Staffing firm Kforce's Q4 revenue beats expectations on Technology Flex strength

Kforce

02/02/2026 21:12

Overview

Solutions firm's Q4 revenue of $332 mln beat analyst expectations

Adjusted EPS for Q4 missed analyst expectations

Company announced seventh consecutive annual increase in quarterly dividend

Outlook

Kforce expects Q1 2026 revenue between $324 mln and $332 mln

Company anticipates Q1 2026 EPS between $0.37 and $0.45

Kforce projects Q1 2026 operating margins of 3.0% to 3.4%

Result Drivers

TECHNOLOGY FLEX GROWTH - Sequential growth in Technology Flex revenue on a billing day basis was the highest since Q2 2022, indicating momentum in this segment, according to CEO Joseph J. Liberatore

STRATEGIC INITIATIVES - Progress in implementing Workday and enhancing offshore delivery in India are seen as transformational, contributing to long-term financial goals

FA FLEX REVENUE - FA Flex revenue increased 2.4% sequentially, with a 5.7% increase on a billing day basis, despite a year-over-year decline

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Beat
$332.02 mln
$325.68 mln (5 Analysts)
Q4 Adjusted EPS
Miss
$0.43
$0.47 (6 Analysts)
Q4 EPS
$0.30
Q4 Net Income
$5.16 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the employment services peer group is "buy"

Wall Street's median 12-month price target for Kforce Inc is $37.50, about 6.1% above its January 30 closing price of $35.33

The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 11 three months ago

Press Release: ID:nBw5WJZPwa

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)