ASGN Q2 2021 Earnings Report
Key Takeaways
ASGN Incorporated reported strong second-quarter results, with revenues up 17.2% year-over-year. The Commercial Segment saw significant growth, driven by consulting revenues, and the Federal Government Segment also performed well. The company has successfully completed six acquisitions since the beginning of 2020, enhancing its consulting capabilities.
Revenues for the quarter were $974.9 million, up 17.2 percent over the second quarter of 2020.
Income from continuing operations was $57.3 million, up 31.7 percent from the second quarter of 2020.
Adjusted EBITDA from continuing operations was $119.3 million (12.2 percent of revenues), up from $95.3 million in the second quarter of 2020.
Free Cash Flow from continuing operations was $72.3 million for the quarter.
ASGN
ASGN
ASGN Revenue by Segment
Forward Guidance
The company's financial estimates for the third quarter of 2021 are based on current operating trends and assume no significant deterioration in the markets ASGN serves.
Positive Outlook
- Revenues between $1,035.0 million and $1,055.0 million
- Adjusted EBITDA between $120.0 million and $125.0 million
- Adjusted Net Income between $71.3 million and $75.0 million
- Diluted shares outstanding of 53.7 million
- Gross margin between 28.1% and 28.3%
Challenges Ahead
- SG&A expenses between $188.6 million and $191.3 million
- Amortization of intangible assets of $14.8 million
- Income from continuing operations between $56.8 million and $60.5 million
- Effective tax rate of 27.0%
- Adjusted EBITDA Margin between 11.6% and 11.9%