This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Kforce's CEO Discusses Q4 2011 Results - Earnings Call Transcript

The objectives that we established for 2011 were to further penetrate existing Strategic Accounts, capture additional client share and selectively target new accounts while our service offerings and business model add value to our clients.

Our Strategic Accounts program, supported by the National Recruiting Center, has continued its steady growth. At the same time, the growing needs for flexible staffing at small- and medium-sized customers, particularly in the second half of the year, has allowed us to sequentially improve the bill-pay spreads in our Technology Flex business, more typical of what we have seen in past more traditional economic recoveries.

And looking back on 2011, we also believe that the staffing industry performance has been significantly different -- oops, I'm sorry. I had 2 pages stuck together.

We believe that the uncertain economic outlook in 2011 negatively impacted the valuation of Kforce and other staffing stocks disproportionately. The firm was aggressive in response and was able to repurchase 5.7 million shares of stock during the year, which represented 13.8% of outstanding shares for a total of 59.6 million.

Looking forward to 2012, we remain committed in our belief the temporary staffing penetration, which has improved from 1.34% at the beginning of this economic cycle and is currently 1.82% of the workforce, will achieve historic highs in the U.S. during this economic expansion.

We believe the strengthening demand for our services as a result of this trend will only be enhanced if economic growth accelerates. Our strategic -- our strategy remains intact as we believe there remained significant opportunity for continued strong growth in our Tech and FA businesses, as well as our Health Information Management business, which is well positioned for continued success through the implementation of ICD-10 and electronic medical records. We expect our Clinical Research business to perform reasonably well as we navigate the rapidly changing environment in the pharmaceutical and biotech industries, as blockbuster drugs come off patent.

Our Government business is expected to continue to face a challenging environment, although our team is competing effectively. Overall, the demand for our services continues to improve, and we expect continued strong revenue growth.

Read the rest of this transcript for free on

3 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,678.23 -40.31 -0.23%
S&P 500 2,056.15 -4.90 -0.24%
NASDAQ 4,863.3620 -13.1570 -0.27%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs