Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2014 | Oct. 24, 2014 | |
Document And Entity Information [Abstract] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Sep-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Trading Symbol | 'KFRC | ' |
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 | ' | 30,587,754 |
Unaudited_Condensed_Consolidat
Unaudited Condensed Consolidated Statements of Operations and Comprehensive Income (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Income Statement [Abstract] | ' | ' | ' | ' |
Net service revenues | $313,810 | $279,956 | $898,592 | $791,667 |
Direct costs of services | 215,519 | 188,901 | 622,389 | 536,662 |
Gross profit | 98,291 | 91,055 | 276,203 | 255,005 |
Selling, general and administrative expenses | 82,090 | 75,284 | 234,218 | 221,732 |
Depreciation and amortization | 2,642 | 2,536 | 7,391 | 7,395 |
Income from operations | 13,559 | 13,235 | 34,594 | 25,878 |
Other expense, net | 218 | 386 | 1,025 | 816 |
Income from continuing operations before income taxes | 13,341 | 12,849 | 33,569 | 25,062 |
Income tax expense | 5,346 | 5,213 | 13,232 | 10,053 |
Income from continuing operations | 7,995 | 7,636 | 20,337 | 15,009 |
Income from discontinued operations, net of taxes | 57,023 | 1,343 | 61,633 | 4,012 |
Net income | 65,018 | 8,979 | 81,970 | 19,021 |
Other comprehensive (loss) income: | ' | ' | ' | ' |
Defined benefit pension and postretirement plans, net of tax | -172 | 33 | -205 | 101 |
Comprehensive income | $64,846 | $9,012 | $81,765 | $19,122 |
Earnings per share - basic: | ' | ' | ' | ' |
From continuing operations | $0.26 | $0.23 | $0.63 | $0.44 |
From discontinued operations | $1.81 | $0.04 | $1.91 | $0.12 |
Earnings per share - basic | $2.07 | $0.27 | $2.54 | $0.56 |
Earnings per share - diluted: | ' | ' | ' | ' |
From continuing operations | $0.25 | $0.23 | $0.63 | $0.44 |
From discontinued operations | $1.81 | $0.04 | $1.89 | $0.12 |
Earnings per share - diluted | $2.06 | $0.27 | $2.52 | $0.56 |
Weighted average shares outstanding - basic | 31,347 | 32,985 | 32,267 | 33,705 |
Weighted average shares outstanding - diluted | 31,553 | 33,130 | 32,495 | 33,820 |
Cash dividends declared per share | $0.10 | ' | $0.30 | ' |
Unaudited_Condensed_Consolidat1
Unaudited Condensed Consolidated Balance Sheets (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current Assets: | ' | ' |
Cash and cash equivalents | $1,117 | $875 |
Trade receivables, net of allowances of $2,239 and $2,028, respectively | 202,420 | 179,095 |
Income tax refund receivable | 39 | 7,720 |
Deferred tax assets, net | 5,324 | 4,662 |
Prepaid expenses and other current assets | 10,254 | 10,534 |
Total current assets | 219,154 | 202,886 |
Fixed assets, net | 35,736 | 36,728 |
Other assets, net | 30,002 | 30,991 |
Deferred tax assets, net | 21,200 | 23,270 |
Intangible assets, net | 4,517 | 4,993 |
Goodwill | 44,014 | 48,900 |
Total assets | 354,623 | 347,768 |
Current Liabilities: | ' | ' |
Accounts payable and other accrued liabilities | 38,123 | 31,821 |
Accrued payroll costs | 59,278 | 56,872 |
Other current liabilities | 998 | 1,141 |
Income taxes payable | 33,395 | 139 |
Total current liabilities | 131,794 | 89,973 |
Long-term debt - credit facility | 12,675 | 62,642 |
Long-term debt - other | 762 | 1,364 |
Other long-term liabilities | 34,129 | 36,556 |
Total liabilities | 179,360 | 190,535 |
Commitments and contingencies (see Note C) | ' | ' |
Stockholders' Equity: | ' | ' |
Preferred stock, $0.01 par; 15,000 shares authorized, none issued and outstanding | 0 | 0 |
Common stock, $0.01 par; 250,000 shares authorized, 70,015 and 69,480 issued, respectively | 700 | 695 |
Additional paid-in capital | 411,081 | 404,600 |
Accumulated other comprehensive income | 112 | 317 |
Retained earnings | 119,696 | 47,612 |
Treasury stock, at cost; 38,689 and 35,751 shares, respectively | -356,326 | -295,991 |
Total stockholders' equity | 175,263 | 157,233 |
Total liabilities and stockholders' equity | $354,623 | $347,768 |
Unaudited_Condensed_Consolidat2
Unaudited Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Statement of Financial Position [Abstract] | ' | ' |
Trade receivables, allowances | $2,239 | $2,028 |
Preferred stock, par value | $0.01 | $0.01 |
Preferred stock, shares authorized | 15,000,000 | 15,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 250,000,000 | 250,000,000 |
Common stock, shares issued | 70,015,000 | 69,480,000 |
Treasury stock, shares | 38,689,000 | 35,751,000 |
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 |
Repurchases of common stock | ' | ' | ' | ' | ' | 2,961 |
Issuance for stock-based compensation and dividends, net of forfeitures | ' | 445 | ' | ' | ' | ' |
Shares tendered in payment of the exercise price of stock options, shares | ' | ' | ' | ' | ' | 4 |
Exercise of stock options, shares | ' | 90 | ' | ' | ' | ' |
Employee stock purchase plan | ' | ' | ' | ' | ' | -27 |
Repurchases of common stock | ' | ' | ' | ' | ' | -60,486 |
Issuance for stock-based compensation and dividends, net of forfeitures | ' | 4 | 274 | ' | ' | ' |
Net income | 81,970 | ' | ' | ' | 81,970 | ' |
Pension and postretirement plans, net of tax of $21 | -205 | ' | ' | -205 | ' | ' |
Shares tendered in payment of the exercise price of stock options | -84 | ' | ' | ' | ' | -84 |
Exercise of stock options | ' | 1 | 1,032 | ' | ' | ' |
Dividends, net of forfeitures ($0.30 per share) | ' | ' | ' | ' | -9,886 | ' |
Income tax benefit from stock-based compensation | ' | ' | 329 | ' | ' | ' |
Stock-based compensation expense | -4,500 | ' | 4,531 | ' | ' | ' |
Employee stock purchase plan | 550 | ' | 315 | ' | ' | 235 |
Balance at end of period at Sep. 30, 2014 | $175,263 | $700 | $411,081 | $112 | $119,696 | ($356,326) |
Shares at end of period at Sep. 30, 2014 | ' | 70,015 | ' | ' | ' | 38,689 |
Unaudited_Condensed_Consolidat4
Unaudited Condensed Consolidated Statement of Changes in Stockholders' Equity (Parenthetical) (USD $) | 9 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2014 |
Dividends, net of forfeitures | $0.30 |
Accumulated Other Comprehensive Income [Member] | ' |
Pension and postretirement plans, tax | $21 |
Retained Earnings [Member] | ' |
Dividends, net of forfeitures | $0.30 |
Unaudited_Condensed_Consolidat5
Unaudited Condensed Consolidated Statements of Cash Flows (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Cash flows from operating activities: | ' | ' |
Net income | $81,970 | $19,021 |
Adjustments to reconcile net income to cash provided by operating activities: | ' | ' |
Gain on sale of discontinued operations | -64,619 | 0 |
Deferred income tax provision, net | 1,428 | 1,451 |
Provision for bad debts on accounts receivable | 1,080 | 969 |
Depreciation and amortization | 7,541 | 7,395 |
Stock-based compensation | 2,084 | 937 |
Pension and postretirement benefit plans expense | 990 | 2,844 |
Tax benefit attributable to stock-based compensation | 329 | 104 |
Excess tax benefit attributable to stock-based compensation | -128 | -42 |
Deferred compensation liability increase, net | 739 | 2,554 |
Gain on cash surrender value of Company-owned life insurance | -544 | -2,599 |
Gain from Company-owned life insurance proceeds | -849 | ' |
Other | -107 | 105 |
(Increase) decrease in operating assets: | ' | ' |
Trade receivables, net | -38,303 | -31,334 |
Income tax refund receivable | 7,681 | -2,430 |
Prepaid expenses and other current assets | 66 | -2,731 |
Other assets, net | -42 | 139 |
Increase (decrease) in operating liabilities: | ' | ' |
Accounts payable and other current liabilities | 4,854 | -2,413 |
Accrued payroll costs | 6,674 | 6,835 |
Income taxes payable | -5,000 | 2,414 |
Other long-term liabilities | -2,135 | 553 |
Cash provided by operating activities | 3,709 | 3,772 |
Cash flows from investing activities: | ' | ' |
Proceeds from disposition of business | 117,887 | 0 |
Capital expenditures | -4,787 | -6,043 |
Proceeds from the disposition of assets held within the Rabbi Trust | 2,330 | 1,845 |
Purchase of assets held within the Rabbi Trust | -2,156 | -2,611 |
Proceeds from Company-owned life insurance | 1,037 | ' |
Other | 1 | 17 |
Cash provided by (used in) investing activities | 114,312 | -6,792 |
Cash flows from financing activities: | ' | ' |
Proceeds from bank line of credit | 444,846 | 433,122 |
Payments on bank line of credit | -494,778 | -400,711 |
Payments of capital expenditure financing | -878 | -1,129 |
Short-term vendor financing | 146 | -150 |
Proceeds from exercise of stock options, net of shares tendered in payment of exercise | 949 | 321 |
Excess tax benefit attributable to stock-based compensation | 128 | 42 |
Payment of loan financing fees | -35 | ' |
Repurchases of common stock | -58,550 | -29,053 |
Cash dividend | -9,607 | ' |
Cash (used in) provided by financing activities | -117,779 | 2,442 |
Change in cash and cash equivalents | 242 | -578 |
Cash and cash equivalents at beginning of period | 875 | 1,381 |
Cash and cash equivalents at end of period | $1,117 | $803 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 9 Months Ended | ||||||||||||||||
Sep. 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 its subsidiaries (collectively, “Kforce”) provide professional staffing services and solutions to customers in the following segments: Technology (“Tech”), Finance and Accounting (“FA”) 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 nine months ended September 30, 2014 and 2013 and these revenues 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 September 30, 2014, our results of operations for the three and nine months ended September 30, 2014 and our cash flows for the nine months ended September 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. | |||||||||||||||||
Certain prior year amounts have been reclassified to conform with the current year presentation for amounts related to discontinued operations (see Note B “Discontinued Operations” for further information on the discontinued operations). | |||||||||||||||||
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 nine months ended September 30 (in thousands, except per share amounts): | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Numerator: | |||||||||||||||||
Income from continuing operations | $ | 7,995 | $ | 7,636 | $ | 20,337 | $ | 15,009 | |||||||||
Income from discontinued operations, net of tax | 57,023 | 1,343 | 61,633 | 4,012 | |||||||||||||
Net income | $ | 65,018 | $ | 8,979 | $ | 81,970 | $ | 19,021 | |||||||||
Denominator: | |||||||||||||||||
Weighted average shares outstanding – basic | 31,347 | 32,985 | 32,267 | 33,705 | |||||||||||||
Common stock equivalents | 206 | 145 | 228 | 115 | |||||||||||||
Weighted average shares outstanding – diluted | 31,553 | 33,130 | 32,495 | 33,820 | |||||||||||||
Earnings per share – basic: | |||||||||||||||||
From continuing operations | $ | 0.26 | $ | 0.23 | $ | 0.63 | $ | 0.44 | |||||||||
From discontinued operations | 1.81 | 0.04 | 1.91 | 0.12 | |||||||||||||
Earnings per share – basic | $ | 2.07 | $ | 0.27 | $ | 2.54 | $ | 0.56 | |||||||||
Earnings per share – diluted: | |||||||||||||||||
From continuing operations | $ | 0.25 | $ | 0.23 | $ | 0.63 | $ | 0.44 | |||||||||
From discontinued operations | 1.81 | 0.04 | 1.89 | 0.12 | |||||||||||||
Earnings per share – diluted | $ | 2.06 | $ | 0.27 | $ | 2.52 | $ | 0.56 | |||||||||
For both the three and nine months ended September 30, 2014 and 2013, there were no shares of common stock excluded from the computation of dilutive earnings per share based on the fact that 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 underlying outstanding and unvested restricted stock. The following summarizes the dividends declared for the three and nine months ended September 30: | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Dividends declared per share | $ | 0.1 | $ | — | $ | 0.3 | $ | — | |||||||||
Kforce currently expects to continue to declare and pay quarterly dividends of an amount similar to its quarterly dividends of $0.10 thus far during 2014. 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 and the legal ability of Kforce to pay dividends at such time. | |||||||||||||||||
New Accounting Standard | |||||||||||||||||
In August 2014, the FASB issued authoritative guidance regarding disclosure of uncertainties about and entity’s ability to continue as a going concern, which requires management to evaluate, at each interim and annual reporting period, whether there are conditions or events that raise substantial doubt about the entity’s ability to continue as a going concern within one year after the date the financial statements are issued, and provide related disclosures. This guidance is the be applied for annual periods ending after December 15, 2016, and for annual and interim periods thereafter, and early adoption is permitted. We do not anticipate a material impact to the consolidated financial statements upon adoption. | |||||||||||||||||
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. | |||||||||||||||||
In April 2014, the FASB issued authoritative guidance regarding reporting discontinued operations and disclosures of disposals of components of an entity, which specifies additional thresholds for a disposal to qualify as a discontinued operation and requires new disclosures of both discontinued operations and certain other disposals that do not meet the definition of a discontinued operation. The guidance is to be applied for annual reporting periods beginning on or after December 15, 2014, and early adoption is permitted. Kforce has elected not to adopt this standard early. |
Discontinued_Operations
Discontinued Operations | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | ||||||||||||||||
Discontinued Operations | ' | ||||||||||||||||
Note B – Discontinued Operations | |||||||||||||||||
Effective August 3, 2014, Kforce sold to RCM Acquisition, Inc. (the “Purchaser”), under a Stock Purchase Agreement (“SPA”) dated August 4, 2014, all of the issued and outstanding stock of Kforce Healthcare, Inc. (“KHI”), a wholly-owned subsidiary of the Firm and operator of the former Health Information Management (“HIM”) reporting segment, for a total cash purchase price of $119.0 million, subject to a post-closing working capital adjustment. As a result of the final working capital adjustment, Kforce had a payable to the Purchaser of $96 thousand as of September 30, 2014; this is expected to be paid during the quarter ended December 31, 2014 and Kforce does not expect any further post-closing working capital adjustments. | |||||||||||||||||
In connection with the sale, Kforce entered into a Transition Services Agreement (“TSA”) with the Purchaser to provide certain post-closing transitional services for a period not to exceed 12 months. The fees for these services will be generally equivalent to Kforce’s cost, and additional services may be provided at negotiated rates. Although the services provided under the TSA generate continuing cash flows between Kforce and the Purchaser, the amounts are not considered to be direct cash flows of the discontinued operation nor are they significant to the ongoing operations of either entity. Kforce has no contractual ability through the TSA, SPA or any other agreement to significantly influence the operating or financial policies of the Purchaser. As a result, Kforce has no significant continuing involvement in the operations of KHI and, as such, has classified the operating results of the former HIM reporting segment as discontinued operations. | |||||||||||||||||
In accordance with and defined within the SPA, Kforce is obligated to indemnify the Purchaser for certain losses, as defined, in excess of $1.19 million, although this deductible does not apply to certain specified losses. Kforce’s obligations under the indemnification provisions of the SPA are, in some cases, limited to an aggregate of $8.925 million; this only applies to certain specified losses. While it cannot be certain, Kforce believes any material exposure under the indemnification provisions is remote and, as a result, has not recorded a liability as of September 30, 2014. | |||||||||||||||||
The total financial results of HIM have been presented as discontinued operations in the accompanying Unaudited Condensed Consolidated Statements of Operations and Comprehensive Income. The following summarizes the revenues and pretax profits of HIM for the three and nine months ended September 30 (in thousands): | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Net service revenues | $ | 8,723 | $ | 19,696 | $ | 56,670 | $ | 57,301 | |||||||||
Income from discontinued operations, before income taxes | $ | 95,917 | $ | 2,242 | $ | 103,512 | $ | 6,697 | |||||||||
For the three and nine months ended September 30, 2014, the income from discontinued operations included a gain, net of transaction costs, on the sale of discontinued operations of $94.3 million pretax, or $56.1 million after tax. The transaction costs primarily included legal fees, stock-based compensation related to the acceleration of restricted stock, commissions and transaction bonuses in the form of cash and common stock, which, in the aggregate, totaled $11.0 million. Stock-based compensation related to acceleration of restricted stock and transaction bonuses paid in stock in lieu of cash was $2.4 million for the three and nine months ended September 30, 2014. Kforce utilized the proceeds from the sale of HIM to pay down the outstanding borrowings under our credit facility, which is the primary cause for the decrease in long-term debt – credit facility for the period ended September 30, 2014 in the accompanying Unaudited Condensed Consolidated Balance Sheets. Additionally, the increase in the income tax payable in the related Unaudited Condensed Consolidated Balance Sheets was largely due to the sale of HIM. | |||||||||||||||||
Certain of the assets and liabilities pertaining to the discontinued operations of HIM as of the closing date were sold to or assumed by the Purchaser, and deconsolidated from Kforce. The following table summarizes the carrying amounts of the major classes of assets and liabilities at December 31, 2013 related to the discontinued operation, including those not sold to or assumed by the Purchaser (in thousands): | |||||||||||||||||
December 31, | |||||||||||||||||
2013 | |||||||||||||||||
Assets: | |||||||||||||||||
Trade receivables | $ | 11,755 | |||||||||||||||
Goodwill | 4,886 | ||||||||||||||||
Prepaid expenses and other current assets | 219 | ||||||||||||||||
Fixed assets, net | 162 | ||||||||||||||||
Other assets, net | 88 | ||||||||||||||||
Total assets | 17,110 | ||||||||||||||||
Liabilities: | |||||||||||||||||
Accounts payable and other accrued liabilities | 712 | ||||||||||||||||
Accrued payroll costs | 4,177 | ||||||||||||||||
Other long-term liabilities | 868 | ||||||||||||||||
Total liabilities | 5,757 | ||||||||||||||||
Net assets | $ | 11,353 | |||||||||||||||
As of September 30, 2014, transaction costs accrued and unpaid amounted to $245 thousand, which are expected to be paid during the fourth quarter ending December 31, 2014, and have been classified in accounts payable and other accrued liabilities in the accompanying Unaudited Condensed Consolidated Balance Sheet. Kforce does not currently anticipate incurring any significant costs related to the discontinued operations above costs to service the TSA in future periods. |
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Commitments and Contingencies | ' |
Note C – 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. 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 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. That motion has been fully briefed and is awaiting decision by the court. On October 8, 2014, the United States government filed a notice of its election to decline to intervene in the case. | |
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 Kforce or for good reason by the executive. These agreements contain certain post-employment restrictive covenants. Kforce’s liability at September 30, 2014 would be approximately $36.1 million if, following a change in control, all of the executives under contract were terminated without good cause by the employer or if the executives resigned for good reason and $16.0 million if, in the absence of a change of control, all of the executives under contract were terminated by Kforce without good cause or if the executives 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 | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Postemployment Benefits [Abstract] | ' | ||||||||||||||||
Employee Benefit Plans | ' | ||||||||||||||||
Note D – 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 (“Foreign Pension Plan”). 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 nine months ended September 30, 2014, net periodic benefit cost was $68 thousand and $199 thousand, respectively. For the three and nine months ended September 30, 2013, net periodic benefit cost was $53 thousand and $164 thousand, respectively. The net periodic benefit cost recognized for the three and nine months ended September 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 September 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 nine months ended September 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 nine months ended September 30 (in thousands): | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Service cost | $ | 291 | $ | 544 | $ | 873 | $ | 1,634 | |||||||||
Interest cost | 74 | 118 | 221 | 352 | |||||||||||||
Amortization of actuarial loss | — | 29 | — | 87 | |||||||||||||
Net periodic benefit cost | $ | 365 | $ | 691 | $ | 1,094 | $ | 2,073 | |||||||||
The net periodic benefit cost recognized for the three and nine months ended September 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 September 30, 2014 and December 31, 2013 was $8.9 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 nine months ended September 30, 2014. Kforce does not currently anticipate funding the SERP during the year ending December 31, 2014. | |||||||||||||||||
Supplemental Executive Retirement Health Plan | |||||||||||||||||
Kforce maintained a Supplemental Executive Retirement Health Plan (“SERHP”) to provide postretirement health and welfare benefits to certain executives. The vesting and eligibility requirements mirrored that of the SERP, and no advance funding was required by Kforce or the participants. Consistent with the SERP, none of the benefits earned were attributable to services provided prior to the effective date of the plan. | |||||||||||||||||
During the three months ended March 31, 2014, Kforce made a lump sum payment of $639 thousand to a participant in the SERHP in order to settle all future benefit payments due under the SERHP, resulting in a settlement gain of $122 thousand. Additionally, during the three months ended September 30, 2014, Kforce made lump sum payments of $3.2 million in the aggregate to all remaining participants in the SERHP in order terminate the SERHP and to settle all future benefit payments due under the SERHP. This termination effectively removed Kforce’s related postretirement benefit obligation, and resulted in a settlement loss of $847 thousand. | |||||||||||||||||
The following represents the components of net periodic postretirement benefit cost for the three and nine months ended September 30 (in thousands): | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Service cost | $ | 58 | $ | 173 | $ | 174 | $ | 518 | |||||||||
Interest cost | 26 | 33 | 78 | 100 | |||||||||||||
Amortization of actuarial loss | — | 26 | — | 77 | |||||||||||||
Settlement loss/(gain) | 847 | — | 725 | — | |||||||||||||
Net periodic benefit cost | $ | 931 | $ | 232 | $ | 977 | $ | 695 | |||||||||
The net periodic post-retirement benefit cost recognized for the three and nine months ended September 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. | |||||||||||||||||
As a result of the settlement with the remaining participants during September 2014, there was no accumulated postretirement benefit obligation liability as of September 30, 2014. As of December 31, 2013, the long-term portion of the accumulated postretirement benefit obligation was $2.6 million, and is recorded in other long-term liabilities in the accompanying Unaudited Condensed Consolidated Balance Sheets and the current portion of the accumulated postretirement benefit obligation as recorded in other current liabilities in the accompanying Unaudited Condensed Consolidated Balance Sheets was $47 thousand. |
Fair_Value_Measurements
Fair Value Measurements | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||
Note E – 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 September 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 nine months ended September 30, 2014. The estimated fair values on Kforce’s financial statements as of September 30, 2014 and December 31, 2013 were as follows (in thousands): | |||||||||||||||||
Fair Value of Assets/(Liabilities): | Asset/(Liability) | Quoted Prices in | Significant | Significant | |||||||||||||
Active Markets | Other | Unobservable | |||||||||||||||
for Identical | Observable | Inputs (Level 3) | |||||||||||||||
Assets (Level 1) | Inputs (Level 2) | ||||||||||||||||
As of September 30, 2014: | |||||||||||||||||
Credit facility (1) | $ | (12,675 | ) | $ | — | $ | (12,675 | ) | $ | — | |||||||
Recurring basis: | |||||||||||||||||
Money market funds | $ | 151 | $ | 151 | $ | — | $ | — | |||||||||
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 | 9 Months Ended | ||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||||||||||
Stock Incentive Plans | ' | ||||||||||||||||||||
Note F – 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, restricted stock and common 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. | |||||||||||||||||||||
During the three months ended September 30, 2014 and 2013, Kforce recognized total stock-based compensation expense of $3.1 million and $336 thousand, respectively. During the nine months ended September 30, 2014 and 2013, Kforce recognized total stock-based compensation expense of $4.5 million and $937 thousand, respectively. During the three months ended September 30, 2014 and 2013, Kforce recognized stock-based compensation expense from continuing operations of $671 thousand and $336 thousand, respectively. During the nine months ended September 30, 2014 and 2013, Kforce recognized stock-based compensation expense from continuing operations of $2.1 million and $937 thousand, respectively. | |||||||||||||||||||||
Stock Options | |||||||||||||||||||||
The following table presents stock option activity during the nine months ended September 30, 2014 (in thousands, except per share amounts): | |||||||||||||||||||||
Incentive | 2006 | Total | Weighted | Total | |||||||||||||||||
Stock Option | Stock | Average | Intrinsic | ||||||||||||||||||
Plan | Incentive | Exercise | Value of | ||||||||||||||||||
Plan | Price per | Options | |||||||||||||||||||
Share | Exercised | ||||||||||||||||||||
Outstanding and Exercisable as of December 31, 2013 | 97 | 83 | 180 | $ | 11.57 | ||||||||||||||||
Exercised | (57 | ) | (33 | ) | (90 | ) | $ | 11.53 | $ | 860 | |||||||||||
Forfeited/Cancelled | (1 | ) | — | (1 | ) | $ | 11 | ||||||||||||||
Outstanding and Exercisable as of September 30, 2014 | 39 | 50 | 89 | $ | 11.63 | ||||||||||||||||
As of September 30, 2014, there was no unrecognized compensation cost related to non-vested options. | |||||||||||||||||||||
Restricted Stock | |||||||||||||||||||||
Kforce’s annual restricted stock grants made to 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. Additionally, Kforce, with the approval of the Compensation Committee, grants restricted stock in varying amounts as determined appropriate during the year to retain executives and management. Restricted stock granted during the nine months ended September 30, 2014 will vest over a period of two to ten years, with equal vesting annually. | |||||||||||||||||||||
Restricted stock contain the same voting rights as other common stock 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 nine months ended September 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 | 408 | $ | 20.03 | ||||||||||||||||||
Forfeited/Cancelled | (55 | ) | $ | 18.25 | |||||||||||||||||
Vested | (125 | ) | $ | 15.24 | $ | 2,532 | |||||||||||||||
Outstanding as of September 30, 2014 | 1,039 | $ | 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. As of September 30, 2014, total unrecognized compensation expense related to restricted stock was $12.0 million, which will be recognized over a weighted average remaining period of 4.8 years. | |||||||||||||||||||||
Common Stock | |||||||||||||||||||||
As discussed within Note B “Discontinued Operations,” the transaction expense related to the sale of HIM included commissions and transaction bonuses paid by the Firm in the form of Kforce common stock. As a result, during the three and nine months ended September 30, 2014, Kforce issued 92 thousand shares of common stock. During the three and nine months ended September 30, 2013, there was no similar common stock issuance. |
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||
Goodwill and Other Intangible Assets | ' | ||||||||
Note G – Goodwill and Other Intangible Assets | |||||||||
The following table sets forth the activity in goodwill and other intangible assets during the nine months ended September 30, 2014 (in thousands): | |||||||||
Goodwill | Other | ||||||||
Intangible | |||||||||
Assets, Net | |||||||||
Balance as of December 31, 2013 | $ | 48,900 | $ | 4,993 | |||||
Disposition of HIM | (4,886 | ) | — | ||||||
Amortization of intangible assets | — | (476 | ) | ||||||
Balance as of September 30, 2014 | $ | 44,014 | $ | 4,517 | |||||
As of September 30, 2014 and December 31, 2013, other intangible assets, net in the accompanying Unaudited Condensed Consolidated Balance Sheets consisted of $2.3 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 September 30, 2014 and December 31, 2013, accumulated amortization for intangible assets was $25.7 million and $25.2 million, respectively. The estimated remaining amortization expense is $158 thousand for 2014, $634 thousand for 2015, $457 thousand for 2016, $209 thousand for 2017 and $209 thousand for 2018. |
Reportable_Segments
Reportable Segments | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Reportable Segments | ' | ||||||||||||||||
Note H – Reportable Segments | |||||||||||||||||
Kforce’s reportable segments are as follows: (i) Tech; (ii) FA; and (iii) 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. The following table has been updated to reflect the disposition of HIM. As described in Note B – “Discontinued Operations,” all revenues and gross profit associated with the discontinued operation have been recorded within income from discontinued operations, net of tax, in the Unaudited Condensed Consolidated Statement of Operations and Comprehensive Income. | |||||||||||||||||
Historically, and for the three and nine months ended September 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 nine months ended September 30, 2014 and 2013 (in thousands): | |||||||||||||||||
Tech | FA | GS | Total | ||||||||||||||
Three Months Ended September 30: | |||||||||||||||||
2014 | |||||||||||||||||
Net service revenues: | |||||||||||||||||
Flexible billings | $ | 212,269 | $ | 64,254 | $ | 24,787 | $ | 301,310 | |||||||||
Search fees | 5,374 | 7,126 | — | 12,500 | |||||||||||||
Total net service revenues | $ | 217,643 | $ | 71,380 | $ | 24,787 | $ | 313,810 | |||||||||
Gross profit | $ | 63,591 | $ | 26,425 | $ | 8,275 | $ | 98,291 | |||||||||
2013 | |||||||||||||||||
Net service revenues: | |||||||||||||||||
Flexible billings | $ | 188,888 | $ | 54,791 | $ | 24,127 | $ | 267,806 | |||||||||
Search fees | 4,694 | 7,456 | — | 12,150 | |||||||||||||
Total net service revenues | $ | 193,582 | $ | 62,247 | $ | 24,127 | $ | 279,956 | |||||||||
Gross profit | $ | 58,287 | $ | 24,064 | $ | 8,704 | $ | 91,055 | |||||||||
Nine Months Ended September 30: | |||||||||||||||||
2014 | |||||||||||||||||
Net service revenues: | |||||||||||||||||
Flexible billings | $ | 610,897 | $ | 181,411 | $ | 71,504 | $ | 863,812 | |||||||||
Search fees | 14,418 | 20,362 | — | 34,780 | |||||||||||||
Total net service revenues | $ | 625,315 | $ | 201,773 | $ | 71,504 | $ | 898,592 | |||||||||
Gross profit | $ | 180,210 | $ | 73,793 | $ | 22,200 | $ | 276,203 | |||||||||
2013 | |||||||||||||||||
Net service revenues: | |||||||||||||||||
Flexible billings | $ | 526,941 | $ | 157,606 | $ | 70,254 | $ | 754,801 | |||||||||
Search fees | 14,845 | 22,021 | — | 36,866 | |||||||||||||
Total net service revenues | $ | 541,786 | $ | 179,627 | $ | 70,254 | $ | 791,667 | |||||||||
Gross profit | $ | 161,181 | $ | 69,607 | $ | 24,217 | $ | 255,005 |
Supplemental_Cash_Flow
Supplemental Cash Flow | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Supplemental Cash Flow Elements [Abstract] | ' | ||||||||
Supplemental Cash Flow | ' | ||||||||
Note I – Supplemental Cash Flow | |||||||||
Supplemental cash flow information is as follows for the nine months ended September 30 (in thousands): | |||||||||
Nine Months Ended | |||||||||
September 30, | September 30, | ||||||||
2014 | 2013 | ||||||||
Supplemental Cash Flow Information: | |||||||||
Cash paid during the period for: | |||||||||
Income taxes, net | $ | 12,608 | $ | 11,290 | |||||
Interest, net | $ | 637 | $ | 558 | |||||
Non-Cash Transaction Information: | |||||||||
Employee stock purchase plan | $ | 550 | $ | 462 | |||||
Equipment acquired under capital leases | $ | 130 | $ | 1,957 | |||||
Unsettled repurchases of common stock | $ | 1,937 | $ | — | |||||
Shares tendered in payment of the exercise price of stock options | $ | 84 | $ | — |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
Organization and Nature of Operations | ' | ||||||||||||||||
Organization and Nature of Operations | |||||||||||||||||
Kforce Inc. and its subsidiaries (collectively, “Kforce”) provide professional staffing services and solutions to customers in the following segments: Technology (“Tech”), Finance and Accounting (“FA”) 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 nine months ended September 30, 2014 and 2013 and these revenues 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 September 30, 2014, our results of operations for the three and nine months ended September 30, 2014 and our cash flows for the nine months ended September 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. | |||||||||||||||||
Certain prior year amounts have been reclassified to conform with the current year presentation for amounts related to discontinued operations (see Note B “Discontinued Operations” for further information on the discontinued operations). | |||||||||||||||||
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 nine months ended September 30 (in thousands, except per share amounts): | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Numerator: | |||||||||||||||||
Income from continuing operations | $ | 7,995 | $ | 7,636 | $ | 20,337 | $ | 15,009 | |||||||||
Income from discontinued operations, net of tax | 57,023 | 1,343 | 61,633 | 4,012 | |||||||||||||
Net income | $ | 65,018 | $ | 8,979 | $ | 81,970 | $ | 19,021 | |||||||||
Denominator: | |||||||||||||||||
Weighted average shares outstanding – basic | 31,347 | 32,985 | 32,267 | 33,705 | |||||||||||||
Common stock equivalents | 206 | 145 | 228 | 115 | |||||||||||||
Weighted average shares outstanding – diluted | 31,553 | 33,130 | 32,495 | 33,820 | |||||||||||||
Earnings per share – basic: | |||||||||||||||||
From continuing operations | $ | 0.26 | $ | 0.23 | $ | 0.63 | $ | 0.44 | |||||||||
From discontinued operations | 1.81 | 0.04 | 1.91 | 0.12 | |||||||||||||
Earnings per share – basic | $ | 2.07 | $ | 0.27 | $ | 2.54 | $ | 0.56 | |||||||||
Earnings per share – diluted: | |||||||||||||||||
From continuing operations | $ | 0.25 | $ | 0.23 | $ | 0.63 | $ | 0.44 | |||||||||
From discontinued operations | 1.81 | 0.04 | 1.89 | 0.12 | |||||||||||||
Earnings per share – diluted | $ | 2.06 | $ | 0.27 | $ | 2.52 | $ | 0.56 | |||||||||
For both the three and nine months ended September 30, 2014 and 2013, there were no shares of common stock excluded from the computation of dilutive earnings per share based on the fact that 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 underlying outstanding and unvested restricted stock. The following summarizes the dividends declared for the three and nine months ended September 30: | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Dividends declared per share | $ | 0.1 | $ | — | $ | 0.3 | $ | — | |||||||||
Kforce currently expects to continue to declare and pay quarterly dividends of an amount similar to its quarterly dividends of $0.10 thus far during 2014. 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 and the legal ability of Kforce to pay dividends at such time. | |||||||||||||||||
New Accounting Standard | ' | ||||||||||||||||
New Accounting Standard | |||||||||||||||||
In August 2014, the FASB issued authoritative guidance regarding disclosure of uncertainties about and entity’s ability to continue as a going concern, which requires management to evaluate, at each interim and annual reporting period, whether there are conditions or events that raise substantial doubt about the entity’s ability to continue as a going concern within one year after the date the financial statements are issued, and provide related disclosures. This guidance is the be applied for annual periods ending after December 15, 2016, and for annual and interim periods thereafter, and early adoption is permitted. We do not anticipate a material impact to the consolidated financial statements upon adoption. | |||||||||||||||||
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. | |||||||||||||||||
In April 2014, the FASB issued authoritative guidance regarding reporting discontinued operations and disclosures of disposals of components of an entity, which specifies additional thresholds for a disposal to qualify as a discontinued operation and requires new disclosures of both discontinued operations and certain other disposals that do not meet the definition of a discontinued operation. The guidance is to be applied for annual reporting periods beginning on or after December 15, 2014, and early adoption is permitted. Kforce has elected not to adopt this standard early. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 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 nine months ended September 30 (in thousands, except per share amounts): | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Numerator: | |||||||||||||||||
Income from continuing operations | $ | 7,995 | $ | 7,636 | $ | 20,337 | $ | 15,009 | |||||||||
Income from discontinued operations, net of tax | 57,023 | 1,343 | 61,633 | 4,012 | |||||||||||||
Net income | $ | 65,018 | $ | 8,979 | $ | 81,970 | $ | 19,021 | |||||||||
Denominator: | |||||||||||||||||
Weighted average shares outstanding – basic | 31,347 | 32,985 | 32,267 | 33,705 | |||||||||||||
Common stock equivalents | 206 | 145 | 228 | 115 | |||||||||||||
Weighted average shares outstanding – diluted | 31,553 | 33,130 | 32,495 | 33,820 | |||||||||||||
Earnings per share – basic: | |||||||||||||||||
From continuing operations | $ | 0.26 | $ | 0.23 | $ | 0.63 | $ | 0.44 | |||||||||
From discontinued operations | 1.81 | 0.04 | 1.91 | 0.12 | |||||||||||||
Earnings per share – basic | $ | 2.07 | $ | 0.27 | $ | 2.54 | $ | 0.56 | |||||||||
Earnings per share – diluted: | |||||||||||||||||
From continuing operations | $ | 0.25 | $ | 0.23 | $ | 0.63 | $ | 0.44 | |||||||||
From discontinued operations | 1.81 | 0.04 | 1.89 | 0.12 | |||||||||||||
Earnings per share – diluted | $ | 2.06 | $ | 0.27 | $ | 2.52 | $ | 0.56 | |||||||||
Summary of Dividends Declared | ' | ||||||||||||||||
The following summarizes the dividends declared for the three and nine months ended September 30: | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Dividends declared per share | $ | 0.1 | $ | — | $ | 0.3 | $ | — |
Discontinued_Operations_Tables
Discontinued Operations (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | ||||||||||||||||
Summary of Revenues and Pretax Profits | ' | ||||||||||||||||
The following summarizes the revenues and pretax profits of HIM for the three and nine months ended September 30 (in thousands): | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Net service revenues | $ | 8,723 | $ | 19,696 | $ | 56,670 | $ | 57,301 | |||||||||
Income from discontinued operations, before income taxes | $ | 95,917 | $ | 2,242 | $ | 103,512 | $ | 6,697 | |||||||||
Summary of Carrying Amounts for Major Classes of Assets and Liabilities | ' | ||||||||||||||||
The following table summarizes the carrying amounts of the major classes of assets and liabilities at December 31, 2013 related to the discontinued operation, including those not sold to or assumed by the Purchaser (in thousands): | |||||||||||||||||
December 31, | |||||||||||||||||
2013 | |||||||||||||||||
Assets: | |||||||||||||||||
Trade receivables | $ | 11,755 | |||||||||||||||
Goodwill | 4,886 | ||||||||||||||||
Prepaid expenses and other current assets | 219 | ||||||||||||||||
Fixed assets, net | 162 | ||||||||||||||||
Other assets, net | 88 | ||||||||||||||||
Total assets | 17,110 | ||||||||||||||||
Liabilities: | |||||||||||||||||
Accounts payable and other accrued liabilities | 712 | ||||||||||||||||
Accrued payroll costs | 4,177 | ||||||||||||||||
Other long-term liabilities | 868 | ||||||||||||||||
Total liabilities | 5,757 | ||||||||||||||||
Net assets | $ | 11,353 | |||||||||||||||
Employee_Benefit_Plans_Tables
Employee Benefit Plans (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Supplemental Employee Retirement Plan [Member] | ' | ||||||||||||||||
Components of Net Periodic Benefit Cost | ' | ||||||||||||||||
The following represents the components of net periodic benefit cost for the three and nine months ended September 30 (in thousands): | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Service cost | $ | 291 | $ | 544 | $ | 873 | $ | 1,634 | |||||||||
Interest cost | 74 | 118 | 221 | 352 | |||||||||||||
Amortization of actuarial loss | — | 29 | — | 87 | |||||||||||||
Net periodic benefit cost | $ | 365 | $ | 691 | $ | 1,094 | $ | 2,073 | |||||||||
Postretirement Health Coverage [Member] | ' | ||||||||||||||||
Components of Net Periodic Benefit Cost | ' | ||||||||||||||||
The following represents the components of net periodic postretirement benefit cost for the three and nine months ended September 30 (in thousands): | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Service cost | $ | 58 | $ | 173 | $ | 174 | $ | 518 | |||||||||
Interest cost | 26 | 33 | 78 | 100 | |||||||||||||
Amortization of actuarial loss | — | 26 | — | 77 | |||||||||||||
Settlement loss/(gain) | 847 | — | 725 | — | |||||||||||||
Net periodic benefit cost | $ | 931 | $ | 232 | $ | 977 | $ | 695 | |||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 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 September 30, 2014 and December 31, 2013 were as follows (in thousands): | |||||||||||||||||
Fair Value of Assets/(Liabilities): | Asset/(Liability) | Quoted Prices in | Significant | Significant | |||||||||||||
Active Markets | Other | Unobservable | |||||||||||||||
for Identical | Observable | Inputs (Level 3) | |||||||||||||||
Assets (Level 1) | Inputs (Level 2) | ||||||||||||||||
As of September 30, 2014: | |||||||||||||||||
Credit facility (1) | $ | (12,675 | ) | $ | — | $ | (12,675 | ) | $ | — | |||||||
Recurring basis: | |||||||||||||||||
Money market funds | $ | 151 | $ | 151 | $ | — | $ | — | |||||||||
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 |
Stock_Incentive_Plans_Tables
Stock Incentive Plans (Tables) | 9 Months Ended | ||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||||||||||
Summary of Stock Option Activity | ' | ||||||||||||||||||||
The following table presents stock option activity during the nine months ended September 30, 2014 (in thousands, except per share amounts): | |||||||||||||||||||||
Incentive | 2006 | Total | Weighted | Total | |||||||||||||||||
Stock Option | Stock | Average | Intrinsic | ||||||||||||||||||
Plan | Incentive | Exercise | Value of | ||||||||||||||||||
Plan | Price per | Options | |||||||||||||||||||
Share | Exercised | ||||||||||||||||||||
Outstanding and Exercisable as of December 31, 2013 | 97 | 83 | 180 | $ | 11.57 | ||||||||||||||||
Exercised | (57 | ) | (33 | ) | (90 | ) | $ | 11.53 | $ | 860 | |||||||||||
Forfeited/Cancelled | (1 | ) | — | (1 | ) | $ | 11 | ||||||||||||||
Outstanding and Exercisable as of September 30, 2014 | 39 | 50 | 89 | $ | 11.63 | ||||||||||||||||
Summary of Restricted Stock Activity | ' | ||||||||||||||||||||
The following table presents the activity for the nine months ended September 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 | 408 | $ | 20.03 | ||||||||||||||||||
Forfeited/Cancelled | (55 | ) | $ | 18.25 | |||||||||||||||||
Vested | (125 | ) | $ | 15.24 | $ | 2,532 | |||||||||||||||
Outstanding as of September 30, 2014 | 1,039 | $ | 18.02 | ||||||||||||||||||
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 9 Months Ended | ||||||||
Sep. 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 nine months ended September 30, 2014 (in thousands): | |||||||||
Goodwill | Other | ||||||||
Intangible | |||||||||
Assets, Net | |||||||||
Balance as of December 31, 2013 | $ | 48,900 | $ | 4,993 | |||||
Disposition of HIM | (4,886 | ) | — | ||||||
Amortization of intangible assets | — | (476 | ) | ||||||
Balance as of September 30, 2014 | $ | 44,014 | $ | 4,517 | |||||
Reportable_Segments_Tables
Reportable Segments (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Operations of Segments | ' | ||||||||||||||||
The following table provides information concerning the operations of our segments for the three and nine months ended September 30, 2014 and 2013 (in thousands): | |||||||||||||||||
Tech | FA | GS | Total | ||||||||||||||
Three Months Ended September 30: | |||||||||||||||||
2014 | |||||||||||||||||
Net service revenues: | |||||||||||||||||
Flexible billings | $ | 212,269 | $ | 64,254 | $ | 24,787 | $ | 301,310 | |||||||||
Search fees | 5,374 | 7,126 | — | 12,500 | |||||||||||||
Total net service revenues | $ | 217,643 | $ | 71,380 | $ | 24,787 | $ | 313,810 | |||||||||
Gross profit | $ | 63,591 | $ | 26,425 | $ | 8,275 | $ | 98,291 | |||||||||
2013 | |||||||||||||||||
Net service revenues: | |||||||||||||||||
Flexible billings | $ | 188,888 | $ | 54,791 | $ | 24,127 | $ | 267,806 | |||||||||
Search fees | 4,694 | 7,456 | — | 12,150 | |||||||||||||
Total net service revenues | $ | 193,582 | $ | 62,247 | $ | 24,127 | $ | 279,956 | |||||||||
Gross profit | $ | 58,287 | $ | 24,064 | $ | 8,704 | $ | 91,055 | |||||||||
Nine Months Ended September 30: | |||||||||||||||||
2014 | |||||||||||||||||
Net service revenues: | |||||||||||||||||
Flexible billings | $ | 610,897 | $ | 181,411 | $ | 71,504 | $ | 863,812 | |||||||||
Search fees | 14,418 | 20,362 | — | 34,780 | |||||||||||||
Total net service revenues | $ | 625,315 | $ | 201,773 | $ | 71,504 | $ | 898,592 | |||||||||
Gross profit | $ | 180,210 | $ | 73,793 | $ | 22,200 | $ | 276,203 | |||||||||
2013 | |||||||||||||||||
Net service revenues: | |||||||||||||||||
Flexible billings | $ | 526,941 | $ | 157,606 | $ | 70,254 | $ | 754,801 | |||||||||
Search fees | 14,845 | 22,021 | — | 36,866 | |||||||||||||
Total net service revenues | $ | 541,786 | $ | 179,627 | $ | 70,254 | $ | 791,667 | |||||||||
Gross profit | $ | 161,181 | $ | 69,607 | $ | 24,217 | $ | 255,005 |
Supplemental_Cash_Flow_Tables
Supplemental Cash Flow (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Supplemental Cash Flow Elements [Abstract] | ' | ||||||||
Details of Supplemental Cash Flow Information | ' | ||||||||
Supplemental cash flow information is as follows for the nine months ended September 30 (in thousands): | |||||||||
Nine Months Ended | |||||||||
September 30, | September 30, | ||||||||
2014 | 2013 | ||||||||
Supplemental Cash Flow Information: | |||||||||
Cash paid during the period for: | |||||||||
Income taxes, net | $ | 12,608 | $ | 11,290 | |||||
Interest, net | $ | 637 | $ | 558 | |||||
Non-Cash Transaction Information: | |||||||||
Employee stock purchase plan | $ | 550 | $ | 462 | |||||
Equipment acquired under capital leases | $ | 130 | $ | 1,957 | |||||
Unsettled repurchases of common stock | $ | 1,937 | $ | — | |||||
Shares tendered in payment of the exercise price of stock options | $ | 84 | $ | — |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Office | Office | |||||
Accounting Policies [Abstract] | ' | ' | ' | ' | ' | ' |
Number of domestic field offices | 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 |
Dividends declared per share | $0.10 | $0.10 | $0.10 | ' | $0.30 | ' |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies - Computation of Basic and Diluted Earnings Per Share (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Numerator: | ' | ' | ' | ' |
Income from continuing operations | $7,995 | $7,636 | $20,337 | $15,009 |
Income from discontinued operations, net of tax | 57,023 | 1,343 | 61,633 | 4,012 |
Net income | $65,018 | $8,979 | $81,970 | $19,021 |
Denominator: | ' | ' | ' | ' |
Weighted average shares outstanding - basic | 31,347 | 32,985 | 32,267 | 33,705 |
Common stock equivalents | 206 | 145 | 228 | 115 |
Weighted average shares outstanding - diluted | 31,553 | 33,130 | 32,495 | 33,820 |
Earnings per share - basic: | ' | ' | ' | ' |
From continuing operations | $0.26 | $0.23 | $0.63 | $0.44 |
From discontinued operations | $1.81 | $0.04 | $1.91 | $0.12 |
Earnings per share - basic | $2.07 | $0.27 | $2.54 | $0.56 |
Earnings per share - diluted: | ' | ' | ' | ' |
From continuing operations | $0.25 | $0.23 | $0.63 | $0.44 |
From discontinued operations | $1.81 | $0.04 | $1.89 | $0.12 |
Earnings per share - diluted | $2.06 | $0.27 | $2.52 | $0.56 |
Summary_of_Significant_Account5
Summary of Significant Accounting Policies - Summary of Cash Dividends Declared (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | |
Accounting Policies [Abstract] | ' | ' | ' | ' | ' | ' |
Dividends declared per share | $0.10 | $0.10 | $0.10 | ' | $0.30 | ' |
Discontinued_Operations_Additi
Discontinued Operations - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 0 Months Ended | 3 Months Ended | 0 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Aug. 03, 2014 | Sep. 30, 2014 | Aug. 03, 2014 | |
Kforce Healthcare, Inc [Member] | Rcm Acquisition Inc [Member] | Rcm Acquisition Inc [Member] | Rcm Acquisition Inc [Member] | Rcm Acquisition Inc [Member] | |||
Stock Purchase Agreement [Member] | Kforce Healthcare, Inc [Member] | Kforce Healthcare, Inc [Member] | Kforce Healthcare, Inc [Member] | ||||
Indemnification Agreement [Member] | Transition Services Agreement [Member] | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Stock purchase agreement date | ' | ' | ' | ' | ' | 4-Aug-14 | ' |
Purchase price for divestiture of business | ' | ' | ' | ' | $119,000,000 | ' | ' |
Payable to the purchaser | ' | ' | 245,000 | ' | ' | 96,000 | ' |
Post closing transitional service period | ' | ' | ' | ' | ' | ' | '12 months |
Indemnification deductible | ' | ' | ' | 1,190,000 | ' | ' | ' |
Indemnification aggregate cap | ' | ' | ' | 8,925,000 | ' | ' | ' |
Gain on sale of discontinued operations before income tax | 94,300,000 | 94,300,000 | ' | ' | ' | ' | ' |
Gain on sale of discontinued operations after income tax | 56,100,000 | 56,100,000 | ' | ' | ' | ' | ' |
Transaction costs | 11,000,000 | 11,000,000 | ' | ' | ' | ' | ' |
Stock based compensation related to acceleration of restricted stock and transaction bonuses paid in stock | $2,400,000 | $2,400,000 | ' | ' | ' | ' | ' |
Discontinued_Operations_Summar
Discontinued Operations - Summary of Revenues and Pretax Profits (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Revenues And Results Of Operations Of Discontinued Operations [Abstract] | ' | ' | ' | ' |
Net service revenues | $8,723 | $19,696 | $56,670 | $57,301 |
Income from discontinued operations, before income taxes | $95,917 | $2,242 | $103,512 | $6,697 |
Discontinued_Operation_Summary
Discontinued Operation - Summary of Carrying Amounts for Major Classes of Assets and Liabilities (Detail) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Assets: | ' |
Trade receivables | $11,755 |
Goodwill | 4,886 |
Prepaid expenses and other current assets | 219 |
Fixed assets, net | 162 |
Other assets, net | 88 |
Total assets | 17,110 |
Liabilities: | ' |
Accounts payable and other accrued liabilities | 712 |
Accrued payroll costs | 4,177 |
Other long-term liabilities | 868 |
Total liabilities | 5,757 |
Net assets | $11,353 |
Commitments_and_Contingencies_
Commitments and Contingencies - Additional Information (Detail) (USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2014 |
Other Commitments [Line Items] | ' |
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 | $36.10 |
Employees under contract terminated by employer without good cause or in absence of change in control | $16 |
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 | 9 Months Ended | ||||
Sep. 30, 2014 | Mar. 31, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | |
Foreign Pension Plan [Member] | ' | ' | ' | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ' | ' | ' |
Defined benefit plan arrangement minimum age | ' | ' | ' | '60 years | ' | ' |
Defined benefit plan arrangement requisite service period | ' | ' | ' | '5 years | ' | ' |
Defined benefit plan assumptions used calculating benefit obligation benefits payable per service year | ' | ' | ' | 'One-half month's salary for each year of credited service | ' | ' |
Description of defined benefit pension and other post retirement plans | ' | ' | ' | '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 monthbs salary for each year of credited service. Benefits under the plan are paid out as a lump sum to eligible employees at retirement. | ' | ' |
Net periodic benefit cost | $68,000 | ' | $53,000 | $199,000 | $164,000 | ' |
Defined benefit plan, benefit obligation | 1,600,000 | ' | ' | 1,600,000 | ' | 1,400,000 |
Contributions made to the SERP | ' | ' | ' | 0 | ' | ' |
Supplemental Employee Retirement Plan [Member] | ' | ' | ' | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ' | ' | ' |
Defined benefit plan arrangement minimum age | ' | ' | ' | '55 years | ' | ' |
Defined benefit plan arrangement requisite service period | ' | ' | ' | '10 years | ' | ' |
Description of defined benefit pension and other post retirement plans | ' | ' | ' | '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 participantbs attainment of age 55 and 10 years of service and 0% prior to a participantbs 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 officersb 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 participantbs 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. | ' | ' |
Net periodic benefit cost | 365,000 | ' | 691,000 | 1,094,000 | 2,073,000 | ' |
Defined benefit plan, benefit obligation | 8,900,000 | ' | ' | 8,900,000 | ' | 7,900,000 |
Contributions made to the SERP | ' | ' | ' | 0 | ' | ' |
Benefits payable targeted percentage | ' | ' | ' | 45.00% | ' | ' |
Lump sum payment period | ' | ' | ' | '10 years | ' | ' |
Defined benefit plan assumptions used calculating benefit obligation benefits payable calculation | ' | ' | ' | 'Benefits payable under the SERP upon the occurrence of a qualifying distribution event, as defined, are targeted at 45% of the covered executive officersb 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 participantbs 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. | ' | ' |
Defined benefit plan assumptions used calculating benefit obligation benefits payment election | ' | ' | ' | '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." | ' | ' |
Postretirement Health Coverage [Member] | ' | ' | ' | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ' | ' | ' |
Net periodic benefit cost | 931,000 | ' | 232,000 | 977,000 | 695,000 | ' |
Settlement loss/gain | -847,000 | 122,000 | 0 | -725,000 | 0 | ' |
Lump-sum payment to the participant | 3,200,000 | 639,000 | ' | ' | ' | ' |
Defined benefit plan accumulated benefit obligation non-current | 0 | ' | ' | 0 | ' | 2,600,000 |
Defined benefit plan accumulated benefit obligation current | $0 | ' | ' | $0 | ' | $47,000 |
Employee_Benefit_Plans_Compone
Employee Benefit Plans - Components of Net Periodic Benefit Cost (Detail) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Mar. 31, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Supplemental Employee Retirement Plan [Member] | ' | ' | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ' | ' |
Service cost | $291 | ' | $544 | $873 | $1,634 |
Interest cost | 74 | ' | 118 | 221 | 352 |
Amortization of actuarial loss | ' | ' | 29 | ' | 87 |
Net periodic benefit cost | 365 | ' | 691 | 1,094 | 2,073 |
Postretirement Health Coverage [Member] | ' | ' | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ' | ' |
Service cost | 58 | ' | 173 | 174 | 518 |
Interest cost | 26 | ' | 33 | 78 | 100 |
Amortization of actuarial loss | 0 | ' | 26 | 0 | 77 |
Settlement loss/(gain) | 847 | -122 | 0 | 725 | 0 |
Net periodic benefit cost | $931 | ' | $232 | $977 | $695 |
Fair_Value_Measurements_Additi
Fair Value Measurements - Additional Information (Detail) (USD $) | 9 Months Ended |
In Thousands, unless otherwise specified | Sep. 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 $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Non-recurring basis: | ' | ' |
Goodwill | $44,014 | $48,900 |
Non-Recurring Basis [Member] | ' | ' |
Non-recurring basis: | ' | ' |
Goodwill | ' | 48,900 |
Money Market Funds [Member] | Recurring Basis [Member] | ' | ' |
Recurring basis: | ' | ' |
Money market funds | 151 | 869 |
Line of Credit [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Credit facility | -12,675 | -62,642 |
Recurring basis: | ' | ' |
Credit facility | -12,675 | -62,642 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Money Market Funds [Member] | Recurring Basis [Member] | ' | ' |
Recurring basis: | ' | ' |
Money market funds | 151 | 869 |
Significant Other Observable Inputs (Level 2) [Member] | Line of Credit [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Credit facility | -12,675 | -62,642 |
Recurring basis: | ' | ' |
Credit facility | -12,675 | -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) (Non-Recurring Basis [Member], GS [Member], USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Non-Recurring Basis [Member] | GS [Member] | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Goodwill fair value | $18,973 |
Stock_Incentive_Plans_Addition
Stock Incentive Plans - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 9 Months Ended | 9 Months Ended | ||||||||||||
Sep. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Apr. 05, 2013 | Sep. 30, 2014 | Jun. 20, 2006 | Sep. 30, 2014 | |
Employees | Common Stock [Member] | Common Stock [Member] | Common Stock [Member] | Common Stock [Member] | Continuing Operations [Member] | Continuing Operations [Member] | Continuing Operations [Member] | Continuing Operations [Member] | Stock Options [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] | ||||||
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 | $3,100,000 | ' | ' | $336,000 | $4,500,000 | $937,000 | ' | ' | ' | ' | $671,000 | $336,000 | $2,100,000 | $937,000 | ' | ' | ' | ' | ' | ' |
Unrecognized compensation cost on stock options | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | ' | ' | ' | ' | ' |
Closing stock price measurement period | ' | ' | '10 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restricted stock granted, vesting period | ' | '5 years | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
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 | $12,000,000 | ' | ' | ' | $12,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average period expected to be recognized | ' | ' | ' | ' | '4 years 9 months 18 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock issued | ' | ' | ' | ' | ' | ' | 92 | 0 | 92 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock_Incentive_Plans_Summary_
Stock Incentive Plans - Summary of Stock Option Activity (Detail) (Stock Options [Member], USD $) | 9 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Outstanding and Exercisable as of December 31, 2013 | 180 |
Exercised | -90 |
Forfeited/Cancelled | -1 |
Outstanding and Exercisable as of September 30, 2014 | 89 |
Outstanding, Weighted Average Exercise Price per Share, Beginning Balance | $11.57 |
Exercised, Weighted Average Exercise Price per Share | $11.53 |
Forfeited/Cancelled, Weighted Average Exercise Price per Share | $11 |
Outstanding, Weighted Average Exercise Price per Share, Ending Balance | $11.63 |
Exercised, Total Intrinsic Value of Options Exercised | $860 |
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 | -57 |
Forfeited/Cancelled | -1 |
Outstanding and Exercisable as of September 30, 2014 | 39 |
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 September 30, 2014 | 50 |
Stock_Incentive_Plans_Summary_1
Stock Incentive Plans - Summary of Restricted Stock Activity (Detail) (Restricted Stock [Member], USD $) | 9 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2014 |
Restricted Stock [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Vested, Total Intrinsic Value of Restricted Stock Vested | $2,532 |
Outstanding as of December 31, 2013 | 811 |
Granted | 408 |
Forfeited/Cancelled | -55 |
Vested | -125 |
Outstanding as of September 30, 2014 | 1,039 |
Outstanding Beginning, Weighted Average Grant Date Fair Value | $16.89 |
Granted, Weighted Average Grant Date Fair Value | $20.03 |
Forfeited/Cancelled, Weighted Average Grant Date Fair Value | $18.25 |
Vested, Weighted Average Grant Date Fair Value | $15.24 |
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 $) | 9 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2014 |
Goodwill and Intangible Assets Disclosure [Abstract] | ' |
Goodwill, beginning balance | $48,900 |
Disposition of HIM | -4,886 |
Goodwill, ending balance | 44,014 |
Other intangible assets net, beginning balance | 4,993 |
Amortization of intangible assets | -476 |
Other intangible assets net, ending balance | $4,517 |
Goodwill_and_Other_Intangible_3
Goodwill and Other Intangible Assets - Additional Information (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
Goodwill And Other Intangible Assets [Line Items] | ' | ' |
Other intangible assets, net | $4,517,000 | $4,993,000 |
Accumulated amortization of intangible assets | 25,700,000 | 25,200,000 |
Estimated remaining amortization expense, 2014 | 158,000 | ' |
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 | 2,300,000 | 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 | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | $313,810 | $279,956 | $898,592 | $791,667 |
Gross profit | 98,291 | 91,055 | 276,203 | 255,005 |
Flexible Billings [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 301,310 | 267,806 | 863,812 | 754,801 |
Search Fees [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 12,500 | 12,150 | 34,780 | 36,866 |
Tech [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 217,643 | 193,582 | 625,315 | 541,786 |
Gross profit | 63,591 | 58,287 | 180,210 | 161,181 |
Tech [Member] | Flexible Billings [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 212,269 | 188,888 | 610,897 | 526,941 |
Tech [Member] | Search Fees [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 5,374 | 4,694 | 14,418 | 14,845 |
FA [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 71,380 | 62,247 | 201,773 | 179,627 |
Gross profit | 26,425 | 24,064 | 73,793 | 69,607 |
FA [Member] | Flexible Billings [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 64,254 | 54,791 | 181,411 | 157,606 |
FA [Member] | Search Fees [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 7,126 | 7,456 | 20,362 | 22,021 |
GS [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | 24,787 | 24,127 | 71,504 | 70,254 |
Gross profit | 8,275 | 8,704 | 22,200 | 24,217 |
GS [Member] | Flexible Billings [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net service revenues | $24,787 | $24,127 | $71,504 | $70,254 |
Supplemental_Cash_Flow_Informa
Supplemental Cash Flow Information - Details of Supplemental Cash Flow Information (Detail) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Cash paid during the period for: | ' | ' |
Income taxes, net | $12,608 | $11,290 |
Interest, net | 637 | 558 |
Non-Cash Transaction Information: | ' | ' |
Employee stock purchase plan | 550 | 462 |
Equipment acquired under capital leases | 130 | 1,957 |
Unsettled repurchases of common stock | 1,937 | ' |
Shares tendered in payment of the exercise price of stock options | $84 | ' |