•
Jan 31, 2023

Korn Ferry Q3 2023 Earnings Report

Korn Ferry reported essentially flat fee revenue with a slight increase at constant currency, while diluted earnings per share were $0.21 and adjusted diluted earnings per share was $1.01.

Key Takeaways

Korn Ferry announced third quarter fiscal 2023 results with fee revenue of $680.8 million, essentially flat compared to the previous year but up 4% at constant currency. Diluted earnings per share were $0.21, and adjusted diluted earnings per share were $1.01. The company's Adjusted EBITDA was $96 million, representing a 14.1% margin.

Fee revenue was $680.8 million, essentially flat year-over-year (up 4% at constant currency).

Net income attributable to Korn Ferry was $11.2 million, or $0.21 per diluted share.

Adjusted EBITDA was $96.1 million, with a margin of 14.1%.

The company repurchased 462,500 shares of stock for $25.0 million during the quarter.

Total Revenue
$687M
Previous year: $685M
+0.3%
EPS
$1.01
Previous year: $1.59
-36.5%
Executive Search Engagements Billed
4.08K
Previous year: 4.34K
-5.9%
Executive Search New Engagements
1.52K
Previous year: 1.79K
-15.2%
Digital Subscription License Revenue
$29.6M
Previous year: $29M
+2.1%
Gross Profit
$623M
Previous year: $649M
-4.0%
Cash and Equivalents
$772M
Previous year: $847M
-8.8%
Free Cash Flow
$174M
Previous year: $250M
-30.4%
Total Assets
$3.41B
Previous year: $3.34B
+2.1%

Korn Ferry

Korn Ferry

Korn Ferry Revenue by Segment

Korn Ferry Revenue by Geographic Location

Forward Guidance

Korn Ferry expects Q4 FY'23 fee revenue to be in the range of $690 million and $710 million, with diluted earnings per share between $0.89 and $0.98, and adjusted diluted earnings per share between $0.97 and $1.05.

Positive Outlook

  • Q4 FY’23 fee revenue is expected to be in the range of $690 million and $710 million.
  • Q4 FY’23 diluted earnings per share is expected to range between $0.89 to $0.98.
  • Q4 FY’23 adjusted diluted earnings per share is expected to be in the range from $0.97 to $1.05.

Revenue & Expenses

Visualization of income flow from segment revenue to net income