Segments | Segments The Company has eight reportable segments: Consulting, Digital, Executive Search North America, Executive Search EMEA, Executive Search Asia Pacific, Executive Search Latin America, Professional Search & Interim and RPO. The Company’s eight reportable segments operate through the following five lines of business: 1. Consulting aligns organizational structure, culture, performance, development, and people to drive sustainable growth by addressing four fundamental organizational and talent needs: Organizational Strategy, Assessment and Succession, Leadership and Professional Development and Total Rewards. The Consulting teams work across our core capabilities, architecting integrated solutions and technology products to help clients execute their strategy in a digitally enabled world. 2. Digital develops IP and science-based talent technology products that empower our clients. Our talent products and talent platform support our clients in making critical talent decisions across the continuum from talent acquisition to talent development. 3. Executive Search helps organizations recruit board level, chief executive and other C-suite/senior executive and general management talent to deliver lasting impact. The Company’s approach to placing talent brings together research-based IP, proprietary assessments and behavioral interviewing with practical experience to determine the ideal organizational fit. Salary benchmarking then helps the Company build appropriate frameworks for compensation and attraction. This business is managed and reported on a geographic basis and represents four of the Company’s reportable segments (Executive Search North America, Executive Search EMEA, Executive Search Asia Pacific and Executive Search Latin America). 4. Professional Search & Interim delivers enterprise talent acquisition solutions for permanent placements at the professional level middle and upper management, and, for interim, those same levels plus senior executives. The Company helps clients source high-quality candidates at speed and scale globally, covering single-hire to multi-hire permanent placements and interim contractors (that are focused on senior executive, information technology Finance & Accounting and HR roles). 5. RPO offers scalable recruitment outsourcing and projects solutions leveraging a customized technology enabled service delivery platform and talent insights. The Company's scalable solutions, built on our IP, science, and data and powered by best-in-class technology and consulting expertise, enables the Company to act as a strategic partner in clients’ quest for superior recruitment outcomes and better candidate fit. Executive Search is managed by geographic regional leaders. Worldwide operations for Consulting, Professional Search & Interim and RPO are managed by their Chief Executive Officers. Beginning in the second quarter of fiscal 2024, Digital is led by the President of Technology. The Executive Search geographic regional leaders, the Chief Executive Officers of Consulting, Professional Search & Interim and RPO and the President of Technology report directly to the Chief Executive Officer of the Company. The Company also operates Corporate to record global expenses. The Company evaluates performance and allocates resources based on the Company’s chief operating decision maker ("CODM") review of 1) fee revenue and 2) adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”). To the extent that such costs or charges occur, Adjusted EBITDA excludes restructuring charges, integration/acquisition costs, certain separation costs and certain non-cash charges (goodwill, intangible asset and other impairment charges). The CODM is not provided asset information by reportable segment. Financial highlights are as follow: Year Ended April 30, 2024 2023 2022 Consolidated (in thousands) Fee revenue $ 2,762,671 $ 2,835,408 $ 2,626,718 Total revenue $ 2,795,505 $ 2,863,836 $ 2,643,455 Net income attributable to Korn Ferry $ 169,154 $ 209,529 $ 326,360 Net income attributable to noncontrolling interest 3,407 3,525 4,485 Other (income) loss, net (30,681) (5,261) 11,880 Interest expense, net 20,968 25,864 25,293 Income tax provision 50,081 82,683 102,056 Operating income 212,929 316,340 470,074 Depreciation and amortization 77,966 68,335 63,521 Other income (loss), net 30,681 5,261 (11,880) Integration/acquisition costs 14,866 14,922 7,906 Impairment of fixed assets 1,575 4,375 1,915 Impairment of right-of-use assets 1,629 5,471 7,392 Restructuring charges, net 68,558 42,573 — Adjusted EBITDA (1) $ 408,204 $ 457,277 $ 538,928 _______________________________ (1) Adjusted EBITDA refers to earnings before interest, taxes, depreciation and amortization and further excludes integration/acquisition costs, impairment of fixed assets, impairment of right-of-use assets, and restructuring charges, net. Financial highlights by reportable segments are as follows: Year Ended April 30, 2024 Fee revenue Total revenue Adjusted EBITDA (1) (in thousands) Consulting $ 695,007 $ 706,805 $ 114,260 Digital 366,699 366,924 108,669 Executive Search: North America 506,927 513,545 120,710 EMEA 184,516 185,552 25,902 Asia Pacific 85,863 86,273 18,923 Latin America 28,937 28,956 5,571 Professional Search & Interim 540,615 544,453 101,868 RPO 354,107 362,997 40,399 Corporate — — (128,098) Consolidated $ 2,762,671 $ 2,795,505 $ 408,204 _______________________________ (1) Adjusted EBITDA refers to earnings before interest, taxes, depreciation and amortization and further excludes integration/acquisition costs, impairment of fixed assets, impairment of right-of-use assets, and restructuring charges, net. Year Ended April 30, 2023 Fee revenue Total revenue Adjusted EBITDA (1) (in thousands) Consulting $ 677,001 $ 686,979 $ 108,502 Digital 354,651 354,967 97,458 Executive Search: North America 562,139 568,212 140,850 EMEA 187,014 188,114 31,380 Asia Pacific 95,598 95,956 24,222 Latin America 31,047 31,054 9,370 Professional Search & Interim 503,395 507,058 110,879 RPO 424,563 431,496 52,588 Corporate — — (117,972) Consolidated $ 2,835,408 $ 2,863,836 $ 457,277 ______________________________ (1) Adjusted EBITDA refers to earnings before interest, taxes, depreciation and amortization and further excludes integration/acquisition costs, impairment of fixed assets and impairment of right-of-use assets, and restructuring charges, net. Year Ended April 30, 2022 Fee revenue Total revenue Adjusted EBITDA (1) (in thousands) Consulting $ 650,204 $ 654,199 $ 116,108 Digital 349,025 349,437 110,050 Executive Search: North America 605,704 609,258 181,615 EMEA 182,192 182,866 31,804 Asia Pacific 118,596 118,705 35,105 Latin America 29,069 29,079 9,089 Professional Search & Interim 297,096 297,974 106,015 RPO 394,832 401,937 59,126 Corporate — — (109,984) Consolidated $ 2,626,718 $ 2,643,455 $ 538,928 _______________________________ (1) Adjusted EBITDA refers to earnings before interest, taxes, depreciation and amortization and further excludes, integration/acquisition costs, impairment of fixed assets and impairment of right of-use assets. Fee revenue attributed to an individual customer or country, other than the U.S. in fiscal year 2024, 2023 and 2022, did not account for more than 10% of the total fee revenue in those fiscal years. Fee revenue classified by country in which the Company derives revenues are as follows: Year Ended April 30, 2024 2023 2022 (in thousands) U.S. $ 1,507,819 $ 1,568,119 $ 1,348,377 Other countries 1,254,852 1,267,289 1,278,341 Total fee revenue $ 2,762,671 $ 2,835,408 $ 2,626,718 Other than the U.S. and United Kingdom in fiscal 2024, and the U.S. in fiscal 2023 and 2022, no single country had over 10% of the total long-lived assets, excluding financial instruments and tax assets. Long-lived assets, excluding financial instruments and tax assets, classified by location of the controlling statutory country are as follows: Year Ended April 30, 2024 2023 2022 (in thousands) U.S. (1) $ 175,691 $ 186,220 $ 185,228 United Kingdom 64,280 22,893 26,711 Other countries 82,342 95,453 93,967 Total long-lived assets $ 322,313 $ 304,566 $ 305,906 _______________________________ (1) Includes Corporate long-lived assets |