Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended | |
Jun. 30, 2014 | Aug. 01, 2014 | |
Document And Entity Information [Abstract] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Jun-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q2 | ' |
Entity Registrant Name | 'KFORCE INC | ' |
Entity Central Index Key | '0000930420 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 32,742,775 |
UNAUDITED_CONDENSED_CONSOLIDAT
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Income Statement [Abstract] | ' | ' | ' | ' |
Net service revenues | $327,417 | $283,689 | $632,729 | $549,316 |
Direct costs of services | 224,222 | 190,842 | 438,435 | 373,133 |
Gross profit | 103,195 | 92,847 | 194,294 | 176,183 |
Selling, general and administrative expenses | 82,625 | 78,503 | 160,835 | 154,196 |
Depreciation and amortization | 2,400 | 2,462 | 4,763 | 4,859 |
Income from operations | 18,170 | 11,882 | 28,696 | 17,128 |
Other expense, net | 508 | 205 | 873 | 461 |
Income before income taxes | 17,662 | 11,677 | 27,823 | 16,667 |
Income tax expense | 6,959 | 4,729 | 10,871 | 6,625 |
Net income | 10,703 | 6,948 | 16,952 | 10,042 |
Other comprehensive income: | ' | ' | ' | ' |
Defined benefit pension and postretirement plans, net of tax | 2 | 34 | -33 | 68 |
Comprehensive income | $10,705 | $6,982 | $16,919 | $10,110 |
Earnings per share - basic | $0.33 | $0.21 | $0.52 | $0.29 |
Earnings per share - diluted | $0.33 | $0.21 | $0.51 | $0.29 |
Weighted average shares outstanding - basic | 32,481 | 33,754 | 32,729 | 34,073 |
Weighted average shares outstanding - diluted | 32,710 | 33,859 | 32,944 | 34,172 |
UNAUDITED_CONDENSED_CONSOLIDAT1
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current Assets: | ' | ' |
Cash and cash equivalents | $1,296 | $875 |
Trade receivables, net of allowances of $2,271 and $2,028, respectively | 200,955 | 179,095 |
Income tax refund receivable | 4,530 | 7,720 |
Deferred tax assets, net | 4,710 | 4,662 |
Prepaid expenses and other current assets | 12,243 | 10,534 |
Total current assets | 223,734 | 202,886 |
Fixed assets, net | 36,064 | 36,728 |
Other assets, net | 31,229 | 30,991 |
Deferred tax assets, net | 21,492 | 23,270 |
Intangible assets, net | 4,676 | 4,993 |
Goodwill | 48,900 | 48,900 |
Total assets | 366,095 | 347,768 |
Current Liabilities: | ' | ' |
Accounts payable and other accrued liabilities | 33,449 | 31,821 |
Accrued payroll costs | 59,685 | 56,872 |
Other current liabilities | 1,049 | 1,141 |
Income taxes payable | 2,354 | 139 |
Total current liabilities | 96,537 | 89,973 |
Long-term debt - credit facility | 81,747 | 62,642 |
Long-term debt - other | 870 | 1,364 |
Other long-term liabilities | 38,629 | 36,556 |
Total liabilities | 217,783 | 190,535 |
Commitments and contingencies (see Note B) | ' | ' |
Stockholders' Equity: | ' | ' |
Preferred stock, $0.01 par; 15,000 shares authorized, none issued and outstanding | 0 | ' |
Common stock, $0.01 par; 250,000 shares authorized, 69,752 and 69,480 issued, respectively | 698 | 695 |
Additional paid-in capital | 407,289 | 404,600 |
Accumulated other comprehensive income | 284 | 317 |
Retained earnings | 57,857 | 47,612 |
Treasury stock, at cost; 36,750 and 35,751 shares, respectively | -317,816 | -295,991 |
Total stockholders' equity | 148,312 | 157,233 |
Total liabilities and stockholders' equity | $366,095 | $347,768 |
UNAUDITED_CONDENSED_CONSOLIDAT2
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, except Per Share data, unless otherwise specified | ||
Statement Of Financial Position [Abstract] | ' | ' |
Trade receivables, allowances | $2,271 | $2,028 |
Preferred stock, par value | $0.01 | $0.01 |
Preferred stock, shares authorized | 15,000 | 15,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 250,000 | 250,000 |
Common stock, shares issued | 69,752 | 69,480 |
Treasury stock, shares | 36,750 | 35,751 |
UNAUDITED_CONDENSED_CONSOLIDAT3
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS EQUITY (USD $) | Total | Common stock [Member] | Additional paid-in capital [Member] | Accumulated other comprehensive income [Member] | Retained earnings [Member] | Treasury stock [Member] |
In Thousands | ||||||
Balance at beginning of period at Dec. 31, 2013 | $157,233 | $695 | $404,600 | $317 | $47,612 | ($295,991) |
Shares at beginning of period at Dec. 31, 2013 | ' | 69,480 | ' | ' | ' | 35,751 |
Issuance of restricted stock, net of forfeitures, shares | ' | 212 | ' | ' | ' | ' |
Repurchases of common stock, shares | ' | ' | ' | ' | ' | 1,018 |
Exercise of stock options, shares | 60 | 60 | ' | ' | ' | ' |
Employee stock purchase plan, shares | ' | ' | ' | ' | ' | -19 |
Issuance of restricted stock, net of forfeitures | ' | 2 | 186 | ' | ' | ' |
Repurchases of common stock | ' | ' | ' | ' | ' | -21,984 |
Net income | 16,952 | ' | ' | ' | 16,952 | ' |
Pension and postretirement plans, net of tax of $22 | -33 | ' | ' | -33 | ' | ' |
Exercise of stock options | ' | 1 | 701 | ' | ' | ' |
Dividends ($0.20 per share) | ' | ' | ' | ' | -6,707 | ' |
Income tax benefit from stock-based compensation | ' | ' | 187 | ' | ' | ' |
Stock-based compensation expense | ' | ' | 1,404 | ' | ' | ' |
Employee stock purchase plan | 370 | ' | 211 | ' | ' | 159 |
Balance at end of period at Jun. 30, 2014 | $148,312 | $698 | $407,289 | $284 | $57,857 | ($317,816) |
Shares at end of period at Jun. 30, 2014 | ' | 69,752 | ' | ' | ' | 36,750 |
UNAUDITED_CONDENSED_CONSOLIDAT4
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS EQUITY (Parenthetical) (USD $) | 6 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 |
Dividends | $0.20 |
Accumulated other comprehensive income [Member] | ' |
Pension and postretirement plans, tax | $22 |
Retained earnings [Member] | ' |
Dividends | $0.20 |
UNAUDITED_CONDENSED_CONSOLIDAT5
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Cash flows from operating activities: | ' | ' |
Net income | $16,952 | $10,042 |
Adjustments to reconcile net income to cash provided by (used in) operating activities: | ' | ' |
Deferred income tax provision, net | 1,752 | 2,321 |
Provision for bad debts on accounts receivable | 921 | 535 |
Depreciation and amortization | 4,763 | 4,859 |
Stock-based compensation | 1,404 | 601 |
Pension and postretirement benefit plans expense | 932 | 1,878 |
Tax benefit attributable to stock-based compensation | 187 | 48 |
Excess tax benefit attributable to stock-based compensation | -33 | -25 |
Deferred compensation liability increase, net | 968 | 1,445 |
Gain on cash surrender value of Company-owned life insurance | -918 | -1,482 |
Gain from Company-owned life insurance proceeds | -849 | ' |
Other | -135 | 82 |
(Increase) decrease in operating assets: | ' | ' |
Trade receivables, net | -22,781 | -13,678 |
Income tax refund receivable | 3,190 | -3,447 |
Prepaid expenses and other current assets | -1,709 | -3,781 |
Other assets, net | 77 | 86 |
Increase (decrease) in operating liabilities: | ' | ' |
Accounts payable and other current liabilities | 1,948 | -2,718 |
Accrued payroll costs | 3,184 | 2,807 |
Income taxes payable | 2,215 | -870 |
Other long-term liabilities | 71 | 51 |
Cash provided by (used in) operating activities | 12,139 | -1,246 |
Cash flows from investing activities: | ' | ' |
Capital expenditures | -3,099 | -4,215 |
Proceeds from the disposition of assets held within the Rabbi Trust | 1,373 | 1,596 |
Purchase of assets held within the Rabbi Trust | -1,400 | -1,864 |
Proceeds from Company-owned life insurance | 1,037 | ' |
Cash used in investing activities | -2,089 | -4,483 |
Cash flows from financing activities: | ' | ' |
Proceeds from bank line of credit | 315,569 | 282,485 |
Payments on bank line of credit | -296,429 | -253,372 |
Payments of capital expenditure financing | -646 | -783 |
Short-term vendor financing | -320 | 39 |
Proceeds from exercise of stock options | 702 | 237 |
Excess tax benefit attributable to stock-based compensation | 33 | 25 |
Payment of loan financing fees | -35 | ' |
Repurchases of common stock | -21,984 | -23,219 |
Cash dividend | -6,519 | ' |
Cash (used in) provided by financing activities | -9,629 | 5,412 |
Change in cash and cash equivalents | 421 | -317 |
Cash and cash equivalents at beginning of year | 875 | 1,381 |
Cash and cash equivalents at end of year | $1,296 | $1,064 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
Summary of Significant Accounting Policies | ' | ||||||||||||||||
Note A – 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 2013 Annual Report on Form 10-K. | |||||||||||||||||
Organization and Nature of Operations | |||||||||||||||||
Kforce Inc. and subsidiaries (collectively, “Kforce”) provide professional staffing services and solutions to customers in the following segments: Technology (“Tech”), Finance and Accounting (“FA”), Health Information Management (“HIM”) and Government Solutions (“GS”). Kforce provides flexible staffing services and solutions on both a temporary and full-time basis. Kforce operates through its corporate headquarters in Tampa, Florida and 62 field offices located throughout the United States (the “U.S.”). Additionally, one of our subsidiaries, Kforce Global Solutions, Inc. (“Global”), provides information technology outsourcing services internationally through an office in Manila, Philippines. Our international operations constituted approximately 2% of net service revenues for both the three and six months ended June 30, 2014 and 2013 and are included in our Tech segment. | |||||||||||||||||
Kforce serves clients from the Fortune 1000, the Federal Government, state and local governments, local and regional companies and small to mid-sized companies. | |||||||||||||||||
Basis of Presentation | |||||||||||||||||
The Unaudited Condensed Consolidated Financial Statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”) regarding interim financial reporting. Accordingly, certain information and footnotes normally required by accounting principles generally accepted in the United States of America (“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 2013 Annual Report on Form 10-K. In management’s opinion, the accompanying Unaudited Condensed Consolidated Financial Statements reflect all adjustments (consisting of only normal recurring adjustments) considered necessary for a fair presentation of our financial condition as of June 30, 2014, our results of operations for the three and six months ended June 30, 2014 and our cash flows for the six months ended June 30, 2014. The Unaudited Condensed Consolidated Balance Sheet as of December 31, 2013 was derived from our audited consolidated balance sheet as of December 31, 2013, as presented in our 2013 Annual Report on Form 10-K. | |||||||||||||||||
Our quarterly operating results are affected by the number of billing days in a quarter and the seasonality of our customers’ businesses. In addition, we experience an increase in direct costs of services and a corresponding decrease in gross profit in the first fiscal quarter of each year as a result of certain U.S. state and federal employment tax resets. Thus, the results of operations for any interim period 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 wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. References in this document to “Kforce,” “the Company,” “we,” “the Firm,” “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 important of these estimates and assumptions relate to the following: accounting for goodwill and identifiable intangible assets and any related impairment; stock-based compensation; obligations for pension and postretirement benefit plans; expected annual commission rates; self-insured liabilities for workers’ compensation and health insurance; allowance for doubtful accounts, fallouts and other accounts receivable reserves and accounting for income taxes. Although these and other estimates and assumptions are based on the best available information, actual results could be materially different from these estimates. | |||||||||||||||||
Earnings per Share | |||||||||||||||||
Basic earnings per share is computed as earnings divided by the weighted average number of common shares outstanding during the period. Basic weighted average shares outstanding excludes unvested shares of restricted stock. Diluted earnings per common share is computed by dividing the earnings attributable to common shareholders for the period by the weighted average number of common shares outstanding during the period plus the dilutive effect of stock options and other 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. | |||||||||||||||||
The following table sets forth the computation of basic and diluted earnings per share for the three and six months ended June 30 (in thousands, except per share amounts): | |||||||||||||||||
Three Months | Six Months | ||||||||||||||||
Ended June 30, | Ended June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Numerator: | |||||||||||||||||
Net income | $ | 10,703 | $ | 6,948 | $ | 16,952 | $ | 10,042 | |||||||||
Denominator: | |||||||||||||||||
Weighted average shares outstanding – basic | 32,481 | 33,754 | 32,729 | 34,073 | |||||||||||||
Common stock equivalents | 229 | 105 | 215 | 99 | |||||||||||||
Weighted average shares outstanding – diluted | 32,710 | 33,859 | 32,944 | 34,172 | |||||||||||||
Earnings per share – basic | $ | 0.33 | $ | 0.21 | $ | 0.52 | $ | 0.29 | |||||||||
Earnings per share – diluted | $ | 0.33 | $ | 0.21 | $ | 0.51 | $ | 0.29 | |||||||||
For both the three and six months ended June 30, 2014 and 2013, there were no shares of common stock excluded from the computation of dilutive earnings per share because their inclusion would have had an anti-dilutive effect on earnings per share. | |||||||||||||||||
Dividends | |||||||||||||||||
Kforce’s Board may, at its discretion, declare and pay dividends on the outstanding shares of Kforce’s common stock out of retained earnings, subject to statutory requirements. Dividends for any outstanding and unvested restricted stock as of the record date are awarded in the form of additional shares of restricted stock, at the same rate as the cash dividend on common stock and based on the closing stock price, and have the same vesting terms as the outstanding and unvested restricted stock. The following summarizes the cash dividends declared for the three and six months ended June 30: | |||||||||||||||||
Three Months | Six Months | ||||||||||||||||
Ended June 30, | Ended June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Dividends declared per share | $ | 0.10 | $ | — | $ | 0.2 | $ | — | |||||||||
Kforce currently expects to continue to declare and pay quarterly dividends of an amount similar to its first and second quarter 2014 dividends of $0.10 per share. However, the declaration and payment of future dividends are discretionary and will be subject to determination by Kforce’s Board of Directors each quarter following its review of, among other things, the Firm’s financial performance. | |||||||||||||||||
New Accounting Standard | |||||||||||||||||
In May 2014, the FASB issued authoritative guidance regarding revenue from contracts with customers, which specifies that revenue should be recognized when promised goods or services are transferred to customers in an amount that reflects the consideration which the company expects to be entitled in exchange for those goods or services. This guidance is to be applied for annual reporting periods beginning on or after December 15, 2016 and interim periods within those annual periods and will require enhanced disclosures. Kforce is currently evaluating the potential impact of the accounting and disclosure requirements on the consolidated financial statements; we do not currently anticipate a material impact to the consolidated financial statements upon adoption. |
Commitments_and_Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2014 | |
Commitments And Contingencies Disclosure [Abstract] | ' |
Commitments and Contingencies | ' |
Note B – Commitments and Contingencies | |
Litigation | |
We are involved in legal proceedings, claims, and administrative matters that arise in the normal course of our business. We have made accruals with respect to certain of these matters, where appropriate, that are reflected in our unaudited condensed consolidated financial statements but are not, individually or in the aggregate, considered material. For other matters for which an accrual has not been made, we have not yet determined that a loss is probable or the amount of loss cannot be reasonably estimated. While the ultimate outcome of the matters cannot be determined, we currently do not expect that these proceedings and claims, individually or in the aggregate, will have a material effect on our consolidated financial position, results of operations, or cash flows. The outcome of any litigation is inherently uncertain, however, and if decided adversely to us, or if we determine that settlement of particular litigation is appropriate, we may be subject to liability that could have a material adverse effect on our consolidated financial position, results of operations, or cash flows. Kforce maintains liability insurance in such amounts and with such coverage and deductibles as management believes is reasonable. The principal liability risks that Kforce insures against are workers’ compensation, personal injury, bodily injury, property damage, directors’ and officers’ liability, errors and omissions, employment practices liability and fidelity losses. There can be no assurance that Kforce’s liability insurance will cover all events or that the limits of coverage will be sufficient to fully cover all liabilities. Accordingly, we disclose matters below for which a material loss is reasonably possible. In each case, however, except where otherwise noted, we have either determined that the range of loss is not reasonably estimable or that any reasonably estimable range of loss is not material to our unaudited condensed consolidated financial statements. | |
On June 18, 2013, Kforce, along with other staffing firms, was named as a defendant in a class action lawsuit filed in the Orange County Superior Court of the State of California, Gunawan v. Howroyd-Wright Employment Agency, Inc. and Kforce, Inc., et al., Case No. 30-2013-00657245-CU-OE-CXC. The plaintiff alleges that a class of current and former Kforce employees working in California was denied compensation for the time they spent interviewing with clients of Kforce, over a period covering four years prior to the filing of the complaint. The plaintiff seeks recovery in an unspecified amount for this alleged unpaid compensation, the alleged failure of Kforce to provide them with accurate wage statements, the alleged improper use of debit cards as an employee payment mechanism in certain circumstances, alleged unfair competition, and statutory penalties, attorney’s fees and other damages. On August 30, 2013, Kforce moved the matter to the U.S. District Court of the Central District of California, Gunawan v. Howroyd-Wright Employment Agency, Inc. and Kforce Inc., et al., Case No. 8:13cv1356. On January 30, 2014, the U.S. District Court of Central District of California granted summary judgment in favor of Kforce except for the plaintiff’s claim for waiting time penalties, which is an individual claim and not part of the class action. The federal court remanded the sole remaining individual claim to state court, where the plaintiff voluntarily dismissed it. On February 20, 2014, the plaintiff filed an appeal of the district court’s summary judgment decision with the United States Court of Appeals for the Ninth Circuit, Gunawan v. Kforce Inc., Case No. 14-55273. The matters now have been fully resolved. We expect the pending appeal will be dismissed imminently, without any material effect on our consolidated financial position, results of operations, or cash flows. | |
On February 19, 2014, the United States District Court for the Middle District of Florida unsealed a qui tam complaint that had been filed by a terminated former employee in June of 2013. The complaint was filed against Kforce and Kforce Government Solutions Inc. (“KGS”), was captioned United States of America and William Turner, Relator v. Kforce Government Solutions Inc. and Kforce Inc., Case No. 8:13-cv-1517-T-36TBM, and was amended on April 14, 2014. The amended complaint alleges False Claims Act and federal and state whistleblower statute violations and certain accounting irregularities, as well as employment law and defamation claims. On June 13, 2014, the defendants filed a motion to dismiss the complaint. The United States government has not intervened in this action at this time. | |
Employment Agreements | |
Kforce has entered into employment agreements with certain executives that provide for minimum compensation, salary and continuation of certain benefits for a six-month to a three-year period under certain circumstances. Certain of the agreements also provide for a severance payment of one to three times annual salary and one half to three times average annual bonus if such an agreement is terminated without good cause by the employer or for good reason by the employee. These agreements contain certain post-employment restrictive covenants. Kforce’s liability at June 30, 2014 would be approximately $31.4 million if, following a change in control, all of the employees under contract were terminated without good cause by the employer or if the employees resigned for good reason and $12.6 million if, in the absence of a change of control, all of the employees under contract were terminated by Kforce without good cause or if the employees resigned for good reason. | |
Kforce has not recorded any liability related to the employment agreements as no events have occurred that would require payment under the agreements. |
Employee_Benefit_Plans
Employee Benefit Plans | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Postemployment Benefits [Abstract] | ' | ||||||||||||||||
Employee Benefit Plans | ' | ||||||||||||||||
Note C – Employee Benefit Plans | |||||||||||||||||
Foreign Pension Plan | |||||||||||||||||
Kforce maintains a foreign defined benefit pension plan for eligible employees of the Philippine branch of Global that is required by Philippine labor laws. The plan defines retirement as those employees who have attained the age of 60 and have completed at least five years of credited service. Benefits payable under the plan equate to one-half month’s salary for each year of credited service. Benefits under the plan are paid out as a lump sum to eligible employees at retirement. | |||||||||||||||||
For the three and six months ended June 30, 2014, net periodic benefit cost was $67 thousand and $131 thousand, respectively. For the three and six months ended June 30, 2013, net periodic benefit cost was $34 thousand and $70 thousand, respectively. The net periodic benefit cost recognized for the three and six months ended June 30, 2014 was based upon the actuarial valuation at the beginning of the year, which utilized the assumptions noted in our 2013 Annual Report on Form 10-K. | |||||||||||||||||
As of June 30, 2014 and December 31, 2013, the projected benefit obligation associated with our foreign defined benefit pension plan was $1.6 million and $1.4 million, respectively, which is classified in other long-term liabilities in the accompanying Unaudited Condensed Consolidated Balance Sheets. There is no requirement for Kforce to fund the Foreign Pension Plan and, as a result, no contributions were made to the Foreign Pension Plan during the six months ended June 30, 2014. Kforce does not currently anticipate funding the Foreign Pension Plan during the year ending December 31, 2014. | |||||||||||||||||
Supplemental Executive Retirement Plan | |||||||||||||||||
Kforce maintains a Supplemental Executive Retirement Plan (the “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. | |||||||||||||||||
Normal retirement age under the SERP is defined as age 65; however, certain conditions allow for early retirement as early as age 55 or upon a change in control. Vesting under the plan is defined as 100% upon a participant’s attainment of age 55 and 10 years of service and 0% prior to a participant’s attainment of age 55 and 10 years of service. Full vesting also occurs if a participant with five years or more of service is involuntarily terminated by Kforce without cause or upon death, disability or a change in control. The SERP is funded entirely by Kforce, and benefits are taxable to the covered executive officer upon receipt and deductible by Kforce when paid. Benefits payable under the SERP upon the occurrence of a qualifying distribution event, as defined, are targeted at 45% of the covered executive officers’ average salary and bonus, as defined, from the three years in which the covered executive officer earned the highest salary and bonus during the last 10 years of employment, which is subject to adjustment for retirement prior to the normal retirement age and the participant’s vesting percentage. The benefits under the SERP are reduced for a participant that has not reached age 62 with 10 years of service or age 55 with 25 years of service with a percentage reduction up to the normal retirement age. | |||||||||||||||||
Benefits under the SERP are normally paid based on the lump sum present value but may be paid over the life of the covered executive officer or as a 10-year annuity, as elected by the covered executive officer upon commencement of participation in the SERP. None of the benefits earned pursuant to the SERP are attributable to services provided prior to the effective date of the plan. For purposes of the measurement of the benefit obligation, Kforce has assumed that all participants will elect to take the lump sum present value option based on historical trends. | |||||||||||||||||
The following represents the components of net periodic benefit cost for the three and six months ended June 30 (in thousands): | |||||||||||||||||
Three Months | Six Months | ||||||||||||||||
Ended June 30, | Ended June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Service cost | $ | 291 | $ | 545 | $ | 582 | $ | 1,090 | |||||||||
Interest cost | 73 | 117 | 147 | 234 | |||||||||||||
Amortization of actuarial loss | — | 29 | — | 58 | |||||||||||||
Net periodic benefit cost | $ | 364 | $ | 691 | $ | 729 | $ | 1,382 | |||||||||
The net periodic benefit cost recognized for the three and six months ended June 30, 2014 was based upon the actuarial valuation at the beginning of the year, which utilized the assumptions noted in our 2013 Annual Report on Form 10-K. | |||||||||||||||||
The present value of the projected benefit obligation as of June 30, 2014 and December 31, 2013 is $8.6 million and $7.9 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, 2014. Kforce does not currently anticipate funding the SERP during the year ending December 31, 2014. | |||||||||||||||||
Supplemental Executive Retirement Health Plan | |||||||||||||||||
Kforce maintains a Supplemental Executive Retirement Health Plan (“SERHP”) to provide postretirement health and welfare benefits to certain executives. The vesting and eligibility requirements mirror that of the SERP, and no advance funding is required by Kforce or the participants. Consistent with the SERP, none of the benefits earned are attributable to services provided prior to the effective date of the plan. | |||||||||||||||||
The following represents the components of net periodic postretirement benefit cost for the three and six months ended June 30 (in thousands): | |||||||||||||||||
Three Months | Six Months | ||||||||||||||||
Ended June 30, | Ended June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Service cost | $ | 58 | $ | 173 | $ | 116 | $ | 345 | |||||||||
Interest cost | 26 | 33 | 52 | 67 | |||||||||||||
Amortization of actuarial loss | — | 26 | — | 51 | |||||||||||||
Settlement Gain | — | — | (122 | ) | — | ||||||||||||
Net periodic benefit cost | $ | 84 | $ | 232 | $ | 46 | $ | 463 | |||||||||
During the three months ended March 31, 2014, Kforce made a lump sum payment to a participant in the SERHP in order to settle all future benefit payments due under the SERHP resulting in a settlement gain disclosed above. The net periodic post-retirement benefit cost recognized for the three and six months ended June 30, 2014 was based upon an actuarial valuation performed at the time of settlement, which utilized the same assumptions noted in our 2013 Annual Report on Form 10-K. | |||||||||||||||||
The long-term portion of the accumulated postretirement benefit obligation as of June 30, 2014 and December 31, 2013 is $2.1 million and $2.6 million, respectively, and is recorded in other long-term liabilities in the accompanying Unaudited Condensed Consolidated Balance Sheets. The current portion of the accumulated postretirement benefit obligation as recorded in other current liabilities in the accompanying Unaudited Condensed Consolidated Balance Sheets was $0 and $47 thousand as of June 30, 2014 and December 31, 2013, respectively. |
Fair_Value_Measurements
Fair Value Measurements | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||
Note D – Fair Value Measurements | |||||||||||||||||
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e., an exit price) in an orderly transaction between market participants at the measurement date. It establishes a fair value hierarchy and a framework which requires categorizing assets and liabilities into one of three levels based on the assumptions (inputs) used in valuing the asset or liability. Level 1 provides the most reliable measure of fair value, while Level 3 generally requires significant management judgment. Level 1 inputs are unadjusted, quoted market prices in active markets for identical assets or liabilities. Level 2 inputs are observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets or liabilities in active markets or quoted prices for identical assets or liabilities in inactive markets. Level 3 inputs include unobservable inputs that are supported by little, infrequent, or no market activity and reflect management’s own assumptions about inputs used in pricing the asset or liability. The Company uses the following valuation techniques to measure fair value. | |||||||||||||||||
The underlying investments within Kforce’s deferred compensation plan included money market funds as of June 30, 2014 and December 31, 2013. Assets held within the money market funds are measured on a recurring basis and are recorded at fair value based on each fund’s quoted market value per share in an active market, which is considered a Level 1 input. | |||||||||||||||||
Certain assets, in specific circumstances, are measured at fair value on a non-recurring basis utilizing Level 3 inputs such as goodwill, other intangible assets 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. | |||||||||||||||||
There were no transfers into or out of Level 1, 2 or 3 assets during the six months ended June 30, 2014. The estimated fair values on Kforce’s financial statements as of June 30, 2014 and December 31, 2013 were as follows (in thousands): | |||||||||||||||||
Quoted Prices in | Significant | ||||||||||||||||
Active Markets | Other | Significant | |||||||||||||||
for Identical | Observable | Unobservable | |||||||||||||||
Fair Value of Assets/(Liabilities): | Asset/(Liability) | Assets (Level 1) | Inputs (Level 2) | Inputs (Level 3) | |||||||||||||
As of June 30, 2014: | |||||||||||||||||
Credit facility (1) | $ | (81,747 | ) | $ | — | $ | (81,747 | ) | $ | — | |||||||
Recurring basis: | |||||||||||||||||
Money market funds | $ | 349 | $ | 349 | $ | — | $ | — | |||||||||
As of December 31, 2013: | |||||||||||||||||
Credit facility (1) | $ | (62,642 | ) | $ | — | $ | (62,642 | ) | $ | — | |||||||
Recurring basis: | |||||||||||||||||
Money market funds | $ | 869 | $ | 869 | $ | — | $ | — | |||||||||
Non-recurring basis: | |||||||||||||||||
Goodwill (2) | $ | 48,900 | $ | — | $ | — | $ | 48,900 | |||||||||
-1 | The carrying value of long-term debt under the credit facility approximates its estimated fair value as it re-prices at varying interest rates. | ||||||||||||||||
-2 | This amount is representative of the aggregated goodwill balance. The portion measured at fair value as of December 31, 2013 of $18,973 was related to the GS segment. The remaining portion of the goodwill balance presented is at carrying value. |
Stock_Incentive_Plans
Stock Incentive Plans | 6 Months Ended | ||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||||||||
Stock Incentive Plans | ' | ||||||||||||||||||||
Note E – Stock Incentive Plans | |||||||||||||||||||||
On April 5, 2013, the shareholders approved the 2013 Stock Incentive Plan, which was previously adopted by the Board of Directors on March 1, 2013, subject to shareholder approval. The aggregate number of shares of common stock that are subject to awards under the 2013 Stock Incentive Plan, subject to adjustment upon a change in capitalization, is 4.0 million. On June 20, 2006, the shareholders approved the 2006 Stock Incentive Plan and, as amended, the aggregate number of shares of common stock that are subject to awards is 7.9 million. | |||||||||||||||||||||
The 2013 Stock Incentive Plan and 2006 Stock Incentive Plan allow for the issuance of stock options, stock appreciation rights (“SARs”) and restricted stock, subject to share availability. Vesting of equity instruments is determined on a grant-by-grant basis. Options expire at the end of 10 years from the date of grant, and Kforce issues new shares upon exercise of options. | |||||||||||||||||||||
The 2013 Stock Incentive Plan terminates on April 5, 2023 and the 2006 Stock Incentive Plan terminates on April 28, 2016. The Incentive Stock Option Plan expired in 2005. | |||||||||||||||||||||
Stock Options | |||||||||||||||||||||
The following table presents stock option activity during the six months ended June 30, 2014 (in thousands, except per share amounts): | |||||||||||||||||||||
Weighted | Total | ||||||||||||||||||||
2006 | Average | Intrinsic | |||||||||||||||||||
Incentive | Stock | Exercise | Value of | ||||||||||||||||||
Stock Option | Incentive | Price per | Options | ||||||||||||||||||
Plan | Plan | Total | Share | Exercised | |||||||||||||||||
Outstanding and Exercisable as of December 31, 2013 | 97 | 83 | 180 | $ | 11.57 | ||||||||||||||||
Exercised | (27 | ) | (33 | ) | (60 | ) | $ | 11.82 | $ | 592 | |||||||||||
Forfeited/Cancelled | (1 | ) | — | (1 | ) | $ | 11 | ||||||||||||||
Outstanding and Exercisable as of June 30, 2014 | 69 | 50 | 119 | $ | 11.46 | ||||||||||||||||
No compensation expense was recorded during the six months ended June 30, 2014 or 2013 as a result of the grant date fair value having been fully amortized as of December 31, 2009. As of June 30, 2014, there was no unrecognized compensation cost related to non-vested options. | |||||||||||||||||||||
Restricted Stock | |||||||||||||||||||||
Restricted stock grants made to Kforce’s executives and management are generally based on the extent by which annual long-term incentive performance goals, which are established by Kforce’s Compensation Committee during the first quarter of the year of performance, have been met, as approved by the Compensation Committee. Restricted stock granted during the six months ended June 30, 2014 will vest over a period of two to ten years, with equal vesting annually. | |||||||||||||||||||||
Restricted stock contain voting rights and are included in the number of shares of common stock issued and outstanding. Restricted stock contain the right to dividends in the form of additional shares of restricted stock at the same rate as the cash dividend on common stock and containing the same vesting provisions as the underlying award. The following table presents the activity for the six months ended June 30, 2014 (in thousands, except per share amounts): | |||||||||||||||||||||
Number of | Weighted Average | Total Intrinsic | |||||||||||||||||||
Restricted | Grant Date | Value of Restricted | |||||||||||||||||||
Stock | Fair Value | Stock Vested | |||||||||||||||||||
Outstanding as of December 31, 2013 | 811 | $ | 16.89 | ||||||||||||||||||
Granted | 226 | $ | 20.48 | ||||||||||||||||||
Forfeited/Cancelled | (14 | ) | $ | 18.01 | |||||||||||||||||
Vested | (64 | ) | $ | 14.64 | $ | 1,303 | |||||||||||||||
Outstanding as of June 30, 2014 | 959 | $ | 18.02 | ||||||||||||||||||
During the three months ended December 31, 2013, Kforce granted certain restricted stock awards containing time-based vesting terms of ten years, with an equal number of shares vesting in each of years six through ten, as well as a performance-acceleration feature upon which vesting would accelerate if Kforce’s closing stock price exceeded the stock price at the date of grant by a pre-established percentage for a period of 10 trading days. During the three months ended March 31, 2014, the Firm modified all awards containing a performance-acceleration feature that were granted during the three months ended December 31, 2013, as follows: (i) eliminated the performance-acceleration feature and (ii) reduced the time-based vesting term to five years, with equal vesting annually. The total number of restricted shares impacted by this modification was 268 thousand, excluding already forfeited shares, and the number of employees impacted was 87. The total incremental compensation cost resulting from the modification was $109 thousand, which will be amortized on a straight-line basis over the requisite service period of the modified awards. | |||||||||||||||||||||
The fair market value of restricted stock is determined based on the closing stock price of Kforce’s common stock at the date of grant, and is amortized on a straight-line basis over the requisite service period. During the three months ended June 30, 2014 and 2013, Kforce recognized total compensation expense related to restricted stock of $605 thousand and $326 thousand, respectively. During the six months ended June 30, 2014 and 2013, Kforce recognized total compensation expense related to restricted stock of $1,404 thousand and $601 thousand, respectively. As of June 30, 2014, total unrecognized compensation expense related to restricted stock was $9.6 million, which will be recognized over a weighted average remaining period of 5.0 years. |
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ||||||||
Goodwill and Other Intangible Assets | ' | ||||||||
Note F – Goodwill and Other Intangible Assets | |||||||||
The following table sets forth the activity in goodwill and other intangible assets during the six months ended June 30, 2014 (in thousands): | |||||||||
Other | |||||||||
Intangible | |||||||||
Goodwill | Assets, Net | ||||||||
Balance as of December 31, 2013 | $ | 48,900 | $ | 4,993 | |||||
Amortization of intangible assets | — | (317 | ) | ||||||
Balance as of June 30, 2014 | $ | 48,900 | $ | 4,676 | |||||
As of June 30, 2014 and December 31, 2013, other intangible assets, net in the accompanying Unaudited Condensed Consolidated Balance Sheets consisted of $2.5 million and $2.8 million, respectively, of definite-lived intangible assets including customer relationships, customer contracts, and other and $2.2 million of an indefinite-lived intangible asset including a trade name and trademark. | |||||||||
As of June 30, 2014 and December 31, 2013, accumulated amortization for intangible assets was $25.5 million and $25.2 million, respectively. The estimated remaining amortization expense is $317 thousand for 2014, $634 thousand for 2015, $457 thousand for 2016, $209 thousand for 2017 and $209 thousand for 2018. |
Reportable_Segments
Reportable Segments | 6 Months Ended | ||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||||||
Reportable Segments | ' | ||||||||||||||||||||
Note G – Reportable Segments | |||||||||||||||||||||
Kforce’s reportable segments are as follows: (i) Tech; (ii) FA; (iii) HIM and (iv) GS. This determination is supported by, among other factors: the existence of segment presidents responsible for the operations of each segment and who also report directly to our chief operating decision maker (“CODM”), the nature of the segment’s operations and information presented to the Board of Directors and our CODM. Kforce also reports Flexible billings and Search fees separately by segment, which has been incorporated into the table below. | |||||||||||||||||||||
Historically, and for the three and six months ended June 30, 2014, Kforce has generated only sales and gross profit information on a segment basis. Substantially all operations and long-lived assets are located in the United States. We do not report total assets separately by segment as our operations are largely combined. | |||||||||||||||||||||
The following table provides information concerning the operations of our segments for the three and six months ended June 30, 2014 and 2013 (in thousands): | |||||||||||||||||||||
Tech | FA | HIM | GS | Total | |||||||||||||||||
Three Months Ended June 30: | |||||||||||||||||||||
2014 | |||||||||||||||||||||
Net service revenues: | |||||||||||||||||||||
Flexible billings | $ | 206,165 | $ | 60,057 | $ | 24,639 | $ | 23,946 | $ | 314,807 | |||||||||||
Search fees | 5,036 | 7,554 | 20 | — | 12,610 | ||||||||||||||||
Total net service revenues | $ | 211,201 | $ | 67,611 | $ | 24,659 | $ | 23,946 | $ | 327,417 | |||||||||||
Gross profit | $ | 61,564 | $ | 25,492 | $ | 8,809 | $ | 7,330 | $ | 103,195 | |||||||||||
2013 | |||||||||||||||||||||
Net service revenues: | |||||||||||||||||||||
Flexible billings | $ | 175,213 | $ | 52,954 | $ | 18,921 | $ | 23,297 | $ | 270,385 | |||||||||||
Search fees | 5,356 | 7,900 | 48 | — | 13,304 | ||||||||||||||||
Total net service revenues | $ | 180,569 | $ | 60,854 | $ | 18,969 | $ | 23,297 | $ | 283,689 | |||||||||||
Gross profit | $ | 54,095 | $ | 24,251 | $ | 6,252 | $ | 8,249 | $ | 92,847 | |||||||||||
Six Months Ended June 30: | |||||||||||||||||||||
2014 | |||||||||||||||||||||
Net service revenues: | |||||||||||||||||||||
Flexible billings | $ | 398,628 | $ | 117,157 | $ | 47,876 | $ | 46,717 | $ | 610,378 | |||||||||||
Search fees | 9,044 | 13,236 | 71 | — | 22,351 | ||||||||||||||||
Total net service revenues | $ | 407,672 | $ | 130,393 | $ | 47,947 | $ | 46,717 | $ | 632,729 | |||||||||||
Gross profit | $ | 116,619 | $ | 47,368 | $ | 16,382 | $ | 13,925 | $ | 194,294 | |||||||||||
2013 | |||||||||||||||||||||
Net service revenues: | |||||||||||||||||||||
Flexible billings | $ | 338,053 | $ | 102,815 | $ | 37,465 | $ | 46,127 | $ | 524,460 | |||||||||||
Search fees | 10,151 | 14,565 | 140 | — | 24,856 | ||||||||||||||||
Total net service revenues | $ | 348,204 | $ | 117,380 | $ | 37,605 | $ | 46,127 | $ | 549,316 | |||||||||||
Gross profit | $ | 102,894 | $ | 45,544 | $ | 12,232 | $ | 15,513 | $ | 176,183 |
Supplemental_Cash_Flow
Supplemental Cash Flow | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Supplemental Cash Flow Elements [Abstract] | ' | ||||||||
Supplemental Cash Flow | ' | ||||||||
Note H – Supplemental Cash Flow | |||||||||
Supplemental cash flow information is as follows for the six months ended June 30 (in thousands): | |||||||||
Six Months Ended | |||||||||
June 30, | June 30, | ||||||||
2014 | 2013 | ||||||||
Supplemental Cash Flow Information: | |||||||||
Cash paid during the period for: | |||||||||
Income taxes, net | $ | 3,660 | $ | 8,648 | |||||
Interest, net | $ | 639 | $ | 323 | |||||
Non-Cash Transaction Information: | |||||||||
Employee stock purchase plan | $ | 370 | $ | 306 | |||||
Equipment acquired under capital leases | $ | 72 | $ | 1,396 |
Subsequent_Event
Subsequent Event | 6 Months Ended |
Jun. 30, 2014 | |
Subsequent Events [Abstract] | ' |
Subsequent Event | ' |
Note I – Subsequent Event | |
On August 4, 2014 and effective at 11:59 P.M. on August 3, 2014, Kforce entered into a Stock Purchase Agreement (“Agreement”) with RCM Acquisition, Inc. (the “Purchaser”) to sell all of the issued and outstanding stock of Kforce Healthcare, Inc. (“KHI”), a wholly-owned subsidiary of the Firm and operator of the HIM reporting segment, for a total cash purchase price of $119.0 million, subject to a post-closing working capital adjustment. In addition, Kforce and the Purchaser each made customary representations and warranties and covenants in the Agreement, and the Agreement contains customary indemnification provisions. In connection with the Agreement, Kforce has agreed to provide certain post-closing transitional services for a period not to exceed 12 months. The carrying amount of the disposed assets and liabilities as of June 30, 2014 included approximately $13.2 million in current assets, $13.4 million in total assets, $4.9 in current liabilities and $7.0 in total liabilities. Kforce performed an evaluation and determined that KHI did not meet the requirements to be reported as an asset held for sale as of June 30, 2014. Thus, the results of our HIM business will be reported as a discontinued operation beginning with our third quarter ending September 30, 2014. |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
Organization and Nature of Operations | ' | ||||||||||||||||
Organization and Nature of Operations | |||||||||||||||||
Kforce Inc. and subsidiaries (collectively, “Kforce”) provide professional staffing services and solutions to customers in the following segments: Technology (“Tech”), Finance and Accounting (“FA”), Health Information Management (“HIM”) and Government Solutions (“GS”). Kforce provides flexible staffing services and solutions on both a temporary and full-time basis. Kforce operates through its corporate headquarters in Tampa, Florida and 62 field offices located throughout the United States (the “U.S.”). Additionally, one of our subsidiaries, Kforce Global Solutions, Inc. (“Global”), provides information technology outsourcing services internationally through an office in Manila, Philippines. Our international operations constituted approximately 2% of net service revenues for both the three and six months ended June 30, 2014 and 2013 and are included in our Tech segment. | |||||||||||||||||
Kforce serves clients from the Fortune 1000, the Federal Government, state and local governments, local and regional companies and small to mid-sized companies. | |||||||||||||||||
Basis of Presentation | ' | ||||||||||||||||
Basis of Presentation | |||||||||||||||||
The Unaudited Condensed Consolidated Financial Statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”) regarding interim financial reporting. Accordingly, certain information and footnotes normally required by accounting principles generally accepted in the United States of America (“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 2013 Annual Report on Form 10-K. In management’s opinion, the accompanying Unaudited Condensed Consolidated Financial Statements reflect all adjustments (consisting of only normal recurring adjustments) considered necessary for a fair presentation of our financial condition as of June 30, 2014, our results of operations for the three and six months ended June 30, 2014 and our cash flows for the six months ended June 30, 2014. The Unaudited Condensed Consolidated Balance Sheet as of December 31, 2013 was derived from our audited consolidated balance sheet as of December 31, 2013, as presented in our 2013 Annual Report on Form 10-K. | |||||||||||||||||
Our quarterly operating results are affected by the number of billing days in a quarter and the seasonality of our customers’ businesses. In addition, we experience an increase in direct costs of services and a corresponding decrease in gross profit in the first fiscal quarter of each year as a result of certain U.S. state and federal employment tax resets. Thus, the results of operations for any interim period are not necessarily indicative of, nor comparable to, the results of operations for a full year. | |||||||||||||||||
Principles of Consolidation | ' | ||||||||||||||||
Principles of Consolidation | |||||||||||||||||
The Unaudited Condensed Consolidated Financial Statements include the accounts of Kforce Inc. and its wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. References in this document to “Kforce,” “the Company,” “we,” “the Firm,” “our” or “us” refer to Kforce Inc. and its subsidiaries, except where the context indicates otherwise. | |||||||||||||||||
Use of Estimates | ' | ||||||||||||||||
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 important of these estimates and assumptions relate to the following: accounting for goodwill and identifiable intangible assets and any related impairment; stock-based compensation; obligations for pension and postretirement benefit plans; expected annual commission rates; self-insured liabilities for workers’ compensation and health insurance; allowance for doubtful accounts, fallouts and other accounts receivable reserves and accounting for income taxes. Although these and other estimates and assumptions are based on the best available information, actual results could be materially different from these estimates. | |||||||||||||||||
Earnings per Share | ' | ||||||||||||||||
Earnings per Share | |||||||||||||||||
Basic earnings per share is computed as earnings divided by the weighted average number of common shares outstanding during the period. Basic weighted average shares outstanding excludes unvested shares of restricted stock. Diluted earnings per common share is computed by dividing the earnings attributable to common shareholders for the period by the weighted average number of common shares outstanding during the period plus the dilutive effect of stock options and other 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. | |||||||||||||||||
The following table sets forth the computation of basic and diluted earnings per share for the three and six months ended June 30 (in thousands, except per share amounts): | |||||||||||||||||
Three Months | Six Months | ||||||||||||||||
Ended June 30, | Ended June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Numerator: | |||||||||||||||||
Net income | $ | 10,703 | $ | 6,948 | $ | 16,952 | $ | 10,042 | |||||||||
Denominator: | |||||||||||||||||
Weighted average shares outstanding – basic | 32,481 | 33,754 | 32,729 | 34,073 | |||||||||||||
Common stock equivalents | 229 | 105 | 215 | 99 | |||||||||||||
Weighted average shares outstanding – diluted | 32,710 | 33,859 | 32,944 | 34,172 | |||||||||||||
Earnings per share – basic | $ | 0.33 | $ | 0.21 | $ | 0.52 | $ | 0.29 | |||||||||
Earnings per share – diluted | $ | 0.33 | $ | 0.21 | $ | 0.51 | $ | 0.29 | |||||||||
For both the three and six months ended June 30, 2014 and 2013, there were no shares of common stock excluded from the computation of dilutive earnings per share because their inclusion would have had an anti-dilutive effect on earnings per share. | |||||||||||||||||
Dividends | ' | ||||||||||||||||
Dividends | |||||||||||||||||
Kforce’s Board may, at its discretion, declare and pay dividends on the outstanding shares of Kforce’s common stock out of retained earnings, subject to statutory requirements. Dividends for any outstanding and unvested restricted stock as of the record date are awarded in the form of additional shares of restricted stock, at the same rate as the cash dividend on common stock and based on the closing stock price, and have the same vesting terms as the outstanding and unvested restricted stock. The following summarizes the cash dividends declared for the three and six months ended June 30: | |||||||||||||||||
Three Months | Six Months | ||||||||||||||||
Ended June 30, | Ended June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Dividends declared per share | $ | 0.10 | $ | — | $ | 0.2 | $ | — | |||||||||
Kforce currently expects to continue to declare and pay quarterly dividends of an amount similar to its first and second quarter 2014 dividends of $0.10 per share. However, the declaration and payment of future dividends are discretionary and will be subject to determination by Kforce’s Board of Directors each quarter following its review of, among other things, the Firm’s financial performance. | |||||||||||||||||
New Accounting Standard | ' | ||||||||||||||||
New Accounting Standard | |||||||||||||||||
In May 2014, the FASB issued authoritative guidance regarding revenue from contracts with customers, which specifies that revenue should be recognized when promised goods or services are transferred to customers in an amount that reflects the consideration which the company expects to be entitled in exchange for those goods or services. This guidance is to be applied for annual reporting periods beginning on or after December 15, 2016 and interim periods within those annual periods and will require enhanced disclosures. Kforce is currently evaluating the potential impact of the accounting and disclosure requirements on the consolidated financial statements; we do not currently anticipate a material impact to the consolidated financial statements upon adoption. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
Computation of Basic and Diluted Earnings Per Share | ' | ||||||||||||||||
The following table sets forth the computation of basic and diluted earnings per share for the three and six months ended June 30 (in thousands, except per share amounts): | |||||||||||||||||
Three Months | Six Months | ||||||||||||||||
Ended June 30, | Ended June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Numerator: | |||||||||||||||||
Net income | $ | 10,703 | $ | 6,948 | $ | 16,952 | $ | 10,042 | |||||||||
Denominator: | |||||||||||||||||
Weighted average shares outstanding – basic | 32,481 | 33,754 | 32,729 | 34,073 | |||||||||||||
Common stock equivalents | 229 | 105 | 215 | 99 | |||||||||||||
Weighted average shares outstanding – diluted | 32,710 | 33,859 | 32,944 | 34,172 | |||||||||||||
Earnings per share – basic | $ | 0.33 | $ | 0.21 | $ | 0.52 | $ | 0.29 | |||||||||
Earnings per share – diluted | $ | 0.33 | $ | 0.21 | $ | 0.51 | $ | 0.29 | |||||||||
Summary of Cash Dividends Declared | ' | ||||||||||||||||
The following summarizes the cash dividends declared for the three and six months ended June 30: | |||||||||||||||||
Three Months | Six Months | ||||||||||||||||
Ended June 30, | Ended June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Dividends declared per share | $ | 0.1 | $ | — | $ | 0.2 | $ | — |
Employee_Benefit_Plans_Tables
Employee Benefit Plans (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Supplemental Executive Retirement Plan [Member] | ' | ||||||||||||||||
Components of Net Periodic Benefit Cost | ' | ||||||||||||||||
The following represents the components of net periodic benefit cost for the three and six months ended June 30 (in thousands): | |||||||||||||||||
Three Months | Six Months | ||||||||||||||||
Ended June 30, | Ended June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Service cost | $ | 291 | $ | 545 | $ | 582 | $ | 1,090 | |||||||||
Interest cost | 73 | 117 | 147 | 234 | |||||||||||||
Amortization of actuarial loss | — | 29 | — | 58 | |||||||||||||
Net periodic benefit cost | $ | 364 | $ | 691 | $ | 729 | $ | 1,382 | |||||||||
Supplemental Executive Retirement Health Plan [Member] | ' | ||||||||||||||||
Components of Net Periodic Benefit Cost | ' | ||||||||||||||||
The following represents the components of net periodic postretirement benefit cost for the three and six months ended June 30 (in thousands): | |||||||||||||||||
Three Months | Six Months | ||||||||||||||||
Ended June 30, | Ended June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Service cost | $ | 58 | $ | 173 | $ | 116 | $ | 345 | |||||||||
Interest cost | 26 | 33 | 52 | 67 | |||||||||||||
Amortization of actuarial loss | — | 26 | — | 51 | |||||||||||||
Settlement Gain | — | — | (122 | ) | — | ||||||||||||
Net periodic benefit cost | $ | 84 | $ | 232 | $ | 46 | $ | 463 | |||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Estimated Fair Value on Recurring and Non-Recurring Basis | ' | ||||||||||||||||
The estimated fair values on Kforce’s financial statements as of June 30, 2014 and December 31, 2013 were as follows (in thousands): | |||||||||||||||||
Quoted Prices in | Significant | ||||||||||||||||
Active Markets | Other | Significant | |||||||||||||||
for Identical | Observable | Unobservable | |||||||||||||||
Fair Value of Assets/(Liabilities): | Asset/(Liability) | Assets (Level 1) | Inputs (Level 2) | Inputs (Level 3) | |||||||||||||
As of June 30, 2014: | |||||||||||||||||
Credit facility (1) | $ | (81,747 | ) | $ | — | $ | (81,747 | ) | $ | — | |||||||
Recurring basis: | |||||||||||||||||
Money market funds | $ | 349 | $ | 349 | $ | — | $ | — | |||||||||
As of December 31, 2013: | |||||||||||||||||
Credit facility (1) | $ | (62,642 | ) | $ | — | $ | (62,642 | ) | $ | — | |||||||
Recurring basis: | |||||||||||||||||
Money market funds | $ | 869 | $ | 869 | $ | — | $ | — | |||||||||
Non-recurring basis: | |||||||||||||||||
Goodwill (2) | $ | 48,900 | $ | — | $ | — | $ | 48,900 | |||||||||
-1 | The carrying value of long-term debt under the credit facility approximates its estimated fair value as it re-prices at varying interest rates. | ||||||||||||||||
-2 | This amount is representative of the aggregated goodwill balance. The portion measured at fair value as of December 31, 2013 of $18,973 was related to the GS segment. The remaining portion of the goodwill balance presented is at carrying value. |
Stock_Incentive_Plans_Tables
Stock Incentive Plans (Tables) | 6 Months Ended | ||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||||||||
Summary of Stock Option Activity | ' | ||||||||||||||||||||
The following table presents stock option activity during the six months ended June 30, 2014 (in thousands, except per share amounts): | |||||||||||||||||||||
Weighted | Total | ||||||||||||||||||||
2006 | Average | Intrinsic | |||||||||||||||||||
Incentive | Stock | Exercise | Value of | ||||||||||||||||||
Stock Option | Incentive | Price per | Options | ||||||||||||||||||
Plan | Plan | Total | Share | Exercised | |||||||||||||||||
Outstanding and Exercisable as of December 31, 2013 | 97 | 83 | 180 | $ | 11.57 | ||||||||||||||||
Exercised | (27 | ) | (33 | ) | (60 | ) | $ | 11.82 | $ | 592 | |||||||||||
Forfeited/Cancelled | (1 | ) | — | (1 | ) | $ | 11 | ||||||||||||||
Outstanding and Exercisable as of June 30, 2014 | 69 | 50 | 119 | $ | 11.46 | ||||||||||||||||
Summary of Restricted Stock Activity | ' | ||||||||||||||||||||
The following table presents the activity for the six months ended June 30, 2014 (in thousands, except per share amounts): | |||||||||||||||||||||
Number of | Weighted Average | Total Intrinsic | |||||||||||||||||||
Restricted | Grant Date | Value of Restricted | |||||||||||||||||||
Stock | Fair Value | Stock Vested | |||||||||||||||||||
Outstanding as of December 31, 2013 | 811 | $ | 16.89 | ||||||||||||||||||
Granted | 226 | $ | 20.48 | ||||||||||||||||||
Forfeited/Cancelled | (14 | ) | $ | 18.01 | |||||||||||||||||
Vested | (64 | ) | $ | 14.64 | $ | 1,303 | |||||||||||||||
Outstanding as of June 30, 2014 | 959 | $ | 18.02 | ||||||||||||||||||
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ||||||||
Activity in Goodwill and Other Intangible Assets | ' | ||||||||
The following table sets forth the activity in goodwill and other intangible assets during the six months ended June 30, 2014 (in thousands): | |||||||||
Other | |||||||||
Intangible | |||||||||
Goodwill | Assets, Net | ||||||||
Balance as of December 31, 2013 | $ | 48,900 | $ | 4,993 | |||||
Amortization of intangible assets | — | (317 | ) | ||||||
Balance as of June 30, 2014 | $ | 48,900 | $ | 4,676 | |||||
Reportable_Segments_Tables
Reportable Segments (Tables) | 6 Months Ended | ||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||||||
Operations of Segments | ' | ||||||||||||||||||||
The following table provides information concerning the operations of our segments for the three and six months ended June 30, 2014 and 2013 (in thousands): | |||||||||||||||||||||
Tech | FA | HIM | GS | Total | |||||||||||||||||
Three Months Ended June 30: | |||||||||||||||||||||
2014 | |||||||||||||||||||||
Net service revenues: | |||||||||||||||||||||
Flexible billings | $ | 206,165 | $ | 60,057 | $ | 24,639 | $ | 23,946 | $ | 314,807 | |||||||||||
Search fees | 5,036 | 7,554 | 20 | — | 12,610 | ||||||||||||||||
Total net service revenues | $ | 211,201 | $ | 67,611 | $ | 24,659 | $ | 23,946 | $ | 327,417 | |||||||||||
Gross profit | $ | 61,564 | $ | 25,492 | $ | 8,809 | $ | 7,330 | $ | 103,195 | |||||||||||
2013 | |||||||||||||||||||||
Net service revenues: | |||||||||||||||||||||
Flexible billings | $ | 175,213 | $ | 52,954 | $ | 18,921 | $ | 23,297 | $ | 270,385 | |||||||||||
Search fees | 5,356 | 7,900 | 48 | — | 13,304 | ||||||||||||||||
Total net service revenues | $ | 180,569 | $ | 60,854 | $ | 18,969 | $ | 23,297 | $ | 283,689 | |||||||||||
Gross profit | $ | 54,095 | $ | 24,251 | $ | 6,252 | $ | 8,249 | $ | 92,847 | |||||||||||
Six Months Ended June 30: | |||||||||||||||||||||
2014 | |||||||||||||||||||||
Net service revenues: | |||||||||||||||||||||
Flexible billings | $ | 398,628 | $ | 117,157 | $ | 47,876 | $ | 46,717 | $ | 610,378 | |||||||||||
Search fees | 9,044 | 13,236 | 71 | — | 22,351 | ||||||||||||||||
Total net service revenues | $ | 407,672 | $ | 130,393 | $ | 47,947 | $ | 46,717 | $ | 632,729 | |||||||||||
Gross profit | $ | 116,619 | $ | 47,368 | $ | 16,382 | $ | 13,925 | $ | 194,294 | |||||||||||
2013 | |||||||||||||||||||||
Net service revenues: | |||||||||||||||||||||
Flexible billings | $ | 338,053 | $ | 102,815 | $ | 37,465 | $ | 46,127 | $ | 524,460 | |||||||||||
Search fees | 10,151 | 14,565 | 140 | — | 24,856 | ||||||||||||||||
Total net service revenues | $ | 348,204 | $ | 117,380 | $ | 37,605 | $ | 46,127 | $ | 549,316 | |||||||||||
Gross profit | $ | 102,894 | $ | 45,544 | $ | 12,232 | $ | 15,513 | $ | 176,183 |
Supplemental_Cash_Flow_Tables
Supplemental Cash Flow (Tables) | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Supplemental Cash Flow Elements [Abstract] | ' | ||||||||
Details of Supplemental Cash Flow Information | ' | ||||||||
Supplemental cash flow information is as follows for the six months ended June 30 (in thousands): | |||||||||
Six Months Ended | |||||||||
June 30, | June 30, | ||||||||
2014 | 2013 | ||||||||
Supplemental Cash Flow Information: | |||||||||
Cash paid during the period for: | |||||||||
Income taxes, net | $ | 3,660 | $ | 8,648 | |||||
Interest, net | $ | 639 | $ | 323 | |||||
Non-Cash Transaction Information: | |||||||||
Employee stock purchase plan | $ | 370 | $ | 306 | |||||
Equipment acquired under capital leases | $ | 72 | $ | 1,396 |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 3 Months Ended | 6 Months Ended | |||
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Mar. 31, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Office | Office | ||||
Accounting Policies [Abstract] | ' | ' | ' | ' | ' |
Number of domestic field offices of parent company | 62 | ' | ' | 62 | ' |
Percentage of net service revenue from international operations | 2.00% | ' | 2.00% | 2.00% | 2.00% |
Common stock excluded from the computation of dilutive earnings per share | 0 | ' | 0 | 0 | 0 |
Dividend declared per share | $0.10 | $0.10 | ' | $0.20 | ' |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies - Computation of Basic and Diluted Earnings Per Share (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Numerator: | ' | ' | ' | ' |
Net income | $10,703 | $6,948 | $16,952 | $10,042 |
Denominator: | ' | ' | ' | ' |
Weighted average shares outstanding - basic | 32,481 | 33,754 | 32,729 | 34,073 |
Common stock equivalents | 229 | 105 | 215 | 99 |
Weighted average shares outstanding - diluted | 32,710 | 33,859 | 32,944 | 34,172 |
Earnings per share - basic | $0.33 | $0.21 | $0.52 | $0.29 |
Earnings per share - diluted | $0.33 | $0.21 | $0.51 | $0.29 |
Summary_of_Significant_Account5
Summary of Significant Accounting Policies - Summary of Cash Dividends Declared (Detail) (USD $) | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2014 | Mar. 31, 2014 | Jun. 30, 2014 | |
Accounting Policies [Abstract] | ' | ' | ' |
Dividends declared per share | $0.10 | $0.10 | $0.20 |
Commitments_and_Contingencies_
Commitments and Contingencies - Additional Information (Detail) (USD $) | 6 Months Ended |
Jun. 30, 2014 | |
Other Commitments [Line Items] | ' |
Litigation period | '4 years |
Provision for litigation loss | $0 |
Severance payment under agreement description | 'Certain of the agreements also provide for a severance payment of one to three times annual salary and one half to three times average annual bonus if such an agreement is terminated without good cause by the employer or for good reason by the employee. |
Employees under contract terminated by employer without good cause or change in control | 31,400,000 |
Employees under contract terminated by employer without good cause or in absence of change in control | $12,600,000 |
Minimum [Member] | ' |
Other Commitments [Line Items] | ' |
Period for providing minimum compensation salary and continuation of certain benefits to executives under employment agreements | '6 months |
Maximum [Member] | ' |
Other Commitments [Line Items] | ' |
Period for providing minimum compensation salary and continuation of certain benefits to executives under employment agreements | '3 years |
Employee_Benefit_Plans_Additio
Employee Benefit Plans - Additional Information (Detail) (USD $) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | |
Foreign Pension Plan [Member] | ' | ' | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ' | ' |
Age of employee covered under plan | ' | ' | '60 years | ' | ' |
Completed at least credited service period | ' | ' | '5 years | ' | ' |
Benefits payable calculation under plan description | ' | ' | 'One-half month's salary for each year of credited service | ' | ' |
Benefits payable under the plan equate | ' | ' | '15 days | ' | ' |
Net periodic benefit cost | $67,000 | $34,000 | $131,000 | $70,000 | ' |
Defined benefit plan, benefit obligation | 1,600,000 | ' | 1,600,000 | ' | 1,400,000 |
Contributions towards foreign pension plan | ' | ' | 0 | ' | ' |
Defined benefit plan employees minimum requisition period under specific conditions | ' | ' | '5 years | ' | ' |
Supplemental Executive Retirement Plan [Member] | ' | ' | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ' | ' |
Net periodic benefit cost | 364,000 | 691,000 | 729,000 | 1,382,000 | ' |
Defined benefit plan, benefit obligation | 8,600,000 | ' | 8,600,000 | ' | 7,900,000 |
Normal retirement age under the SERP | ' | ' | '65 years | ' | ' |
Certain conditions allow for early retirement | ' | ' | '55 years | ' | ' |
Vesting percentage under plan upon attainment of age 55 and 10 years of service | ' | ' | 100.00% | ' | ' |
Supplemental retirement plan, Term | ' | ' | 'Vesting under the plan is defined as 100% upon a participant's attainment of age 55 and 10 years of service and 0% prior to a participant's attainment of age 55 and 10 years of service. | ' | ' |
Vesting percentage under plan prior to attainment of age 55 and 10 years of service | ' | ' | 0.00% | ' | ' |
Defined benefit plan employees minimum requisition period | ' | ' | '10 years | ' | ' |
Share based payment benefits payable targeted percentage | ' | ' | 45.00% | ' | ' |
Period in which the executive officer earned the highest salary and bonus | ' | ' | '3 years | ' | ' |
Period of employment of officer | ' | ' | '10 years | ' | ' |
Eligible age under condition one for reduced benefits under the plan | ' | ' | '62 years | ' | ' |
Employee service period under condition one | ' | ' | '10 years | ' | ' |
Normal retirement age | ' | ' | '55 years | ' | ' |
Service period reduction up to the retirement age | ' | ' | '25 years | ' | ' |
Lump sum payment period | ' | ' | '10 years | ' | ' |
Contributions made to the SERP | ' | ' | 0 | ' | ' |
Supplemental Executive Retirement Health Plan [Member] | ' | ' | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ' | ' |
Net periodic benefit cost | 84,000 | 232,000 | 46,000 | 463,000 | ' |
Defined benefit plan accumulated benefit obligation non-current | 2,100,000 | ' | 2,100,000 | ' | 2,600,000 |
Present value of the accumulated benefit obligation | $0 | ' | $0 | ' | $47,000 |
Employee_Benefit_Plans_Compone
Employee Benefit Plans - Components of Net Periodic Benefit Cost (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Supplemental Executive Retirement Plan [Member] | ' | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ' |
Service cost | $291 | $545 | $582 | $1,090 |
Interest cost | 73 | 117 | 147 | 234 |
Amortization of actuarial loss | ' | 29 | ' | 58 |
Net periodic benefit cost | 364 | 691 | 729 | 1,382 |
Supplemental Executive Retirement Health Plan [Member] | ' | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ' |
Service cost | 58 | 173 | 116 | 345 |
Interest cost | 26 | 33 | 52 | 67 |
Amortization of actuarial loss | ' | 26 | ' | 51 |
Settlement Gain | ' | ' | -122 | ' |
Net periodic benefit cost | $84 | $232 | $46 | $463 |
Fair_Value_Measurements_Additi
Fair Value Measurements - Additional Information (Detail) (USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Jun. 30, 2014 |
Fair Value Disclosures [Abstract] | ' |
Transfers into or out of Level 1, 2 or 3 assets | $0 |
Fair_Value_Measurements_Estima
Fair Value Measurements - Estimated Fair Value on Recurring and Non-Recurring Basis (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Non-recurring basis: | ' | ' |
Goodwill | $48,900 | $48,900 |
Non-Recurring Basis [Member] | ' | ' |
Non-recurring basis: | ' | ' |
Goodwill | ' | 48,900 |
Credit Facility [Member] | ' | ' |
Fair Value of Assets/(Liabilities) [Line Items] | ' | ' |
Credit facility | -81,747 | -62,642 |
Money Market Funds [Member] | Recurring Basis [Member] | ' | ' |
Recurring basis: | ' | ' |
Money market funds | 349 | 869 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Money Market Funds [Member] | Recurring Basis [Member] | ' | ' |
Recurring basis: | ' | ' |
Money market funds | 349 | 869 |
Significant Other Observable Inputs (Level 2) [Member] | Credit Facility [Member] | ' | ' |
Fair Value of Assets/(Liabilities) [Line Items] | ' | ' |
Credit facility | -81,747 | -62,642 |
Significant Unobservable Inputs (Level 3) [Member] | Non-Recurring Basis [Member] | ' | ' |
Non-recurring basis: | ' | ' |
Goodwill | ' | $48,900 |
Fair_Value_Measurements_Estima1
Fair Value Measurements - Estimated Fair Value on Recurring and Non-Recurring Basis (Parenthetical) (Detail) (GS [Member], USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
GS [Member] | ' |
Fair Value of Assets/(Liabilities) [Line Items] | ' |
Goodwill fair value | $18,973 |
Stock_Incentive_Plans_Addition
Stock Incentive Plans - Additional Information (Detail) (USD $) | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 6 Months Ended | 6 Months Ended | ||||||||||||
Mar. 31, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Apr. 05, 2013 | Jun. 30, 2014 | Jun. 20, 2006 | Jun. 30, 2014 | |
Employees | Stock Options Outstanding [Member] | Stock Options [Member] | Stock Options [Member] | Restricted Stock [Member] | Restricted Stock [Member] | Restricted Stock [Member] | Restricted Stock [Member] | Restricted Stock [Member] | Restricted Stock [Member] | 2013 Stock Incentive Plan [Member] | 2013 Stock Incentive Plan [Member] | 2006 Stock Incentive Plan [Member] | 2006 Stock Incentive Plan [Member] | Incentive Stock Option Plan [Member] | ||||
Minimum [Member] | Maximum [Member] | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Authorized awards | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,000,000 | ' | 7,900,000 | ' |
Option expiration period from grant date | ' | ' | ' | ' | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity plan expiration date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5-Apr-23 | ' | 28-Apr-16 | ' | ' |
Equity plan ceased year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2006 |
Stock-based compensation expense | ' | ' | $1,404,000 | $601,000 | ' | $0 | $0 | $605,000 | $326,000 | $1,404,000 | $601,000 | ' | ' | ' | ' | ' | ' | ' |
Unrecognized compensation cost on stock options | ' | ' | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restricted stock granted, vesting period | '5 years | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2 years | '10 years | ' | ' | ' | ' | ' |
Closing stock price grant by pre-established period | ' | '10 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restricted shares impacted by modification | 268,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Incremental compensation cost resulting from modification | 109,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of employees impacted by modification | 87 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unrecognized compensation cost on restricted stock | ' | ' | ' | ' | ' | ' | ' | $9,600,000 | ' | $9,600,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average period expected to be recognized | ' | ' | ' | ' | ' | ' | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' |
Stock_Incentive_Plans_Summary_
Stock Incentive Plans - Summary of Stock Option Activity (Detail) (USD $) | 6 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Outstanding and Exercisable as of December 31, 2013 | 180 |
Exercised | -60 |
Forfeited/Cancelled | -1 |
Outstanding and Exercisable as of June 30, 2014 | 119 |
Outstanding, Weighted Average Exercise Price per Share, Beginning Balance | $11.57 |
Exercised, Weighted Average Exercise Price per Share | $11.82 |
Forfeited/Cancelled, Weighted Average Exercise Price per Share | $11 |
Outstanding, Weighted Average Exercise Price per Share, Ending Balance | $11.46 |
Exercised, Total Intrinsic Value of Options Exercised | $592 |
Incentive Stock Option Plan [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Outstanding and Exercisable as of December 31, 2013 | 97 |
Exercised | -27 |
Forfeited/Cancelled | -1 |
Outstanding and Exercisable as of June 30, 2014 | 69 |
2006 Stock Incentive Plan [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Outstanding and Exercisable as of December 31, 2013 | 83 |
Exercised | -33 |
Outstanding and Exercisable as of June 30, 2014 | 50 |
Stock_Incentive_Plans_Summary_1
Stock Incentive Plans - Summary of Restricted Stock Activity (Detail) (Restricted Stock [Member], USD $) | 6 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 |
Restricted Stock [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Vested, Total Intrinsic Value of Restricted Stock Vested | $1,303 |
Outstanding as of December 31, 2013 | 811 |
Granted | 226 |
Forfeited/Cancelled | -14 |
Vested | -64 |
Outstanding as of June 30, 2014 | 959 |
Outstanding Beginning, Weighted Average Grant Date Fair Value | $16.89 |
Granted, Weighted Average Grant Date Fair Value | $20.48 |
Forfeited/Cancelled, Weighted Average Grant Date Fair Value | $18.01 |
Vested, Weighted Average Grant Date Fair Value | $14.64 |
Outstanding Ending, Weighted Average Grant Date Fair Value | $18.02 |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets - Activity in Goodwill and Other Intangible Assets (Detail) (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Dec. 31, 2013 |
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ' |
Goodwill | $48,900 | $48,900 |
Other intangible assets net, beginning balance | 4,993 | ' |
Amortization of intangible assets | -317 | ' |
Other intangible assets net, ending balance | $4,676 | ' |
Goodwill_and_Other_Intangible_3
Goodwill and Other Intangible Assets - Additional Information (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Goodwill And Other Intangible Assets [Line Items] | ' | ' |
Other intangible assets, net | $4,676,000 | $4,993,000 |
Accumulated amortization of intangible assets | 25,500,000 | 25,200,000 |
Estimated remaining amortization expense, 2014 | 317,000 | ' |
Estimated remaining amortization expense, 2015 | 634,000 | ' |
Estimated remaining amortization expense, 2016 | 457,000 | ' |
Estimated remaining amortization expense, 2017 | 209,000 | ' |
Estimated remaining amortization expense, 2018 | 209,000 | ' |
Customer Relationships, Customer Contracts, and Other [Member] | ' | ' |
Goodwill And Other Intangible Assets [Line Items] | ' | ' |
Other intangible assets, net | 2,500,000 | 2,800,000 |
Trade Names and Trademarks [Member] | ' | ' |
Goodwill And Other Intangible Assets [Line Items] | ' | ' |
Other intangible assets, net | $2,200,000 | $2,200,000 |
Reportable_Segments_Operations
Reportable Segments - Operations of Segments (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | $327,417 | $283,689 | $632,729 | $549,316 |
Gross profit | 103,195 | 92,847 | 194,294 | 176,183 |
Flexible Billings [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 314,807 | 270,385 | 610,378 | 524,460 |
Search Fees [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 12,610 | 13,304 | 22,351 | 24,856 |
Tech [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 211,201 | 180,569 | 407,672 | 348,204 |
Gross profit | 61,564 | 54,095 | 116,619 | 102,894 |
Tech [Member] | Flexible Billings [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 206,165 | 175,213 | 398,628 | 338,053 |
Tech [Member] | Search Fees [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 5,036 | 5,356 | 9,044 | 10,151 |
FA [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 67,611 | 60,854 | 130,393 | 117,380 |
Gross profit | 25,492 | 24,251 | 47,368 | 45,544 |
FA [Member] | Flexible Billings [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 60,057 | 52,954 | 117,157 | 102,815 |
FA [Member] | Search Fees [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 7,554 | 7,900 | 13,236 | 14,565 |
HIM [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 24,659 | 18,969 | 47,947 | 37,605 |
Gross profit | 8,809 | 6,252 | 16,382 | 12,232 |
HIM [Member] | Flexible Billings [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 24,639 | 18,921 | 47,876 | 37,465 |
HIM [Member] | Search Fees [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 20 | 48 | 71 | 140 |
GS [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 23,946 | 23,297 | 46,717 | 46,127 |
Gross profit | 7,330 | 8,249 | 13,925 | 15,513 |
GS [Member] | Flexible Billings [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | $23,946 | $23,297 | $46,717 | $46,127 |
Supplemental_Cash_Flow_Informa
Supplemental Cash Flow Information - Details of Supplemental Cash Flow Information (Detail) (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Cash paid during the period for: | ' | ' |
Income taxes, net | $3,660 | $8,648 |
Interest, net | 639 | 323 |
Non-Cash Transaction Information: | ' | ' |
Employee stock purchase plan | 370 | 306 |
Equipment acquired under capital leases | $72 | $1,396 |
Subsequent_Events_Additional_I
Subsequent Events - Additional Information (Detail) (Kforce Healthcare, Inc. [Member], RCM Acquisition, Inc. [Member], USD $) | Jun. 30, 2014 | Aug. 03, 2014 |
In Millions, unless otherwise specified | Subsequent Event [Member] | |
Subsequent Event [Line Items] | ' | ' |
Proceed from sale of business | ' | $119 |
Post closing transitional service period | ' | '12 months |
Disposed assets, current | 13.2 | ' |
Disposed assets, total | 13.4 | ' |
Disposed liabilities, current | 4.9 | ' |
Disposed liabilities, total | $7 | ' |