Robert Half : Q1 2026 Audio Recording PDF

Published: 2026-04-23 17:29:22 ET RHI

Published on 04/23/2026 at 05:29 pm EDT

Financial Results Conference Call

1

April 23, 2026

Disclaimer

The statements made in the conference call speak only as of the date made, and listeners are cautioned that changes in general economic, business or other conditions or in the business condition, financial results or operations of Robert Half may have occurred since such date. Robert Half undertakes no duty to update the statements made in the conference call. Also, subsequent conference calls may have been held, press releases issued, or documents containing later or additional information may have been filed with the Securities and Exchange Commission ("SEC") or New York Stock Exchange ("NYSE") or otherwise become available or come into existence. Robert Half undertakes no duty to make any such conference call, press release, or any such document or additional information available here, and it should not be assumed that the failure of any such conference call, press release, document or additional information to appear here is an indication that no such conference call has occurred, that no such press release or document exists, or that no subsequent additional information which may be material has arisen. Some of the documents Robert Half files with the SEC and NYSE appear elsewhere on the Robert Half website. Listeners to this conference call may contact Robert Half for copies of such documents or any other document filed with the SEC and NYSE. Alternatively, copies of such documents are available directly from the SEC and the NYSE.

Introduction

M. Keith Waddell, President and Chief Executive Officer, Robert Half:

Hello, everyone. We appreciate your time today.

Before we get started, I would like to remind you that the comments made on today's call contain forward-looking statements, including predictions and estimates about our future performance. These statements represent our current judgment of what the future holds. However, they are subject to risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. These risks and uncertainties are described in today's press release and in our most recent 10-K and 10-Q filed with the SEC. We assume no obligation to update the statements made on today's call.

During this presentation, we may refer to certain non-GAAP financial measures as 'adjusted.' Adjusted revenue growth excludes the impact of billing day variations and foreign currency exchange rates. Adjusted gross margin, SG&A, and operating income reflect the combining of investment gains and losses related to employee deferred compensation plans with corresponding changes in those obligations; these items have no impact on reported net income. Reconciliations and additional information are included in the supplemental schedules to our earnings release.

For your convenience, our prepared remarks for today's call are available in the Investor Center of our website, roberthalf.com.

For the first quarter of 2026, global enterprise revenues were

$1.300 billion, down 4 percent from last year's first quarter on a reported basis and down 6 percent on an adjusted basis. We are very pleased that talent solutions delivered a second consecutive quarter of positive sequential growth on a same-day constant currency basis, with revenue trends strengthening as the quarter progressed and into early April.

Overall, we believe market conditions are becoming increasingly conducive to our business, and our unique combination of award-winning high-tech capabilities and high-touch expertise positions us well to deliver meaningful value for clients navigating a dynamic business environment.

Net income per share in the first quarter was $0.14, compared to $0.17 in the first quarter one year ago. As Mike will discuss, first-quarter EPS was impacted by a seasonally elevated tax rate tied to stock-based compensation, which we expect to normalize as the year progresses.

We remain very well-positioned to capitalize on emerging opportunities and support our clients' talent and consulting needs through the strength of our industry-leading brand, people, technology and unique business model that includes both professional staffing and business consulting services.

Cash flow used in operations during the quarter was $112 million. Cash outflows are seasonally elevated each year in the first quarter due to the annual payment cycle for bonuses and SAAS subscriptions renewals,

among others. In March, we distributed a 59-cent-per-share cash dividend to our shareholders of record, for a total cash outlay of $62 million.

Return on invested capital for the Company was 4 percent in the first quarter.

Now I'll turn the call over to our CFO, Mike Buckley.

Michael C. Buckley, CFO, Robert Half:

Thank you, Keith. Hello, everyone.

As Keith noted, global revenues were $1.300 billion in the first quarter.

On an adjusted basis, first-quarter talent solutions revenues were down

7 percent year over year. U.S. talent solutions revenues were $626 million, down 7 percent from the prior year's first quarter. Non-U.S. talent solutions revenues were $208 million, down 3 percent year over year. We conduct talent solutions operations through offices in the United States and 18 other countries.

In the first quarter of 2026, there were 61.9 billing days, the same as the first quarter one year ago. The second quarter of 2026 has 63.1 billing days, compared to 63.2 billing days in the second quarter of 2025.

Currency exchange rate movements during the first quarter had the effect of increasing reported year-over-year total revenues by $24 million-

$16 million for talent solutions and $8 million for Protiviti.

Contract talent solutions bill rates for the first quarter increased 2.6 percent compared to one year ago, adjusted for changes in the mix of revenues by functional specialization, currency and country. This rate for the fourth quarter was 3.2 percent.

Now let's take a closer look at results for Protiviti. Global revenues in the first quarter were $466 million: $362 million of that is from the United States, and $104 million is from outside the United States. On an adjusted

basis, global first-quarter Protiviti revenues were down 4 percent versus the year-ago period. U.S. Protiviti revenues were down 6 percent, while non-U.S. Protiviti revenues were up 8 percent compared to one year ago. Protiviti and its independently owned Member Firms serve clients through locations in the United States and 27 other countries.

Turning now to gross margin: In contract talent solutions, gross margin was 38.9 percent of applicable revenues in both the current quarter and the first quarter one year ago. Conversion (or contract-to-hire) revenues were 3.1 percent of contract revenues in the current quarter, compared to

3.2 percent in the first quarter of 2025.

Our permanent placement revenues were 13.1 percent of consolidated talent solutions revenues in the current quarter, compared to 12.8 percent in the first quarter of 2025. When combined with contract talent solutions gross margin, overall gross margin for talent solutions was 46.8 percent of applicable revenues in the current quarter, compared to 46.7 percent in the first quarter of 2025.

For Protiviti, gross margin was 19.2 percent of Protiviti revenues in the first quarter and 18.9 percent in the first quarter one year ago. Adjusted gross margin for Protiviti was 18.8 percent for the quarter just ended, compared to 18.1 percent last year.

Enterprise SG&A costs were 34.1 percent of global revenues in the first quarter, compared to 34.0 percent in the same quarter one year ago. Adjusted enterprise SG&A costs were 34.6 percent for the quarter just ended, compared to 35.2 percent one year ago.

Talent solutions SG&A costs were 44.2 percent of talent solutions revenues in the first quarter, versus 43.7 percent in the first quarter of 2025.

Adjusted talent solutions SG&A costs were 45.0 percent for the quarter just ended, compared to 45.5 percent last year.

Disclaimer

Robert Half Inc. published this content on April 23, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on April 23, 2026 at 21:21 UTC.