. The company’s management reviews and analyzes business results in constant currency and believes these results better represent the company’s underlying business trends. The company believes that these calculations are a useful measure, indicating the actual change in operations. There are no significant gains or losses on foreign currency transactions between subsidiaries. Therefore, changes in foreign currency exchange rates generally impact only reported earnings.
| For The Three Months Ended December 31, | |||||||||||||||
| 2024 | 2023 | ||||||||||||||
| As | As | Currency | Constant | ||||||||||||
| reported | reported | translation | currency | ||||||||||||
| Revenue: | |||||||||||||||
| Americas | $ | 7,350 | $ | 6,246 | $ | (9 | ) | $ | 6,237 | ||||||
| Asia Pacific | 19,986 | 22,073 | 147 | 22,220 | |||||||||||
| EMEA | 6,264 | 5,652 | 179 | 5,831 | |||||||||||
| Total | $ | 33,600 | $ | 33,971 | $ | 317 | $ | 34,288 | |||||||
| Adjusted net revenue (1): | |||||||||||||||
| Americas | $ | 6,361 | $ | 6,044 | $ | (9 | ) | $ | 6,035 | ||||||
| Asia Pacific | 7,396 | 6,941 | 10 | 6,951 | |||||||||||
| EMEA | 3,847 | 3,565 | 109 | 3,674 | |||||||||||
| Total | $ | 17,604 | $ | 16,550 | $ | 110 | $ | 16,660 | |||||||
| SG&A (2): | |||||||||||||||
| Americas | $ | 6,075 | $ | 6,929 | $ | (23 | ) | $ | 6,906 | ||||||
| Asia Pacific | 6,655 | 6,290 | 14 | 6,304 | |||||||||||
| EMEA | 3,922 | 3,050 | 102 | 3,152 | |||||||||||
| Corporate | 758 | 1,157 | 1 | 1,158 | |||||||||||
| Total | $ | 17,410 | $ | 17,426 | $ | 94 | $ | 17,520 | |||||||
| Operating (loss) income: | |||||||||||||||
| Americas | $ | 78 | $ | (1,137 | ) | $ | (1 | ) | $ | (1,138 | ) | ||||
| Asia Pacific | 644 | 556 | (3 | ) | 553 | ||||||||||
| EMEA | (86 | ) | 492 | 5 | 497 | ||||||||||
| Corporate | (761 | ) | (1,178 | ) | — | (1,178 | ) | ||||||||
| Total | $ | (125 | ) | $ | (1,267 | ) | $ | 1 | $ | (1,266 | ) | ||||
| EBITDA (loss): | |||||||||||||||
| Americas | $ | 450 | $ | 172 | $ | (2 | ) | $ | 170 | ||||||
| Asia Pacific | 547 | 404 | (14 | ) | 390 | ||||||||||
| EMEA | (161 | ) | 587 | 6 | 593 | ||||||||||
| Corporate | (345 | ) | (905 | ) | — | (905 | ) | ||||||||
| Total | $ | 491 | $ | 258 | $ | (10 | ) | $ | 248 | ||||||
- Represents Revenue less the Direct contracting costs and reimbursed expenses caption on the Consolidated Statements of Operations.
- SG&A is a measure that management uses to evaluate the segments’ expenses and includes salaries and related costs, office and general costs, and marketing and promotion costs.
| HUDSON GLOBAL, INC. RECONCILIATION FOR CONSTANT CURRENCY (continued) (in thousands) (unaudited) | |||||||||||||||
| For The Year Ended December 31, | |||||||||||||||
| 2024 | 2023 | ||||||||||||||
| As | As | Currency | Constant | ||||||||||||
| reported | reported | translation | currency | ||||||||||||
| Revenue: | |||||||||||||||
| Americas | $ | 27,894 | $ | 31,254 | $ | (26 | ) | $ | 31,228 | ||||||
| Asia Pacific | 86,704 | 103,857 | (608 | ) | 103,249 | ||||||||||
| EMEA | 25,458 | 26,227 | 659 | 26,886 | |||||||||||
| Total | $ | 140,056 | $ | 161,338 | $ | 25 | $ | 161,363 | |||||||
| Adjusted net revenue (1): | |||||||||||||||
| Americas | $ | 25,144 | $ | 30,141 | $ | (21 | ) | $ | 30,120 | ||||||
| Asia Pacific | 29,416 | 33,675 | (226 | ) | 33,449 | ||||||||||
| EMEA | 15,592 | 16,451 | 415 | 16,866 | |||||||||||
| Total | $ | 70,152 | $ | 80,267 | $ | 168 | $ | 80,435 | |||||||
| SG&A (2): | |||||||||||||||
| Americas | $ | 24,786 | $ | 31,699 | $ | (79 | ) | $ | 31,620 | ||||||
| Asia Pacific | 27,974 | 26,427 | (205 | ) | 26,222 | ||||||||||
| EMEA | 15,063 | 14,350 | 372 | 14,722 | |||||||||||
| Corporate | 4,777 | 4,941 | — | 4,941 | |||||||||||
| Total | $ | 72,600 | $ | 77,417 | $ | 88 | $ | 77,505 | |||||||
| Operating (loss) income: | |||||||||||||||
| Americas | $ | (598 | ) | $ | (2,514 | ) | $ | (4 | ) | $ | (2,518 | ) | |||
| Asia Pacific | 1,055 | 6,894 | (18 | ) | 6,876 | ||||||||||
| EMEA | 521 | 1,988 | 41 | 2,029 | |||||||||||
| Corporate | (4,787 | ) | (4,985 | ) | — | (4,985 | ) | ||||||||
| Total | $ | (3,809 | ) | $ | 1,383 | $ | 19 | $ | 1,402 | ||||||
| EBITDA (loss): | |||||||||||||||
| Americas | $ | 339 | $ | (704 | ) | $ | (7 | ) | $ | (711 | ) | ||||
| Asia Pacific | 482 | 5,859 | (43 | ) | 5,816 | ||||||||||
| EMEA | 298 | 1,582 | 30 | 1,612 | |||||||||||
| Corporate | (3,588 | ) | (3,074 | ) | — | (3,074 | ) | ||||||||
| Total | $ | (2,469 | ) | $ | 3,663 | $ | (20 | ) | $ | 3,643 | |||||
- Represents Revenue less the Direct contracting costs and reimbursed expenses caption on the Consolidated Statements of Operations.
- SG&A is a measure that management uses to evaluate the segments’ expenses and includes salaries and related costs, office and general costs, and marketing and promotion costs.
| HUDSON GLOBAL, INC. RECONCILIATION OF ADJUSTED NET INCOME PER DILUTED SHARE (in thousands, except per share amounts) (unaudited) | ||||||||||
| Adjusted | Diluted Shares | Per Diluted | ||||||||
| For The Three Months Ended December 31, 2024 | Net Loss | Outstanding | Share (1) | |||||||
| Net loss | $ | (585 | ) | 2,974 | $ | (0.20 | ) | |||
| Non-recurring severance, professional fees, and other (after tax) | 438 | 2,974 | 0.15 | |||||||
| Compensation expense related to acquisitions (after tax) (2) | — | 2,974 | — | |||||||
| Adjusted net loss (3) | $ | (147 | ) | 2,974 | $ | (0.05 | ) | |||
| Adjusted | Diluted Shares | Per Diluted | ||||||||
| For The Three Months Ended December 31, 2023 | Net Income | Outstanding | Share | |||||||
| Net income | $ | 733 | 3,158 | $ | 0.23 | |||||
| Non-recurring severance and professional fees (after tax) | (617 | ) | 3,158 | (0.19 | ) | |||||
| Compensation expense related to acquisitions (after tax) (2) | — | 3,158 | — | |||||||
| Adjusted net income (3) | $ | 116 | 3,158 | $ | 0.04 | |||||
| Adjusted | Diluted Shares | Per Diluted | ||||||||
| For The Year Ended December 31, 2024 | Net Loss | Outstanding | Share | |||||||
| Net loss | $ | (4,770 | ) | 3,000 | $ | (1.59 | ) | |||
| Non-recurring severance, professional fees, and other (after tax) | 2,178 | 3,000 | 0.73 | |||||||
| Compensation expense related to acquisitions (after tax) (2) | — | 3,000 | — | |||||||
| Adjusted net loss (3) | $ | (2,592 | ) | 3,000 | $ | (0.86 | ) | |||
| Adjusted | Diluted Shares | Per Diluted | ||||||||
| For The Year Ended December 31, 2023 | Net Income | Outstanding | Share | |||||||
| Net income | $ | 2,198 | 3,140 | $ | 0.70 | |||||
| Non-recurring severance and professional fees (after tax) | 133 | 3,140 | 0.04 | |||||||
| Compensation expense related to acquisitions (after tax) (2) | $ | 356 | 3,140 | 0.11 | ||||||
| Adjusted net income (3) | $ | 2,687 | 3,140 | $ | 0.86 | |||||
1. Amounts may not sum due to rounding.
2. Represents compensation expense payable per the terms of the Coit acquisition, including a promissory note for
3. Adjusted net income or loss per diluted share are Non-GAAP measures defined as reported net income or loss and reported net income or loss per diluted share before items such as acquisition-related costs and non-recurring severance and professional fees after tax that are presented to provide additional information about the Company's operations on a basis consistent with the measures that the Company uses to manage its operations and evaluate its performance. Management also uses these measurements to evaluate capital needs and working capital requirements. Adjusted net income or loss per diluted share should not be considered in isolation or as substitutes for net income or loss and net income or loss per share and other income or cash flow statement data prepared in accordance with generally accepted accounting principles or as measures of the Company's profitability or liquidity. Further, adjusted net income or loss and adjusted net income or loss per diluted share as presented above may not be comparable with similarly titled measures reported by other companies.
FAQ
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