Robert Half sees Q2 EPS $1.09-$1.19, consensus $1.25

Sees Q2 revenue $1.655B-$1.735B, consensus $1.71B. CFO Michael Buckley says: " Let’s review some of the monthly revenue trends we saw in the first quarter and so far in April, all adjusted for currency and billing days. Contract Talent Solutions exited the first quarter with March revenues down 9% versus the prior year compared to an 8% decrease for the full quarter. Revenues for the first 2 weeks of April were down 11% compared to the same period 1 year ago. Permanent placement revenues in March were down 17% versus March of 2022. This compares to a 16% decrease for the full quarter. For the first 3 weeks of April, permanent placement revenues were down 13% compared to the same period in 2022. We provide this information so that you have insight into some of the trends we saw during the first quarter and into April. But as you know, these are very brief time periods, we caution against reading too much into them. With that in mind, we offer the following second quarter guidance: Revenues, $1.655 billion to $1.735 billion; income per share, $1.09 to $1.19. Midpoint revenues of $1.695 billion are 9% lower than the same period in 2022 on an as-adjusted basis. The major financial assumptions underlying the midpoint of these estimates are as follows: Revenue growth year-over-year on an as-adjusted basis, Talent Solutions, down 11% to down 16%. Activity up 2% to up 5%. Overall, down 7% to down 11%. Gross margin percentage for Contract Talent, 39% to 41%, Protiviti, 24% to 26%, overall, 40% to 42%. SG&A as a percentage of revenues, excluding deferred compensation classification impacts. Talent Solutions, 37% to 39%, Protiviti, 14% to 16%, overall, 30% to 32%. For segment income, Talent Solutions, 8% to 11%, Protiviti, 9% to 12%, overall, 8% to 11%. For the tax rate, 28% to 29%, shares outstanding $106 million to $107 million. 2023 capital expenditures and capitalized computing costs, $90 million to $100 million with $20 million to $25 million in the second quarter. We limit our guidance to 1 quarter." Comments taken from Q1 earnings conference call.