Exhibit 99.1
| | | | | |
| FOR IMMEDIATE RELEASE | Contacts: |
| Investor Relations: Tiffany Louder, (214) 310-8407 |
| Media: Dan Gugler, (310) 226-2645 |
Korn Ferry Announces Fourth Quarter and Full Year FY'25
Results of Operations
Fourth Quarter and Full Year Highlights
▪Korn Ferry reports Q4 FY'25 fee revenue of $712.0 million, an increase of 3% year-over-year at actual, and 4% at constant currency. Full year FY'25 fee revenue of $2,730.1 million, a year-over-year decrease of 1% in both actual and constant currency.
▪Net income attributable to Korn Ferry for the fourth quarter was $64.2 million, with a margin of 9.0%, a decrease of 40bps compared to the year-ago quarter, while net income attributable to Korn Ferry for the full year of FY'25 was $246.1 million, with a margin of 9.0%, an increase of 290bps compared to the year-ago period.
▪Fourth quarter Adjusted EBITDA was $121.1 million with a margin of 17.0%, an increase of 70bps compared to the year-ago quarter, while Adjusted EBITDA for the full year of FY'25 was $463.9 million with a margin of 17.0%, an increase of 220bps compared to the year-ago period.
▪Diluted and adjusted diluted earnings per share were $1.21 and $1.32 in Q4 FY'25, respectively, and $4.60 and $4.88 for the full year, respectively.
▪Executive Search posted Q4 FY'25 fee revenue of $227.0 million, an increase of 14% year-over-year at actual, and 15% at constant currency.
▪The Company repurchased 232,000 shares of stock during the quarter for $15.0 million and paid dividends of $25 million.
▪For the full year the Company continued to maintain its balanced approach to capital allocation by investing $44 million in an acquisition, $62 million in technology platforms, tools and product enhancements, and returning $89 million and $84 million to shareholders through share repurchases and dividends, respectively.
Los Angeles, CA, June 18, 2025 – Korn Ferry (NYSE: KFY), a global consulting firm, today announced fourth quarter and annual fee revenue of $712.0 million and $2,730.1 million, respectively. In addition, fourth quarter diluted earnings per share was $1.21 and adjusted diluted earnings per share was $1.32, while full year diluted earnings per share was $4.60 and adjusted diluted earnings per share was $4.88.
“Even amid the ever-changing global economic and political dynamics, we continue to deliver on our financial and strategic objectives, just as we have over the past several years. Our results reinforce the premise of Korn Ferry’s diversification strategy and our continued momentum,” said Gary D. Burnison, CEO, Korn Ferry. “Through ongoing investments to extend our offerings and solutions and expand our impact, we are powering performance for clients. This foundational focus for the future underpins our conviction to a strategy that will continue to propel us forward.”
Selected Financial Results
(dollars in millions, except per share amounts) (a)
| | | | | | | | | | | | | | | | | | | | | | | |
| Fourth Quarter | | Year to Date |
| FY’25 | | FY’24 | | FY’25 | | FY’24 |
| Fee revenue | $ | 712.0 | | | $ | 690.8 | | | $ | 2,730.1 | | | $ | 2,762.7 | |
| Total revenue | $ | 719.8 | | | $ | 699.9 | | | $ | 2,761.1 | | | $ | 2,795.5 | |
Net income attributable to Korn Ferry | $ | 64.2 | | | $ | 65.2 | | | $ | 246.1 | | | $ | 169.2 | |
Net income attributable to Korn Ferry margin | 9.0 | % | | 9.4 | % | | 9.0 | % | | 6.1 | % |
Basic earnings per share | $ | 1.23 | | | $ | 1.26 | | | $ | 4.69 | | | $ | 3.25 | |
Diluted earnings per share | $ | 1.21 | | | $ | 1.24 | | | $ | 4.60 | | | $ | 3.23 | |
| | | | | | | |
| Adjusted Results (b): | Fourth Quarter | | Year to Date |
| FY’25 | | FY’24 | | FY’25 | | FY’24 |
| Adjusted EBITDA | $ | 121.1 | | | $ | 112.3 | | | $ | 463.9 | | | $ | 408.2 | |
| Adjusted EBITDA margin | 17.0 | % | | 16.3 | % | | 17.0 | % | | 14.8 | % |
Adjusted net income attributable to Korn Ferry (c) | $ | 70.1 | | | $ | 65.7 | | | $ | 261.2 | | | $ | 224.0 | |
Adjusted basic earnings per share (c) | $ | 1.34 | | | $ | 1.27 | | | $ | 4.98 | | | $ | 4.31 | |
Adjusted diluted earnings per share (c) | $ | 1.32 | | | $ | 1.26 | | | $ | 4.88 | | | $ | 4.28 | |
______________________
(a)Numbers may not total due to rounding.
(b)Adjusted EBITDA refers to earnings before interest, taxes, depreciation and amortization, further adjusted to exclude integration/acquisition costs, impairment of fixed assets, impairment of right-of-use assets, restructuring charges, net and management separation charges when applicable. Adjusted results on a consolidated basis are non-GAAP financial measures that adjust for the following, as applicable (see attached reconciliations):
| | | | | | | | | | | | | | | | | | | | | | | |
| Fourth Quarter | | Year to Date |
| FY’25 | | FY’24 | | FY’25 | | FY’24 |
Management separation charges (d) | $ | 4.6 | | | $ | — | | | $ | 4.6 | | | $ | — | |
| Integration/acquisition costs | $ | 1.7 | | | $ | 1.8 | | | $ | 8.8 | | | $ | 14.9 | |
| Restructuring charges, net | $ | — | | | $ | — | | | $ | 1.9 | | | $ | 68.6 | |
| Impairment of fixed assets | $ | — | | | $ | — | | | $ | 0.5 | | | $ | 1.6 | |
Impairment of right-of-use assets | $ | — | | | $ | — | | | $ | 2.5 | | | $ | 1.6 | |
(c)Due to actions taken in connection with the worldwide minimum tax, the Company released a valuation allowance in FY'24 and recorded a $9.7 million non-recurring tax benefit, which is included in the Company's US GAAP results but excluded from the Adjusted results.
(d)Contractual obligations due upon executive's death.
Fiscal 2025 Fourth Quarter Results
The Company reported fee revenue in Q4 FY'25 of $712.0 million, an increase of 3% year-over-year (up 4.0% at constant currency). During the quarter, the increase in fee revenue was due to higher fee revenue in Executive Search and Recruitment process outsourcing ("RPO"), partially offset by a decline in fee revenue in Consulting.
Net income attributable to Korn Ferry was $64.2 million with a margin of 9.0% in Q4 FY'25, compared to net income attributable to Korn Ferry of $65.2 million with a margin of 9.4%, in Q4 FY'24, a decrease of 40bps compared to the year-ago quarter.
Adjusted EBITDA was $121.1 million in Q4 FY'25 compared to $112.3 million in Q4 FY'24. Adjusted EBITDA margin was 17.0% in Q4 FY'25, an increase of 70bps compared to the year-ago quarter.
Net income attributable to Korn Ferry and net income attributable to Korn Ferry margin decreased slightly from the prior year, primarily due to certain income tax benefits recorded in Q4 FY'24 which reduced the prior year quarterly effective tax rate by approximately 4 percentage points.
Adjusted EBITDA and Adjusted EBITDA margin increased due to an increase in fee revenue and disciplined cost management.
Fiscal 2025 Full Year Results
The Company reported fee revenue in FY'25 of $2,730.1 million, a decrease of 1% in both actual and constant currency compared to FY'24.
Net income attributable to Korn Ferry was $246.1 million with a margin of 9.0% in FY'25, compared to net income attributable to Korn Ferry of $169.2 million with a margin of 6.1% in FY'24, an increase of 290bps.
Adjusted EBITDA was $463.9 million in FY'25 compared to $408.2 million in FY'24. Adjusted EBITDA margin was 17.0% in FY'25, an increase of 220bps compared to the year-ago period.
Net income attributable to Korn Ferry and net income attributable to Korn Ferry margin increased as a result of disciplined cost management, strong consultant productivity and a decrease in restructuring charges, net, partially offset by a higher effective tax rate in FY'25 as a result of the favorable impact of the valuation allowance release mentioned in footnote (c) above on FY'24's effective tax rate.
Adjusted EBITDA and Adjusted EBITDA margin increased due to disciplined cost management and strong consultant productivity.
Results by Solution
Selected Consulting Data
(dollars in millions) (a)
| | | | | | | | | | | | | | | | | | | | | | | |
| Fourth Quarter | | Year to Date |
| FY’25 | | FY’24 | | FY’25 | | FY’24 |
| Fee revenue | $ | 169.4 | | | $ | 182.2 | | | $ | 662.7 | | | $ | 695.0 | |
| Total revenue | $ | 172.5 | | | $ | 185.1 | | | $ | 674.1 | | | $ | 706.8 | |
| | | | | | | |
Remaining revenue under contract (b) | $ | 367.7 | | | $ | 340.6 | | | $ | 367.7 | | | $ | 340.6 | |
Ending number of consultants and execution staff (c) | 1,599 | | | 1,678 | | | 1,599 | | | 1,678 | |
Hours worked in thousands (d) | 373 | | | 417 | | | 1,510 | | | 1,656 | |
Average bill rate (e) | $ | 454 | | | $ | 437 | | | $ | 439 | | | $ | 420 | |
| | | | | | | |
Adjusted Results (f): | Fourth Quarter | | Year to Date |
| FY’25 | | FY’24 | | FY’25 | | FY’24 |
| Adjusted EBITDA | $ | 29.1 | | | $ | 32.3 | | | $ | 115.5 | | | $ | 114.3 | |
| Adjusted EBITDA margin | 17.2 | % | | 17.8 | % | | 17.4 | % | | 16.4 | % |
______________________
(a)Numbers may not total due to rounding.
(b)Estimated fee revenue associated with signed contracts for which revenue has not yet been recognized.
(c)Represents number of employees originating, delivering and executing consulting services.
(d)The number of hours worked by consultant and execution staff during the period.
(e)The amount of fee revenue divided by the number of hours worked by consultants and execution staff.
(f)Adjusted results exclude the following:
| | | | | | | | | | | | | | | | | | | | | | | |
| Fourth Quarter | | Year to Date |
| FY’25 | | FY’24 | | FY’25 | | FY’24 |
Management separation charges (g) | $ | 4.6 | | | $ | — | | | $ | 4.6 | | | $ | — | |
| Restructuring charges, net | $ | — | | | $ | — | | | $ | 1.7 | | | $ | 18.9 | |
| Impairment of right-of-use assets | $ | — | | | $ | — | | | $ | — | | | $ | 0.6 | |
(g)Contractual obligations due upon executive's death.
Fee revenue was $169.4 million in Q4 FY'25 compared to $182.2 million in Q4 FY'24, a decrease of $12.8 million or 7% in both actual and constant currency. The year-over-year decrease in Consulting fee revenue was primarily due to a greater mix of larger engagements which convert to fee revenue over a longer duration and ongoing slower delivery of backlog engagements driven by clients.
Adjusted EBITDA was $29.1 million in Q4 FY'25 compared to $32.3 million in the year-ago quarter. Adjusted EBITDA margin in the quarter decreased year-over-year by 60bps to 17.2%. This decrease resulted primarily from lower fee revenue discussed above.
Selected Digital Data
(dollars in millions) (a)
| | | | | | | | | | | | | | | | | | | | | | | |
| Fourth Quarter | | Year to Date |
| FY’25 | | FY’24 | | FY’25 | | FY’24 |
| Fee revenue | $ | 91.6 | | | $ | 91.3 | | | $ | 363.5 | | | $ | 366.7 | |
| Total revenue | $ | 91.6 | | | $ | 91.4 | | | $ | 363.7 | | | $ | 366.9 | |
| | | | | | | |
Remaining revenue under contract (b) | $ | 392.6 | | | $ | 364.4 | | | $ | 392.6 | | | $ | 364.4 | |
| Ending number of consultants | 244 | | | 267 | | | 244 | | | 267 | |
| Subscription & License fee revenue | $ | 34.5 | | | $ | 33.3 | | | $ | 137.7 | | | $ | 131.0 | |
| | | | | | | |
Adjusted Results (c): | Fourth Quarter | | Year to Date |
| FY’25 | | FY’24 | | FY’25 | | FY’24 |
| Adjusted EBITDA | $ | 28.5 | | | $ | 28.0 | | | $ | 112.7 | | | $ | 108.7 | |
| Adjusted EBITDA margin | 31.1 | % | | 30.7 | % | | 31.0 | % | | 29.6 | % |
______________________
(a)Numbers may not total due to rounding.
(b)Estimated fee revenue associated with signed contracts for which revenue has not yet been recognized.
(c)Adjusted results exclude the following:
| | | | | | | | | | | | | | | | | | | | | | | |
| Fourth Quarter | | Year to Date |
| FY’25 | | FY’24 | | FY’25 | | FY’24 |
| Restructuring charges, net | $ | — | | | $ | — | | | $ | — | | | $ | 9.5 | |
Impairment of fixed assets | $ | — | | | $ | — | | | $ | 0.4 | | | $ | 1.5 | |
Fee revenue was $91.6 million in Q4 FY'25 compared to $91.3 million in Q4 FY'24, essentially flat year-over-year (up 1% at constant currency).
Adjusted EBITDA was $28.5 million in Q4 FY'25, relatively flat compared to $28.0 million in the year-ago quarter. Adjusted EBITDA margin in the quarter increased slightly year-over-year by 40bps to 31.1%.
Selected Executive Search Data(a)
(dollars in millions) (b)
| | | | | | | | | | | | | | | | | | | | | | | |
| Fourth Quarter | | Year to Date |
| FY’25 | | FY’24 | | FY’25 | | FY’24 |
| Fee revenue | $ | 227.0 | | | $ | 198.7 | | | $ | 846.2 | | | $ | 806.2 | |
| Total revenue | $ | 229.1 | | | $ | 200.8 | | | $ | 854.1 | | | $ | 814.3 | |
| | | | | | | |
Remaining revenue under contract (c) | $ | 69.6 | | | $ | 64.8 | | | $ | 69.6 | | | $ | 64.8 | |
| Ending number of consultants | 560 | | | 542 | | | 560 | | | 542 | |
| Average number of consultants | 560 | | | 552 | | | 551 | | | 572 | |
| Engagements billed | 3,827 | | | 3,456 | | | 9,151 | | | 8,978 | |
New engagements (d) | 1,738 | | | 1,586 | | | 6,325 | | | 6,091 | |
| | | | | | | |
Adjusted Results (e): | Fourth Quarter | | Year to Date |
| FY’25 | | FY’24 | | FY’25 | | FY’24 |
| Adjusted EBITDA | $ | 54.2 | | | $ | 45.5 | | | $ | 206.2 | | | $ | 171.1 | |
| Adjusted EBITDA margin | 23.9 | % | | 22.9 | % | | 24.4 | % | | 21.2 | % |
______________________
(a)Executive Search is the sum of the individual Executive Search Reporting Segments described in our annual and quarterly reporting on Forms 10-K and 10-Q and is presented on a consolidated basis as it is consistent with the Company’s discussion of its Solutions, and financial metrics used by the Company’s investor base.
(b)Numbers may not total due to rounding.
(c)Estimated fee revenue associated with signed contracts for which revenue has not yet been recognized.
(d)Represents new engagements opened in the respective period.
(e)Executive Search Adjusted EBITDA and Adjusted EBITDA margin are non-GAAP financial measures that adjust for the following:
| | | | | | | | | | | | | | | | | | | | | | | |
| Fourth Quarter | | Year to Date |
| FY’25 | | FY’24 | | FY’25 | | FY’24 |
| Restructuring charges, net | $ | — | | | $ | — | | | $ | 0.2 | | | $ | 28.2 | |
Impairment of right-of-use assets | $ | — | | | $ | — | | | $ | 2.5 | | | $ | 0.9 | |
| Impairment of fixed assets | $ | — | | | $ | — | | | $ | 0.2 | | | $ | 0.1 | |
Fee revenue was $227.0 million in Q4 FY'25 compared to $198.7 million Q4 FY'24, an increase of $28.3 million or 14% (up 15% at constant currency). The year-over-year increase in fee revenue was primarily driven by an increase in the number of engagements billed and an increase in weighted-average fee billed per engagement. The Company experienced fee revenue growth in North America, EMEA and APAC regions.
Adjusted EBITDA was $54.2 million in Q4 FY'25 compared to $45.5 million in the year-ago quarter. Adjusted EBITDA margin increased by 100bps to 23.9% in Q4 FY'25. The increase in Adjusted EBITDA and Adjusted EBITDA margin was due to higher fee revenue and increased consultant productivity.
Selected Professional Search & Interim Data
(dollars in millions) (a)
| | | | | | | | | | | | | | | | | | | | | | | |
| Fourth Quarter | | Year to Date |
| FY’25 | | FY’24 | | FY’25 | | FY’24 |
| Fee revenue | $ | 130.7 | | | $ | 129.2 | | | $ | 503.5 | | | $ | 540.6 | |
| Total revenue | $ | 131.7 | | | $ | 130.1 | | | $ | 507.2 | | | $ | 544.5 | |
| | | | | | | |
| Permanent Placement: | | | | | | | |
| Fee revenue | $ | 50.9 | | | $ | 56.3 | | | $ | 203.8 | | | $ | 223.5 | |
Remaining revenue under contract (b) | $ | 14.1 | | | $ | 14.0 | | | $ | 14.1 | | | $ | 14.0 | |
Engagements billed | 1,829 | | | 1,939 | | | 4,830 | | | 5,619 | |
New engagements (c) | 1,009 | | | 1,086 | | | 3,811 | | | 4,500 | |
Ending number of consultants | 309 | | | 331 | | | 309 | | | 331 | |
| Interim: | | | | | | | |
| Fee revenue | $ | 79.8 | | | $ | 72.9 | | | $ | 299.7 | | | $ | 317.1 | |
Remaining revenue under contract (b) | $ | 107.6 | | | $ | 86.3 | | | $ | 107.6 | | | $ | 86.3 | |
Average bill rate (d) | $ | 131 | | | $ | 129 | | | $ | 133 | | | $ | 126 | |
Average weekly billable consultants (e) | 1,301 | | | 1,157 | | | 1,168 | | | 1,303 | |
| | | | | | | |
Adjusted Results (f): | Fourth Quarter | | Year to Date |
| FY’25 | | FY’24 | | FY’25 | | FY’24 |
| Adjusted EBITDA | $ | 27.4 | | | $ | 28.1 | | | $ | 107.6 | | | $ | 101.9 | |
| Adjusted EBITDA margin | 21.0 | % | | 21.8 | % | | 21.4 | % | | 18.8 | % |
_____________________(a)Numbers may not total due to rounding.
(b)Estimated fee revenue associated with signed contracts for which revenue has not yet been recognized.
(c)Represents new engagements opened in the respective period.
(d)Fee revenue from interim divided by the number of hours worked by consultants.
(e)The number of billable consultants based on a weekly average in the respective period.
(f)Adjusted results exclude the following:
| | | | | | | | | | | | | | | | | | | | | | | |
| Fourth Quarter | | Year to Date |
| FY’25 | | FY’24 | | FY’25 | | FY’24 |
| Integration/acquisition costs | $ | 1.6 | | | $ | 1.8 | | | $ | 6.0 | | | $ | 14.5 | |
Restructuring charges, net | $ | — | | | $ | — | | | $ | — | | | $ | 3.8 | |
Fee revenue was $130.7 million in Q4 FY'25 compared to $129.2 million Q4 FY'24, an increase of $1.5 million or 1% (up 2% at a constant currency). Fee revenue increased due to higher fee revenue from Interim as a result of the acquisition of Trilogy, effective November 1, 2024, partially offset by a decrease in fee revenue in Permanent Placement due to an industry wide slowdown in demand.
Adjusted EBITDA was $27.4 million in Q4 FY'25 compared to $28.1 million in the year-ago quarter. Adjusted EBITDA margin was 21.0%, down year-over-year by 80bps.
Selected RPO Data
(dollars in millions) (a)
| | | | | | | | | | | | | | | | | | | | | | | |
| Fourth Quarter | | Year to Date |
| FY’25 | | FY’24 | | FY’25 | | FY’24 |
| Fee revenue | $ | 93.3 | | | $ | 89.5 | | | $ | 354.1 | | | $ | 354.1 | |
| Total revenue | $ | 94.8 | | | $ | 92.5 | | | $ | 362.0 | | | $ | 363.0 | |
| | | | | | | |
| Remaining revenue under contract (b) | $ | 758.0 | | | $ | 657.1 | | | $ | 758.0 | | | $ | 657.1 | |
| RPO new business (c) | $ | 118.8 | | | $ | 128.4 | | | $ | 533.4 | | | $ | 439.6 | |
| | | | | | | |
| Adjusted Results (d): | Fourth Quarter | | Year to Date |
| FY’25 | | FY’24 | | FY’25 | | FY’24 |
| Adjusted EBITDA | $ | 14.5 | | | $ | 11.8 | | | $ | 52.6 | | | $ | 40.4 | |
| Adjusted EBITDA margin | 15.5 | % | | 13.2 | % | | 14.9 | % | | 11.4 | % |
______________________
(a)Numbers may not total due to rounding.
(b)Estimated fee revenue associated with signed contracts for which revenue has not yet been recognized.
(c)Estimated total value of a contract at the point of execution of the contract.
(d)Adjusted results exclude the following:
| | | | | | | | | | | | | | | | | | | | | | | |
| Fourth Quarter | | Year to Date |
| FY’25 | | FY’24 | | FY’25 | | FY’24 |
Restructuring charges, net | $ | — | | | $ | — | | | $ | — | | | $ | 7.9 | |
Impairment of right-of-use assets | $ | — | | | $ | — | | | $ | — | | | $ | 0.1 | |
Fee revenue was $93.3 million in Q4 FY'25 compared to $89.5 million in Q4 FY'24, an increase of $3.8 million or 4% (up 5% at constant currency). RPO fee revenue increased due to recent new client wins being stood up and an increase in demand from our base clients in the North America and Asia Pacific regions.
Adjusted EBITDA was $14.5 million in Q4 FY'25 compared to $11.8 million in the year-ago quarter. Adjusted EBITDA margin increased 230bps to 15.5% in Q4 FY'25. The increase in Adjusted EBITDA and Adjusted EBITDA margin both resulted from an increase in fee revenue and disciplined cost management.
Outlook
Assuming worldwide geopolitical conditions, economic conditions, financial markets and foreign exchange rates remain steady, on a consolidated basis:
▪Q1 FY’26 fee revenue is expected to be in the range of $675 million and $695 million; and
▪Q1 FY’26 diluted earnings per share is expected to range between $1.16 to $1.24.
On a consolidated adjusted basis:
▪Q1 FY’26 adjusted diluted earnings per share is expected to be in the range from $1.18 to $1.26.
| | | | | | | | | | | |
| Q1 FY’26
Earnings Per Share Outlook |
| Low | | High |
| | | |
| Consolidated diluted earnings per share | $ | 1.16 | | | $ | 1.24 | |
Integration/acquisition costs | 0.03 | | | 0.03 | |
Tax rate impact | (0.01) | | | (0.01) | |
Consolidated adjusted diluted earnings per share(1) | $ | 1.18 | | | $ | 1.26 | |
______________________
(1)Consolidated adjusted diluted earnings per share is a non-GAAP financial measure that excludes the items listed in the table.
Earnings Conference Call Webcast
The earnings conference call will be held today at 12:00 PM (EDT) and hosted by CEO Gary Burnison, CFO Robert Rozek, SVP Business Development & Analytics Gregg Kvochak and VP Investor Relations Tiffany Louder. The conference call will be webcast and available online at ir.kornferry.com. We will also post to the investor relations section of our website earnings slides, which will accompany our webcast, and other important information, and encourage you to review the information that we make available on our website.
About Korn Ferry
Korn Ferry is a global consulting firm that powers performance. We unlock the potential in your people and unleash transformation across your business—synchronizing strategy, operations, and talent to accelerate performance, fuel growth, and inspire a legacy of change. That’s why the world’s most forward-thinking companies across every major industry turn to us—for a shared commitment to lasting impact and the bold ambition to Be More Than.
Forward-Looking Statements
Statements in this press release and our conference call that relate to our outlook, projections, goals, strategies, future plans and expectations, including statements relating to expected labor market conditions, expected demand for and relevance of our products and services, expected results of our business diversification strategy, expected benefits of the acquisition of Trilogy, impact of global events on our business, and other statements of future events or conditions are forward-looking statements that involve a number of risks and uncertainties. Words such as “believes”, “expects”, “anticipates”, “goals”, “estimates”, “guidance”, “may”, “should”, “could”, “will” or “likely”, and variations of such words and similar expressions are intended to identify such forward-looking statements. Readers are cautioned not to place undue reliance on such statements. Such statements are based on current expectations; actual results in future periods may differ materially from those currently expected or desired because of a number of risks and uncertainties that are beyond the control of Korn Ferry. The potential risks and uncertainties include those relating to global and local political and or economic developments in or affecting countries where we have operations, such as inflation, trade wars, interest rates, labor market conditions, global slowdowns, or recessions, competition, geopolitical tensions, shifts in global trade patterns, changes in demand for our services as a result of automation, dependence on and costs of attracting and retaining qualified and experienced consultants, impact of inflationary pressures on our profitability, our ability to maintain relationships with customers and suppliers and retaining key employees, maintaining our brand name and professional reputation, potential legal liability and regulatory developments, portability of client relationships, consolidation of or within the industries we serve, changes and developments in government laws and regulations, evolving investor and customer expectations with regard to corporate responsibility matters, currency fluctuations in our international operations, risks related to growth, alignment of our cost structure, including as a result of recent workforce, real estate, and other restructuring initiatives, restrictions imposed by off-limits agreements, reliance on information processing systems, cyber security vulnerabilities or events, changes to data security, data privacy, and data protection laws, dependence on third parties for the execution of critical functions, limited protection of our intellectual property ("IP"), our ability to enhance, develop and respond to new technology, including artificial intelligence, our ability to successfully recover from a disaster or other business continuity problems, employment liability risk, an impairment in the carrying value of goodwill and other intangible assets, treaties, or regulations on our business and our Company, deferred tax assets that we may not be able to use, our ability to develop new products and services, changes in our accounting estimates and assumptions, the utilization and billing rates of our consultants, seasonality, the expansion of social media platforms, the ability to effect acquisitions and integrate acquired businesses, resulting organizational changes, our indebtedness, and those relating to the ultimate magnitude and duration of any pandemic or outbreaks. For a detailed description of risks and uncertainties that could cause differences from our expectations, please refer to Korn Ferry’s periodic filings with the Securities and Exchange Commission. Korn Ferry disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Use of Non-GAAP Financial Measures
This press release contains financial information calculated other than in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”). In particular, it includes:
•Adjusted net income attributable to Korn Ferry, adjusted to exclude integration/acquisition costs, impairment of fixed assets, impairment of right-of-use assets, management separation charges and restructuring charges, net of income tax effect, and to exclude a $9.7 million non-recurring tax benefit in fiscal 2024 from actions taken in connection with the worldwide minimum tax that resulted in the release of a valuation allowance;
•Adjusted basic and diluted earnings per share, adjusted to exclude integration/acquisition costs, impairment of fixed assets, impairment of right-of-use assets, management separation charges and restructuring charges, net of income tax effect, and to exclude a $9.7 million non-recurring tax benefit in fiscal 2024 from actions taken in connection with the worldwide minimum tax that resulted in the release of a valuation allowance;
•Constant currency (calculated using a quarterly average) percentages that represent the percentage change that would have resulted had exchange rates in the prior period been the same as those in effect in the current period; and
•Consolidated and Executive Search Adjusted EBITDA, which is earnings before interest, taxes, depreciation and amortization, further adjusted to exclude integration/acquisition costs, impairment of fixed assets, impairment of right-of-use assets, management separation charges and restructuring charges, net when applicable, and Consolidated and Executive Search Adjusted EBITDA margin.
This non-GAAP disclosure has limitations as an analytical tool, should not be viewed as a substitute for financial information determined in accordance with GAAP, and should not be considered in isolation or as a substitute for analysis of the Company’s results as reported under GAAP, nor is it necessarily comparable to non-GAAP performance measures that may be presented by other companies.
Management believes the presentation of non-GAAP financial measures in this press release provides meaningful supplemental information regarding Korn Ferry’s performance by excluding certain charges that may not be indicative of Korn Ferry’s ongoing operating results. These non-GAAP financial measures are performance measures and are not indicative of the liquidity of Korn Ferry. These charges, which are described in the footnotes in the attached reconciliations, represent 1) costs we incurred to acquire and integrate a portion of our Professional Search & Interim business, 2) impairment of fixed assets primarily due to software impairment charge in our Digital segment, 3) impairment of right-of-use assets due to the decision to terminate and sublease some of our offices, 4) restructuring charges, net to align workforce to challenging macroeconomic business environment, 5) separation charges due to contractual obligations due upon executive's death and 6) to exclude a $9.7 million non-recurring tax benefit in fiscal 2024 from actions taken in connection with the worldwide minimum tax that resulted in the release of a valuation allowance. The use of non-GAAP financial measures facilitates comparisons to Korn Ferry’s historical performance. Korn Ferry includes non-GAAP financial measures because management believes they are useful to investors in allowing for greater transparency with respect to supplemental information used by management in its evaluation of Korn Ferry’s ongoing operations and financial and operational decision-making. Adjusted net income attributable to Korn Ferry, adjusted basic and diluted earnings per share and Consolidated and Executive Search Adjusted EBITDA, exclude certain charges that management does not consider on-going in nature and allows management and investors to make more meaningful period-to-period comparisons of the Company’s operating results. Management further believes that Consolidated and Executive Search Adjusted EBITDA is useful to investors because it is frequently used by investors and other interested parties to measure operating performance among companies with different capital structures, effective tax rates and tax attributes and capitalized asset values, all of which can vary substantially from company to company. In the case of constant currency percentages, management believes the presentation of such information provides useful supplemental information regarding Korn Ferry's performance as excluding the impact of exchange rate changes on Korn Ferry's financial performance allows investors to make more meaningful period-to-period comparisons of the Company’s operating results, to better identify operating trends that may otherwise be masked or distorted by exchange rate changes and to perform related trend analysis, and provides a higher degree of transparency of information used by management in its evaluation of Korn Ferry's ongoing operations and financial and operational decision-making.
[Tables attached]
KORN FERRY AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(in thousands, except per share amounts)
| | | | | | | | | | | | | | | | | | | | | | | |
| Three Months Ended
April 30, | | Year Ended April 30, |
| 2025 | | 2024 | | 2025 | | 2024 |
| | | | | | | |
| (unaudited) | | | | |
| Fee revenue | $ | 712,048 | | | $ | 690,800 | | | $ | 2,730,088 | | | $ | 2,762,671 | |
| Reimbursed out-of-pocket engagement expenses | 7,779 | | | 9,123 | | | 30,998 | | | 32,834 | |
| Total revenue | 719,827 | | | 699,923 | | | 2,761,086 | | | 2,795,505 | |
| | | | | | | |
| Compensation and benefits | 443,503 | | | 454,208 | | | 1,758,024 | | | 1,844,164 | |
| General and administrative expenses | 68,623 | | | 64,724 | | | 258,488 | | | 259,039 | |
| Reimbursed expenses | 7,779 | | | 9,123 | | | 30,998 | | | 32,834 | |
| Cost of services | 74,827 | | | 68,499 | | | 285,075 | | | 300,015 | |
| Depreciation and amortization | 20,531 | | | 19,891 | | | 80,287 | | | 77,966 | |
| Restructuring charges, net | — | | | — | | | 1,892 | | | 68,558 | |
| Total operating expenses | 615,263 | | | 616,445 | | | 2,414,764 | | | 2,582,576 | |
| | | | | | | |
| Operating income | 104,564 | | | 83,478 | | | 346,322 | | | 212,929 | |
Other (loss) income, net | (10,306) | | | 7,122 | | | 18,953 | | | 30,681 | |
| Interest expense, net | (5,331) | | | (4,686) | | | (20,363) | | | (20,968) | |
| Income before provision for income taxes | 88,927 | | | 85,914 | | | 344,912 | | | 222,642 | |
| Income tax provision | 23,789 | | | 20,302 | | | 93,836 | | | 50,081 | |
| Net income | 65,138 | | | 65,612 | | | 251,076 | | | 172,561 | |
| Net income attributable to noncontrolling interest | (894) | | | (423) | | | (5,014) | | | (3,407) | |
Net income attributable to Korn Ferry | $ | 64,244 | | | $ | 65,189 | | | $ | 246,062 | | | $ | 169,154 | |
| | | | | | | |
Earnings per common share attributable to Korn Ferry: | | | | | | | |
| Basic | $ | 1.23 | | | $ | 1.26 | | | $ | 4.69 | | | $ | 3.25 | |
| Diluted | $ | 1.21 | | | $ | 1.24 | | | $ | 4.60 | | | $ | 3.23 | |
| | | | | | | |
| Weighted-average common shares outstanding: | | | | | | | |
| Basic | 51,599 | | | 50,764 | | | 51,778 | | | 51,038 | |
| Diluted | 52,504 | | | 51,487 | | | 52,806 | | | 51,432 | |
KORN FERRY AND SUBSIDIARIES
FINANCIAL SUMMARY BY REPORTING SEGMENT
(dollars in thousands)
(unaudited)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Three Months Ended April 30, | | Year Ended April 30, |
| 2025 | | 2024 | | % Change | | 2025 | | 2024 | | % Change |
| Fee revenue: | | | | | | | | | | | |
| Consulting | $ | 169,363 | | | $ | 182,177 | | | (7.0 | %) | | $ | 662,708 | | | $ | 695,007 | | | (4.6 | %) |
| Digital | 91,634 | | | 91,304 | | | 0.4 | % | | 363,530 | | | 366,699 | | | (0.9 | %) |
| Executive Search: | | | | | | | | | | | |
| North America | 143,014 | | | 125,468 | | | 14.0 | % | | 535,921 | | | 506,927 | | | 5.7 | % |
| EMEA | 53,479 | | | 45,643 | | | 17.2 | % | | 194,088 | | | 184,516 | | | 5.2 | % |
| Asia Pacific | 23,630 | | | 20,696 | | | 14.2 | % | | 87,337 | | | 85,863 | | | 1.7 | % |
| Latin America | 6,880 | | | 6,896 | | | (0.2 | %) | | 28,862 | | | 28,937 | | | (0.3 | %) |
Total Executive Search (a) | 227,003 | | | 198,703 | | | 14.2 | % | | 846,208 | | | 806,243 | | | 5.0 | % |
| Professional Search & Interim | 130,710 | | | 129,162 | | | 1.2 | % | | 503,515 | | | 540,615 | | | (6.9 | %) |
| RPO | 93,338 | | | 89,454 | | | 4.3 | % | | 354,127 | | | 354,107 | | 0.0 | % |
| Total fee revenue | 712,048 | | | 690,800 | | | 3.1 | % | | 2,730,088 | | | 2,762,671 | | | (1.2 | %) |
| Reimbursed out-of-pocket engagement expenses | 7,779 | | | 9,123 | | | (14.7 | %) | | 30,998 | | | 32,834 | | | (5.6 | %) |
| Total revenue | $ | 719,827 | | | $ | 699,923 | | | 2.8 | % | | $ | 2,761,086 | | | $ | 2,795,505 | | | (1.2 | %) |
(a)Total Executive Search is the sum of the individual Executive Search Reporting Segments and is presented on a consolidated basis as it is consistent with the Company’s discussion of its Solutions, and financial metrics used by the Company’s investor base.
KORN FERRY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(in thousands, except per share amounts) | | | | | | | | | | | |
| April 30,
2025 | | April 30,
2024 |
| | | |
| ASSETS | | | |
| Cash and cash equivalents | $ | 1,006,964 | | | $ | 941,005 | |
| Marketable securities | 36,388 | | | 42,742 | |
| Receivables due from clients, net of allowance for doubtful accounts of $40,461 and $44,192 at April 30, 2025 and 2024, respectively | 565,255 | | | 541,014 | |
| Income taxes and other receivables | 38,394 | | | 40,696 | |
| Unearned compensation | 61,649 | | | 59,247 | |
| Prepaid expenses and other assets | 41,488 | | | 49,456 | |
| Total current assets | 1,750,138 | | | 1,674,160 | |
| | | |
| Marketable securities, non-current | 233,626 | | | 211,681 | |
| Property and equipment, net | 173,610 | | | 161,849 | |
| Operating lease right-of-use assets, net | 152,712 | | | 160,464 | |
| Cash surrender value of company-owned life insurance policies, net of loans | 252,621 | | | 218,977 | |
| Deferred income taxes | 144,560 | | | 133,564 | |
| Goodwill | 948,832 | | | 908,376 | |
| Intangible assets, net | 70,193 | | | 88,833 | |
| Unearned compensation, non-current | 106,965 | | | 99,913 | |
| Investments and other assets | 27,967 | | | 21,052 | |
| Total assets | $ | 3,861,224 | | | $ | 3,678,869 | |
| | | |
| LIABILITIES AND STOCKHOLDERS' EQUITY | | | |
| Accounts payable | $ | 58,884 | | | $ | 50,112 | |
| Income taxes payable | 23,079 | | | 24,076 | |
| Compensation and benefits payable | 530,473 | | | 525,466 | |
| Operating lease liability, current | 38,573 | | | 36,073 | |
| Other accrued liabilities | 304,589 | | | 298,792 | |
| Total current liabilities | 955,598 | | | 934,519 | |
| | | |
| Deferred compensation and other retirement plans | 477,770 | | | 440,396 | |
| Operating lease liability, non-current | 131,762 | | | 143,507 | |
| Long-term debt | 397,736 | | | 396,946 | |
| Deferred tax liabilities | 5,981 | | | 4,540 | |
| Other liabilities | 20,238 | | | 21,636 | |
| Total liabilities | 1,989,085 | | | 1,941,544 | |
| | | |
| Stockholders' equity | | | |
| Common stock: $0.01 par value, 150,000 shares authorized, 78,264 and 77,460 shares issued and 51,458 and 51,983 shares outstanding at April 30, 2025 and 2024, respectively | 364,425 | | | 414,885 | |
| Retained earnings | 1,588,274 | | | 1,425,844 | |
| Accumulated other comprehensive loss, net | (86,243) | | | (107,671) | |
| Total Korn Ferry stockholders' equity | 1,866,456 | | | 1,733,058 | |
| Noncontrolling interest | 5,683 | | | 4,267 | |
| Total stockholders' equity | 1,872,139 | | | 1,737,325 | |
| Total liabilities and stockholders' equity | $ | 3,861,224 | | | $ | 3,678,869 | |
KORN FERRY AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES
(dollars in thousands)
(unaudited)
| | | | | | | | | | | | | | | | | | | | | | | |
| Three Months Ended
April 30, | | Year Ended
April 30, |
| 2025 | | 2024 | | 2025 | | 2024 |
| | | | | | | |
Net income attributable to Korn Ferry | $ | 64,244 | | | $ | 65,189 | | | $ | 246,062 | | | $ | 169,154 | |
| Net income attributable to non-controlling interest | 894 | | | 423 | | | 5,014 | | | 3,407 | |
| Net income | 65,138 | | | 65,612 | | | 251,076 | | | 172,561 | |
| Income tax provision | 23,789 | | | 20,302 | | | 93,836 | | | 50,081 | |
| Income before provision for income taxes | 88,927 | | | 85,914 | | | 344,912 | | | 222,642 | |
| Interest expense, net | 5,331 | | | 4,686 | | | 20,363 | | | 20,968 | |
| Depreciation and amortization | 20,531 | | | 19,891 | | | 80,287 | | | 77,966 | |
| Integration/acquisition costs (1) | 1,738 | | | 1,809 | | | 8,837 | | | 14,866 | |
| Impairment of fixed assets (2) | — | | | — | | | 509 | | | 1,575 | |
Impairment of right-of-use assets (3) | — | | | — | | | 2,452 | | | 1,629 | |
| Restructuring charges, net (4) | — | | | — | | | 1,892 | | | 68,558 | |
Management separation charges (5) | 4,614 | | | — | | | 4,614 | | | — | |
| Adjusted EBITDA | $ | 121,141 | | | $ | 112,300 | | | $ | 463,866 | | | $ | 408,204 | |
| | | | | | | |
Net income attributable to Korn Ferry margin | 9.0 | % | | 9.4 | % | | 9.0 | % | | 6.1 | % |
| Net income attributable to non-controlling interest | 0.1 | % | | 0.1 | % | | 0.2 | % | | 0.1 | % |
| Income tax provision | 3.3 | % | | 2.9 | % | | 3.4 | % | | 1.8 | % |
| Interest expense, net | 0.8 | % | | 0.7 | % | | 0.8 | % | | 0.8 | % |
| Depreciation and amortization | 2.9 | % | | 2.9 | % | | 2.9 | % | | 2.8 | % |
| Integration/acquisition costs (1) | 0.2 | % | | 0.3 | % | | 0.3 | % | | 0.5 | % |
| Impairment of fixed assets (2) | — | % | | — | % | | 0.0 | % | | 0.1 | % |
Impairment of right-of-use assets (3) | — | % | | — | % | | 0.1 | % | | 0.1 | % |
| Restructuring charges, net (4) | — | % | | — | % | | 0.1 | % | | 2.5 | % |
Management separation charges (5) | 0.7 | % | | — | % | | 0.2 | % | | — | % |
| Adjusted EBITDA margin | 17.0 | % | | 16.3 | % | | 17.0 | % | | 14.8 | % |
| | | | | | | |
Net income attributable to Korn Ferry | $ | 64,244 | | | $ | 65,189 | | | $ | 246,062 | | | $ | 169,154 | |
| Integration/acquisition costs (1) | 1,738 | | | 1,809 | | | 8,837 | | | 14,866 | |
| Impairment of fixed assets (2) | — | | | — | | | 509 | | | 1,575 | |
Impairment of right-of-use assets (3) | — | | | — | | | 2,452 | | | 1,629 | |
| Restructuring charges, net (4) | — | | | — | | | 1,892 | | | 68,558 | |
Management separation charges (5) | 4,614 | | | — | | | 4,614 | | | — | |
Tax effect on the adjusted items (6) | (487) | | | (1,267) | | | (3,187) | | | (22,030) | |
Tax adjustment (7) | — | | | — | | | — | | | (9,714) | |
| Adjusted net income attributable to Korn Ferry | $ | 70,109 | | | $ | 65,731 | | | $ | 261,179 | | | $ | 224,038 | |
Explanation of Non-GAAP Adjustments
(1)Costs associated with current and previous acquisitions, such as legal and professional fees, retention awards and the on-going integration expenses.
(2)Costs associated with impairment of fixed assets primarily due to software impairment charge in our Digital segment.
(3)Costs associated with impairment of right-of-use assets due to terminating and deciding to sublease some of our offices.
(4)Restructuring charges incurred to align our workforce to eliminate excess capacity resulting from challenging macroeconomic business environment.
(5)Contractual obligations due upon executive's death.
(6)Tax effect on integration/acquisition costs, impairment of fixed assets and right-of-use assets, restructuring charges, net and management separation charges.
(7)Due to actions taken in connection with the worldwide minimum tax, the Company recorded a $9.7 million non-recurring tax benefit in fiscal 2024 that resulted in the release of a valuation allowance, which is included in the Company's US GAAP results but excluded from the Adjusted results.
KORN FERRY AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES - CONTINUED
(unaudited)
| | | | | | | | | | | | | | | | | | | | | | | |
| Three Months Ended April 30, | | Year Ended
April 30, |
| 2025 | | 2024 | | 2025 | | 2024 |
| | | | | | | |
Basic earnings per common share | $ | 1.23 | | | $ | 1.26 | | | $ | 4.69 | | | $ | 3.25 | |
| Integration/acquisition costs (1) | 0.03 | | | 0.04 | | | 0.17 | | | 0.29 | |
| Impairment of fixed assets (2) | — | | | — | | | 0.01 | | | 0.03 | |
Impairment of right-of-use assets (3) | — | | | — | | | 0.05 | | | 0.03 | |
| Restructuring charges, net (4) | — | | | — | | | 0.03 | | | 1.33 | |
Management separation charges (5) | 0.09 | | | — | | | 0.09 | | | — | |
Tax effect on the adjusted items (6) | (0.01) | | | (0.03) | | | (0.06) | | | (0.43) | |
Tax adjustment (7) | — | | | — | | | — | | | (0.19) | |
| Adjusted basic earnings per share | $ | 1.34 | | | $ | 1.27 | | | $ | 4.98 | | | $ | 4.31 | |
| | | | | | | |
Diluted earnings per common share | $ | 1.21 | | | $ | 1.24 | | | $ | 4.60 | | | $ | 3.23 | |
| Integration/acquisition costs (1) | 0.03 | | | 0.04 | | | 0.16 | | | 0.29 | |
| Impairment of fixed assets (2) | — | | | — | | | 0.01 | | | 0.03 | |
Impairment of right-of-use assets (3) | — | | | — | | | 0.05 | | | 0.03 | |
| Restructuring charges, net (4) | — | | | — | | | 0.03 | | | 1.32 | |
Management separation charges (5) | 0.09 | | | — | | | 0.09 | | | — | |
Tax effect on the adjusted items (6) | (0.01) | | | (0.02) | | | (0.06) | | | (0.43) | |
Tax adjustment (7) | — | | | — | | | — | | | (0.19) | |
| Adjusted diluted earnings per share | $ | 1.32 | | | $ | 1.26 | | | $ | 4.88 | | | $ | 4.28 | |
Explanation of Non-GAAP Adjustments
(1)Costs associated with current and previous acquisitions, such as legal and professional fees, retention awards and the on-going integration expenses.
(2)Costs associated with impairment of fixed assets primarily due to software impairment charge in our Digital segment.
(3)Costs associated with impairment of right-of-use assets due to terminating and deciding to sublease some of our offices.
(4)Restructuring charges incurred to align our workforce to eliminate excess capacity resulting from challenging macroeconomic business environment.
(5)Contractual obligations due upon executive's death.
(6)Tax effect on integration/acquisition costs, impairment of fixed assets and right-of-use assets, restructuring charges, net and management separation charges.
(7)Due to actions taken in connection with the worldwide minimum tax, the Company recorded a $9.7 million non-recurring tax benefit in fiscal 2024 that resulted in the release of a valuation allowance, which is included in the Company's US GAAP results but excluded from the Adjusted results.
KORN FERRY AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES - CONTINUED
(dollars in thousands)
(unaudited)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Three Months Ended April 30, |
| 2025 | | 2024 |
| | | | | | | | | | | | | | | |
| | | | | Net income attributable to Korn Ferry | | Net income attributable to Korn Ferry margin | | | | | | Net income attributable to Korn Ferry | | Net income attributable to Korn Ferry margin |
Consolidated | | | | | $ | 64,244 | | | 9.0 | % | | | | | | $ | 65,189 | | | 9.4 | % |
| | | | | | | | | | | | | | | |
| Fee revenue | | Total revenue | | Adjusted EBITDA | | Adjusted EBITDA margin | | Fee revenue | | Total revenue | | Adjusted EBITDA | | Adjusted EBITDA margin |
| | | | | | | | | | | | | | | |
| Consulting | $ | 169,363 | | | $ | 172,537 | | | $ | 29,055 | | | 17.2 | % | | $ | 182,177 | | | $ | 185,130 | | | $ | 32,340 | | | 17.8 | % |
| Digital | 91,634 | | | 91,642 | | | 28,477 | | | 31.1 | % | | 91,304 | | | 91,361 | | | 27,991 | | | 30.7 | % |
| Executive Search: | | | | | | | | | | | | | | | |
| North America | 143,014 | | | 144,673 | | | 39,062 | | | 27.3 | % | | 125,468 | | | 127,140 | | | 33,136 | | | 26.4 | % |
| EMEA | 53,479 | | | 53,773 | | | 9,092 | | | 17.0 | % | | 45,643 | | | 45,931 | | | 6,846 | | | 15.0 | % |
| Asia Pacific | 23,630 | | | 23,802 | | | 4,965 | | | 21.0 | % | | 20,696 | | | 20,819 | | | 4,233 | | | 20.5 | % |
| Latin America | 6,880 | | | 6,884 | | | 1,103 | | | 16.0 | % | | 6,896 | | | 6,906 | | | 1,275 | | | 18.5 | % |
| Total Executive Search | 227,003 | | | 229,132 | | | 54,222 | | | 23.9 | % | | 198,703 | | | 200,796 | | | 45,490 | | | 22.9 | % |
| Professional Search & Interim | 130,710 | | | 131,674 | | | 27,426 | | | 21.0 | % | | 129,162 | | | 130,105 | | | 28,122 | | | 21.8 | % |
| RPO | 93,338 | | | 94,842 | | | 14,499 | | | 15.5 | % | | 89,454 | | | 92,531 | | | 11,782 | | | 13.2 | % |
| Corporate | — | | | — | | | (32,538) | | | | — | | | — | | | (33,425) | | |
Consolidated | $ | 712,048 | | | $ | 719,827 | | | $ | 121,141 | | | 17.0 | % | | $ | 690,800 | | | $ | 699,923 | | | $ | 112,300 | | | 16.3 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Year Ended April 30, |
| 2025 | | 2024 |
| | | | | | | | | | | | | | | |
| | | | | Net income attributable to Korn Ferry | | Net income attributable to Korn Ferry margin | | | | | | Net income attributable to Korn Ferry | | Net income attributable to Korn Ferry margin |
Consolidated | | | | | $ | 246,062 | | | 9.0 | % | | | | | | $ | 169,154 | | | 6.1 | % |
| | | | | | | | | | | | | | | |
| Fee revenue | | Total revenue | | Adjusted EBITDA | | Adjusted EBITDA margin | | Fee revenue | | Total revenue | | Adjusted EBITDA | | Adjusted EBITDA margin |
| | | | | | | | | | | | | | | |
| Consulting | $ | 662,708 | | | $ | 674,070 | | | $ | 115,481 | | | 17.4 | % | | $ | 695,007 | | | $ | 706,805 | | | $ | 114,260 | | | 16.4 | % |
| Digital | 363,530 | | | 363,727 | | | 112,696 | | | 31.0 | % | | 366,699 | | | 366,924 | | | 108,669 | | | 29.6 | % |
| Executive Search: | | | | | | | | | | | | | | | |
| North America | 535,921 | | | 542,068 | | | 148,242 | | | 27.7 | % | | 506,927 | | | 513,545 | | | 120,710 | | | 23.8 | % |
| EMEA | 194,088 | | | 195,268 | | | 31,689 | | | 16.3 | % | | 184,516 | | | 185,552 | | | 25,902 | | | 14.0 | % |
| Asia Pacific | 87,337 | | | 87,840 | | | 18,119 | | | 20.7 | % | | 85,863 | | | 86,273 | | | 18,923 | | | 22.0 | % |
| Latin America | 28,862 | | | 28,876 | | | 8,149 | | | 28.2 | % | | 28,937 | | | 28,956 | | | 5,571 | | | 19.3 | % |
| Total Executive Search | 846,208 | | | 854,052 | | | 206,199 | | | 24.4 | % | | 806,243 | | | 814,326 | | | 171,106 | | | 21.2 | % |
| Professional Search & Interim | 503,515 | | | 507,246 | | | 107,600 | | | 21.4 | % | | 540,615 | | | 544,453 | | | 101,868 | | | 18.8 | % |
| RPO | 354,127 | | | 361,991 | | | 52,635 | | | 14.9 | % | | 354,107 | | | 362,997 | | | 40,399 | | | 11.4 | % |
| Corporate | — | | | — | | | (130,745) | | | | — | | | — | | | (128,098) | | |
Consolidated | $ | 2,730,088 | | | $ | 2,761,086 | | | $ | 463,866 | | | 17.0 | % | | $ | 2,762,671 | | | $ | 2,795,505 | | | $ | 408,204 | | | 14.8 | % |
