ROBERT HALF REPORTS SECOND-QUARTER FINANCIAL RESULTS

Rhea-AI Summary

Robert Half International Inc. (NYSE: RHI) reported strong Q2 2022 results with revenues of $1.863 billion and net income of $176 million, or $1.60 per share, compared to $1.581 billion and $149 million, or $1.33 per share in Q2 2021. For H1 2022, revenues reached $3.678 billion with net income of $344 million ($3.12 per share), up from $2.979 billion and $260 million in H1 2021. The company experienced significant demand, particularly in talent solutions, which saw a 39% growth in permanent placements. Robert Half was also recognized by Forbes as a top firm in three key staffing categories.

Positive

• Net income increased by 18% year-over-year in Q2 2022.
• Revenue grew by 18% year-over-year in Q2 2022.
• Talent solutions revenue grew by 39% in permanent placements.
• Return on invested capital reached 48% in Q2 2022.
• Ranked number one by Forbes in three prestigious staffing categories.

Negative

• None.

MENLO PARK, Calif., July 21, 2022 /PRNewswire/ -- Robert Half International Inc. (NYSE: RHI) today reported revenues and earnings for the second quarter ended June 30, 2022.

For the quarter ended June 30, 2022, net income was $176 million, or $1.60 per share, on revenues of $1.863 billion. Net income for the prior year's second quarter was $149 million, or $1.33 per share, on revenues of $1.581 billion.

For the six months ended June 30, 2022, net income was $344 million, or $3.12 per share, on revenues of $3.678 billion. For the six months ended June 30, 2021, net income was $260 million, or $2.32 per share, on revenues of $2.979 billion.

"We are pleased to once again report very strong results, which continue to reflect a robust global labor market and demand environment," said M. Keith Waddell, president and chief executive officer of Robert Half. "Talent solutions led the way with permanent placement and contract talent solutions growing 39 percent and 19 percent, respectively, on a year-over-year basis. Core Protiviti solutions also remained strong. Return on invested capital for the Company was 48 percent in the second quarter.

"We are proud to have been recently ranked number one by Forbes on three prestigious lists — America's Best Professional Recruiting Firms, America's Best Temporary Staffing Firms and America's Best Executive Recruiting Firms. This is the first time any company has placed first in all three categories. This is a credit to all of our employees and their incredible drive to deliver outstanding service to our clients and candidates," Waddell concluded.

Robert Half management will conduct a conference call today at 5 p.m. EDT. The prepared remarks for this call are available now in the Investor Center of the Robert Half website (www.roberthalf.com/investor-center). Simply click on the Quarterly Conference Calls link. The dial-in number to listen to today's conference call is 800-289-0720 (+1-646-828-8073 outside the United States and Canada). The confirmation code to access the call is 1432797.

A taped recording of this call will be available for replay beginning at approximately 8 p.m. EDT on July 21 and ending at 8 p.m. EDT on August 20. The dial-in number for the replay is 888-203-1112 (+1-719-457-0820 outside the United States and Canada). To access the replay, enter conference code 1432797. The conference call also will be archived in audio format on the company's website at www.roberthalf.com.

Robert Half is the world's first and largest specialized talent solutions and business consulting firm that connects opportunities at great companies with highly skilled job seekers. The Company offers contract and permanent placement talent solutions for finance and accounting, technology, marketing and creative, legal, and administrative and customer support roles.

Named to FORTUNE's World's Most Admired Companies®, the Bloomberg Gender-Equality Index and Forbes' list of America's Best Employers for Diversity, Robert Half is the parent company of Protiviti, a global consulting firm that provides internal audit, risk, business and technology consulting solutions.

Robert Half has operations in more than 400 locations worldwide.

Certain information contained in this press release and its attachments may be deemed forward-looking statements regarding events and financial trends that may affect the Company's future operating results or financial positions. These statements may be identified by words such as "estimate", "forecast", "project", "plan", "intend", "believe", "expect", "anticipate", or variations or negatives thereof, or by similar or comparable words or phrases. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the statements.

These risks and uncertainties include, but are not limited to, the following: changes to or new interpretations of U.S. or international tax regulations; the global financial and economic situation; the duration and impact of the COVID-19 pandemic and efforts to mitigate its spread; changes in levels of unemployment and other economic conditions in the United States or foreign countries where the Company does business, or in particular regions or industries; reduction in the supply of candidates for contract employment or the Company's ability to attract candidates; the entry of new competitors into the marketplace or expansion by existing competitors; the ability of the Company to maintain existing client relationships and attract new clients in the context of changing economic or competitive conditions; the impact of competitive pressures, including any change in the demand for the Company's services; the Company's ability to maintain its margins; the possibility of the Company incurring liability for its activities, including the activities of its contract employees, or for events impacting its contract employees on clients' premises; the possibility that adverse publicity could impact the Company's ability to attract and retain clients and candidates; the success of the Company in attracting, training, and retaining qualified management personnel and other staff employees; the Company's ability to comply with governmental regulations affecting personnel services businesses in particular or employer/employee relationships in general; whether there will be ongoing demand for Sarbanes-Oxley or other regulatory compliance services; the Company's reliance on short-term contracts for a significant percentage of its business; litigation relating to prior or current transactions or activities, including litigation that may be disclosed from time to time in the Company's SEC filings; the ability of the Company to manage its international operations and comply with foreign laws and regulations; the impact of fluctuations in foreign currency exchange rates; the possibility that the additional costs the Company will incur as a result of healthcare reform legislation may adversely affect the Company's profit margins or the demand for the Company's services; the possibility that the Company's computer and communications hardware and software systems could be damaged or their service interrupted; and the possibility that the Company may fail to maintain adequate financial and management controls and as a result suffer errors in its financial reporting.

Additionally, with respect to Protiviti, other risks and uncertainties include the fact that future success will depend on its ability to retain employees and attract clients; there can be no assurance that there will be ongoing demand for broad-based consulting, regulatory compliance, technology services, public sector or other high-demand advisory services; failure to produce projected revenues could adversely affect financial results; and there is the possibility of involvement in litigation relating to prior or current transactions or activities.

Because long-term contracts are not a significant part of the Company's business, future results cannot be reliably predicted by considering past trends or extrapolating past results. The Company undertakes no obligation to update information contained in this release.

A copy of this release is available at www.roberthalf.com/investor-center.

ATTACHED:		Summary of Operations
		Supplemental Financial Information
		Non-GAAP Financial Measures

 

 

ROBERT HALF INTERNATIONAL INC. SUMMARY OF OPERATIONS (in thousands, except per share amounts)
	Quarter Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
	(Unaudited)				(Unaudited)
Service revenues	$  1,862,827		$  1,580,581		$  3,677,661		$  2,978,961
Costs of services	1,047,280		915,709		2,090,268		1,752,378
Gross margin	815,547		664,872		1,587,393		1,226,583
Selling, general and administrative expenses	509,394		488,093		1,023,588		911,155
(Income) loss from investments held in employee deferred compensation trusts (which is completely offset by related costs and expenses)	65,622		(27,810)		95,623		(39,797)
Amortization of intangible assets	416		576		833		1,152
Interest (income) expense, net	(718)		151		(884)		105
Income before income taxes	240,833		203,862		468,233		353,968
Provision for income taxes	65,012		54,649		124,173		94,157
Net income	$    175,821		$    149,213		$    344,060		$    259,811
Diluted net income per share	$          1.60		$          1.33		$          3.12		$          2.32
Shares:
Basic	108,833		110,861		109,025		111,141
Diluted	109,696		111,889		110,143		112,191

 

ROBERT HALF INTERNATIONAL INC. SUPPLEMENTAL FINANCIAL INFORMATION (in thousands)
		Six Months Ended June 30,
		2022		2021
		(Unaudited)
SELECTED CASH FLOW INFORMATION:
Depreciation		$     22,907		$     27,715
Capitalized cloud computing implementation costs		$     19,540		$     16,236
Capital expenditures		$     35,275		$     16,114
Open market repurchases of common stock (shares)		1,386		1,514

 

		June 30,
		2022		2021
		(Unaudited)
SELECTED BALANCE SHEET INFORMATION:
Cash and cash equivalents		$     590,909		$     542,805
Accounts receivable, net		$  1,091,598		$     907,947
Total assets		$  2,933,835		$  2,741,368
Total current liabilities		$  1,266,873		$  1,196,312
Total stockholders' equity		$  1,467,668		$  1,259,250

ROBERT HALF INTERNATIONAL INC.
SUPPLEMENTAL FINANCIAL INFORMATION (UNAUDITED)
(in thousands)

The Company completed a multiyear process to unify its family of Robert Half endorsed divisional brands to one single specialized brand, Robert Half. This simplifies the Company's go-to-market brand structure for clients and candidates and provides leverage for greater brand awareness and allows future flexibility to expand the Company's existing practice groups without the need for new brands. The Company's financial disclosures for contract talent solutions (formerly temporary and consultant staffing) are based on functional specialization rather than the previously branded divisions. The functional specializations are: finance and accounting, administrative and customer support, and technology. Finance and accounting combines the former Accountemps and Robert Half Management Resources, administrative and customer support was previously Office Team, and technology was formerly Robert Half Technology. Protiviti and permanent placement talent solutions continue to be reported separately. What was previously referred to as staffing operations is now referred to as talent solutions. There is no change to the underlying business operations or organization.

The Company's presentation of service revenues for finance and accounting, administrative and customer support, and technology include intersegment revenues from services provided to Protiviti in connection with the Company's blended business solutions. This is how the Company measures and manages these businesses internally. The combined amount of divisional intersegment revenues with Protiviti are aggregated and then eliminated as a single line item. The Company has prepared the below schedule to provide readers with historical comparative information to better evaluate the related trends.

	2020								2021								2022
	Q1		Q2		Q3		Q4		Q1		Q2		Q3		Q4		Q1		Q2
SERVICE REVENUES:
Finance and accounting	$  701,762		$  496,573		$  506,515		$  552,116		$  600,387		$  663,892		$  732,365		$  768,204		$   801,690		$  810,910
Administrative and customer support	239,979		136,299		173,685		214,985		220,467		263,192		279,370		295,872		284,906		274,141
Technology	196,652		162,028		161,007		175,730		172,239		194,233		215,500		213,414		213,327		218,190
Elimination of intersegment revenues	(46,273)		(41,514)		(59,816)		(92,393)		(103,818)		(143,036)		(172,534)		(161,004)		(144,200)		(137,548)
Total contract talent solutions	1,092,120		753,386		781,391		850,438		889,275		978,281		1,054,701		1,116,486		1,155,723		1,165,693
Permanent placement talent solutions	120,489		71,030		87,203		91,387		111,703		143,640		156,444		158,133		186,782		200,096
Protiviti	294,082		283,910		321,303		362,261		397,402		458,660		501,421		495,298		472,329		497,038
Total service revenues	$  1,506,691		$  1,108,326		$  1,189,897		$  1,304,086		$  1,398,380		$  1,580,581		$  1,712,566		$  1,769,917		$  1,814,834		$  1,862,827

ROBERT HALF INTERNATIONAL INC.
NON-GAAP FINANCIAL MEASURES

The financial results of Robert Half International Inc. (the "Company") are prepared in conformity with accounting principles generally accepted in the United States of America ("GAAP") and the rules of the SEC. To help readers understand the Company's financial performance, the Company supplements its GAAP financial results with the following non-GAAP measures: adjusted gross margin; adjusted selling, general and administrative expense; segment income; combined segment income; and as adjusted revenue growth rates.

The following measures: adjusted gross margin; adjusted selling, general and administrative expense; and segment income include gains and losses on investments held to fund the Company's obligations under employee deferred compensation plans. The Company provides these measures because they are used by management to review its operational results.

 Combined segment income is income before income taxes, adjusted for interest (income) expense, net and amortization of intangible assets. The Company provides combined segment income because it is how management evaluates segment performance.

 Variations in the Company's financial results include the impact of changes in foreign currency exchange rates and billing days. The Company provides "as adjusted" revenue growth calculations to remove the impact of these items. These calculations show the year-over-year revenue growth rates for the Company's functional specializations and segments on both a reported basis and also on an as adjusted basis for global, U.S. and international operations. This information is presented for each of the six most recent quarters. The Company has provided this data because it focuses on the Company's revenue growth rates attributable to operating activities and aids in evaluating revenue trends over time. The Company expresses year-over-year revenue changes as calculated percentages using the same number of billing days and constant currency exchange rates.

In order to calculate constant currency revenue growth rates, as reported amounts are retranslated using foreign currency exchange rates from the prior year's comparable period. Management then calculates a global, weighted-average number of billing days for each reporting period based upon input from all countries and all functional specializations and segments. In order to remove the fluctuations caused by comparable periods having different billing days, the Company calculates same billing day revenue growth rates by dividing each comparative period's reported revenues by the calculated number of billing days for that period to arrive at a per billing day amount. Same billing day growth rates are then calculated based upon the per billing day amounts. The term "as adjusted" means that the impact of different billing days and currency fluctuations are removed from the revenue growth rate calculation.

The non-GAAP financial measures provided herein may not provide information that is directly comparable to that provided by other companies in the Company's industry, as other companies may calculate such financial results differently. The Company's non-GAAP financial measures are not measurements of financial performance under GAAP and should not be considered as alternatives to amounts presented in accordance with GAAP. The Company does not consider these non-GAAP financial measures to be a substitute for, or superior to, the information provided by GAAP financial results. A reconciliation of the non-GAAP financial measures to the most directly comparable GAAP financial measures is provided on the following pages.

ROBERT HALF INTERNATIONAL INC. NON-GAAP FINANCIAL MEASURES ADJUSTED SUMMARY OF OPERATIONS RECONCILIATION (UNAUDITED) (in thousands)
	Quarter Ended June 30,												Relationships
	2022						2021						2022		2021		2022		2021
	Reported		Adjustments		Adjusted (1)		Reported		Adjustments		Adjusted (1)		Reported				Adjusted
SERVICE REVENUES:
Finance and accounting	$     810,910		$               —		$     810,910		$     663,892		$               —		$     663,892		43.5 %		41.9 %		43.5 %		41.9 %
Administrative and customer support	274,141		—		274,141		263,192		—		263,192		14.7 %		16.7 %		14.7 %		16.7 %
Technology	218,190		—		218,190		194,233		—		194,233		11.7 %		12.3 %		11.7 %		12.3 %
Elimination of intersegment revenues	(137,548)		—		(137,548)		(143,036)		—		(143,036)		(7.3 %)		(9.0 %)		(7.3 %)		(9.0 %)
Total contract talent solutions	1,165,693		—		1,165,693		978,281		—		978,281		62.6 %		61.9 %		62.6 %		61.9 %
Permanent placement talent solutions	200,096		—		200,096		143,640		—		143,640		10.7 %		9.1 %		10.7 %		9.1 %
Protiviti	497,038		—		497,038		458,660		—		458,660		26.7 %		29.0 %		26.7 %		29.0 %
Total	$ 1,862,827		$               —		$ 1,862,827		$ 1,580,581		$               —		$ 1,580,581		100.0 %		100.0 %		100.0 %		100.0 %
GROSS MARGIN:
Contract talent solutions	$     464,853		$               —		$     464,853		$     388,070		$               —		$     388,070		39.9 %		39.7 %		39.9 %		39.7 %
Permanent placement talent solutions	199,664		—		199,664		143,454		—		143,454		99.8 %		99.9 %		99.8 %		99.9 %
Protiviti	151,030		(11,413)		139,617		133,348		4,153		137,501		30.4 %		29.1 %		28.1 %		30.0 %
Total	$     815,547		$     (11,413)		$     804,134		$     664,872		$         4,153		$     669,025		43.8 %		42.1 %		43.2 %		42.3 %
SELLING GENERAL AND ADMINISTRATIVE EXPENSE:
Contract talent solutions	$     284,090		$       47,196		$     331,286		$     315,114		$     (21,054)		$     294,060		24.4 %		32.2 %		28.4 %		30.1 %
Permanent placement talent solutions	155,900		7,013		162,913		115,458		(2,603)		112,855		77.9 %		80.4 %		81.4 %		78.6 %
Protiviti	69,404		—		69,404		57,521		—		57,521		14.0 %		12.5 %		14.0 %		12.5 %
Total	$     509,394		$       54,209		$     563,603		$     488,093		$     (23,657)		$     464,436		27.3 %		30.9 %		30.3 %		29.4 %
OPERATING/SEGMENT INCOME:
Contract talent solutions	$     180,763		$     (47,196)		$     133,567		$       72,956		$       21,054		$       94,010		15.5 %		7.5 %		11.5 %		9.6 %
Permanent placement talent solutions	43,764		(7,013)		36,751		27,996		2,603		30,599		21.9 %		19.5 %		18.4 %		21.3 %
Protiviti	81,626		(11,413)		70,213		75,827		4,153		79,980		16.4 %		16.5 %		14.1 %		17.4 %
Total	$     306,153		$     (65,622)		$     240,531		$     176,779		$       27,810		$     204,589		16.4 %		11.2 %		12.9 %		12.9 %
(Income) loss from investments held in employee deferred compensation trusts	65,622		(65,622)		—		(27,810)		27,810		—		3.5 %		(1.7 %)		—		—
Amortization of intangible assets	416		—		416		576		—		576		0.0 %		0.0 %		0.0 %		0.0 %
Interest (income) expense, net	(718)		—		(718)		151		—		151		0.0 %		0.0 %		0.0 %		0.0 %
Income before income taxes	$     240,833		$               —		$     240,833		$     203,862		$               —		$     203,862		12.9 %		12.9 %		12.9 %		12.9 %

(1)  Changes in the Company's deferred compensation obligations are included in selling, general and administrative expense or, in the case of Protiviti, costs of services, while the related investment (income) loss is presented separately. The non-GAAP financial measures shown in the table above are adjusted to reclassify investment (income) loss from investments held in employee deferred compensation trusts to the same line item, which includes the corresponding change in obligation. These adjustments have no impact to income before income taxes.

 

ROBERT HALF INTERNATIONAL INC. NON-GAAP FINANCIAL MEASURES ADJUSTED SUMMARY OF OPERATIONS RECONCILIATION (UNAUDITED) (in thousands)
	Six Months Ended June 30,												Relationships
	2022						2021						2022		2021		2022		2021
	Reported		Adjustments		Adjusted (1)		Reported		Adjustments		Adjusted (1)		Reported				Adjusted
SERVICE REVENUES:
Finance and accounting	$ 1,612,600		$               —		$ 1,612,600		$ 1,264,326		$               —		$ 1,264,326		43.9 %		42.5 %		43.9 %		42.5 %
Administrative and customer support	559,047		—		559,047		483,665		—		483,665		15.2 %		16.2 %		15.2 %		16.2 %
Technology	431,517		—		431,517		366,406		—		366,406		11.7 %		12.3 %		11.7 %		12.3 %
Elimination of intersegment revenues	(281,748)		—		(281,748)		(246,840)		—		(246,840)		(7.7 %)		(8.3 %)		(7.7 %)		(8.3 %)
Total contract talent solutions	2,321,416		—		2,321,416		1,867,557		—		1,867,557		63.1 %		62.7 %		63.1 %		62.7 %
Permanent placement talent solutions	386,878		—		386,878		255,344		—		255,344		10.5 %		8.6 %		10.5 %		8.6 %
Protiviti	969,367		—		969,367		856,060		—		856,060		26.4 %		28.7 %		26.4 %		28.7 %
Total	$ 3,677,661		$               —		$ 3,677,661		$ 2,978,961		$               —		$ 2,978,961		100.0 %		100.0 %		100.0 %		100.0 %
GROSS MARGIN:
Contract talent solutions	$     926,714		$               —		$     926,714		$     733,003		$               —		$     733,003		39.9 %		39.2 %		39.9 %		39.2 %
Permanent placement talent solutions	386,113		—		386,113		254,951		—		254,951		99.8 %		99.8 %		99.8 %		99.8 %
Protiviti	274,566		(15,259)		259,307		238,629		5,842		244,471		28.3 %		27.9 %		26.8 %		28.6 %
Total	$ 1,587,393		$     (15,259)		$ 1,572,134		$ 1,226,583		$         5,842		$ 1,232,425		43.2 %		41.2 %		42.7 %		41.4 %
SELLING GENERAL AND ADMINISTRATIVE EXPENSE:
Contract talent solutions	$     589,424		$       70,477		$     659,901		$     593,627		$     (30,312)		$     563,315		25.4 %		31.8 %		28.4 %		30.2 %
Permanent placement talent solutions	302,147		9,887		312,034		210,360		(3,643)		206,717		78.1 %		82.4 %		80.7 %		81.0 %
Protiviti	132,017		—		132,017		107,168		—		107,168		13.6 %		12.5 %		13.6 %		12.5 %
Total	$ 1,023,588		$       80,364		$ 1,103,952		$     911,155		$     (33,955)		$     877,200		27.8 %		30.6 %		30.0 %		29.4 %
OPERATING/SEGMENT INCOME:
Contract talent solutions	$     337,290		$     (70,477)		$     266,813		$     139,376		$       30,312		$     169,688		14.5 %		7.5 %		11.5 %		9.1 %
Permanent placement talent solutions	83,966		(9,887)		74,079		44,591		3,643		48,234		21.7 %		17.5 %		19.1 %		18.9 %
Protiviti	142,549		(15,259)		127,290		131,461		5,842		137,303		14.7 %		15.4 %		13.1 %		16.0 %
Total	$     563,805		$     (95,623)		$     468,182		$     315,428		$       39,797		$     355,225		15.3 %		10.6 %		12.7 %		11.9 %
(Income) loss from investments held in employee deferred compensation trusts	95,623		(95,623)		—		(39,797)		39,797		—		2.6 %		(1.3 %)		—		—
Amortization of intangible assets	833		—		833		1,152		—		1,152		0.0 %		0.0 %		0.0 %		0.0 %
Interest (income) expense, net	(884)		—		(884)		105		—		105		0.0 %		0.0 %		0.0 %		0.0 %
Income before income taxes	$     468,233		$               —		$     468,233		$     353,968		$               —		$     353,968		12.7 %		11.9 %		12.7 %		11.9 %

(1)  Changes in the Company's deferred compensation obligations are included in selling, general and administrative expense or, in the case of Protiviti, costs of services, while the related investment (income) loss is presented separately. The non-GAAP financial measures shown in the table above are adjusted to reclassify investment (income) loss from investments held in employee deferred compensation trusts to the same line item, which includes the corresponding change in obligation. These adjustments have no impact to income before income taxes.

 

ROBERT HALF INTERNATIONAL INC. NON-GAAP FINANCIAL MEASURES COMBINED SEGMENT INCOME RECONCILIATION (UNAUDITED):
		Quarter Ended June 30,				Six Months Ended June 30,
		2022		2021		2022		2021
Income before income taxes		$   240,833		$   203,862		$   468,233		$   353,968
Interest (income) expense, net		(718)		151		(884)		105
Amortization of intangible assets		416		576		833		1,152
Combined segment income		$   240,531		$   204,589		$   468,182		$   355,225

 

ROBERT HALF INTERNATIONAL INC. NON-GAAP FINANCIAL MEASURES REVENUE GROWTH RATES (%) (UNAUDITED):
		Year-Over-Year Growth Rates (As Reported)												Non-GAAP Year-Over-Year Growth Rates (As Adjusted)
		2021								2022				2021								2022
		Q1		Q2		Q3		Q4		Q1		Q2		Q1		Q2		Q3		Q4		Q1		Q2
Global
Finance and accounting		-14.4		33.7		44.6		39.1		33.5		22.1		-14.5		31.0		43.5		39.8		34.6		24.4
Administrative and customer support		-8.1		93.1		60.8		37.6		29.2		4.2		-8.7		89.5		60.0		38.4		30.5		6.3
Technology		-12.4		19.9		33.8		21.4		23.9		12.3		-12.4		17.9		33.1		21.8		24.6		13.9
Elimination of intersegment revenues (1)		124.4		244.5		188.4		74.3		38.9		-3.8		127.3		240.9		187.5		75.1		40.1		-1.9
Total contract talent solutions		-18.6		29.9		35.0		31.3		30.0		19.2		-18.9		27.2		34.0		31.9		31.0		21.3
Permanent placement talent solutions		-7.3		102.2		79.4		73.0		67.2		39.3		-8.1		96.9		77.7		73.8		68.8		42.6
Total talent solutions		-17.5		36.1		39.4		35.3		34.1		21.7		-17.8		33.2		38.4		36.0		35.2		24.0
Protiviti		35.1		61.6		56.1		36.7		18.9		8.4		34.7		58.8		55.1		37.4		20.0		10.8
Total		-7.2		42.6		43.9		35.7		29.8		17.9		-7.6		39.7		42.9		36.3		30.9		20.2
United States
Contract talent solutions		-20.3		27.5		35.5		33.4		33.4		22.7		-19.4		27.7		35.5		33.6		33.4		22.7
Permanent placement talent solutions		-12.4		109.3		85.1		78.6		78.3		44.3		-11.4		109.6		85.1		78.9		78.3		44.3
Total talent solutions		-19.6		33.6		40.0		37.2		37.8		25.2		-18.6		33.8		40.0		37.4		37.8		25.2
Protiviti		35.5		62.6		53.7		31.7		17.0		8.3		37.1		62.8		53.7		31.9		17.0		8.3
Total		-8.7		41.1		43.8		35.6		31.7		20.2		-7.6		41.3		43.8		35.8		31.7		20.2
International
Contract talent solutions		-12.3		38.6		33.0		24.0		18.5		7.0		-17.0		25.1		29.1		26.3		23.5		16.6
Permanent placement talent solutions		5.2		87.8		67.3		61.9		44.7		28.0		0.3		70.5		62.1		64.0		50.0		39.0
Total talent solutions		-10.1		44.8		37.7		29.2		22.5		10.5		-14.8		30.9		33.7		31.6		27.5		20.3
Protiviti		33.8		57.6		65.9		58.3		26.2		8.6		26.1		43.5		61.4		61.2		32.3		20.6
Total		-2.0		48.0		44.3		36.2		23.4		10.0		-7.2		33.9		40.1		38.6		28.7		20.4

(1) Service revenues for finance and accounting, administrative and customer support and technology include intersegment revenues, which represent revenues from services provided to Protiviti in connection with the Company's blended business solutions. Intersegment revenues for each functional specialization are aggregated and then eliminated as a single line item.

The non-GAAP financial measures included in the table above adjust for the following items:

Foreign Currency Translation. The "As Reported" revenue growth rates are based upon reported revenues, which include the impact of changes in foreign currency exchange rates. In order to calculate "Constant Currency" revenue growth rates, as reported amounts are retranslated using foreign exchange rates from the prior year's comparable period.

Billing Days. The "As Reported" revenue growth rates are based upon reported revenues. Management calculates a global, weighted-average number of billing days for each reporting period based upon inputs from all countries and all functional specializations. In order to remove the fluctuations caused by comparable periods having different billing days, the Company calculates "same billing day" revenue growth rates by dividing each comparative period's reported revenues by the calculated number of billing days for that period to arrive at a "per billing day" amount. The "same billing day" growth rates are then calculated based upon the "per billing day" amounts.

The term "As Adjusted" means that the impact of different billing days and constant currency fluctuations are removed from the revenue growth rate calculation. A reconciliation of the non-GAAP year-over-year revenue growth rates to the "As Reported" year-over-year revenue growth rates is included herein, on Pages 11-13.

ROBERT HALF INTERNATIONAL INC. NON-GAAP FINANCIAL MEASURES REVENUE GROWTH RATE (%) RECONCILIATION (UNAUDITED):
Year-Over-Year Revenue Growth – GLOBAL
		Q1 2021		Q2 2021		Q3 2021		Q4 2021		Q1 2022		Q2 2022
Finance and accounting
As Reported		-14.4		33.7		44.6		39.1		33.5		22.1
Billing Days Impact		0.7		-0.4		-0.3		0.3		-0.2		0.0
Currency Impact		-0.8		-2.3		-0.8		0.4		1.3		2.3
As Adjusted		-14.5		31.0		43.5		39.8		34.6		24.4
Administrative and customer support
As Reported		-8.1		93.1		60.8		37.6		29.2		4.2
Billing Days Impact		1.1		0.0		-0.2		0.1		-0.2		0.0
Currency Impact		-1.7		-3.6		-0.6		0.7		1.5		2.1
As Adjusted		-8.7		89.5		60.0		38.4		30.5		6.3
Technology
As Reported		-12.4		19.9		33.8		21.4		23.9		12.3
Billing Days Impact		1.1		0.0		-0.1		0.1		-0.2		0.0
Currency Impact		-1.1		-2.0		-0.6		0.3		0.9		1.6
As Adjusted		-12.4		17.9		33.1		21.8		24.6		13.9
Elimination of intersegment revenues
As Reported		124.4		244.5		188.4		74.3		38.9		-3.8
Billing Days Impact		2.7		0.0		-0.4		0.1		-0.2		0.0
Currency Impact		0.2		-3.6		-0.5		0.7		1.4		1.9
As Adjusted		127.3		240.9		187.5		75.1		40.1		-1.9
Total contract talent solutions
As Reported		-18.6		29.9		35.0		31.3		30.0		19.2
Billing Days Impact		1.0		0.0		-0.2		0.1		-0.2		0.0
Currency Impact		-1.3		-2.7		-0.8		0.5		1.2		2.1
As Adjusted		-18.9		27.2		34.0		31.9		31.0		21.3
Permanent placement talent solutions
As Reported		-7.3		102.2		79.4		73.0		67.2		39.3
Billing Days Impact		1.1		0.0		-0.2		0.1		-0.3		0.0
Currency Impact		-1.9		-5.3		-1.5		0.7		1.9		3.3
As Adjusted		-8.1		96.9		77.7		73.8		68.8		42.6
Total talent solutions
As Reported		-17.5		36.1		39.4		35.3		34.1		21.7
Billing Days Impact		1.1		0.0		-0.2		0.2		-0.2		0.0
Currency Impact		-1.4		-2.9		-0.8		0.5		1.3		2.3
As Adjusted		-17.8		33.2		38.4		36.0		35.2		24.0
Protiviti
As Reported		35.1		61.6		56.1		36.7		18.9		8.4
Billing Days Impact		1.6		0.0		-0.3		0.2		-0.2		0.0
Currency Impact		-2.0		-2.8		-0.7		0.5		1.3		2.4
As Adjusted		34.7		58.8		55.1		37.4		20.0		10.8
Total
As Reported		-7.2		42.6		43.9		35.7		29.8		17.9
Billing Days Impact		1.1		0.0		-0.2		0.1		-0.2		0.0
Currency Impact		-1.5		-2.9		-0.8		0.5		1.3		2.3
As Adjusted		-7.6		39.7		42.9		36.3		30.9		20.2

 

ROBERT HALF INTERNATIONAL INC. NON-GAAP FINANCIAL MEASURES REVENUE GROWTH RATE (%) RECONCILIATION (UNAUDITED):
Year-Over-Year Revenue Growth – UNITED STATES
		Q1 2021		Q2 2021		Q3 2021		Q4 2021		Q1 2022		Q2 2022
Contract talent solutions
As Reported		-20.3		27.5		35.5		33.4		33.4		22.7
Billing Days Impact		0.9		0.2		0.0		0.2		0.0		0.0
Currency Impact		―		―		―		―		―		―
As Adjusted		-19.4		27.7		35.5		33.6		33.4		22.7
Permanent placement talent solutions
As Reported		-12.4		109.3		85.1		78.6		78.3		44.3
Billing Days Impact		1.0		0.3		0.0		0.3		0.0		0.0
Currency Impact		―		―		―		―		―		―
As Adjusted		-11.4		109.6		85.1		78.9		78.3		44.3
Total talent solutions
As Reported		-19.6		33.6		40.0		37.2		37.8		25.2
Billing Days Impact		1.0		0.2		0.0		0.2		0.0		0.0
Currency Impact		―		―		―		―		―		―
As Adjusted		-18.6		33.8		40.0		37.4		37.8		25.2
Protiviti
As Reported		35.5		62.6		53.7		31.7		17.0		8.3
Billing Days Impact		1.6		0.2		—		0.2		0.0		0.0
Currency Impact		―		―		―		―		―		―
As Adjusted		37.1		62.8		53.7		31.9		17.0		8.3
Total
As Reported		-8.7		41.1		43.8		35.6		31.7		20.2
Billing Days Impact		1.1		0.2		0.0		0.2		0.0		0.0
Currency Impact		―		―		―		―		―		―
As Adjusted		-7.6		41.3		43.8		35.8		31.7		20.2

 

ROBERT HALF INTERNATIONAL INC. NON-GAAP FINANCIAL MEASURES REVENUE GROWTH RATE (%) RECONCILIATION (UNAUDITED):
Year-Over-Year Revenue Growth – INTERNATIONAL
		Q1 2021		Q2 2021		Q3 2021		Q4 2021		Q1 2022		Q2 2022
Contract talent solutions
As Reported		-12.3		38.6		33.0		24.0		18.5		7.0
Billing Days Impact		1.4		-0.8		-0.5		0.1		-0.4		0.2
Currency Impact		-6.1		-12.7		-3.4		2.2		5.4		9.4
As Adjusted		-17.0		25.1		29.1		26.3		23.5		16.6
Permanent placement talent solutions
As Reported		5.2		87.8		67.3		61.9		44.7		28.0
Billing Days Impact		1.7		-1.1		-0.6		0.1		-0.5		0.2
Currency Impact		-6.6		-16.2		-4.6		2.0		5.8		10.8
As Adjusted		0.3		70.5		62.1		64.0		50.0		39.0
Total talent solutions
As Reported		-10.1		44.8		37.7		29.2		22.5		10.5
Billing Days Impact		1.5		-0.8		-0.5		0.2		-0.4		0.1
Currency Impact		-6.2		-13.1		-3.5		2.2		5.4		9.7
As Adjusted		-14.8		30.9		33.7		31.6		27.5		20.3
Protiviti
As Reported		33.8		57.6		65.9		58.3		26.2		8.6
Billing Days Impact		2.1		-0.8		-0.7		0.1		-0.5		0.2
Currency Impact		-9.8		-13.3		-3.8		2.8		6.6		11.8
As Adjusted		26.1		43.5		61.4		61.2		32.3		20.6
Total
As Reported		-2.0		48.0		44.3		36.2		23.4		10.0
Billing Days Impact		1.6		-0.9		-0.6		0.1		-0.4		0.2
Currency Impact		-6.8		-13.2		-3.6		2.3		5.7		10.2
As Adjusted		-7.2		33.9		40.1		38.6		28.7		20.4

 

 

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SOURCE Robert Half

FAQ

What were Robert Half's earnings for Q2 2022?

Robert Half reported earnings of $1.60 per share for Q2 2022.

How much revenue did Robert Half generate in Q2 2022?

Robert Half generated $1.863 billion in revenue for Q2 2022.

What growth did Robert Half experience in talent solutions?

Talent solutions grew by 39% for permanent placements and 19% for contract talent solutions year-over-year.

What was Robert Half's net income for the first half of 2022?

Robert Half's net income for the first half of 2022 was $344 million.

What achievements did Robert Half receive from Forbes?

Robert Half ranked number one in America's Best Professional Recruiting Firms, America's Best Temporary Staffing Firms, and America's Best Executive Recruiting Firms.