The Hackett Group, Inc. (NASDAQ: HCKT), a global strategic advisory and operations improvement consulting firm, today announced its financial results for the fourth quarter and fiscal year 2011, which ended December 30, 2011.
Fourth quarter 2011 revenue was $55.5 million, a 14% increase from the same period in 2010. Pro forma diluted earnings per share were $0.09 for the fourth quarter of 2011, as compared to $0.07 for the same period in 2010. Pro forma information is provided to enhance the understanding of the Company’s financial performance and is reconciled to the Company’s GAAP information in the accompanying tables.
GAAP diluted earnings per share were $0.23 for the fourth quarter of 2011, as compared to $0.07 in the fourth quarter of 2010. GAAP net earnings for the fourth quarter of 2011 included a $5.3 million tax benefit, or $0.13 per dilutive share, for the release of a deferred tax valuation allowance.
The Company also announced today its plan to launch a modified “Dutch auction” tender offer to purchase up to $55 million in value of its common stock, at a price ranging from $4.25 to $5.00. The tender offer would allow the Company to repurchase approximately 27% of its outstanding common shares at the high-end of the pricing range. The Company intends to pay for the share repurchase from its existing cash and cash equivalents balances, which were approximately $33 million as of December 30, 2011, and with a new $50 million credit facility.
Fiscal year 2011 revenue was $225.1 million, an increase of 12% from the previous fiscal year. Pro forma diluted net earnings per share for 2011 was $0.33, as compared to $0.27 in fiscal year 2010. GAAP diluted earnings per share in fiscal 2011 was $0.52, as compared to net income per share of $0.34 in the previous fiscal year. GAAP net income for 2011 includes a $5.3 million tax benefit, or $0.13 per dilutive share, for the release of a deferred tax valuation allowance. GAAP net income for 2010 includes a non-cash acquisition earn-out shares re-measurement gain of $1.7 million or $0.04 per dilutive share.