Kelly Services Q1 2016 operational earnings up 22% YoY
Kelly Services has confirmed revenue for its first quarter of 2016 totalled $1.3bn, a 2.2% increase (4.6% on a constant currency basis) compared to the corresponding quarter of 2015.
Earnings from operations for the first quarter of 2016 totalled $14.7m, up 22% year-over-year, compared to $12.1m reported for the first quarter of 2015.
The company also reported its GP is up 60 basis points to 17.3%.
Diluted earnings per share in the first quarter of 2016 were $0.29 compared to $0.10 per share in the first quarter of 2015, marking an increase of 190%. Included in diluted earnings per share for the first quarter of 2016 is a $0.07 improvement related to reinstatement of the Work Opportunity Credit. Excluding this item, diluted earnings per share for the first quarter of 2016 were $0.22 per share.
Carl T. Camden, president and chief executive, stated, "We are pleased with Kelly's ability to deliver solid increases in revenue, GP, and earnings in the first quarter, as we operated with improved efficiency and a heightened focus on profitability. Our investments in PT and OCG continue to yield results as we expand Kelly's role as a trusted talent advisor to our clients worldwide."
Kelly also reported that on May 10, its board of directors declared a dividend of $0.075 per share. The dividend is payable June 7 to shareholders of record as of the close of business on May 23, and represents a 50% increase.
"We are very pleased that our strong, sustained operating results in 2015 gave us the ability to deliver this increase and to enhance shareholder value," said Camden. He added, “With 2016 off to a solid start, we move forward with confidence."