Korn Ferry Announces First Quarter Fiscal 2023 Results of Operations

Earnings Press Release Q1-FY'23

Los Angeles, CA, September 7, 2022 – Korn Ferry (NYSE: KFY), a global organizational consulting firm, today announced first quarter fee revenue of $695.9 million. In addition, first quarter diluted earnings per share was $1.45 and adjusted diluted earnings per share was $1.50.

“I am pleased with our financial results during the fiscal first quarter. We generated $696 million in fee revenue, up 19% (24% at constant currency) year over year. Our diluted earnings per share and adjusted diluted earnings per share were $1.45 and $1.50, respectively, and our Adjusted EBITDA was $132 million, representing a 19% margin,” said Gary D. Burnison, CEO, Korn Ferry.

“We are in a new paradigm as global organizations fight for growth and relevancy while facing economic ambiguity. Today’s workscape has never been more complex – an imbalanced labor market, skills shortage and a major shift in how and where people work. While cycles will continually change, the long-term premium on people endures. Strategy without talent is helpless and talent without strategy is hopeless. Korn Ferry is the firm that helps clients drive performance through synchronizing their organization, their strategy and their people.”

Highlights

• Korn Ferry reports fee revenue of $695.9 million in Q1 FY’23, an increase of 19% (24% on a constant currency) from Q1 FY’22.
• Net income attributable to Korn Ferry was $77.2 million in Q1 FY’23, while diluted and adjusted diluted earnings per share were $1.45 and $1.50 in Q1 FY’23, respectively.
• Operating income and Adjusted EBITDA were $111.6 million (operating margin of 16.0%) and $132.2 million (Adjusted EBITDA margin of 19.0%), respectively, in Q1 FY’23.
• The Company repurchased 370,000 shares of stock during the quarter for $22.4 million.
• On August 1st, 2022, Korn Ferry completed the acquisition of Infinity Consulting Solutions, which will be included in the Professional Search & Interim segment in Q2 FY’23.
• Declared a quarterly dividend of $0.15 per share on September 6, 2022, which is payable on October 14, 2022 to stockholders of record on September 23, 2022.
• On May 1, 2022, Korn Ferry separated the RPO & Professional Search segment into two segments, Professional Search & Interim segment and the RPO segment.