Robert Half third-quarter profit rises to $50 million on flat revenue

Robert Half Inc. (RHI) said Thursday in a regulatory filing that it earned $50 million, or $0.49 per diluted share, in the third quarter ended Sept. 30, 2026.

Revenue for the period was $1.359 billion, up from $1.354 billion a year earlier.

The results were released in a press release attached to the company's 8-K, which was filed under the item covering results of operations and financial condition.

Here's how the company did:

• Net income: $50 million, or $0.49 per diluted share, vs. $43 million, or $0.43 per share, a year earlier
• Revenue: $1.359 billion vs. $1.354 billion a year earlier
• Gross margin: $532.1 million vs. $504.2 million a year earlier
• Selling, general and administrative expenses: $457.2 million vs. $490.6 million a year earlier
• Operating income: $74.8 million vs. $13.6 million a year earlier

Adjusted for billing days and foreign currency, global revenue was down 0.2% in the third quarter, compared with a 2.8% decline in the second quarter.

The company's non-GAAP measures remove the effect of changes in billing days and exchange rates. As reported, global revenue rose 0.4% from a year earlier.

Gross margin was $532.1 million, or 39.1% of revenue, against $504.2 million, or 37.2%, a year earlier.

Selling, general and administrative expenses fell to $457.2 million from $490.6 million, and operating income rose to $74.8 million from $13.6 million.

The filing also shows a $2.3 million loss from investments held in employee deferred compensation trusts, compared with $47.6 million of income a year earlier. The company said those investment results are completely offset by related costs and expenses.

President and Chief Executive Officer M. Keith Waddell said: “For the third quarter of 2026, global enterprise revenues were $1.359 billion, roughly flat with last year on an adjusted basis.”

Waddell also said: “Talent solutions returned to adjusted year-over-year revenue growth for the first time since 2022, with revenues increasing 2 percent,” Waddell said. “Global enterprise earnings exceeded the midpoint of our third-quarter guidance.”

Waddell said: “Hiring activity continues to improve, supported by gradually improving market conditions,” and added: “Demand for risk and compliance consulting services also showed encouraging signs of improvement during the quarter.”

The non-GAAP table puts adjusted growth for total talent solutions at 1.6% in the quarter, and for total contract talent solutions at 1.0%.

Here's how the company's segments did during the quarter:

• Contract talent solutions: $758.8 million vs. $746.2 million a year earlier
• Permanent placement talent solutions: $116.9 million vs. $110.1 million a year earlier
• Protiviti: $483.5 million vs. $498.1 million a year earlier

Contract talent solutions revenue rose 1.7% as reported, after a 1.6% decline in the second quarter.

Permanent placement talent solutions revenue rose 6.2% as reported, after a 2.9% gain in the second quarter.

Protiviti, the global consulting firm that delivers internal audit, risk, business and technology consulting solutions and is owned by the company, saw revenue fall 2.9% as reported to $483.5 million. Its operating income rose to $38.0 million from $26.8 million.

Finance and accounting revenue, including intersegment revenue, was $565.6 million, up from $553.4 million a year earlier.

For the nine months ended Sept. 30, 2026, net income was $90 million, or $0.90 per share, on revenue of $3.996 billion. A year earlier, the comparable figures were $101 million, or $1.01 per share, and $4.076 billion.

Diluted weighted average shares were 100.9 million in the quarter, against 100.0 million a year earlier.

The release does not contain a new full-year or fourth-quarter forecast.