Robert Half (RHI) Q4 2025 earnings summary

Executive summary

• Fourth quarter 2025 global revenues were $1.302 billion, down 6% year-over-year on a reported basis and 7% on an adjusted basis; net income was $32 million, or $0.32 per share, down from $54 million and $0.53 per share in Q4 2024.

• Full-year 2025 revenues totaled $5.379 billion, with net income of $133 million ($1.33 per share), compared to $5.796 billion and $252 million ($2.44 per share) in 2024.

• Sequential growth returned on a same-day, constant-currency basis for the first time since early 2022, with positive momentum extending into January 2026.

• Revenues and earnings exceeded the midpoint of previous Q4 guidance.

• Cash flow from operations reached $183 million, the highest quarter of the year and up 18% from Q4 2024.

Financial highlights

• Q4 2025 gross margin was $489.6 million (37.6% of revenue), down from $536.1 million (38.8%) in Q4 2024.

• Adjusted operating income for Q4 2025 was $43.4 million (3.4% margin), versus $70.2 million (5.8%) in Q4 2024.

• Adjusted Talent Solutions revenues declined 9% year-over-year; U.S. down 9%, non-U.S. down 8%.

• Protiviti global revenues were $479 million; adjusted revenues down 3% year-over-year, with U.S. down 6% and non-U.S. up 9%.

• Fourth quarter tax rate was 32%, up from 28% a year ago.

Outlook and guidance

• Q1 2026 revenue guidance: $1.26–$1.36 billion; income per share: $0.08–$0.18.

• Midpoint revenue guidance is 5% lower year-over-year on an adjusted basis.

• Adjusted operating margin expected to decline sequentially by one percentage point; Protiviti segment margin to decline by four points, consistent with seasonal trends.

• Q1 tax rate expected at 56–58% due to stock compensation and non-deductible items; normalizing to 33–35% for the rest of 2026.

• 2026 capital expenditures and cloud costs projected at $70–$90 million.