- Robert Half (RHI, Financial) reported a significant drop in Q1 2025 net income to $17 million, down 73% from $64 million in Q1 2024.
- Revenues declined 8% year-over-year to $1.352 billion, continuing to reflect challenging economic conditions.
- Segment revenues showed mixed performance, with Protiviti consulting showing resilience while other segments saw declines.
Robert Half Inc. (RHI) has announced its financial results for the first quarter of 2025, revealing a sharp decline in both earnings and revenues attributed to heightened economic uncertainty. Net income fell by 73% to $17 million, or $0.17 per share, compared to $64 million, or $0.61 per share, in the same period the previous year. The company's total revenue also saw an 8% decline, dropping to $1.352 billion from $1.476 billion in Q1 2024.
The company cites moderated business confidence and elongated decision cycles as key drivers of the subdued hiring activity observed in the quarter. Contract talent solutions revenues fell by 14% to $763.2 million, while permanent placement solutions dropped 10% to $112.1 million. Despite these challenges, the Protiviti segment showed resilience, recording a 2.7% revenue increase to $476.6 million, highlighting the continued demand for consulting services amid economic uncertainties.
Robert Half's cash position also reflected the current business climate, with cash and equivalents decreasing by 37% year-over-year to $342.5 million from $540.9 million. However, the company maintained a strong gross margin in its permanent placement solutions, reported at 99.8% despite the economic headwinds.
CEO M. Keith Waddell emphasized that the company remains well-positioned to capitalize on emerging opportunities, leveraging its industry-leading brand and unique business model, which includes both professional staffing and consulting services. Nonetheless, management expressed caution around continued economic uncertainty and its potential impact on future quarters.
Despite the challenges, Robert Half and its consulting subsidiary Protiviti were recognized as two of Fortune's 100 Best Companies to Work For, illustrating high levels of employee engagement and contribution to the firm's overall resilience.
