Heidrick & Struggles Q2 2021 Earnings Report
Key Takeaways
Heidrick & Struggles announced record second-quarter results with net revenue of $260 million, a 79% increase year-over-year. The company's performance was driven by strong contributions from all regions and lines of business, including the successful acquisition of Business Talent Group (BTG).
Record net revenue of $260.0 million, up 78.6% from Q2 2020 and 34.2% from Q1 2021.
Operating income of $28.7 million, including a $3.2 million restructuring charge.
Adjusted EBITDA of $37.6 million, more than doubled with adjusted EBITDA margin increasing to 14.4%.
Established On-Demand Talent segment reflecting the acquisition of Business Talent Group (BTG).
Heidrick & Struggles
Heidrick & Struggles
Heidrick & Struggles Revenue by Segment
Heidrick & Struggles Revenue by Geographic Location
Forward Guidance
The Company expects 2021 third quarter consolidated net revenue of between $245 million and $255 million, while acknowledging the continued fluidity of the COVID-19 pandemic that may impact quarterly results.
Positive Outlook
- Anticipated volume of new Executive Search confirmations
- Heidrick Consulting assignments
- On-Demand Talent projects
- Current backlog
- Consultant productivity
Challenges Ahead
- Continued fluidity of the COVID-19 pandemic
- Seasonality of its business
- Consultant retention
- Average currency rates in June 2021
- Other factors management's assumptions
Revenue & Expenses
Visualization of income flow from segment revenue to net income