KELYA - Earnings call transcript Q4 2024

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Good morning, and welcome to Kelly Services Fourth Quarter Earnings Conference Call. [Operator Instructions] Today's call is being recorded at the request of Kelly Services. If anyone has any objections, you may disconnect at this time.

I would now like to turn the meeting over to your host, Mr. of Head Kelly's Thomas, Investor Relations. Scott ahead. go Please

Unknown Executive

Quigley, to Thank and Quarter are President Officer; welcome Troy Financial With you, Good morning, Kelly's Peter Executive Chief Liv. Kelly's and our Full Anderson. today Chief Officer, Fourth me and and Year Call. Conference

including about begin, call, our future . remind expectations during I'll may session, we that the for Q&A Before made include comments you today's the forward-looking statements performance.

obligation differ materially to do from those update our on by made We any for our a refer could adjusted not description risk comments. this assume the influence of future results could company's to filings Please performance. statements the the Actual call. that actual factors SEC

we'll discuss data addition, reported certain basis. and a In adjusted on on an

on measures an non-GAAP certain are into insight items designed give in basis our financial trends adjusted of operations. to Discussion

other regarding Investor all please release and once and For filed earnings be more through to measures can press XX-K, required ir.kellyservices.com. information our website which at accessed presentation disclosures, Form non-GAAP refer Relations of our

turn Quigley. the Peter President Chief Kelly's and call to over Officer, now Executive will I

Peter W. Quigley

Thank you, good Scott, everyone. and morning,

leadership a firm conduct a has retire identify as to President external and search my nationally CEO candidates. of release Before plan in on my with fourth internal this the quarter I process intend and to initiated recognized that full performance, engaging earlier by press The I'd to to discuss our Board years share of the year. . we year earnings end today. successor, After announced I both our Kelly, a like and reflections succession XX comprehensive

and can appoints role until Kelly's facilitate my a plan I next Board the current transition. in of serving smooth to Directors we CEO, continue

value-creation years, with heights reach by made, our meaningful to employees and progress Board new strategic that defined concluding tenure our more have we are will the we conditions for my even continued opportunities few growth the and lie leadership and positioned and create well growth strides past forward I I journey, XXXX, on to market I'm evolution ahead. new of improve, the made realize and the and proud talent, as shareholders. Kelly Over and strong Kelly is a specialty have look clients, value with that confident

highlights With margin outpace the through inorganic performance that, we performance strong points market. as and quarter targeted by than year. X% we let's the delivered through EBITDA another and reflects basis, XXX quarter and of review both full expansion organic and quarter, initiatives. XX%. the our bottom of This quarter continued by the November revenue business and higher-margin a our the of expansion increasing outlook line Kelly the in on therapy in the revenue level, adjusted fourth growth segment Therapy from top to acquisition fourth education basis for accelerated delivered the company exceeded In organic delivered of Children's year-over-year and profitability double-digit At Total growth provided the more Center.

for demand experienced to growth revenue share. and our Both growing our as expand differentiated statement in solutions. deceleration specialty higher-margin early we PMI works in in and subsided we Life offerings solid our In businesses QX, set, market QX captured enabled profit and delivered Sciences us these revenue the and OCG further

February, top effectively ended growth a and an capturing By Our converting Kelly's journey. year inflection strategic by I be in that in a of book share of point quarter fourth would bottom significant positive line line profitability. Last more to XXXX the customer said performance greater progress. demand

doing are in and XXXX. say on Today, so we I'm poised pleased delivered continue to that commitments our to

XX over on on adjusted margin This organic basis improving represents positive points remained in historical of on market the X.X% significant and full EBITDA across an increase to well, bringing outperforming our We recent EBITDA delivering a growth adjusted a profitable X%. margin accelerate year-over-year basis. focused the organic our our expansion delivering quarter year specialties. and average approximately to continue of revenue laser We growth profitability basis as

We streamline our Kelly's business sale value-creating million. operating $XXX further more of additional and model, unlocked the opportunities for staffing completing than European

solutions. of We and focus in also global Ayers to completed on the June, sale enabling RPO OCG Group sharpen its MSP

MRP solutions scale revenues in which acquisition customer has a capabilities in challenging Finally, investments markets. inorganic end of Partners. and of with our in delivered addition notwithstanding staffing transformational commitments XXXX, we segments strengthened RPO redeployed specialties double of attractive the digits. and pursuit in most consulting industry declined The total in environment Motion higher-growth operating the We in Recruitment higher-margin, on staffing, capital by of these

against of continued leg our us progress further positioned on reinforces more journey. win. sharpen the backdrop in is strategic our our decision forward I'll this in-demand propel on specialties how momentum our we'll which Our to to leverage next on and share focus to well specialty compete later Kelly

I'll a with Chief having the the transition First, call role Financial Officer. Olivier it Troy Anderson, completed successful on today, over in who Thirot turn lead the of discussion will to into financial December

over you more full and results Troy, in year. to fourth for the our on details quarter

Troy Anderson

Peter, good you, Thank and morning, everybody.

for drive pleasure want been welcome into thank the with a I results, warm my the diving dedication into opportunities XXXX. commitment. in for team's talent get quarter our a the business I'm customers, the employees front to the this us during shareholders, team in seeing incredibly to such excited I first to and It's and company. Before more on Kelly of value and execute

results we're quarter across momentum segments. and our the our with building said, and Peter As pleased full year fourth we're by encouraged strong

for the XX fourth I'll [indiscernible] year. last for sold billion of basis greater XXXX, was XXXX, since quarter underlying for the January versus XXXX in Motion discuss Revenue reminder, into the operating with business of results reported $X.XX on a that European X, visibility decrease and partners a and X.X% acquisition the an included provide staffing XXXX these To As recruitment date. include our on excluding totaled trends the on information QX changes items. results, organic year-over-year a May organic

acceleration revenue up up prior This into the X.X%. have which trends from higher the year-over-year and outlook. an is the an positively, gross in organic better our quarter, margin year built staffing revenue over had we and was trended QX basis, fees, we perm quarters in moderating In On what than our saw declines rate. a

up of over segment. of results I'll and continuing profit Our revenue positively. quarter, is an year-over-year in the even also set outcome-based start X/X basis and gross double-digit offerings, was up which its education, with P&I revenue in organic portion by into on an of greater revenue trend trended just down growth. Drilling our XX% which

The as was third the prior relative such bill and acquisition fill the primarily staffing market due with decline growth overall down quarter specialties, and In rate for despite improvement new outcome-based existing SET as Sets telecom. our in MRP. organic to decline X% to by outperformed revenue lower in continued the as down market staffing challenging environment. industry segment, versus the well Which basis, solutions. the was the in verticals, quarter Organic and an SET higher consistent demand and driven the X%, the down revenue demand quarter improved across wins. reported up revenue reflects the customer revenue which third business quarter X% net quarter in was down the XX% of was a with reflects lower ongoing the on rates improvement certain

are to we portion see Works our driving We of where continuing innovate. suite our and including continue a as the the business, to market growing outcome-based Statement of solutions focus

driven our by margin PPO the reduced hiring In pressured in this the PPO revenue, Adding in lower-margin X%, OCG quarter. the MSP RPO continued with demand gross by and and labor strong in grew Year-over-year customers. again whole, net segment, as OCG a declines specialty. segment contingent for revenue performance reflect

drive to Going is momentum pipeline offerings, and as year. forward, OCG later the higher and recent implemented have both year the are MSP in which the during RPO is the revenue realized in margins growth sales well in gross measurably wins positioned

a talent across reflects the variety improved to gross profit points to an clients' needs basis basis, sets. business fees. lower improvement Revenue staffing XX profit On success quarter, professional of which basis year-over-year year-over-year declined is was an the trends. the in a segment compared in meet quarterly XXX and GP from the Revenue X.X% improved organic the and the points relative industrial and specialties in that gross in year reflecting solutions million, from skill SET, XX of improvement for was significant perm logistics, X% its rate P&I from XX.X%, manufacturing points outcome-based innovative with of basis Reported distribution. XX omnichannel demand stronger was of rate portfolio demand seeing strategy. outcome-based Consistent by quarter. a quarter $XXX.X basis is in mix prior of points driven and X.X%, semiconductors, Revenue strong recent up our the

mix to The relative impact business rates. with showed reflects and in continued growth prior lower specialties GP improvement quarters

saw During OCG, growth the in of quarter, PPO modest significant reflecting SET a in as more MRP in education in and quarter. and improvement P&I rate in declines the GP result acquisition, decrease we a the the

levels with reported down to expenses This productivity in of decrease declined improving SG&A basis, resource efforts X% continued our SG&A million, $XXX.X reflects expense align adjusted improve and On the expense organic our We SG&A profile volumes. focused year-over-year. quarter X%. an better with

performance-related lower the incentive compensation as expenses. well As of impact

some had activity during You'll quarter. note financials in we the impairment that our

As right-of-use charge unused to a we for result million of an activity the noncash for facility, recognized $X floors in assets related impairment headquarters leased subleasing positive our facility. certain

acquisition completed in goodwill a World recognized million impairment the to we noncash we $XX.X XXXX. that charge Additionally, Soft related

experienced growth its measurably the overall While during the conditions growth Soft our performance market outperforming lower financial challenging original to the revenue due World projections year. were than and delivered in market, XXXX,

further value improves. outcome-based was in XXXX. will for how We world's of work we offerings that to $X.XX positioned we accelerate compared businesses, to value insight more shortly MRP including demand as of the share plan into share quarter to specialty XXXX staffing, per fourth of provide loss capture its and specialty statement firmly are generate Reported earnings science SEP's with clinical as integrate IT software. additional soft in portfolio $X.XX believe QX per well that Peter

XXX X EBITDA EBITDA improvement. the margin segments to basis points XX% improved adjusted in organic an point The increase includes margin expectations a $X.XX was our prior per period, prior basis points deferred both measures. XXXX in On of valuation the of and versus reflects in $X.XX year year million, tax an onetime allowance the of EBITDA income quarter. $XX.X prior expense MRP interest adjusted compared $X.XX. The decline for basis, was net increased earnings acquisition benefit lease of Adjusted $X.XX XX the basis adjusted improved to the last year. All following a share quarter organic XXX for while beating year expansion versus their margin X.X%, versus

Overall, we finished and further the year profitability our XXXX expansion confident ability subsequent years. in achieve in to margin are with strong in

was full Before ahead, briefly on XX.X%. Revenue we look our year I'll down billion, $X.X reflect results.

X.X% for market However, analysts. organic according share the year, to revenue headwinds, market execution reflecting persistent industry grew double-digit an overall amid and solid major declines gains market

rate GP XX improved points. XXXX Our basis

available On increase an the $XXX.X quarter. per Total points improved facilities. had full comprising [ be in liquidity of opportunistically to XX.X to of adjusted year on repurchase basis from an $XX reported to our $X.XX Class with rate at loss X.X attractive returns. of in million, million the the loss ] our mix organic on We we $XX the and ] noncash fees. an the deploy that, basis, quarter, and XX%, EBITDA ended Class $X.XX and million capital a EBITDA business of approach $XX.X share our our lower available $XXX of operations us adjusted million primarily an continue of XXX reported million outstanding EBITDA ratio of per and at to the due borrowing year allocation to credit Adjusted to earnings authorization, Indicative X.X%. was of million $XXX cash million $X.XX. share million shares year, we'll due for points a GP basis XXX total end of adjusted A liquidity margin in capital reflecting leaving completed end leverage charges. A of and million, with the was We basis, generate of fourth $XX.X [ We of disciplined impairment declined $XX $XXX up perm our million share

fund inorganic Our liquidity our operating and available flexibility and investment on attractive ample flow to capitalize us opportunities. cash give and financial organic operations

modest past XXXX For revenue we through few we have with quarters expect start our capture XXXX as improvements the expect market market remain market to see additional incremental expectations, and progress year. will deliver to the to share and believe in in relatively conditions what in year we growth. experienced we the Overall, conditions consistent organic

cash our We also bottom continue growth by profitability. our margin flow to top converting expand net expect to line efficiently and ultimately, to line more of

for Our half organic the be outperform initial revenue to of QX expect acquisition MRP due The first modest benefit May the given XX% deliver MRP outlook revenue QX will the in total we will XXXX growth the of in the be than growth. approximately slightly with date. market where year, and acquisition higher and XX, to

their driven The although throughout double first during their like they growth performance largely half result digits as segment, by the rates were strong year-over-year be won't year. Education growth will the a XXXX of quarterly be

to few flat showing other of expect We from range the decline. a points segments to

we XX the Overall, GP the the half year, MRP the in of benefit expect see points first gross profit. of on Moving basis improvement to acquisition. reflecting approximately rate of to

We roughly rate expect has basis XXXX. organic improved to to with decline all QX slightly. organic of flat GP the the point be This measurably for relative down XXX

improvement normal that to sustain years, the transformation-related actively and The year. of expenses reflects improvements Reflecting rate segment. second over of improved build from GP tax upon higher-margin manage expect performance the at revenue resources outcome-based fourth with the with and in and on with of trends our we we'll align increase incentive XXXX beginning our Total offerings. and and specialty SG&A, in and relative and in the the the to solutions overall gradually actions payroll continue X to past expectation mix revenue the each conjunction performance we resets adjusted quarter quarters gained first efficiency will

amortization, expect approximately in, $XX.X and depreciation all For each million we quarter.

with the year. Given roughly EBITDA for the expect To being all QX half higher. points of in we XX X.X%, slightly improve margin of the QX lower to basis adjusted above, first approximately

in as half a We modernization technology for of finally, teens our upper expect XXXX enterprise our we plans. the software our MRP first overall spending effective tax increase to rate integration development expect And to XXXX. the and be CapEx in result and of the

thank to as them dedication for the for continued In well commitment performer the overall closing, I want the partnership. to to customers strong and support and company giving and our their opportunity [indiscernible] us as for

Peter I'll closing turn remarks. call for the to that, With his back

Peter W. Quigley

into from Troy. achievements Thanks for those accelerate propelled recent as profitable positioned growth XXXX to momentum insights, We demand and forward move by staffing our positive well rebounds.

clear. the Our priorities for year are

execute specialties. First, we'll deliver to which top this expect continue continue line and growth by continuing to P&I increase account initiatives, scale delivery share. end, in To to enterprise our both large market will our omnichannel we including strategy, organic in and gains growth of chosen our deliver our we'll strategy

the addition integration our In focus initiatives, to is these MRP. of primary

SOW respectively. for value the deal a this we've of acquisition, our into the business providers together unique harnesses to significantly the builds come nature the with OCG the at This solutions our staffing This SETs Government with increases specialty, will Softworld. provider engineering thoughtful motion MRP working strengths business completing integrating solutions TG our highly we're OCG SETs maximize recruitments case SET value complementary core staffing technology Motion each Since of in its a respective strong Telecom the SETs market-leading SET in Federal partners that sector At each we We'll lines staffing Services category. will the MRP's integration and of our integrate solutions public the business. of upon been telecom segments. staffing top and which workforce businesses currently capability. closely sciences consulting IT recruitments, telecom and within Kelly and and on our colleagues To the and IT and consulting combine market. businesses, and the scale specialty. of and approach portfolio is with propelling business bring our business enhancing of Managed life includes XX IT specialty, to adds creation, with

period X-step top Kelly members the we Each market will the solutions pathway among create combine of the conclusion earnout with each Among the that talent QX as business, are business synergies. leveraging by transaction. and Differentiated go following in designated MRP's globally. offering OCG's strengths rank the experienced X clear combined of a be RPO we'll unique business toward the the cost MRP innovative to revenue combined the ready technology, of bench leaders, of achieving of a management global for we're part included leading businesses have creating lines will the each deep to By MRP. Finally, they'll at specialty. beginning of

an XXXX of million. throughout in We to ramp expect into and $XX culminating benefit approximately synergies XXXX EBITDA

large we'll XXXX, among further the efficiency decision capabilities. integrated approach enhance staffing model customers simplifying operational company's more as to of continue organizational effectiveness. first positions grows to operating that and and together Unifying advanced traditional To to preferences P&I services Second, enterprise Kelly reflects quarter outsourcing end-to-end bundle KellyOCG common enable our optimize bringing new consulting OCG these in we're and unlocks by the This growth with buying workforce shifting and end, this solutions demand effectively and under for preferences management. go-to-market opportunities. value-creating P&I address

our growth. more businesses, model education OCG will the combined business, P&I accelerate and streamlined along set underpin The profitable and designed operating with to

as we're and driving efficiency our and integration on transition we achieving margin through year laser-focused progress Finally, to focus on contribute meaningfully objective EBITDA XXXX. into expansion. ongoing incremental will the MRP The of this

great line bottom solutions top growth to including both efficiency, higher deliver continue results that higher our we're against and different ambitious capacity and our growth consistent outcome-based market this positioned strategic targeting shift priorities achieve that towards we'll basis. addition, full areas to initiatives expectations for performance team's In mix is these to on confidence Kelly. and in a margin, outperformed have the our with a business reinforcing year. I the execute

and our on to and forward support purpose. With look limitless by in our for our positive strategy in customers XXXX. we unleash on grateful Together for Kelly's our talent growth trust opportunities We're our the all noble our I will building connecting value potential. focused to to stakeholders, team long-term our to rewarding deliver and their on momentum our we guided specialty forward as move company. shareholders placing full their created journey

to call can now Liv, the open you questions.

Operator

go to Instructions] will NOBLE first [Operator question Gomes Our Joe Capital. with

Joseph Gomes

to over strong XX%. Again, the look was start they're you that expectations that unusual up the the But on -- full really more revenues up wanted the in Education off Anything your I XX.X%. you expecting were at segment. Education line with for in Was I think down if year, segment? quarter? whether

Peter W. Quigley

Joe. was October September, fact hurricane impacted that time in disruption in of Education Thanks, hurricanes the be school in was end The significant were created participate. in back-to-back frame. the two X in segment That which anticipated, QX there the by while we early not Yes. a common districts can significantly markets

contributing that to Education of QX. the in was a significant performance factor So

Joseph Gomes

grew Even with still XX%. those that over

that's of What you release? release, the in us press talked kind wins that little pipeline? number could customer about and on statement more Peter, to pipeline give wins just in color had or the a in new add to some growth the fantastic you momentum. the And wanted you So of more then there. that, And sales the

Peter W. Quigley

share. performance and the we're school and on higher for industry And for but we in deliver on We We're share based reason. recognize Well, leader price, on market continue to that have across we're a a country districts taking better take Joe, they just the analyst -- fill because not value. we're rates value. competing specifically, Education numbers, share of staffing we competing terms market

fair than ability continue so very And win schools. more in our to confident to share we're of our

the core in encouraged very are of also performance education our business K-XX business. with our combination We therapy by traditional

And contributions K-XX we therapy. in of the expect quarters traditional meaningful see combination come to and the to from

Joseph Gomes

a guess, there anything Are your Is pricing? on it favor? Maybe across on there, the us or color opportunities layer? Okay. I the And, the how trending give more coming kind front, little market, of more still also. M&A that the in

Peter W. Quigley

of changed in meaningfully periods. would hasn't terms is for And expectations relative the hoped of flow. about sellers' immediately and to portfolio. attractive still deal deal It's it valuations I Joe, or evident. but a that actively could performance. conversations There Kelly additions in between trough, realignment Yes. to think the to disconnect be prior companies expectations say, we're with the the in some not still we appears anticipated be flow monitoring actively valuation and engaged

Joseph Gomes

great of career. it's going just I'll the queue. in end to back you year, you. want hopefully here with be I you're been it's get the to but Great. early know the I and Peter, to congratulate on working

Peter W. Quigley

likewise, been you, Appreciate work with you. pleasure a And Thank to Joe. it.

Operator

from Research. coming question next Grinman Will our of Northcoast And the line with

Unknown Analyst

more maybe So you color mostly you perm the you on demand? trended if insight the that gave staffing for throughout staffing trended is little said progressed quarter. And demand already Or a staffing so on you but then the how higher that revenue on bit revenue some and me of that said of pricing fourth this, sort give higher, in and Was quarter? and could side? temp

Troy Anderson

to through progressively in the seasonal uptick This was -- on in is P&I have uptick. Troy. in you, for do the demand they where been sure. seasonal question. talk quarter, to the year about the talking staffing, the have fourth tend improvements to grow The strong year. so saw throughout quarter, staffing the a We're have to tend P&I thanks the a Will, and we Yes, Good

strategy omnichannel the along large their outcome-based their account strategy and With with solutions.

X% X.X% on up ended and quarter. the pretty the throughout quarter they it consistent outcome -- was So And based. X% up staffing on

and QX like and little and them back side The But weather help client. good on -- performance bit performance, get the year performance staffing with I throughout some set. mean holidays we've with ebbs from side consistent and down and their start things a with down flows that. P&I but we finished seen was SET, improvement it consistent QX consistent outcome-based was X% which anomalies some QX, they overall, the in strong December, the you X% pretty pull QX the to some across the improving on much in saw months, in but and

Operator

the Our line Kevin coming Barrington next from with Research. of question Steinke

Kevin Steinke

wanted XXXX, expect Just similar the as outlook to just that you think you environment for your to be half been. what asking overall mentioned off talked the sentiment. start it you you first I about customer to by And about of has --

So are overall still are cautiousness we and customers just seeing kind your their in be overall thinking general economic the of how impacting might plans and view, about that macro how environment demand?

Peter W. Quigley

Yes, Kevin.

executive So post as the future with a I our restrictions. election, But say, over environment, point tax worry from policy, view around certain would approach, of and taking the say in the -- the there well and downstream of executive relaxing pending that -- impacts as tax was see clearly administration companies orders, would more as of orders and a tax bit to of customers wait a little took the of a budget I some terms optimistic business regulatory have cautious cetera. more shift, towards the changes, policy, of et come legislation are a understand out that

will being first we're continuing execute And we and pleased landed So we're we're what the the of share to specialties, again, fact mind. prior the on why end our we've year in that's seen with we've that few quarters. with continuation of half across in -- take the that a

Kevin Steinke

a first probably on of of the to kind comp the -- although issue. talked to the segments nice of just nicely, not you continuing down continue think there grow segments, in at you assumptions other then makes the half other just well. terms about that's That XXXX And and outlook sense. on organic grow you with as if to Yes, Okay. flat double to modestly. said for could assume Maybe touch Education, digits. the growth I regard I

in some maybe and for in, had by in outsourcing pretty and first what also professional nice talk so just industrial of terms consulting, segment, XXXX. the outlook momentum you of about You've half that here going factor

Troy Anderson

The on half, approximately modest ] X% [ and not organic appreciate -- look up about question. at performance XX% Troy. or This Yes. flat first 'XX. XX% XH up than Sure, different Kevin. -- you is were the then second [ is from ] half. our roughly with We our significantly I if ] growth [ MRP

discussing So conditions it's do get were then think the as of different. entirely you And the market just the not and some sentiment, when we about Again, customer you dynamics.

predominantly the on on compares. operate yes, education, mentioned mind, Keep they school in a basis. more year is You

come in are spring into new they're wins there in, and So the September. summer, implementing going

So the that that this back we've the capture point captured revenue and performance side. on benefit see new as the of more year entirely of in education areas any uptick half wins we we'll at in in -- the and the share expand greenfield

strong a half. half, on again, where QX of compare expect and So was the a outcome P&I, a would uptick not back drove the again, There On some based of of bit have we versus first a bit pullback I outcome-based, year A double digits very good pullback a maybe of in favorable little QX but bit prior in little some seasonality. of a that. bit maybe -- relative

you've peers again, challenge and of industry pullback off a minus coming come in X% seen the QX, some out, here in a data earlier quarter bit the performance some lot minus X% probably just and some of roughly a IT little probably of and for market. probably set, in looking progresses. better of as And range, performance that's the January P&I I good the minus QX, outcome-based, X%, more flat still think So the in as but

year wins driven maybe then by 'XX about talked The down not was growth entirely on new PPO. GP with a remix And QX, We've and better there. GP side. those probably the And that's all in for on more little which rates, inconsistent OCG, a than and bit to So talked the while that. of for about And pipeline in the of you've there, as seen we've we're looking a pressure implement. XXXX. takes going in a dynamic a lot

a will is they've been going opportunities of a payrolling and before and soft So versus MSP people bit for are markets, see of and Of the new. lot net that RPO more to have had PPO And route. won contractors go countercyclical we a implementing. out

so perspective, And growth growth have this see being ] will 'XX PPO a where OCG [ net you'll seen RPO us that growth, on you've from a benefit see but in OCG rates lower won't replaced and the which we really, but MSP remix year. and you margin by

Kevin Steinke

that right. when from you helpful talking All you about and bringing and going management. and approach will perspective? common under industrial Or color. brought reporting how segment Is That's together together also operational outsourcing a consulting And that were be going forward? professional to

Troy Anderson

through segment reporting for We're that speak. 'XX, the with Sure. as analysis associated we going the

So we definitive haven't yet. conclusions any made

We accounts have some changes making offerings of with as customer at. looking like some elements that and the some we're other well. and

So have in and, course, in 'XX. structure all the of QX very our readout bridge clearly changes you from full a reporting for any we'll 'XX

Operator

coming question line next Riddick from the of with Marc Our Sidoti.

Marc Riddick

want remainder as at first well. say of to it's of And the been you Peter, to So year just with working going you I the to pleasure working welcome. you working all, looking forward Troy, a least. and forward with looking forward through

for -- to want little a no, actually, did touch moment. wanted I to go I the on So back bit a

just Children's Center? that was announced opportunity and a sort a November acquisition about Therapy that talking that You did in the back came spend maybe time with in how Education space, smaller little have of the about

Peter W. Quigley

Very Center. PTS school the calendar part that $X Education complement children the the only calendar. to Yes. little bound Thanks, Kelly disk brick-and-mortar they're clinics school And a interesting Therapy million hours clinics, customers. because operates even in-school provides space Yes, for because business that therapy acquisition, of small school to our or therapy not Marc. their over

us provides school can the it regular provide schedule. with time and even That want be to very summer opportunity that So, outside during of services months. an to a attractive therapists more

And so to we're this to very complement pilot PTS excited our business. essentially

we're with traditional therapy far, our as higher margins is integration so very you gross significantly pleased how business commands And does. And K-XX the know, than the going. business

further possibility our the through about practice excited we're So CTC. expand to therapy

Marc Riddick

you seems prioritization some of activity repurchase in of a I valuation little it I the as over during then the suppose. that remarks of shifting like, forward had maybe what little quarter. have you the if appetite prepared so? sort as the to least on that's far shifted as wanted cash now if comfort of the usage all there in talk the But remarks year or -- around we and well gears, could And about at at sort bit be Excellent. share fourth Gulf, and sort as bit touch acquisition as may that prepared and a going did regarding last notice to sort the seems though already you

Troy Anderson

Troy. share Thanks, Sure. XX yes, completed repurchase, -- X-year repurchase $XX Marc. a The million ] million share [ in the Yes. It's It's QX. authorization.

share clearly, coming significant fourth was the of out pretty the a disconnect quarter on So price in report. the there QX

And so the to in important market we be felt there. it was

Kelly coming that and we debt believe support to in inorganically, investing think the to on focused we're over that maintain very dividend continue business that sure still course, the growth, opportunities believe the organically of to make and a both want in We look strategy ability strongly the and also repayment. against But drive execute for for years in disconnect. and, strategy, and to our there's 'XX

debt included million million repurchase, but in net Peter the the the share of so $XX quarter, $X million about or referenced that CTC. plus that Our went up $X

more probably available growth in as an we to So further and near I little term option and repayment think have there, a shareholder But investing return we'll our toward horizon. continue bit that time the to creation. value the at to bias shareholder drive the in authorization look throughout is

Operator

the There Mr. call back Peter time. the Quigley are closing over no further will this any to for now turn at I queue questions remarks. in

Peter W. Quigley

thanks. Yes,

the Thank and appreciate can your you, morning, I everybody, participation. this time Liv. you, Thank we call. conclude your for think

Troy Anderson

Thank you.

Operator

your participation. gentlemen, thank disconnect. for and Ladies concludes now and call, This you today's may conference you

Kelly Services (KELYA) 13 Feb 252024 Q4 Earnings call transcript