Spherion Corporation has announced financial results for the first quarter ended March 29, 2009.
Spherion President and Chief Executive Officer Roy Krause commented, "Over the last two quarters, unprecedented numbers of jobs lost in the economy resulted in significant reductions in customer demand. Despite this environment of lower demand and extreme pricing pressure we generated positive cash flow and reduced our debt by $8 million during the quarter. We continue to respond with strict attention to productivity metrics and simplification of our infrastructure to reduce selling, general & administrative (SG&A) expenses and maximize cash flow."
-- First quarter 2009 revenues were $426 million, compared with $576
million last year.
-- Loss from continuing operations in the first quarter was $6.5 million,
or $0.12 per share, including $0.04 per share in restructuring and
other costs, compared with earnings of $2.2 million, or $0.04 per
share, in the prior year.
-- Adjusted loss from continuing operations in first quarter 2009 was
$4.1 million, or $0.08 per share, compared with adjusted earnings in
the same prior year period of $2.8 million, or $0.05 per share.
Adjusted (loss) earnings from continuing operations exclude
restructuring and other charges.
-- Adjusted earnings before interest, taxes, depreciation and
amortization (EBITDA) in the first quarter were $0.6 million compared
with $13.7 million in the first quarter last year.
-- Net debt was $24.0 million at the end of the first quarter, compared
with net debt of $31.7 million at the end of 2008. The Company had
unused availability on its credit facilities of approximately $55.5
million at the end of the quarter.
Krause continued, "As we exited March and entered April our total company temporary staffing revenue per day trends appeared to be stabilizing, particularly within the Professional Services segment which now represents over 40% of our total revenues. Based upon cost reduction actions taken and with stabilizing trends, we can continue to pay down debt and are better positioned to achieve our 2% EBITDA margin goals for the remaining quarters in 2009."