Robert Half (RHI) Q2 2025 earnings summary

Executive summary

• Q2 2025 revenues were $1.37B, down 7% year-over-year, with EPS at $0.41 versus $0.66 last year; results aligned with guidance midpoint.

• Net income for Q2 2025 was $41M, down from $68M in Q2 2024; six-month net income was $58M.

• Revenue declines stabilized in June and continued at lower levels into July amid persistent global economic uncertainty and elongated client decision cycles.

• Cash flow from operations was $119M in Q2; cash and cash equivalents at June 30, 2025 were $381M.

• U.S. GDP grew 3.0% in Q2 2025, improving business confidence, but labor supply constraints and subdued hiring persisted.

Financial highlights

• Q2 2025 gross margin was $509M (37.2% of revenue), down from $577M (39.2%) in Q2 2024; adjusted gross margin was 38.1%.

• Adjusted operating income for Q2 2025 was $59M (4.3% of revenue); operating income was $2M (0.1% of revenue).

• Adjusted Talent Solutions revenues fell 11% year-over-year; U.S. Talent Solutions down 11%, non-U.S. down 13%.

• Protiviti Q2 2025 revenue was $495M, up 1.8% year-over-year; international Protiviti revenue grew 13.1%.

• Contract Talent Solutions bill rates rose 3.8–4.7% year-over-year, adjusted for mix, currency, and geography.

Outlook and guidance

• Q3 2025 revenue guidance: $1.31B–$1.41B; EPS $0.37–$0.47; midpoint revenue down 8% year-over-year and 3% sequentially.

• Adjusted Talent Solutions revenue expected down 9–13% year-over-year; Protiviti flat to down 4%.

• Adjusted gross margin guidance: Contract Talent 38–40%, Protiviti 22–24%, overall 37–40%.

• 2025 capital expenditures projected at $75M–$90M, with $55M–$65M for software and technology infrastructure.

• Management expects improved hiring urgency and project demand as business confidence rebounds, but visibility into future revenues remains limited.