On Assignment Reports Results For Fourth Quarter 2012

Safe Harbor

Certain statements made in this news release are “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and involve a high degree of risk and uncertainty. Forward-looking statements include statements regarding the Company’s anticipated financial and operating performance in 2012. All statements in this release, other than those setting forth strictly historical information, are forward-looking statements. Forward-looking statements are not guarantees of future performance, and actual results might differ materially. In particular, the Company makes no assurances that the estimates of revenues, gross margin, SG&A, Adjusted EBITDA, net income, earnings per share or earnings per diluted share set forth above will be achieved. Factors that could cause or contribute to such differences include actual demand for our services, our ability to attract, train and retain qualified staffing consultants, our ability to remain competitive in obtaining and retaining temporary staffing clients, the availability of qualified temporary nurses and other qualified temporary professionals, management of our growth, continued performance of our enterprise-wide information systems, and other risks detailed from time to time in our reports filed with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended December 31, 2011, as filed with the SEC on March 14, 2012 and our Forms 10-Q for the quarterly periods ended March 31, 2012, June 30, 2012 and September 30, 2012 as filed with the SEC on May 9, 2012, July 30, 2012 and November 8, 2012, respectively. We specifically disclaim any intention or duty to update any forward-looking statements contained in this news release.

SUMMARY CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (In thousands, except per share amounts)
			Three Months Ended												Year Ended
			December 31,								September 30,				December 31,
			2012				2011				2012				2012				2011
Revenues			$	401,659			$	161,790			$	388,283			$	1,239,705			$	597,281
Cost of services				280,377				108,161				269,244				855,382				397,176
Gross profit				121,282				53,629				119,039				384,323				200,105
Selling, general and administrative expenses				82,743				39,447				79,223				273,528				153,360
Amortization of intangible assets				11,857				713				3,320				18,016				2,346
Operating income				26,682				13,469				36,496				92,779				44,399
Interest expense				(5,947	)			(711	)			(6,317	)			(17,872	)			(2,975	)
Interest income				10			―					33				49				39
Income before income taxes				20,745				12,758				30,212				74,956				41,463
Provision for income taxes				9,423				5,257				12,779				32,303				17,166
Net income			$	11,322			$	7,501			$	17,433			$	42,653			$	24,297
Earnings per share:
Basic			$	0.22			$	0.20			$	0.33			$	0.91			$	0.66
Diluted			$	0.21			$	0.20			$	0.33			$	0.89			$	0.64
Number of shares and share equivalents used to calculate earnings per share:
Basic				52,581				36,903				52,131				46,739				36,876
Diluted				53,680				37,773				53,162				47,826				37,758

SUPPLEMENTAL SEGMENT FINANCIAL INFORMATION (Unaudited) (In thousands)
			Three Months Ended									Year Ended
			December 31,						September 30,			December 31,
			2012			2011			2012			2012			2011
Revenues:
Technology –
Apex			$	207,576		$ ―			$	202,664		$	508,743		$ ―
Oxford				90,410			71,230			88,104			345,380			266,742
				297,986			71,230			290,768			854,123			266,742
Life Sciences				40,293			40,921			40,646			162,799			155,324
Healthcare				37,308			25,927			29,390			120,104			94,598
Physician				26,072			23,712			27,479			102,679			80,617
			$	401,659		$	161,790		$	388,283		$	1,239,705		$	597,281
Gross profit:
Technology –
Apex			$	56,752		$ ―			$	56,934		$	140,669		$ ―
Oxford				31,777			25,484			31,250			122,043			94,967
				88,529			25,484			88,184			262,712			94,967
Life Sciences				14,225			13,618			14,002			55,874			52,643
Healthcare				10,660			7,395			8,483			34,282			26,637
Physician				7,868			7,132			8,370			31,455			25,858
			$	121,282		$	53,629		$	119,039		$	384,323		$	200,105

SELECTED CASH FLOW INFORMATION (Unaudited) (In thousands)
			Three Months Ended									Year Ended
			December 31,						September 30,			December 31,
			2012			2011			2012			2012			2011
Cash (used in) provided by operations			$	26,059		$	8,365		$	23,531		$	40,698		$	23,419
Capital expenditures			$	3,471		$	2,365		$	3,712		$	14,354		$	8,411

SELECTED CONSOLIDATED BALANCE SHEET DATA (Unaudited) (In thousands)
			December 31,						September 30,
			2012			2011			2012
Cash and cash equivalents			$	27,479		$	17,739		$	13,873
Accounts receivable, net				243,003			93,925			247,731
Goodwill and intangible assets, net				763,239			259,440			772,598
Total assets				1,099,064			410,665			1,098,935
Current portion of long-term debt				10,000			5,000			10,000
Total current liabilities				119,770			56,409			129,480
Working capital				173,987			74,705			155,414
Long-term debt				416,588			81,750			429,088
Other long-term liabilities				29,983			25,763			23,912
Stockholders’ equity				532,723			246,743			516,455

RECONCILIATION OF GAAP NET INCOME AND EARNINGS PER SHARE TO NON-GAAP ADJUSTED EBITDA AND ADJUSTED EBITDA PER DILUTED SHARE (Unaudited) (In thousands, except per share amounts)
			Three Months Ended
			December 31,												September 30,
			2012						2011						2012
Net income			$	11,322		$	0.21		$	7,501		$	0.20		$	17,433		$	0.33
Interest expense, net				5,937			0.11			711			0.02			6,284			0.12
Provision for income taxes				9,423			0.18			5,257			0.14			12,779			0.24
Depreciation				1,860			0.03			1,594			0.04			1,817			0.03
Amortization of intangibles				11,857			0.22			713			0.02			3,320			0.06
EBITDA				40,399			0.75			15,776			0.42			41,633			0.78
Equity-based compensation				3,132			0.06			1,843			0.05			3,075			0.06
Acquisition-related costs				730			0.01			64			0.00			784			0.01
Adjusted EBITDA			$	44,261		$	0.82		$	17,683		$	0.47		$	45,492		$	0.86	(1	)
Weighted average common and common equivalent shares outstanding (diluted)				53,680						37,773						53,162

				Year Ended
				December 31,
				2012									2011
Net income				$	42,653			$	0.89				$	24,297			$	0.64
Interest expense, net					17,823				0.37					2,936				0.08
Provision for income taxes					32,303				0.68					17,166				0.45
Depreciation					6,686				0.14					6,505				0.17
Amortization of intangibles					18,016				0.38					2,346				0.06
EBITDA					117,481				2.46					53,250				1.41
Equity-based compensation					9,706				0.20					6,927				0.18
Acquisition-related costs					10,568				0.22					1,056				0.03
Adjusted EBITDA				$	137,755			$	2.88				$	61,233			$	1.62	(1	)
Weighted average common and common equivalent shares outstanding (diluted)					47,826									37,758
_______ (1) Does not foot due to rounding

RECONCILIATION OF GAAP NET INCOME AND EARNINGS PER SHARE TO NET INCOME BEFORE ACQUISITION-RELATED COSTS AND EARNINGS PER SHARE BEFORE ACQUISITION-RELATED COSTS (Unaudited) (In thousands, except per share amounts)
			Three Months Ended
			December 31,												September 30,
			2012						2011						2012
Net income			$	11,322		$	0.21		$	7,501		$	0.20		$	17,433		$	0.33
Acquisition-related costs, net of income taxes				126		―				38			0.00			649			0.01
Net income before acquisition-related costs			$	11,448		$	0.21		$	7,539		$	0.20		$	18,082		$	0.34
Weighted average common and common equivalent shares outstanding (diluted)				53,680						37,773						53,162

			Year Ended
			December 31,
			2012						2011
Net income			$	42,653		$	0.89		$	24,297		$	0.64
Non-recurring charges related to refinancing, net of income taxes				701			0.01		―			―
Acquisition-related costs, net of income taxes				6,014			0.13			605			0.02
Net income before acquisition-related costs			$	49,368		$	1.03		$	24,902		$	0.66
Weighted average common and common equivalent shares outstanding (diluted)				47,826						37,758

SUPPLEMENTAL FINANCIAL INFORMATION – REVENUES AND GROSS MARGINS (Unaudited) (Dollars in thousands)
			Technology																				Healthcare
			Apex					Oxford					Total					Life Sciences					Allied Healthcare					Nurse Travel					Total					Physician					Consolidated
Revenues:
Q4 2012			$	207,576				$	90,410				$	297,986				$	40,293				$	16,056				$	21,252				$	37,308				$	26,072				$	401,659
Q3 2012			$	202,664				$	88,104				$	290,768				$	40,646				$	15,594				$	13,796				$	29,390				$	27,479				$	388,283
% Sequential change				2.4	%				2.6	%				2.5	%				(0.9	%)				3.0	%				54.0	%				26.9	%				(5.1	%)				3.4	%
Q4 2011			―					$	71,230				$	71,230				$	40,921				$	12,166				$	13,761				$	25,927				$	23,712				$	161,790
% Year-over-year change			―						26.9	%				N/M					(1.5	%)				32.0	%				54.4	%				43.9	%				10.0	%				148.3	%
Gross margins:
Q4 2012				27.3	%				35.1	%				29.7	%				35.3	%				31.2	%				26.6	%				28.6	%				30.2	%				30.2	%
Q3 2012				28.1	%				35.5	%				30.3	%				34.4	%				32.5	%				24.8	%				28.9	%				30.5	%				30.7	%
Q4 2011			―						35.8	%				35.8	%				33.3	%				32.2	%				25.3	%				28.5	%				30.1	%				33.1	%
Average number of staffing consultants:
Q4 2012				658					547					1,205					178					86					45					131					108					1,622
Q3 2012				650					512					1,162					166					83					42					125					103					1,556
Q4 2011			―						478					478					167					78					37					115					95					855
_______
N/M – not meaningful

SUPPLEMENTAL FINANCIAL INFORMATION – KEY METRICS (Unaudited)
			Technology																				Healthcare
			Apex					Oxford					Total					Life Sciences					Allied Healthcare					Nurse Travel					Total					Physician					Consolidated
Average number of customers:
Q4 2012				606					651					1,257					934					519					131					650					180					3,021
Q3 2012				607					650					1,257					928					529					142					671					194					3,050
Q4 2011			―						606					606					945					493					128					621					171					2,343
Top 10 customers as a percentage of revenue:
Q4 2012				34.4	%				15.8	%				24.7	%				23.3	%				30.6	%				30.6	%				24.3	%				22.1	%				18.3	%
Q3 2012				33.2	%				15.5	%				23.5	%				22.6	%				29.4	%				34.7	%				23.4	%				19.2	%				17.6	%
Q4 2011			―						13.8	%				13.8	%				23.0	%				24.4	%				30.7	%				20.3	%				23.7	%				8.3	%
Average bill rate:
Q4 2012			$	58.7				$	122.2				$	69.5				$	35.1				$	37.5				$	67.8				$	47.4				$	184.6				$	63.6
Q3 2012			$	59.1				$	120.2				$	69.4				$	35.2				$	37.2				$	68.3				$	46.7				$	181.6				$	63.5
Q4 2011			―					$	116.3				$	116.3				$	35.1				$	35.7				$	71.3				$	47.4				$	179.0				$	66.7
Gross profit per staffing consultants:
Q4 2012			$	86,000				$	58,000				$	73,000				$	80,000				$	58,000				$	126,000				$	82,000				$	73,000				$	75,000
Q3 2012			$	88,000				$	61,000				$	76,000				$	84,000				$	61,000				$	81,000				$	68,000				$	82,000				$	76,000
Q4 2011			―					$	53,000				$	53,000				$	82,000				$	50,000				$	93,000				$	64,000				$	75,000				$	63,000

SUPPLEMENTAL FINANCIAL INFORMATION – KEY METRICS (Unaudited)
			Three Months Ended
			December 31, 2012					September 30, 2012
Percentage of revenues:
Top ten clients				18.3	%				17.6	%
Direct hire/conversion				1.7	%				1.9	%
Bill rate:
% Sequential change				0.1	%				(2.2	%)
% Year-over-year change				(4.6	%)				(3.2	%)
Bill/Pay spread:
% Sequential change				(0.2	%)				(4.7	%)
% Year-over-year change				(12.9	%)				(12.0	%)
Average headcount:
Contract professionals (CP)				11,987					11,871
Staffing consultants (SC)				1,622					1,556
Productivity:
Gross profit per SC			$	75,000				$	76,000

« First ‹ Previous 1 2 3 4 5 6 7 8 Next › Last »