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Mar 31, 2021
Heidrick & Struggles Q1 2021 Earnings Report
Reported record first quarter results with net revenue up double digits sequentially and year over year and operating margins returned to double-digit levels.
Key Takeaways
Heidrick & Struggles reported a record first quarter with a double-digit improvement in net revenue both sequentially and year over year, driven by broad-based strength across all businesses and geographies. Adjusted operating margin reached 12.1%, the highest since 2008.
Record net revenue of $193.7 million, up 12.9% year-over-year and 20.3% sequentially.
Operating income of $19.6 million and operating margin of 10.1%, including a $3.9 million restructuring charge.
Adjusted EBITDA of $28.9 million, with adjusted EBITDA margin increasing to 14.9%.
Acquired Business Talent Group (BTG) to expand and diversify offerings.
Heidrick & Struggles
Heidrick & Struggles
Heidrick & Struggles Revenue by Segment
Heidrick & Struggles Revenue by Geographic Location
Revenue by Segment
Executive Search Revenue
CapyFin.comHeidrick Consulting Revenue
CapyFin.comRevenue by Geographic Location
Americas Revenue
CapyFin.comEurope Revenue
CapyFin.comAsia Pacific Revenue
CapyFin.com Forward Guidance
The Company expects 2021 second quarter consolidated net revenue of between $215 million and $225 million.
Positive Outlook
- Anticipated volume of new Executive Search confirmations
- Heidrick Consulting assignments
- BTG projects and the current backlog
- Consultant productivity
- Consultant retention
Challenges Ahead
- Continued fluidity of the COVID-19 pandemic that may impact quarterly results
- Based on the average currency rates in March 2021
- Seasonality of its business
- Unfavorable tax law changes and tax authority rulings
- Increased cybersecurity requirements, vulnerabilities, threats and more sophisticated and targeted cyber-related attacks that could pose a risk to our systems, networks, solutions, services and data
Revenue & Expenses
Visualization of income flow from segment revenue to net income