Kforce (KFRC) 10-Q 1 Aug 19 2019 Q2 Quarterly report Financial data

Cover

Cover - shares	6 Months Ended
	Jun. 30, 2019	Jul. 29, 2019
Cover page.
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2019
Document Transition Report	false
Entity File Number	000-26058
Entity Registrant Name	Kforce Inc
Entity Incorporation, State or Country Code	FL
Entity Tax Identification Number	59-3264661
Entity Address, Address Line One	1001 East Palm Avenue
Entity Address, City or Town	Tampa
Entity Address, State or Province	FL
Entity Address, Postal Zip Code	33605
City Area Code	813
Local Phone Number	552-5000
Title of 12(b) Security	Common Stock, $0.01 per share
Trading Symbol	KFRC
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		24,255,086
Amendment Flag	false
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q2
Current Fiscal Year End Date	--12-31
Entity Central Index Key	0000930420

UNAUDITED CONDENSED CONSOLIDATE

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Income Statement [Abstract]
Revenue	$ 338,861	$ 329,535	$ 665,599	$ 646,976
Direct costs	237,835	229,315	471,397	454,247
Gross profit	101,026	100,220	194,202	192,729
Selling, general and administrative expenses	78,017	76,901	157,830	155,698
Depreciation and amortization	1,542	1,692	3,192	3,443
Income from operations	21,467	21,627	33,180	33,588
Other expense, net	403	1,258	1,326	2,602
Income from continuing operations, before income taxes	21,064	20,369	31,854	30,986
Income tax expense	4,988	5,196	7,804	7,856
Income from continuing operations	16,076	15,173	24,050	23,130
Income from discontinued operations, net of tax	58,783	1,099	77,664	2,317
Net income	74,859	16,272	101,714	25,447
Other comprehensive (loss) income:
Change in fair value of interest rate swap, net of tax	(478)		(758)
Change in fair value of interest swap, net of tax		180		697
Comprehensive income	$ 74,381	$ 16,452	$ 100,956	$ 26,144
Earnings per share – basic:
Continuing operations (in dollars per share)	$ 0.67	$ 0.61	$ 0.99	$ 0.94
Discontinued operations (in dollars per share)	2.46	0.05	3.21	0.09
Earnings per share - basic (in dollars per share)	3.13	0.66	4.20	1.03
Earnings per share – diluted:
Continuing operations (in dollars per share)	0.66	0.60	0.97	0.92
Discontinued operations (in dollars per share)	2.40	0.05	3.14	0.09
Earnings per share – diluted (in dollars per share)	$ 3.06	$ 0.65	$ 4.11	$ 1.01
Weighted average shares outstanding – basic (in shares)	23,901	24,705	24,207	24,744
Weighted average shares outstanding – diluted (in shares)	24,458	25,178	24,745	25,142

UNAUDITED CONDENSED CONSOLIDA_2

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Current assets:
Cash and cash equivalents	$ 65,047	$ 112
Trade receivables, net of allowances of $3,039 and $2,800, respectively	225,810	210,559
Income tax refund receivable	218	319
Prepaid expenses and other current assets	8,692	7,699
Current assets held for sale	0	29,773
Total current assets	299,767	248,462
Fixed assets, net	29,095	34,322
Other assets, net	66,045	36,664
Deferred tax assets, net	6,238	7,147
Goodwill	25,040	25,040
Noncurrent assets held for sale	0	28,273
Total assets	426,185	379,908
Current liabilities:
Accounts payable and other accrued liabilities	35,855	32,542
Accrued payroll costs	41,008	39,384
Current portion of operating lease liabilities	5,931
Other current liabilities	1,405	1,616
Income taxes payable	5,611	4,553
Current liabilities held for sale	0	12,263
Total current liabilities	89,810	90,358
Long-term debt – credit facility	65,000	71,800
Long-term debt – other	909	1,359
Other long-term liabilities	55,610	43,509
Noncurrent liabilities held for sale	0	4,551
Total liabilities	211,329	211,577
Commitments and contingencies (Note E)
Stockholders’ equity:
Preferred stock, $0.01 par; 15,000 shares authorized, none issued and outstanding	0	0
Common stock, $0.01 par; 250,000 share authorized, 71,865 and 71,856 issued and outstanding, respectively	719	719
Additional paid-in capital	454,071	447,337
Accumulated other comprehensive income	706	1,296
Retained earnings	329,760	237,308
Treasury stock, at cost; 47,293 and 45,822 shares, respectively	(570,400)	(518,329)
Total stockholders’ equity	214,856	168,331
Total liabilities and stockholders’ equity	$ 426,185	$ 379,908

UNAUDITED CONDENSED CONSOLIDA_3

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Statement of Financial Position [Abstract]
Trade receivables, allowances	$ 3,039	$ 2,800
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	15,000,000	15,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	250,000,000	250,000,000
Common stock, shares issued (in shares)	71,865,000	71,856,000
Common stock, shares outstanding (in shares)	71,865,000	71,856,000
Treasury stock, shares (in shares)	47,293,000	45,822,000

UNAUDITED CONDENSED CONSOLIDA_4

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS’ EQUITY - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Accumulated Other Comprehensive Income (Loss)	Retained Earnings	Treasury Stock
Shares at beginning of period (in shares) at Dec. 31, 2017		71,494				45,167
Balance at beginning of period at Dec. 31, 2017	$ 134,277	$ 715	$ 437,394	$ 100	$ 195,143	$ (499,075)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	9,175				9,175
Issuance for stock-based compensation and dividends, net of forfeitures (in shares)		63
Issuance for stock-based compensation and dividends, net of forfeitures	0	$ 1	166		(167)
Exercise of stock options (in shares)		5				1
Exercise of stock options	0		46			$ (46)
Stock-based compensation expense	2,260		2,260
Employee stock purchase plan (in shares)						(6)
Employee stock purchase plan	132		71			$ 61
Dividends	(2,973)				(2,973)
Change in fair value of interest swap, net of tax	517			517
Repurchases of common stock (in shares)						319
Repurchases of common stock	(8,715)					$ (8,715)
Shares at end of period (in shares) at Mar. 31, 2018		71,562				45,481
Balance at end of period at Mar. 31, 2018	134,494	$ 716	439,937	617	200,999	$ (507,775)
Shares at beginning of period (in shares) at Dec. 31, 2017		71,494				45,167
Balance at beginning of period at Dec. 31, 2017	134,277	$ 715	437,394	100	195,143	$ (499,075)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	25,447
Employee stock purchase plan	261
Change in fair value of interest swap, net of tax	697
Shares at end of period (in shares) at Jun. 30, 2018		71,596				45,479
Balance at end of period at Jun. 30, 2018	150,306	$ 716	442,460	797	214,143	$ (507,810)
Shares at beginning of period (in shares) at Mar. 31, 2018		71,562				45,481
Balance at beginning of period at Mar. 31, 2018	134,494	$ 716	439,937	617	200,999	$ (507,775)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	16,272				16,272
Issuance for stock-based compensation and dividends, net of forfeitures (in shares)		34
Issuance for stock-based compensation and dividends, net of forfeitures	0		158		(158)
Stock-based compensation expense	2,292		2,292
Employee stock purchase plan (in shares)						(5)
Employee stock purchase plan	129		73			$ 56
Dividends	(2,970)				(2,970)
Change in fair value of interest swap, net of tax	180			180
Repurchases of common stock (in shares)						3
Repurchases of common stock	(91)					$ (91)
Shares at end of period (in shares) at Jun. 30, 2018		71,596				45,479
Balance at end of period at Jun. 30, 2018	150,306	$ 716	442,460	797	214,143	$ (507,810)
Shares at beginning of period (in shares) at Dec. 31, 2018		71,856				45,822
Balance at beginning of period at Dec. 31, 2018	168,331	$ 719	447,337	1,296	237,308	$ (518,329)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	26,855				26,855
Reclassification of stranded tax effects (Note A) | Accounting Standards Update 2018-02	0			168	(168)
Issuance for stock-based compensation and dividends, net of forfeitures (in shares)		4
Issuance for stock-based compensation and dividends, net of forfeitures	0		233		(233)
Stock-based compensation expense	2,620		2,620
Employee stock purchase plan (in shares)						(5)
Employee stock purchase plan	140		86			$ 54
Dividends	(4,406)				(4,406)
Change in fair value of interest rate swap, net of tax	(280)			(280)
Repurchases of common stock (in shares)						432
Repurchases of common stock	(14,688)					$ (14,688)
Shares at end of period (in shares) at Mar. 31, 2019		71,860				46,249
Balance at end of period at Mar. 31, 2019	178,572	$ 719	450,276	1,184	259,356	$ (532,963)
Shares at beginning of period (in shares) at Dec. 31, 2018		71,856				45,822
Balance at beginning of period at Dec. 31, 2018	168,331	$ 719	447,337	1,296	237,308	$ (518,329)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	101,714
Employee stock purchase plan	283
Change in fair value of interest rate swap, net of tax	(758)
Shares at end of period (in shares) at Jun. 30, 2019		71,865				47,293
Balance at end of period at Jun. 30, 2019	214,856	$ 719	454,071	706	329,760	$ (570,400)
Shares at beginning of period (in shares) at Mar. 31, 2019		71,860				46,249
Balance at beginning of period at Mar. 31, 2019	178,572	$ 719	450,276	1,184	259,356	$ (532,963)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	74,859				74,859
Issuance for stock-based compensation and dividends, net of forfeitures (in shares)		5
Issuance for stock-based compensation and dividends, net of forfeitures	0		177		(177)
Stock-based compensation expense	3,524		3,524
Employee stock purchase plan (in shares)						(4)
Employee stock purchase plan	143		94			$ 49
Dividends	(4,278)				(4,278)
Change in fair value of interest rate swap, net of tax	(478)			(478)
Repurchases of common stock (in shares)						1,048
Repurchases of common stock	(37,486)					$ (37,486)
Shares at end of period (in shares) at Jun. 30, 2019		71,865				47,293
Balance at end of period at Jun. 30, 2019	$ 214,856	$ 719	$ 454,071	$ 706	$ 329,760	$ (570,400)

UNAUDITED CONDENSED CONSOLIDA_5

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS’ EQUITY (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2018	Mar. 31, 2018
Dividend (in dollars per share)	$ 0.18	$ 0.18	$ 0.12	$ 0.12
Tax benefit	$ 162	$ 95
Interest rate swap tax			$ 61	$ 176
Accounting Standards Update 2014-09
Tax effect of new accounting standard				$ 63

UNAUDITED CONDENSED CONSOLIDA_6

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Cash flows from operating activities:
Net income	$ 101,714	$ 25,447
Adjustments to reconcile net income to cash provided by operating activities:
Gain on sale of discontinued operations	(80,004)	0
Deferred income tax provision, net	1,735	(498)
Provision for bad debts	797	961
Depreciation and amortization	3,623	4,172
Stock-based compensation expense	5,050	4,552
Defined benefit pension plan expense	431	910
(Gain) loss on deferred compensation plan investments, net	(10)	248
Loss on disposal or impairment of property and equipment	970	22
Contingent consideration liability remeasurement	459	0
Noncash lease expense	3,187
Other	177	178
(Increase) decrease in operating assets
Trade receivables, net	(12,829)	(14,179)
Income tax refund receivable	101	6,170
Prepaid expenses and other current assets	(1,321)	(1,904)
Other assets, net	(2,049)	101
Increase (decrease) in operating liabilities
Accounts payable and other accrued liabilities	2,333	3,841
Accrued payroll costs	1,298	2,403
Income taxes payable	753	5,387
Other long-term liabilities	(4,085)	448
Cash provided by operating activities	22,330	38,259
Cash flows from investing activities:
Capital expenditures	(4,184)	(3,116)
Equity method investment	(7,500)	0
Net proceeds from the sale of assets held for sale	122,696	0
Cash provided by (used in) investing activities	111,012	(3,116)
Cash flows from financing activities:
Proceeds from credit facility	80,100	334,600
Payments on credit facility	(86,900)	(350,523)
Payments on other financing arrangements	(875)	(1,054)
Repurchases of common stock	(51,546)	(12,129)
Cash dividends	(8,684)	(5,943)
Payment of contingent consideration liability	(477)	0
Other	(25)	0
Cash used in financing activities	(68,407)	(35,049)
Change in cash and cash equivalents	64,935	94
Cash and cash equivalents, beginning of period	112	379
Cash and cash equivalents, end of period	65,047	473
Cash Paid During the Period For:
Income taxes	8,447	4,343
Interest, net	788	2,199
Operating lease liabilities	4,025
Non-Cash Financing and Investing Transactions:
ROU assets obtained from new operating leases	1,355
Unsettled repurchases of common stock	1,183	0
Contingent contribution for equity method investment	1,500	0
Employee stock purchase plan	283	261
Equipment acquired under finance leases	192	424
Shares tendered in payment of exercise price of stock options	$ 0	46
Proceeds from income tax refunds		$ 6,800

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Unless otherwise noted below, there have been no material changes to the accounting policies presented in Note 1 - “Summary of Significant Accounting Policies” of the Notes to Consolidated Financial Statements, included in Item 8. Financial Statements and Supplementary Data of the 2018 Annual Report on Form 10-K. Basis of Presentation The unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the SEC regarding interim financial reporting. Accordingly, certain information and footnotes normally required by GAAP for complete financial statements have been condensed or omitted pursuant to those rules and regulations, although Kforce believes that the disclosures made are adequate to make the information not misleading. These unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2018 Annual Report on Form 10-K. In management’s opinion, the accompanying unaudited condensed consolidated financial statements reflect all adjustments considered necessary for a fair presentation. The Unaudited Condensed Consolidated Balance Sheet as of December 31, 2018 was derived from our audited Consolidated Balance Sheet as of December 31, 2018, as presented in our 2018 Annual Report on Form 10-K. Certain prior year amounts have been reclassified to conform with the current period presentation for amounts related to discontinued operations. Refer to Note B - “Discontinued Operations” for further information. Our quarterly operating results are affected by the number of billing days in a particular quarter, the seasonality of our clients’ businesses and increased holiday and vacation days taken. In addition, we typically experience an increase in costs in the first quarter of each fiscal year as a result of certain U.S. state and federal employment tax resets, which negatively impacts our gross profit and overall profitability. The results of operations for any interim period may be impacted by these factors and are not necessarily indicative of, nor comparable to, the results of operations for a full year. Principles of Consolidation The unaudited condensed consolidated financial statements include the accounts of Kforce Inc. and its subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. References in this document to “Kforce,” the “Company,” “we,” the “Firm,” “management,” “our” or “us” refer to Kforce Inc. and its subsidiaries, except where the context indicates otherwise. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The most critical of these estimates and assumptions relate to the following: allowance for doubtful accounts; income taxes; self-insured liabilities for workers’ compensation and health insurance; obligations for the pension plan and goodwill and any related impairment. Although these and other estimates and assumptions are based on the best available information, actual results could be materially different from these estimates. Cash and Cash Equivalents All highly liquid investments with original maturity dates of three months or less at the time of purchase are classified as cash equivalents. Cash and cash equivalents are stated at cost, which approximates fair value because of the short-term nature of these instruments. Our cash equivalents are held in government money market funds and at times may exceed federally insured limits. Equity Method Investment In June 2019, we entered into a joint venture whereby Kforce has a 50% ownership in WorkLLama, LLC ("WorkLLama"). WorkLLama has and continues to develop the technology for a SaaS platform focused on consultant engagement and referral technologies; we believe our involvement in this joint venture will enhance our opportunities to efficiently and effectively identify and place consultants on assignment. Our non-controlling interest in WorkLLama, a variable interest entity, is accounted for as an equity method investment. Under the equity method, the carrying value is at cost and adjusted for our proportionate share of earnings or losses. Under the joint venture operating agreement for WorkLLama, Kforce is obligated to make additional future cash contributions that are contingent upon WorkLLama's achievement of certain operational and financial milestones, which are centered around the market acceptance of their technologies and success with Kforce's internal objectives. While there is uncertainty as to the attainment of these milestones given the joint venture is in the early stages of its evolution, we believe that $1.5 million of the maximum $15.0 million future contingent contributions is probable and, thus, have recorded this amount in Accounts payable and other accrued liabilities at June 30, 2019. At June 30, 2019, the balance of the investment in WorkLLama of $9.0 million was included in Other assets, net, which includes our initial cash contribution of $7.5 million and the $1.5 million probable contingent contribution. Health Insurance Except for certain fully insured health insurance lines of coverage, Kforce retains the risk of loss for each health insurance plan participant up to $500 thousand in claims annually. For its partially self-insured lines of coverage, health insurance costs are accrued using estimates to approximate the liability for reported claims and incurred but not reported claims, which are primarily based upon an evaluation of historical claims experience, actuarially-determined completion factors and a qualitative review of our health insurance exposure including the extent of outstanding claims and expected changes in health insurance costs. Earnings per Share Basic earnings per share is computed as net income divided by the weighted average number of common shares outstanding (“WASO”) during the period. WASO excludes unvested shares of restricted stock. Diluted earnings per share is computed by dividing net income by diluted WASO. Diluted WASO includes the dilutive effect of potentially dilutive securities such as unvested shares of restricted stock using the treasury stock method, except where the effect of including potential common shares would be anti-dilutive. For the three and six months ended June 30, 2019, 557 thousand and 538 thousand common stock equivalents were included in the diluted WASO, respectively. For the three and six months ended June 30, 2018, 473 thousand and 398 thousand common stock equivalents were included in the diluted WASO, respectively. For the three and six months ended June 30, 2019 and 2018, there were insignificant anti-dilutive common stock equivalents. New Accounting Standards Recently Adopted Accounting Standards In August 2018, the FASB issued authoritative guidance regarding a customer's accounting for implementation costs incurred for a cloud computing arrangement that is a service contract. The amendment aligns the requirements for capitalizing these implementation costs with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software, and defer these costs over the non-cancelable term of the cloud computing arrangements plus any optional renewal periods that are reasonably certain to be exercised. This amendment also requires entities to present cash flows, capitalized costs and amortization expense in the same financial statement line items as the service costs incurred for such arrangements. The guidance is effective for fiscal periods beginning after December 15, 2019 with retrospective application or prospective to all implementation costs incurred after the date of adoption. We early adopted this standard effective January 1, 2019, using the prospective method. Our hosting arrangements that are service contracts relate to technology solutions applicable to our business. Historically, these implementation costs were recorded as capital expenditures within investing cash flows and the capitalized costs were included in Other assets, net in the consolidated balance sheets. Due to the adoption of this standard and effective January 1, 2019, these implementation costs are recorded within operating cash flows. Capitalized costs are recorded in Prepaids and other current assets if expected to be recognized within one year and Other assets, net, if over one year, in the Unaudited Condensed Consolidated Balance Sheets. As of June 30, 2019, implementation costs capitalized were $0.2 million, with no accumulated amortization or amortization expense recorded during the three and six months ended June 30, 2019. In February 2018, the FASB issued authoritative guidance regarding the reclassification of certain stranded tax effects from accumulated other comprehensive income to retained earnings as a result of the change in tax rates related to the Tax Cuts and Jobs Act. The guidance is effective for fiscal periods beginning after December 15, 2018. We elected to adopt this optional standard and reclassified approximately $168 thousand from accumulated other comprehensive income to retained earnings on January 1, 2019 using the period of adoption method. In August 2017, the FASB issued authoritative guidance targeting improvements to accounting for hedging activities, which expands and clarifies hedge accounting for nonfinancial and financial risk components, aligns the recognition and presentation of the effects of the hedging instrument and hedged item in the financial statements, and simplifies the requirements for assessing effectiveness in a hedging relationship. The guidance is effective for annual periods beginning after December 15, 2018. We adopted this standard as of January 1, 2019 using the modified retrospective approach with no cumulative adjustment required. Additionally, we adopted the presentation and disclosure requirements using the prospective method as required. Refer to Note L - “Derivative Instrument and Hedging Activity” for the additional disclosures of the Firm’s derivative instrument. In February 2016, the FASB issued authoritative guidance regarding the accounting for leases, and has since issued subsequent updates to the initial guidance. The amended guidance requires the recognition of assets and liabilities for operating leases. The guidance is effective for annual periods beginning after December 15, 2018. We adopted this standard using the optional transition method as of January 1, 2019, without retrospective application to comparative periods. Refer to Note I - "Leases" for additional accounting policy and transition disclosures related to our operating leases. Accounting Standards Not Yet Adopted In August 2018, the FASB issued authoritative guidance regarding changes to the disclosure requirement for defined benefit plans including additions and deletions to certain disclosure requirements for employers that sponsor defined benefit pension or other post-retirement plans. The guidance is effective for fiscal periods beginning after December 15, 2020 with the retrospective method required for all periods presented. The adoption of this guidance will modify our disclosures but is not expected to have a material effect on our consolidated financial statements.

Discontinued Operations

Discontinued Operations	6 Months Ended
	Jun. 30, 2019
Discontinued Operations and Disposal Groups [Abstract]
Discontinued Operations	Discontinued Operations During the three months ended March 31, 2019, management committed to a plan to divest of our Government Solutions ("GS") segment as a result of the Firm's decision to focus solely on the commercial technical and professional staffing services and solutions space. The GS segment consisted of Kforce Government Solutions, Inc. (“KGS”), our federal government solutions business, and TraumaFX® Solutions, Inc. ("TFX"), our federal government product business. On April 1, 2019, Kforce completed the sale of all the issued and outstanding stock of Kforce Government Holdings, Inc., including its wholly-owned subsidiary KGS, to ManTech International Corporation for a cash purchase price of $115.0 million. The gain on the sale of KGS, net of transaction costs, was $72.3 million. Total transaction costs were $9.6 million, which primarily includes legal and broker fees, transaction bonuses and accelerated stock-based compensation expense triggered by a change in control of KGS. On June 7, 2019, Kforce completed the sale of all the issued and outstanding stock of TFX to an unaffiliated third party for a cash purchase price of $18.4 million, subject to a post-closing working capital adjustment. Our gain on the sale of TFX, net of transaction costs, was $7.7 million and total transaction costs were $2.2 million, which primarily includes legal and broker fees and transaction bonuses. Due to the sale of TFX, we finalized the settlement of a contingent consideration liability related to the acquisition of TFX in 2014 and paid $0.6 million during the three months ended June 30, 2019. Since the dispositions, Kforce has no significant continuing involvement in the operations of KGS and TFX. The results of operations for both KGS and TFX have been reported as discontinued operations in our consolidated financial statements prior to their disposition. The following table summarizes the line items of pretax profit for the GS segment (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Revenue $ 1,311 $ 29,089 $ 27,737 $ 57,941 Direct costs 479 21,826 19,494 42,999 Gross profit 832 7,263 8,243 14,942 Selling, general and administrative expenses 1,424 5,534 6,842 11,329 Depreciation and amortization 58 245 307 501 (Loss) income from discontinued operations (650) 1,484 1,094 3,112 Gain on sale of discontinued operations 80,004 — 80,004 — Other income (expense), net 428 (11) (436) (8) Income from discontinued operations, before income taxes 79,782 1,473 80,662 3,104 Income tax expense 20,999 374 2,998 787 Income from discontinued operations, net of tax $ 58,783 $ 1,099 $ 77,664 $ 2,317 There was no income tax obligation for the sale of KGS due to an effective tax structure and Kforce’s significant outside tax basis. Historically, Kforce was not required to record a deferred tax asset for the excess of the outside tax basis in the equity of KGS over the amount of the inside basis in the assets of KGS used for external reporting under GAAP, as it was not apparent that this deferred tax asset would be realized. During the three months ended March 31, 2019, we entered into a definitive agreement to sell the stock of KGS and recorded $18.5 million to deferred tax assets and income tax benefit since it became apparent that the temporary difference would reverse in the foreseeable future. This deferred tax asset of $18.5 million was utilized and recorded as income tax expense during the three months ended June 30, 2019. The following table summarizes the assets and liabilities held for sale for the GS segment as of December 31, 2018 (in thousands): ASSETS December 31, 2018 Current assets held for sale: Trade receivables $ 24,336 Prepaid expenses and other current assets 5,437 Total Current assets held for sale $ 29,773 Noncurrent assets held for sale: Fixed assets, net $ 1,496 Other assets, net 293 Deferred tax assets, net 2,604 Intangible assets 2,952 Goodwill 20,928 Total Noncurrent assets held for sale $ 28,273 LIABILITIES Current liabilities held for sale: Accounts payable and other accrued liabilities $ 6,064 Accrued payroll costs 5,878 Other current liabilities 16 Income taxes payable 305 Total Current liabilities held for sale $ 12,263 Noncurrent liabilities held for sale: Other long-term liabilities $ 4,551 Total Noncurrent liabilities held for sale $ 4,551 The accompanying Unaudited Condensed Consolidated Statements of Cash Flows are presented on a combined basis (continuing operations and discontinued operations). For the six months ended June 30, 2019, cash provided by operating activities and cash provided by investing activities for discontinued operations were $5.1 million and $118.9 million, respectively. For the six months ended June 30, 2018, cash used in operating activities and cash used in investing activities for discontinued operations were $2.7 million and $0.8 million, respectively.

Reportable Segments

Reportable Segments	6 Months Ended
	Jun. 30, 2019
Segment Reporting [Abstract]
Reportable Segments	Reportable Segments Kforce provides services through our Technology (“Tech”) and Finance and Accounting (“FA”) segments. Historically, and for the three and six months ended June 30, 2019 and 2018, we have reported sales and gross profit information on a segment basis. Total assets, liabilities and operating expenses are not reported separately by segment as our operations are largely combined. The following table provides information on the operations of our segments (in thousands): Tech FA Total Three Months Ended June 30, 2019 Revenue $ 265,305 $ 73,556 $ 338,861 Gross profit $ 74,172 $ 26,854 $ 101,026 Operating expenses and other expenses 79,962 Income from continuing operations, before income taxes $ 21,064 2018 Revenue $ 249,763 $ 79,772 $ 329,535 Gross profit $ 71,830 $ 28,390 $ 100,220 Operating expenses and other expenses 79,851 Income from continuing operations, before income taxes $ 20,369 Six Months Ended June 30, 2019 Revenue $ 520,948 $ 144,651 $ 665,599 Gross profit $ 142,995 $ 51,207 $ 194,202 Operating expenses and other expenses 162,348 Income from continuing operations, before income taxes $ 31,854 2018 Revenue $ 486,260 $ 160,716 $ 646,976 Gross profit $ 137,178 $ 55,551 $ 192,729 Operating expenses and other expenses 161,743 Income from continuing operations, before income taxes $ 30,986

Disaggregation of Revenue

Disaggregation of Revenue	6 Months Ended
	Jun. 30, 2019
Revenue from Contract with Customer [Abstract]
Disaggregation of Revenue	Disaggregation of Revenue The following table provides the disaggregation of revenue by segment and type (in thousands): Tech FA Total Three Months Ended June 30, 2019 Revenue by type: Flex revenue $ 259,707 $ 65,647 $ 325,354 Direct Hire revenue 5,598 7,909 13,507 Total Revenue $ 265,305 $ 73,556 $ 338,861 2018 Revenue by type: Flex revenue $ 244,509 $ 72,490 $ 316,999 Direct Hire revenue 5,254 7,282 12,536 Total Revenue $ 249,763 $ 79,772 $ 329,535 Six Months Ended June 30, 2019 Revenue by type: Flex revenue $ 509,923 $ 130,412 $ 640,335 Direct Hire revenue 11,025 14,239 25,264 Total Revenue $ 520,948 $ 144,651 $ 665,599 2018 Revenue by type: Flex revenue $ 476,005 $ 147,040 $ 623,045 Direct Hire revenue 10,255 13,676 23,931 Total Revenue $ 486,260 $ 160,716 $ 646,976

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Employment Agreements Kforce has employment agreements with certain executives that provide for minimum compensation, salary and continuation of certain benefits for a six three

Other Assets, Net

Other Assets, Net	6 Months Ended
	Jun. 30, 2019
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Other Assets, Net	Other Assets, Net Other assets, net consisted of the following (in thousands): June 30, 2019 December 31, 2018 Assets held in Rabbi Trust $ 33,703 $ 29,134 Right-of-use assets for operating leases, net 14,887 — Equity method investment 9,000 — Capitalized software, net 6,309 4,828 Deferred loan costs, net 1,032 1,182 Interest rate swap derivative instrument — 900 Other non-current assets 1,114 620 Total Other assets, net $ 66,045 $ 36,664

Current Liabilities

Current Liabilities	6 Months Ended
	Jun. 30, 2019
Payables and Accruals [Abstract]
Current Liabilities	Current Liabilities The following table provides information on certain current liabilities (in thousands): June 30, 2019 December 31, 2018 Accounts payable and other accrued liabilities: Accounts payable $ 20,515 $ 18,793 Accrued liabilities 15,340 13,749 Total Accounts payable and other accrued liabilities $ 35,855 $ 32,542 Accrued payroll costs: Payroll and benefits $ 35,052 $ 34,768 Health insurance liabilities 3,864 2,680 Payroll taxes 1,075 920 Workers’ compensation liabilities 1,017 1,016 Total Accrued payroll costs $ 41,008 $ 39,384 Our accounts payable balance includes vendor and independent contractor payables. Our accrued liabilities balance includes the current portion of the deferred compensation plans liability, contract liabilities from contracts with customers (such as rebates) and other accrued liabilities.

Other Long-Term Liabilities

Other Long-Term Liabilities	6 Months Ended
	Jun. 30, 2019
Other Liabilities Disclosure [Abstract]
Other Long-Term Liabilities	Other Long-Term Liabilities Other long-term liabilities consisted of the following (in thousands): June 30, 2019 December 31, 2018 Deferred compensation plan $ 27,857 $ 25,672 Supplemental executive retirement plan 15,466 15,035 Operating lease liabilities 10,941 — Interest rate swap derivative instrument 115 — Other long-term liabilities 1,231 2,802 Total Other long-term liabilities $ 55,610 $ 43,509

Leases

Leases	6 Months Ended
	Jun. 30, 2019
Leases [Abstract]
Leases	Leases Kforce leases property for our field offices as well as certain office equipment. We determine if a contract or arrangement meets the definition of a lease at inception. We recorded approximately $17.6 million of right-of-use (“ROU”) assets and $21.0 million of lease liabilities on our consolidated balance sheet on January 1, 2019 related to operating leases upon adoption of the new lease standard. The difference between the ROU assets and lease liabilities balances relates to the lease incentive liabilities recorded as of December 31, 2018 in accordance with the previous lease accounting guidance. We determined that no cumulative effect adjustment to retained earnings was necessary upon adoption. We elected the package of practical expedients and did not reassess our prior conclusions regarding lease identification, lease classification and initial direct costs. We did not elect the hindsight practical expedient. ROU assets for operating leases, net of amortization, are recorded within Other assets, net and operating lease liabilities are recorded within Other current liabilities if expected to be recognized in less than one year and Other long-term liabilities, if over one year, in the Unaudited Condensed Consolidated Balance Sheet. Operating lease additions are non-cash transactions and the amortization of the ROU assets is reflected as Noncash lease expense within operating activities in the Unaudited Condensed Consolidated Statement of Cash Flows. Finance leases are not significant to our operations as of and for the three and six months ended June 30, 2019. Operating Leases We elected not to separate lease and non-lease components when determining the consideration in the contract. ROU assets and lease liabilities are recognized based on the present value of the lease payments over the lease term at the commencement date. If there is no rate implicit in the lease, we use our incremental borrowing rate in the present value calculation, which is based on our collateralized borrowing rate and determined based on the terms of our leases and the economic environment in which they exist. Our weighted-average discount rate was 4.0% on June 30, 2019. Our lease agreements do not contain any material residual value guarantees or restrictive covenants. Our lease terms typically range from three five We elected the short term practical expedient for leases with an initial term of 12 months or less and did not recognize ROU assets or lease liabilities for these short term leases. In addition to base rent, certain of our operating leases require variable payments of property taxes, insurance and common area maintenance. These variable lease costs, other than those dependent upon an index or rate, are expensed when the obligation for those payments is incurred. The following table presents operating lease expense included in selling, general and administrative expenses ("SG&A") for the three and six months ended June 30, 2019 (in thousands): Three Months Ended Six Months Ended June 30, 2019 June 30, 2019 Operating lease expense $ 1,667 $ 3,435 Variable lease costs 397 779 Short term lease expense 220 400 Sublease income (107) (213) Total operating lease expense $ 2,177 $ 4,401 The following table presents the maturities of operating lease liabilities as of June 30, 2019 (in thousands): Remainder of 2019 $ 2,911 2020 6,248 2021 3,834 2022 2,127 2023 1,713 2024 846 Thereafter 459 Total maturities of operating lease liabilities 18,138 Less: interest 1,266 Total operating lease liabilities $ 16,872 The following table presents the expected future contractual operating lease obligations as of December 31, 2018 in accordance with the previous guidance (in thousands): 2019 $ 6,994 2020 6,177 2021 3,731 2022 2,142 2023 1,745 Thereafter 1,199 Total future contractual operating lease obligations $ 21,988

Employee Benefit Plans

Employee Benefit Plans	6 Months Ended
	Jun. 30, 2019
Retirement Benefits [Abstract]
Employee Benefit Plans	Employee Benefit Plans Supplemental Executive Retirement Plan Kforce maintains a Supplemental Executive Retirement Plan (“SERP”) for the benefit of certain executive officers. The primary goals of the SERP are to create an additional wealth accumulation opportunity, restore lost qualified pension benefits due to government limitations and retain our covered executive officers. The SERP is a non-qualified benefit plan and does not include elective deferrals of covered executive officers’ compensation. The following table presents the components of net periodic benefit cost (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Service cost $ 65 $ 338 $ 130 $ 676 Interest cost 151 117 302 234 Net periodic benefit cost $ 216 $ 455 $ 432 $ 910 The service cost is recorded in SG&A and the interest cost is recorded in Other expense, net in the accompanying Unaudited Condensed Consolidated Statements of Operations and Comprehensive Income. The projected benefit obligation as of June 30, 2019 and December 31, 2018 was $15.5 million and $15.0 million, respectively, and is recorded in Other long-term liabilities in the accompanying Unaudited Condensed Consolidated Balance Sheets. There is no requirement for Kforce to fund the SERP and, as a result, no contributions were made to the SERP during the six months ended June 30, 2019. Kforce does not currently anticipate funding the SERP during the year ended December 31, 2019.

Stock Incentive Plans

Stock Incentive Plans	6 Months Ended
	Jun. 30, 2019
Share-based Payment Arrangement [Abstract]
Stock Incentive Plans	Stock Incentive Plans On April 23, 2019, the Kforce shareholders approved the 2019 Stock Incentive Plan (the “2019 Plan”). The 2019 Plan allows for the issuance of stock options, stock appreciation rights, stock awards (including restricted stock awards (“RSAs”) and restricted stock units (“RSUs”)) and other stock-based awards. The aggregate number of shares of common stock that are subject to awards under the 2019 Plan is approximately 2.8 million shares. The 2019 Plan terminates on April 23, 2029. Prior to the effective date of the 2019 Plan, the Company granted stock awards to eligible participants under our 2017 Stock Incentive Plan, 2016 Stock Incentive Plan and 2013 Stock Incentive Plan (collectively the “Prior Plans”). As of the effective date of the 2019 Plan, no additional awards may be granted pursuant to the Prior Plans; however, awards outstanding as of the effective date will continue to vest in accordance with the terms of the Prior Plans. During the three and six months ended June 30, 2019, stock-based compensation expense from continuing operations was $2.4 million and $5.0 million, respectively. During the three and six months ended June 30, 2018, stock-based compensation expense from continuing operations was $2.2 million and $4.4 million, respectively. Restricted Stock Restricted stock (including RSAs and RSUs) are granted to executives and management either: for awards related to Kforce’s annual long-term incentive (“LTI”) compensation program or as part of a compensation package in order to retain directors, executives and management. The LTI award amounts are generally based on total shareholder return performance goals. Restricted stock granted during the six months ended June 30, 2019 will vest over a period of one RSAs contain the same voting rights as other common stock as well as the right to forfeitable dividends in the form of additional RSAs at the same rate as the cash dividend on common stock and containing the same vesting provisions as the underlying award. RSUs contain no voting rights, but have the right to forfeitable dividend equivalents in the form of additional RSUs at the same rate as the cash dividend on common stock and the same vesting provisions as the underlying award. The distribution of shares of common stock for each RSU, pursuant to the terms of the Kforce Inc. Director’s Restricted Stock Unit Deferral Plan, can be deferred to a date later than the vesting date if an appropriate election is made. In the event of such deferral, vested RSUs have the right to dividend equivalents. The following table presents the restricted stock activity for the six months ended June 30, 2019 (in thousands, except per share amounts): Number of Restricted Stock Weighted-Average Total Intrinsic Outstanding at December 31, 2018 1,320 $ 24.94 Granted 56 $ 34.04 Forfeited (47) $ 23.03 Vested (1) (105) $ 24.72 $ 3,521 Outstanding at June 30, 2019 1,224 $ 25.44 (1) The increase in shares vested during the six months ended June 30, 2019 was due to the acceleration of stock-based compensation expense triggered by a change in control of KGS. The weighted-average grant date fair value at December 31, 2018 has been updated in the table above to correct an immaterial reporting error in our 2018 Annual Report on Form 10-K. As of June 30, 2019, total unrecognized stock-based compensation expense related to restricted stock was $23.9 million, which will be recognized over a weighted-average remaining period of 3.7 years.

Derivative Instrument and Hedgi

Derivative Instrument and Hedging Activity	6 Months Ended
	Jun. 30, 2019
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Instrument and Hedging Activity	Derivative Instrument and Hedging Activity Kforce is exposed to interest rate risk as a result of our corporate borrowing activities. The Firm uses an interest rate swap derivative as a risk management tool to mitigate the potential impact of rising interest rates on our variable rate debt. On April 21, 2017, Kforce entered into a forward-starting interest rate swap agreement with Wells Fargo Bank, N.A. (the “Swap”). The Swap was effective on May 31, 2017 and matures on April 29, 2022. The Swap rate is 1.81%, which is added to our interest rate margin to determine the fixed rate that the Firm will pay to the counterparty during the term of the Swap based on the notional amount of the Swap. The notional amount of the Swap is $65.0 million for the first three years and decreases to $25.0 million for years four and five. The Swap has been designated as a cash flow hedge and was effective as of June 30, 2019. The change in the fair value of the Swap is recorded as a component of Accumulated other comprehensive income in the Unaudited Condensed Consolidated Balance Sheets. The following table sets forth the activity in the accumulated derivative instrument gain (loss) for the six months ended June 30, 2019 (in thousands): Accumulated derivative instrument gain, beginning of period $ 900 Net change associated with current period hedging transactions (1,015) Accumulated derivative instrument loss, end of period $ (115)

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2019
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements Kforce’s interest rate swap is measured at fair value using readily observable inputs, such as the LIBOR interest rate, which are considered to be Level 2 inputs. At June 30, 2019 and December 31, 2018, the Swap is recorded in Other long-term liabilities and Other assets, net, respectively, within the accompanying Unaudited Condensed Consolidated Balance Sheets. Refer to Note L - “Derivative Instrument and Hedging Activity” for a complete discussion of the Firm’s derivative instrument. Certain assets, in specific circumstances, are measured at fair value on a non-recurring basis utilizing Level 3 inputs such as goodwill and other long-lived assets. For these assets, measurement at fair value in periods subsequent to their initial recognition would be applicable if one or more of these assets were determined to be impaired. The following table sets forth by level, within the fair value hierarchy, estimated fair values on a recurring basis (in thousands): Assets/(Liabilities) Measured at Fair Value: Asset/(Liability) Quoted Prices in Significant Significant At June 30, 2019 Recurring basis: Interest rate swap derivative instrument $ (115) $ — $ (115) $ — At December 31, 2018 Recurring basis: Interest rate swap derivative instrument $ 900 $ — $ 900 $ — There were no transfers into or out of Level 1, 2 or 3 assets or liabilities during the six months ended June 30, 2019.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Basis of Presentation	The unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the SEC regarding interim financial reporting. Accordingly, certain information and footnotes normally required by GAAP for complete financial statements have been condensed or omitted pursuant to those rules and regulations, although Kforce believes that the disclosures made are adequate to make the information not misleading. These unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2018 Annual Report on Form 10-K. In management’s opinion, the accompanying unaudited condensed consolidated financial statements reflect all adjustments considered necessary for a fair presentation. The Unaudited Condensed Consolidated Balance Sheet as of December 31, 2018 was derived from our audited Consolidated Balance Sheet as of December 31, 2018, as presented in our 2018 Annual Report on Form 10-K.
Reclassification	Certain prior year amounts have been reclassified to conform with the current period presentation for amounts related to discontinued operations.
Principles of Consolidation	The unaudited condensed consolidated financial statements include the accounts of Kforce Inc. and its subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. References in this document to “Kforce,” the “Company,” “we,” the “Firm,” “management,” “our” or “us” refer to Kforce Inc. and its subsidiaries, except where the context indicates otherwise.
Use of Estimates	The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The most critical of these estimates and assumptions relate to the following: allowance for doubtful accounts; income taxes; self-insured liabilities for workers’ compensation and health insurance; obligations for the pension plan and goodwill and any related impairment. Although these and other estimates and assumptions are based on the best available information, actual results could be materially different from these estimates.
Cash and Cash Equivalents	All highly liquid investments with original maturity dates of three months or less at the time of purchase are classified as cash equivalents. Cash and cash equivalents are stated at cost, which approximates fair value because of the short-term nature of these instruments. Our cash equivalents are held in government money market funds and at times may exceed federally insured limits.
Equity Method Investment	In June 2019, we entered into a joint venture whereby Kforce has a 50% ownership in WorkLLama, LLC ("WorkLLama"). WorkLLama has and continues to develop the technology for a SaaS platform focused on consultant engagement and referral technologies; we believe our involvement in this joint venture will enhance our opportunities to efficiently and effectively identify and place consultants on assignment. Our non-controlling interest in WorkLLama, a variable interest entity, is accounted for as an equity method investment. Under the equity method, the carrying value is at cost and adjusted for our proportionate share of earnings or losses.Under the joint venture operating agreement for WorkLLama, Kforce is obligated to make additional future cash contributions that are contingent upon WorkLLama's achievement of certain operational and financial milestones, which are centered around the market acceptance of their technologies and success with Kforce's internal objectives.
Health Insurance	Except for certain fully insured health insurance lines of coverage, Kforce retains the risk of loss for each health insurance plan participant up to $500 thousand in claims annually. For its partially self-insured lines of coverage, health insurance costs are accrued using estimates to approximate the liability for reported claims and incurred but not reported claims, which are primarily based upon an evaluation of historical claims experience, actuarially-determined completion factors and a qualitative review of our health insurance exposure including the extent of outstanding claims and expected changes in health insurance costs.
Earnings per Share	Basic earnings per share is computed as net income divided by the weighted average number of common shares outstanding (“WASO”) during the period. WASO excludes unvested shares of restricted stock. Diluted earnings per share is computed by dividing net income by diluted WASO. Diluted WASO includes the dilutive effect of potentially dilutive securities such as unvested shares of restricted stock using the treasury stock method, except where the effect of including potential common shares would be anti-dilutive.
New Accounting Standards, Recently Adopted and Accounting Standards Not Yet Adopted	Recently Adopted Accounting Standards In August 2018, the FASB issued authoritative guidance regarding a customer's accounting for implementation costs incurred for a cloud computing arrangement that is a service contract. The amendment aligns the requirements for capitalizing these implementation costs with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software, and defer these costs over the non-cancelable term of the cloud computing arrangements plus any optional renewal periods that are reasonably certain to be exercised. This amendment also requires entities to present cash flows, capitalized costs and amortization expense in the same financial statement line items as the service costs incurred for such arrangements. The guidance is effective for fiscal periods beginning after December 15, 2019 with retrospective application or prospective to all implementation costs incurred after the date of adoption. We early adopted this standard effective January 1, 2019, using the prospective method. Our hosting arrangements that are service contracts relate to technology solutions applicable to our business. Historically, these implementation costs were recorded as capital expenditures within investing cash flows and the capitalized costs were included in Other assets, net in the consolidated balance sheets. Due to the adoption of this standard and effective January 1, 2019, these implementation costs are recorded within operating cash flows. Capitalized costs are recorded in Prepaids and other current assets if expected to be recognized within one year and Other assets, net, if over one year, in the Unaudited Condensed Consolidated Balance Sheets. As of June 30, 2019, implementation costs capitalized were $0.2 million, with no accumulated amortization or amortization expense recorded during the three and six months ended June 30, 2019. In February 2018, the FASB issued authoritative guidance regarding the reclassification of certain stranded tax effects from accumulated other comprehensive income to retained earnings as a result of the change in tax rates related to the Tax Cuts and Jobs Act. The guidance is effective for fiscal periods beginning after December 15, 2018. We elected to adopt this optional standard and reclassified approximately $168 thousand from accumulated other comprehensive income to retained earnings on January 1, 2019 using the period of adoption method. In August 2017, the FASB issued authoritative guidance targeting improvements to accounting for hedging activities, which expands and clarifies hedge accounting for nonfinancial and financial risk components, aligns the recognition and presentation of the effects of the hedging instrument and hedged item in the financial statements, and simplifies the requirements for assessing effectiveness in a hedging relationship. The guidance is effective for annual periods beginning after December 15, 2018. We adopted this standard as of January 1, 2019 using the modified retrospective approach with no cumulative adjustment required. Additionally, we adopted the presentation and disclosure requirements using the prospective method as required. Refer to Note L - “Derivative Instrument and Hedging Activity” for the additional disclosures of the Firm’s derivative instrument. In February 2016, the FASB issued authoritative guidance regarding the accounting for leases, and has since issued subsequent updates to the initial guidance. The amended guidance requires the recognition of assets and liabilities for operating leases. The guidance is effective for annual periods beginning after December 15, 2018. We adopted this standard using the optional transition method as of January 1, 2019, without retrospective application to comparative periods. Refer to Note I - "Leases" for additional accounting policy and transition disclosures related to our operating leases. Accounting Standards Not Yet Adopted In August 2018, the FASB issued authoritative guidance regarding changes to the disclosure requirement for defined benefit plans including additions and deletions to certain disclosure requirements for employers that sponsor defined benefit pension or other post-retirement plans. The guidance is effective for fiscal periods beginning after December 15, 2020 with the retrospective method required for all periods presented. The adoption of this guidance will modify our disclosures but is not expected to have a material effect on our consolidated financial statements.

Discontinued Operations (Tables

Discontinued Operations (Tables)	6 Months Ended
	Jun. 30, 2019
Discontinued Operations and Disposal Groups [Abstract]
Schedule of Pretax Profit for GS Segment	The following table summarizes the line items of pretax profit for the GS segment (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Revenue $ 1,311 $ 29,089 $ 27,737 $ 57,941 Direct costs 479 21,826 19,494 42,999 Gross profit 832 7,263 8,243 14,942 Selling, general and administrative expenses 1,424 5,534 6,842 11,329 Depreciation and amortization 58 245 307 501 (Loss) income from discontinued operations (650) 1,484 1,094 3,112 Gain on sale of discontinued operations 80,004 — 80,004 — Other income (expense), net 428 (11) (436) (8) Income from discontinued operations, before income taxes 79,782 1,473 80,662 3,104 Income tax expense 20,999 374 2,998 787 Income from discontinued operations, net of tax $ 58,783 $ 1,099 $ 77,664 $ 2,317
Summary of Assets and Liabilities Held For Sale for GS	The following table summarizes the assets and liabilities held for sale for the GS segment as of December 31, 2018 (in thousands): ASSETS December 31, 2018 Current assets held for sale: Trade receivables $ 24,336 Prepaid expenses and other current assets 5,437 Total Current assets held for sale $ 29,773 Noncurrent assets held for sale: Fixed assets, net $ 1,496 Other assets, net 293 Deferred tax assets, net 2,604 Intangible assets 2,952 Goodwill 20,928 Total Noncurrent assets held for sale $ 28,273 LIABILITIES Current liabilities held for sale: Accounts payable and other accrued liabilities $ 6,064 Accrued payroll costs 5,878 Other current liabilities 16 Income taxes payable 305 Total Current liabilities held for sale $ 12,263 Noncurrent liabilities held for sale: Other long-term liabilities $ 4,551 Total Noncurrent liabilities held for sale $ 4,551

Reportable Segments (Tables)

Reportable Segments (Tables)	6 Months Ended
	Jun. 30, 2019
Segment Reporting [Abstract]
Operations of Segments	The following table provides information on the operations of our segments (in thousands): Tech FA Total Three Months Ended June 30, 2019 Revenue $ 265,305 $ 73,556 $ 338,861 Gross profit $ 74,172 $ 26,854 $ 101,026 Operating expenses and other expenses 79,962 Income from continuing operations, before income taxes $ 21,064 2018 Revenue $ 249,763 $ 79,772 $ 329,535 Gross profit $ 71,830 $ 28,390 $ 100,220 Operating expenses and other expenses 79,851 Income from continuing operations, before income taxes $ 20,369 Six Months Ended June 30, 2019 Revenue $ 520,948 $ 144,651 $ 665,599 Gross profit $ 142,995 $ 51,207 $ 194,202 Operating expenses and other expenses 162,348 Income from continuing operations, before income taxes $ 31,854 2018 Revenue $ 486,260 $ 160,716 $ 646,976 Gross profit $ 137,178 $ 55,551 $ 192,729 Operating expenses and other expenses 161,743 Income from continuing operations, before income taxes $ 30,986

Disaggregation of Revenue (Tabl

Disaggregation of Revenue (Tables)	6 Months Ended
	Jun. 30, 2019
Revenue from Contract with Customer [Abstract]
Disaggregation of Revenues	The following table provides the disaggregation of revenue by segment and type (in thousands): Tech FA Total Three Months Ended June 30, 2019 Revenue by type: Flex revenue $ 259,707 $ 65,647 $ 325,354 Direct Hire revenue 5,598 7,909 13,507 Total Revenue $ 265,305 $ 73,556 $ 338,861 2018 Revenue by type: Flex revenue $ 244,509 $ 72,490 $ 316,999 Direct Hire revenue 5,254 7,282 12,536 Total Revenue $ 249,763 $ 79,772 $ 329,535 Six Months Ended June 30, 2019 Revenue by type: Flex revenue $ 509,923 $ 130,412 $ 640,335 Direct Hire revenue 11,025 14,239 25,264 Total Revenue $ 520,948 $ 144,651 $ 665,599 2018 Revenue by type: Flex revenue $ 476,005 $ 147,040 $ 623,045 Direct Hire revenue 10,255 13,676 23,931 Total Revenue $ 486,260 $ 160,716 $ 646,976

Other Assets, Net (Tables)

Other Assets, Net (Tables)	6 Months Ended
	Jun. 30, 2019
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Schedule of Other Assets, Net	Other assets, net consisted of the following (in thousands): June 30, 2019 December 31, 2018 Assets held in Rabbi Trust $ 33,703 $ 29,134 Right-of-use assets for operating leases, net 14,887 — Equity method investment 9,000 — Capitalized software, net 6,309 4,828 Deferred loan costs, net 1,032 1,182 Interest rate swap derivative instrument — 900 Other non-current assets 1,114 620 Total Other assets, net $ 66,045 $ 36,664

Current Liabilities (Tables)

Current Liabilities (Tables)	6 Months Ended
	Jun. 30, 2019
Payables and Accruals [Abstract]
Schedule of Accounts Payable and Accrued Liabilities	The following table provides information on certain current liabilities (in thousands): June 30, 2019 December 31, 2018 Accounts payable and other accrued liabilities: Accounts payable $ 20,515 $ 18,793 Accrued liabilities 15,340 13,749 Total Accounts payable and other accrued liabilities $ 35,855 $ 32,542 Accrued payroll costs: Payroll and benefits $ 35,052 $ 34,768 Health insurance liabilities 3,864 2,680 Payroll taxes 1,075 920 Workers’ compensation liabilities 1,017 1,016 Total Accrued payroll costs $ 41,008 $ 39,384

Other Long-Term Liabilities (Ta

Other Long-Term Liabilities (Tables)	6 Months Ended
	Jun. 30, 2019
Other Liabilities Disclosure [Abstract]
Schedule of Other Long-Term Liabilities	Other long-term liabilities consisted of the following (in thousands): June 30, 2019 December 31, 2018 Deferred compensation plan $ 27,857 $ 25,672 Supplemental executive retirement plan 15,466 15,035 Operating lease liabilities 10,941 — Interest rate swap derivative instrument 115 — Other long-term liabilities 1,231 2,802 Total Other long-term liabilities $ 55,610 $ 43,509

Leases (Tables)

Leases (Tables)	6 Months Ended
	Jun. 30, 2019
Leases [Abstract]
Schedule of Lease Expense	The following table presents operating lease expense included in selling, general and administrative expenses ("SG&A") for the three and six months ended June 30, 2019 (in thousands): Three Months Ended Six Months Ended June 30, 2019 June 30, 2019 Operating lease expense $ 1,667 $ 3,435 Variable lease costs 397 779 Short term lease expense 220 400 Sublease income (107) (213) Total operating lease expense $ 2,177 $ 4,401
Schedule of Future Minimum Lease Payments	The following table presents the maturities of operating lease liabilities as of June 30, 2019 (in thousands): Remainder of 2019 $ 2,911 2020 6,248 2021 3,834 2022 2,127 2023 1,713 2024 846 Thereafter 459 Total maturities of operating lease liabilities 18,138 Less: interest 1,266 Total operating lease liabilities $ 16,872
Schedule of Expected Future Contractual Operating Lease Obligations	The following table presents the expected future contractual operating lease obligations as of December 31, 2018 in accordance with the previous guidance (in thousands): 2019 $ 6,994 2020 6,177 2021 3,731 2022 2,142 2023 1,745 Thereafter 1,199 Total future contractual operating lease obligations $ 21,988

Employee Benefit Plans (Tables)

Employee Benefit Plans (Tables)	6 Months Ended
	Jun. 30, 2019
Retirement Benefits [Abstract]
Components of Net Periodic Benefit Cost	The following table presents the components of net periodic benefit cost (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Service cost $ 65 $ 338 $ 130 $ 676 Interest cost 151 117 302 234 Net periodic benefit cost $ 216 $ 455 $ 432 $ 910

Stock Incentive Plans (Tables)

Stock Incentive Plans (Tables)	6 Months Ended
	Jun. 30, 2019
Share-based Payment Arrangement [Abstract]
Summary of Restricted Stock Activity	The following table presents the restricted stock activity for the six months ended June 30, 2019 (in thousands, except per share amounts): Number of Restricted Stock Weighted-Average Total Intrinsic Outstanding at December 31, 2018 1,320 $ 24.94 Granted 56 $ 34.04 Forfeited (47) $ 23.03 Vested (1) (105) $ 24.72 $ 3,521 Outstanding at June 30, 2019 1,224 $ 25.44 (1) The increase in shares vested during the six months ended June 30, 2019 was due to the acceleration of stock-based compensation expense triggered by a change in control of KGS.

Derivative Instrument and Hed_2

Derivative Instrument and Hedging Activity (Tables)	6 Months Ended
	Jun. 30, 2019
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Activity in the Accumulated Derivative Instrument Gain	The following table sets forth the activity in the accumulated derivative instrument gain (loss) for the six months ended June 30, 2019 (in thousands): Accumulated derivative instrument gain, beginning of period $ 900 Net change associated with current period hedging transactions (1,015) Accumulated derivative instrument loss, end of period $ (115)

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2019
Fair Value Disclosures [Abstract]
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis	The following table sets forth by level, within the fair value hierarchy, estimated fair values on a recurring basis (in thousands): Assets/(Liabilities) Measured at Fair Value: Asset/(Liability) Quoted Prices in Significant Significant At June 30, 2019 Recurring basis: Interest rate swap derivative instrument $ (115) $ — $ (115) $ — At December 31, 2018 Recurring basis: Interest rate swap derivative instrument $ 900 $ — $ 900 $ —

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Details) - USD ($) shares in Thousands	Jan. 01, 2019	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
Equity Method Investment
Equity method investment		$ 9,000,000			$ 9,000,000		$ 0
Initial cash contribution					7,500,000	$ 0
Health Insurance
Risk of loss for each health insurance plan participant					$ 500,000
Earnings per Share
Common stock equivalents (in shares)		557		473	538	398
Anti-dilutive common stock equivalents (in shares)		0		0	0	0
Accounting Standards Update 2018-15
New Accounting Standards
Implementation costs capitalized		$ 200,000			$ 200,000
Accumulated amortization		0			0
Amortization expense		$ 0			$ 0
Accounting Standards Update 2018-02
New Accounting Standards
Reclassification of stranded tax effects	$ 168,000		$ 0
WorkLLama
Equity Method Investment
Percent ownership of equity method investment		50.00%			50.00%
Contingent payments liability		$ 1,500,000			$ 1,500,000
Contingent payments liability, maximum		15,000,000			15,000,000
Equity method investment		$ 9,000,000			9,000,000
Initial cash contribution					$ 7,500,000

Discontinued Operations - Narra

Discontinued Operations - Narrative (Details) - USD ($) $ in Thousands	Jun. 07, 2019	Apr. 01, 2019	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Gain on sale of discontinued operations						$ 80,004	$ 0
Deferred tax assets, net			$ 6,238			6,238		$ 7,147
Cash provided by (used in) operating activities for discontinued operations						5,100	(2,700)
Cash provided by (used in) investing activities for discontinued operations						118,900	(800)
Discontinued Operations, Disposed of by Sale | Kforce Government Solutions, Inc.("KGS")
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Total cash purchase price		$ 115,000
Gain on sale of discontinued operations		72,300
Transaction costs		$ 9,600
Deferred tax assets, net				$ 18,500
Tax expense (benefit)			18,500	$ (18,500)
Discontinued Operations, Disposed of by Sale | TraumaFX
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Total cash purchase price	$ 18,400
Gain on sale of discontinued operations	7,700
Transaction costs	$ 2,200
Contingent consideration paid			600
Discontinued Operations, Disposed of by Sale | GS segment
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Gain on sale of discontinued operations			80,004		$ 0	80,004	0
Tax expense (benefit)			$ 20,999		$ 374	$ 2,998	$ 787

Discontinued Operations - Summa

Discontinued Operations - Summary of Pretax Profit (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Gain on sale of discontinued operations			$ 80,004	$ 0
Income from discontinued operations, net of tax	$ 58,783	$ 1,099	77,664	2,317
Discontinued Operations, Disposed of by Sale | GS segment
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Revenue	1,311	29,089	27,737	57,941
Direct costs	479	21,826	19,494	42,999
Gross profit	832	7,263	8,243	14,942
Selling, general and administrative expenses	1,424	5,534	6,842	11,329
Depreciation and amortization	58	245	307	501
(Loss) income from discontinued operations	(650)	1,484	1,094	3,112
Gain on sale of discontinued operations	80,004	0	80,004	0
Other income (expense), net	428	(11)	(436)	(8)
Income from discontinued operations, before income taxes	79,782	1,473	80,662	3,104
Tax expense (benefit)	20,999	374	2,998	787
Income from discontinued operations, net of tax	$ 58,783	$ 1,099	$ 77,664	$ 2,317

Discontinued Operations - Sched

Discontinued Operations - Schedule of Assets and Liabilities Held For Sale (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Current assets held for sale:
Total Current assets held for sale	$ 0	$ 29,773
Noncurrent assets held for sale:
Total Noncurrent assets held for sale	0	28,273
Current liabilities held for sale:
Total Current liabilities held for sale	0	12,263
Noncurrent liabilities held for sale:
Total Noncurrent liabilities held for sale	$ 0	4,551
Discontinued Operations, Held-for-sale | GS segment
Current assets held for sale:
Trade receivables		24,336
Prepaid expenses and other current assets		5,437
Total Current assets held for sale		29,773
Noncurrent assets held for sale:
Fixed assets, net		1,496
Other assets, net		293
Deferred tax assets, net		2,604
Intangible assets		2,952
Goodwill		20,928
Total Noncurrent assets held for sale		28,273
Current liabilities held for sale:
Accounts payable and other accrued liabilities		6,064
Accrued payroll costs		5,878
Other current liabilities		16
Income taxes payable		305
Total Current liabilities held for sale		12,263
Noncurrent liabilities held for sale:
Other long-term liabilities		4,551
Total Noncurrent liabilities held for sale		$ 4,551

Reportable Segments - Schedule

Reportable Segments - Schedule (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Segment Reporting Information [Line Items]
Revenue	$ 338,861	$ 329,535	$ 665,599	$ 646,976
Gross profit	101,026	100,220	194,202	192,729
Operating expenses and other expenses	79,962	79,851	162,348	161,743
Income from continuing operations, before income taxes	21,064	20,369	31,854	30,986
Tech
Segment Reporting Information [Line Items]
Revenue	265,305	249,763	520,948	486,260
Gross profit	74,172	71,830	142,995	137,178
FA
Segment Reporting Information [Line Items]
Revenue	73,556	79,772	144,651	160,716
Gross profit	$ 26,854	$ 28,390	$ 51,207	$ 55,551

Disaggregation of Revenue - Sch

Disaggregation of Revenue - Schedule of Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Disaggregation of Revenue [Line Items]
Total Revenue	$ 338,861	$ 329,535	$ 665,599	$ 646,976
Flex revenue
Disaggregation of Revenue [Line Items]
Total Revenue	325,354	316,999	640,335	623,045
Direct Hire revenue
Disaggregation of Revenue [Line Items]
Total Revenue	13,507	12,536	25,264	23,931
Tech
Disaggregation of Revenue [Line Items]
Total Revenue	265,305	249,763	520,948	486,260
Tech | Flex revenue
Disaggregation of Revenue [Line Items]
Total Revenue	259,707	244,509	509,923	476,005
Tech | Direct Hire revenue
Disaggregation of Revenue [Line Items]
Total Revenue	5,598	5,254	11,025	10,255
FA
Disaggregation of Revenue [Line Items]
Total Revenue	73,556	79,772	144,651	160,716
FA | Flex revenue
Disaggregation of Revenue [Line Items]
Total Revenue	65,647	72,490	130,412	147,040
FA | Direct Hire revenue
Disaggregation of Revenue [Line Items]
Total Revenue	$ 7,909	$ 7,282	$ 14,239	$ 13,676

Commitments and Contingencies (

Commitments and Contingencies (Details) $ in Millions	6 Months Ended
	Jun. 30, 2019USD ($)
Other Commitments [Line Items]
Unemployment benefits, possible liability with a change in control	$ 32.4
Unemployment benefits, possible liability without a change in control	$ 14.8
Minimum
Other Commitments [Line Items]
Period for providing minimum compensation salary and continuation of certain benefits to executives under employment agreements	6 months
Severance payment as a percentage of annual salary	100.00%
Severance payment as a percentage of annual bonus	50.00%
Maximum
Other Commitments [Line Items]
Period for providing minimum compensation salary and continuation of certain benefits to executives under employment agreements	3 years
Severance payment as a percentage of annual salary	300.00%
Severance payment as a percentage of annual bonus	300.00%

Other Assets, Net (Details)

Other Assets, Net (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Assets held in Rabbi Trust	$ 33,703	$ 29,134
Right-of-use assets for operating leases, net	14,887
Equity method investment	9,000	0
Capitalized software, net	6,309	4,828
Deferred loan costs, net	1,032	1,182
Interest rate swap derivative instrument	0	900
Other non-current assets	1,114	620
Total Other assets, net	$ 66,045	$ 36,664

Current Liabilities (Details)

Current Liabilities (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Accounts payable and other accrued liabilities:
Accounts payable	$ 20,515	$ 18,793
Accrued liabilities	15,340	13,749
Total Accounts payable and other accrued liabilities	35,855	32,542
Accrued payroll costs:
Payroll and benefits	35,052	34,768
Health insurance liabilities	3,864	2,680
Payroll taxes	1,075	920
Workers’ compensation liabilities	1,017	1,016
Total Accrued payroll costs	$ 41,008	$ 39,384

Other Long-Term Liabilities (De

Other Long-Term Liabilities (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Other Liabilities Disclosure [Abstract]
Deferred compensation plan	$ 27,857	$ 25,672
Supplemental executive retirement plan	15,466	15,035
Operating lease liabilities	10,941	0
Interest rate swap derivative instrument	115	0
Other long-term liabilities	1,231	2,802
Total Other long-term liabilities	$ 55,610	$ 43,509

Leases - Narrative (Details)

Leases - Narrative (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Jan. 01, 2019
Lessee, Lease, Description [Line Items]
Right-of-use assets	$ 14,887
Lease liabilities	$ 16,872
Weighted-average discount rate	4.00%
Weighted-average remaining lease term	3 years 6 months
Accounting Standards Update 2016-02
Lessee, Lease, Description [Line Items]
Right-of-use assets		$ 17,600
Lease liabilities		$ 21,000
Minimum
Lessee, Lease, Description [Line Items]
Lease terms	3 years
Maximum
Lessee, Lease, Description [Line Items]
Lease terms	5 years

Leases - Schedule of Lease Expe

Leases - Schedule of Lease Expenses (Details) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2019
Leases [Abstract]
Operating lease expense	$ 1,667	$ 3,435
Variable lease costs	397	779
Short term lease expense	220	400
Sublease income	(107)	(213)
Total operating lease expense	$ 2,177	$ 4,401

Leases - Schedule of Future Min

Leases - Schedule of Future Minimum Lease Payments (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Operating Lease Liabilities, Payments Due [Abstract]
Remainder of 2019	$ 2,911
2020	6,248
2021	3,834
2022	2,127
2023	1,713
2024	846
Thereafter	459
Total maturities of operating lease liabilities	18,138
Less: interest	1,266
Total operating lease liabilities	$ 16,872
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract]
2019		$ 6,994
2020		6,177
2021		3,731
2022		2,142
2023		1,745
Thereafter		1,199
Total future contractual operating lease obligations		$ 21,988

Employee Benefit Plans - Additi

Employee Benefit Plans - Additional Information (Details) - USD ($)	6 Months Ended
	Jun. 30, 2019	Dec. 31, 2018
Retirement Benefits [Abstract]
Supplemental executive retirement plan	$ 15,466,000	$ 15,035,000
Employer contributions to benefit plans	0
Expected funding of the SERP in the current year	$ 0

Employee Benefit Plans - Compon

Employee Benefit Plans - Components of Net Periodic Benefit Cost (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Retirement Benefits [Abstract]
Service cost	$ 65	$ 338	$ 130	$ 676
Interest cost	151	117	302	234
Net periodic benefit cost	$ 216	$ 455	$ 432	$ 910

Stock Incentive Plans - Additio

Stock Incentive Plans - Additional Information (Details) - USD ($) shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Apr. 23, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense	$ 2.4	$ 2.2	$ 5	$ 4.4
Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total unrecognized compensation expenses	$ 23.9		$ 23.9
Weighted average period expected to be recognized			3 years 8 months 12 days
Two Thousand Nineteen Stock Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares available for grant (in shares)					2.8
Minimum | Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock granted, vesting period			1 year
Maximum | Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock granted, vesting period			10 years

Stock Incentive Plans - Summary

Stock Incentive Plans - Summary of Restricted Stock Activity (Details) - Restricted Stock $ / shares in Units, shares in Thousands, $ in Thousands	6 Months Ended
	Jun. 30, 2019USD ($)$ / sharesshares
Number of Restricted Stock
Outstanding, at beginning of period (in shares) | shares	1,320
Granted (in shares) | shares	56
Forfeited (in shares) | shares	(47)
Vested (in shares) | shares	(105)
Outstanding, at end of period (in shares) | shares	1,224
Weighted Average Grant Date Fair Value
Outstanding, as of beginning of period (in dollars per share) | $ / shares	$ 24.94
Granted (in dollars per share) | $ / shares	34.04
Forfeited (in dollars per share) | $ / shares	23.03
Vested (in dollars per share) | $ / shares	24.72
Outstanding, as of end of period (in dollars per share) | $ / shares	$ 25.44
Total Intrinsic Value of Restricted Stock Vested
Vested | $	$ 3,521

Derivative Instrument and Hed_3

Derivative Instrument and Hedging Activity - Narrative (Details) - Designated as Hedging Instrument - Interest Rate Swap - USD ($)	May 31, 2021	May 31, 2020	May 31, 2019	May 31, 2018	May 31, 2017
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Derivative rate					1.81%
Derivative, notional amount			$ 65,000,000	$ 65,000,000	$ 65,000,000
Scenario, Forecast
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Derivative, notional amount	$ 25,000,000	$ 25,000,000

Derivative Instrument and Hed_4

Derivative Instrument and Hedging Activity - Accumulated Derivative Instrument Gain (Loss) Activity (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2019USD ($)
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Balance at beginning of period	$ 168,331
Balance at end of period	214,856
Accumulated Derivative Instrument Gain
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Balance at beginning of period	900
Net change associated with current period hedging transactions	(1,015)
Balance at end of period	$ (115)

Fair Value Measurements - Sched

Fair Value Measurements - Schedule of Estimated Fair Values (Details) - Recurring Basis - Interest Rate Swap - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swap derivative instrument	$ (115)
Interest rate swap derivative instrument		$ 900
Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swap derivative instrument	0
Interest rate swap derivative instrument		0
Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swap derivative instrument	(115)
Interest rate swap derivative instrument		900
Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swap derivative instrument	$ 0
Interest rate swap derivative instrument		$ 0

Uncategorized Items - kfrc-2019

Label	Element	Value
Accounting Standards Update 2014-09 [Member]
Cumulative Effect of New Accounting Principle in Period of Adoption	us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption	$ (179,000)
Accounting Standards Update 2014-09 [Member] | Retained Earnings [Member]
Cumulative Effect of New Accounting Principle in Period of Adoption	us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption	$ (179,000)