Robert Half (RHI) Q3 2025 earnings summary

Executive summary

• Q3 2025 revenues were $1.354 billion, down 8% year-over-year, with net income per share at $0.43, compared to $0.64 in Q3 2024.

• Service revenues for the first nine months of 2025 were $4.08 billion, down 7.6% year-over-year, with net income at $101 million and diluted EPS of $1.01.

• U.S. operations accounted for 77.9% of total revenue, with international operations at 22.1%.

• Client and job seeker caution persisted, but contract talent revenues showed sequential growth in late Q3 and into October.

• Q4 guidance anticipates a return to sequential revenue growth for the first time since Q2 2022.

Financial highlights

• Q3 2025 gross margin was $504 million (37.2% of revenue), down from $572 million (39.0%) in Q3 2024.

• Adjusted operating income for Q3 2025 was $61 million (4.5% of revenue), down from $90 million (6.1%) in Q3 2024.

• Cash and cash equivalents at September 30, 2025, were $365 million.

• Q3 2025 tax rate was 33%, up from 31% last year.

• Contract Talent Solutions bill rates rose 3.7% year-over-year.

Outlook and guidance

• Q4 2025 revenue guidance: $1.245–$1.345 billion; EPS: $0.25–$0.35.

• Midpoint revenue guidance implies a 7% year-over-year decline but marks a return to positive sequential growth for the first time in 13 quarters.

• 2025 capital expenditures and cloud costs projected at $75–$90 million.

• Q1 2026 expected to see seasonal margin declines for Protiviti and a $4 million unfavorable tax charge due to stock compensation.

• Early signs of macroeconomic improvement are noted, with rising business confidence and potential for increased hiring and project demand.