Earnings Preview: Robert Half International

| About: Robert Half (RHI)

Robert Half International (NYSE:RHI) is expected to report Q2 earnings after market close Wednesday, July 23, with a conference call scheduled for 5:00 p.m. ET.


Analysts are looking for EPS of 42c on revenue of $1.21B. There is a tight consensus range for EPS of 41c to 44c, and $1.19B to $1.23B for revenue, according to First Call. Last quarter, the company reported EPS results in-line with estimates but a penny lower than consensus.

Analyst Views

William Blair maintained its Outperform rating for Robert Half, but felt the company's Protiviti division was underperforming significantly and during the next few quarters, the macroeconomic environment was going to continue presenting a headwind for the company. The firm reduced Q2 EPS guidance, which is lower than its 45c EPS estimate.

Merrill Lynch downgraded the company to Sell from Neutral, along with many other companies in the employment services sector. The firm downgraded Robert Half, Kelly Services (NASDAQ:KELYA), Manpower (NYSE:MAN), and TrueBlue (NYSE:TBI), as it expects cyclical pressures to intensify for the group.