Professional staffing firm Kforce (NYSE:KFRC) will be reporting earnings this Monday after the bell. Here’s what investors should know.
Kforce beat analysts’ revenue expectations by 1.5% last quarter, reporting revenues of $332.6 million, down 5.9% year on year. It was an exceptional quarter for the company, with revenue guidance for next quarter exceeding analysts’ expectations and a beat of analysts’ EPS estimates.
Is Kforce a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Kforce’s revenue to decline 4.2% year on year to $329.3 million, improving from the 5.4% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.47 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Kforce has missed Wall Street’s revenue estimates five times over the last two years.
Looking at Kforce’s peers in the professional services segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Robert Half’s revenues decreased 5.8% year on year, beating analysts’ expectations by 1.1%, and ManpowerGroup reported revenues up 7.1%, topping estimates by 1.8%. Robert Half traded up 27.8% following the results while ManpowerGroup was also up 25.4%.
Read our full analysis of Robert Half’s results here and ManpowerGroup’s results here.
Investors in the professional services segment have had steady hands going into earnings, with share prices up 2% on average over the last month. Kforce is up 12.8% during the same time and is heading into earnings with an average analyst price target of $36.50 (compared to the current share price of $35.34).
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