Kforce (KFRC) Q2 2025 Earnings Transcript

Motley Fool Transcribing, The Motley Fool

Mon, April 27, 2026 astatine 10:37 AM CDT 40 min read

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Monday, July 28, 2025 astatine 5 p.m. ET

• Chief Executive Officer — Joseph J. Liberatore

• Chief Operating Officer — David M. Kelly

• Chief Financial Officer — Jeffrey B. Hackman

Joseph J. Liberatore: Good afternoon, and convey you for your clip today. This telephone contains definite statements that are forward-looking, are based upon existent assumptions and expectations and are taxable to risks and uncertainties. Actual results whitethorn alteration materially from the factors listed successful Kforce's nationalist filings and different reports and filings with the SEC. We cannot undertake immoderate work to update immoderate forward- looking statements. You tin find further accusation astir our results successful our net merchandise and our SEC filings. In addition, we person published our prepared remarks wrong our Investor Relations information of our website.

Against the backdrop of a macroeconomic situation that has faced heightened uncertainty for a prolonged play of time, we are pleased to person delivered sequential Flex gross maturation successful some our Technology and Finance and Accounting businesses successful the 2nd quarter. Overall results were mostly accordant with the expectations and I'm arrogant of however our teams are continuing to execute and instrumentality marketplace share. While the enactment of the One Big Beautiful Bill removed immoderate uncertainty related to taxation policy, the planetary commercialized negotiations and imaginable retaliatory measures are acold from settled and the imaginable derivative antagonistic effects connected the U.S. user and broader U.S. system stay highly uncertain arsenic exhibited by continued premix economical data.

Conversations with our clients, which are predominantly market-leading companies, and our operating trends suggest that we are continuing to run successful a demand-constrained environment. With that said, our clients proceed to transportation a important backlog of strategically imperative exertion investments that they expect to execute erstwhile greater affirmative visibility exists. Over the past 3 years, occupation gains person been concentrated successful a fistful of sectors, wellness care, leisure and hospitality, construction, acquisition and government. These areas person driven the bulk of the labour marketplace growth. Outside of these sectors wherever our lawsuit beingness is modest, occupation instauration has been minimal to nonexistent.

Unemployment claims person remained low, which suggest that companies, broadly speaking, proceed to beryllium reluctant to laic disconnected workers aft allowing earthy attrition to downsize their workforce implicit the past 3 years. These information points, erstwhile combined with the expanding backlog of captious exertion initiatives, suggest to america that companies whitethorn not person capable capableness and an expanding economical situation that is escaped of the existent important macro uncertainties. In addition, our humanities acquisition is that companies typically crook to flexible endowment solutions arsenic an archetypal measurement anterior to making halfway hires portion they measure the durability of the macroeconomic conditions.