RGP 2027 財年第一季法說會：營收下滑 18.5%，第二季財測指引為 9,500 萬至 1 億美元

重點總覽

• RGP 公布 2027 財年第一季營收為 9,810 萬美元，在相同天數與固定匯率基礎下，年減 18.5%。
• 毛利率自 39.5% 降至 37.4%，主因顧問利用率下降以及間接服務成本的槓桿效果較差。
• 調整後 EBITDA 為負 360 萬美元。受 2026 財年執行的成本控制措施推動，常態銷售與管理費用 (Run-rate SG&A) 年減 9.4% 至 4,030 萬美元。
• 諮詢業務仍是最大的壓力來源。該部門營收年減 25.8% 至 3,240 萬美元，受薪顧問利用率則落在 50% 高段區間。
• 截至本季末，RGP 擁有的現金與現金等價物為 6,120 萬美元，無未償還債務，循環信貸可用額度為 2,410 萬美元。
• 管理層預計第二季營收將介於 9,500 萬美元至 1 億美元之間，與第一季大致持平，並表示業務活動似乎正在趨於穩定。

核心財務業績

業務與營運績效

隨選人才 (On-Demand Talent)：營收下降 13.2% 至 3,860 萬美元。調整後 EBITDA 為 210 萬美元，利潤率為 5.3%，而去年同期則分別為 440 萬美元與 10.0%。此下滑主要受業務量減少所致，但平均帳單費率成長 4.1% 至 145 美元，超越薪資費率的增幅。

諮詢業務 (Consulting)：營收年減 25.8%、季減 11.6% 至 3,240 萬美元。可計費工時減少 27.1%，但平均帳單費率上升 2.2% 至 162 美元抵銷了部分影響。調整後 EBITDA 自 510 萬美元（利潤率 11.6%）降至 170 萬美元（利潤率 5.1%）。管理層將專案數量、轉換速度及顧問利用率列為近期主要優先事項。

歐洲與亞太地區：營收為 1,710 萬美元，年減 14.0%，季增減幅大致持平。調整後 EBITDA 接近收支平衡，而去年同期為 80 萬美元（利潤率 4.2%）。受客戶入職放緩與專案啟動延後持續影響，各市場表現有所差異。

外包服務 (Outsourced Services)：營收保持穩定，為 1,000 萬美元，年增 0.2%。調整後 EBITDA 自去年同期的 230 萬美元（利潤率 23.3%）降至 150 萬美元（利潤率 15.3%），反映出去年同期較高的利用率與特定專案效益並未重演。

管理層表示，戰略客戶帳戶表現優於預期且實現季成長。然而，北美潛在專案管線數量的增加，並未轉化為足夠的成交訂單或專案啟動，無法推動營收季成長。

管理層財務展望

針對 2027 財年第二季，管理層提供以下展望：

毛利率展望已考量感恩節假期預估影響。非常態與非現金費用預計主要包括股權報酬費用以及資本化系統轉型成本攤銷。

管理層表示，新聘銷售人員的生產力提升大致符合預期，預計大部分成效仍將顯現在 2027 財年的最後兩個季度。公司還計劃進一步簡化營運模式，同時保留對創收能力的針對性投資。

風險與關注領域

• 客戶決策依然謹慎，特別是在規模較大的非必要性專案上。審批週期變長，開工日期持續延後，簽約與入職流程耗時更久。
• 諮詢業務利用率依然疲軟，本季受薪顧問利用率落在 50% 高段區間。
• 潛在專案管線活動未能穩定轉化為已簽約案源與執行中專案。
• 業務量下降正在削弱隨選人才與諮詢業務的營運槓桿。
• 管理層表示狀況似乎正在趨於穩定，並表達了對未來季成長的期望，同時也承認此一結果仍存在不確定性。

分析師問答亮點

在被問及多年下滑後復甦的時間點時，執行長 Roger Carlile 表示，就業務活動而言，RGP 似乎正在觸底。他補充說明，公司預期未來將有所季成長，但該趨勢是否能實現仍有待觀察。

管理層表示，諮詢與隨選人才業務旨在優勢互補。大型諮詢專案可能需要額外的隨選專業人員，尤其是在客戶需要於特定地點快速部署團隊時。

在費用方面，管理層指出進一步的舉措可能會同時影響銷售與管理費用以及毛利率。公司正在檢視行政成本，同時調整受薪顧問的人力規模以符合需求，且不會減少支援創收的資源。

電話會議完整逐字稿

完整財報電話會議逐字稿

管理層陳述

Operator

Good afternoon, and welcome to RGP's First Quarter Fiscal 2027 Conference Call. [Operator Instructions] As a reminder, this conference call is being recorded. At this time, I would like to remind everyone that management will be commenting on results for the first quarter ended August 29, 2026. They will also refer to certain non-GAAP financial measures. An explanation and reconciliation of these measures to the most comparable GAAP financial measures are included in the press release issued today. Today's press release can be viewed in the Investor Relations section of RGP's website and filed today with the SEC. Also during this call, management may make forward-looking statements regarding plans, initiatives and strategies and the anticipated financial performance of the company.

Such statements are predictions and actual events or results may differ materially. Please see the Risk Factors section in RGP's report on Form 10-K for the year ended May 30, 2026, for a discussion of risks, uncertainties and other factors that may cause the company's business, results of operations and financial condition to differ materially from what is expressed or implied by forward-looking statements made during this call. I will now turn the call over to RGP's CEO, Roger Carlile.

Roger Carlile

Thank you, operator, and welcome, everyone, to RGP's First Quarter Fiscal 2027 Earnings Call. Before commenting on our Q1 results, I want to acknowledge Jenn Ryu's service as RGP's CFO for the last 6.5 years. Jenn stepped into the CFO role in February 2020, a moment when almost nothing about the world of our business was predictable. She has led our finance organization through one of the most consequential stretches in RGP's history, a global pandemic, the reshaping of how and where professional work gets done and significant changes across our markets. Through all of this, Jenn has provided the disciplined capital stewardship that kept us on solid footing throughout. We wish Jenn well in her future endeavors.

To ensure continuity, as announced in early September, Jessica Block has stepped in as Interim Chief Financial Officer. Many of you know Jessica, who joined us in March as our Chief AI Officer. She has more than 20 years of experience leading professional services organizations through growth and transformation, including a year as Interim CFO at Factor Law. In addition to the strategic and operational skills Jessica brings to her role as Interim CFO, she is now afforded the direct ability to observe and assess how AI can be used in our accounting, finance and reporting processes to further improve efficiency and costs.

As part of this transition and also announced last month, we have promoted Trisha Jenks to the role of Chief Accounting Officer. Trisha joined RGP in 2019 and most recently served as our Senior Vice President and Corporate Controller. Prior to that, she served as our Senior Vice President of Global Revenue Accounting. I look forward to working with Jessica and Trisha in these important roles for RGP.

Turning to our first quarter results. Our revenue and gross margin were within the outlook ranges we provided in July, while our run rate SG&A expense was better than our outlook. That said, our revenue and profitability remain below our long-run potential. Revenue for the quarter was $98.1 million, gross margin was 37.4% and adjusted SG&A expense was $40.3 million. The largest source of revenue pressure continued to be lower project volume and resulting utilization in our Consulting segment. The On-Demand Talent segment also experienced lower volume, while outsourced services remained stable. This reflects 2 realities. First, client decision-making remains cautious, particularly for larger discretionary projects. Sales cycles remain longer, project start dates continue to move and contracting and onboarding requirements are taking more time in several parts of the business.

Second, we have work to do within RGP. We need to generate more opportunities, convert more of those opportunities into wins, mobilize projects more quickly, improve Consulting segment utilization and execute with greater consistency across our markets and capabilities. We are not satisfied with the current financial performance, and we are addressing these issues with urgency and accountability. At the same time, we are seeing several indicators that reinforce our confidence in the long-term demand for our business model and in the actions that we are taking. These include the benefit from disciplined pricing and on-demand talent, opportunities in our pipeline, strong performance across our largest client relationships, stability in our Outsourced Services segment and traction in several of our Consulting segment capabilities.

Next, I'd like to address 3 areas: the demand environment, a review by segment of the progress we're making and an update on our strategic priorities. Beginning with the market, conditions remain mixed. We continue to see demand for specialized expertise and execution support across finance, risk, technology, data, AI and business transformation. Clients are dealing with significant change, including cost pressure, enterprise technology modernization, regulatory demands, operating model transformation, M&A transactions and the adoption of AI. Those needs align well with RGP's capabilities. However, the existence of client need does not always translate immediately into project starts. Many organizations continue to apply significant scrutiny to discretionary spending, extend approval cycles, divide larger programs into smaller phases or delay commitments until they have greater budget visibility.

The result is a demand environment in which client discussions and pipeline activity can be healthy, while revenue conversion remains slower and less predictable. This quarter illustrated that distinction. Across North America, our pipeline creation increased sequentially, including growth in Consulting segment pipeline. However, closed won dollars stagnated and project starts did not occur at a sufficient pace to drive sequential revenue growth, considering successful project completions and normal summer seasonality. One of the more encouraging indicators continues to be the performance of our strategic client accounts portfolio. Our largest strategic relationships collectively performed better than we anticipated during the first quarter and grew sequentially. Several of these relationships expanded across new buying centers, geographies and service offerings.

This supports what we discussed last quarter following our Voice of the Customer survey. Clients value RGP for the quality of our people, our flexibility, our speed and our ability to connect expertise with execution. The performance of these accounts also demonstrates the opportunity available when we manage client relationships strategically, coordinate our capabilities and engage multiple executive buyers rather than pursuing isolated assignments. Our objective is to apply the same discipline to a broader group of clients. This includes identifying additional buying centers, bringing the right combination of on-demand talent, consulting and managed services to each opportunity and establishing clear accountability for growth.

Turning to progress being made. I will begin with on-demand talent, where our principal challenge is volume rather than billing rate. We have made meaningful changes to strengthen execution. We have added sales capacity, clarified regional accountability, aligned more of our talent organization with sales leadership, introduced additional sales training and increased the rigor of activity and pipeline management. We are also rebuilding talent metrics around the outcomes that matter most to revenue, including request volume, speed of response, submissions, fill rates and time to fill. The sales professionals we hired during the first half of this calendar year are at different stages of their ramp. Several are already building encouraging pipelines and producing initial wins. We are also investing in additional business development and demand generation capabilities to expand our pipeline, increase client engagement and create more qualified opportunities. The objective is straightforward: create more opportunities, respond faster, present the right people and win a greater share of client demand.

Turning to our Consulting segment. This is the area where we have the most immediate work to do. Our Q1 revenue reflects lower project volume, slower conversion of pursuits into active engagements and project completions. The impact was not uniform across the Consulting business with certain of our capability areas experiencing better revenue and utilization during the quarter than others. Improving consulting utilization is one of our highest near-term priorities, and we are focused on project staffing and resource management. The goal is to deploy our people more quickly and reduce the time between assignments. We are aligning capacity with realistic demand. We will invest where capabilities are gaining traction, but will also act where capacity is not supported by near-term demand or a credible pipeline.

There were encouraging results within the quarter. We saw strength in several areas of the consulting portfolio and won meaningful engagements across a range of client priorities, including technology, data, finance transformation, supply chain and transaction-related work. These wins demonstrate the breadth and relevance of our capabilities. Our task is to make that performance more consistent across the portfolio and to improve the economics of delivery. Regarding our effort to align our cost structure with revenue and simplify how we operate, our adjusted SG&A expense was $40.3 million, a 9.4% improvement from the prior year quarter and better than the outlook we provided in July. This reflects the cost actions implemented during fiscal 2026, including lower employee-related costs and reduced spending in several corporate areas.

We've made progress, but the current revenue levels require additional action. The next phase is not simply a broad cost reduction exercise. It's about building a simpler, more scalable operating model. That means clarifying roles, reducing duplicative work, improving systems and processes, aligning incentives, increasing accountability and using technology more effectively. We'll remain disciplined in balancing cost actions with selected investments in the client-facing capabilities needed to grow. Our focus is on improving the efficiency and scalability of the business so the growth translates more effectively into profitability and cash flow.

So as we move through fiscal 2027, our strategic priorities remain clear. First, refocus and strengthen on-demand talent. We are increasing sales activity, improving pipeline quality and conversion, deepening our strategic client relationships and maintaining price discipline. Second, scale consulting with discipline. We are focused on improving project staffing and utilization and scaling the capabilities where we have demonstrated client demand and differentiation. Third, advance AI and data as practical business capabilities. That means developing solutions designed to produce measurable client outcomes and revenue while also using AI to improve productivity and decision-making within RGP. Fourth, simplify how we operate and align our cost structure with current revenue. We are reducing complexity, improving processes and systems and creating clear accountability for results throughout the organization.

We remain confident in the long-term demand for RGP's integrated model. Clients increasingly need a combination of specialized expertise, consulting rigor, flexible delivery and accountability for execution. Our ability to provide on-demand talent, consulting and managed services gives us a differentiated way to meet that need. We have strong client relationships, talented people, relevant capabilities and a differentiated platform. Our responsibility is to bring those assets together more effectively, operate with discipline and deliver measurable progress. With that, I will turn the call over to Jessica to provide additional detail on our first quarter financial results and our outlook for the second quarter.

Jessica Block

Thanks, Roger, and good afternoon, everyone. Our performance in the first quarter was largely in line with expectations and reflective of normal summer seasonality. Consolidated revenue and gross margin were both within our outlook ranges, while SG&A expense was more favorable than our outlook. Adjusted EBITDA for the quarter was negative $3.6 million. Consolidated revenue for the quarter was $98.1 million, representing an 18.5% decline on a same-day constant currency basis compared with the prior year quarter, again, consistent with our outlook and taking into account continued stabilization.

Our first quarter gross margin was 37.4% compared with 39.5% in the prior year quarter, primarily reflecting less favorable leverage of indirect cost of services and lower consultant utilization. Enterprise-wide average bill rate was $114 on a constant currency basis compared with $121 a year ago. The year-over-year comparison reflects the May 2026 divestiture of Sitrick, which had significantly higher average bill rate as well as the shift in geographic mix, including greater contribution from Asia Pacific, which has lower bill rates. At the segment level, average bill rates in our North America segments remained strong. On-Demand Talent average bill rate increased to $145 from $140 a year ago, while consulting increased to $162 from $160.

First quarter run rate SG&A expense was $40.3 million. The year-over-year improvement reflects the benefit of cost actions taken during fiscal 2026, including lower employee-related costs and reduced spending in several corporate areas, even as we continue to make targeted investments to support future growth.

Next, I'll review results by segment. And as a reminder, all year-over-year revenue comparisons are adjusted for business days and currency impacts and segment adjusted EBITDA excludes certain shared corporate costs. On-Demand Talent revenue was $38.6 million, down 13.2% from the prior year quarter. Segment adjusted EBITDA was $2.1 million or a 5.3% margin compared with $4.4 million or a 10% margin. The revenue decline was volume related, while pricing remained solid. Average bill rate increased approximately 4.1% year-over-year, and the increase in bill rates exceeded the increase in pay rates. The decline in segment-adjusted EBITDA primarily reflects the effect of lower revenue volume on operating leverage despite favorable bill rate performance.

Consulting revenue was $32.4 million, down 25.8% year-over-year and approximately 11.6% sequentially. Billable hours decreased 27.1% year-over-year, partially offset by an approximately 2.2% increase in average bill rate. Segment-adjusted EBITDA was $1.7 million or a 5.1% margin compared with $5.1 million or an 11.6% margin in the prior year quarter. The decline in segment-adjusted EBITDA and margin primarily reflects lower project volume and reduced utilization, which resulted in less favorable operating leverage. Europe and Asia Pacific revenue was $17.1 million, down 14% year-over-year and approximately flat sequentially. Segment-adjusted EBITDA was near breakeven compared with $0.8 million or a 4.2% margin in the prior year quarter.

Performance varied across the segment with certain markets experiencing stronger activity levels, while others continue to be affected by slower onboarding and delayed project starts. Geographic mix continued to influence the segment's average bill rate. Outsourced Services revenue was $10 million, up 0.2% year-over-year. Segment-adjusted EBITDA was $1.5 million or a 15.3% margin compared with $2.3 million or a 23.3% margin in the prior year quarter. The prior year comparison reflects stronger utilization and certain project-specific factors last year that did not repeat in the current quarter. Our balance sheet remains strong. We ended the quarter with $61.2 million in cash and cash equivalents and no outstanding debt. The sequential decline in cash primarily reflects the expected payment of annual bonuses, which occurs in the first quarter of each fiscal year, expected payment of nonrecurring costs related to executive transition and restructuring activities as well as our operating results for the quarter.

We remain confident that our strong cash position and available borrowing capacity of $24.1 million under our revolver provide ample liquidity to support the business as operating performance recovers. Quarterly dividend payments totaled $2.4 million. I'll conclude with our outlook for the second quarter of fiscal 2027. We expect second quarter revenue to be broadly consistent with first quarter levels, ranging from $95 million to $100 million. We expect gross margin to be between 36% and 37%, reflecting the impact of the Thanksgiving holiday in the second quarter. Run rate SG&A expense is expected to be in the range of $40 million to $42 million, reflecting the targeted reinvestments we've made in the business and cost reductions completed over the past year.

Non-run rate and noncash expenses are expected to range from $2 million to $3 million and consist primarily of noncash stock-based compensation expense and amortization of capitalized system transformation costs. In summary, first quarter revenue and gross margin were within our outlook ranges. SG&A was better than our outlook and the longer-term demand indicators for our business remain compelling. We entered the second quarter with a strong balance sheet and remain focused on improving utilization, conversion and operating efficiency. With that, we'll open the call for questions.

Operator

[Operator Instructions] Our first question comes from Joe Gomes with NOBLE Capital.

分析師問答

Joseph Gomes

So Roger, I wanted to start out. I understand what you're saying here in the big picture and longer term, it looks promising for demand. But we're in a multiyear decline here. It doesn't look like we're seeing any real improvement here in the fiscal second quarter. I mean, what do you see today in your crystal ball as the timing of a recovery here? It just seems to have been very, very elongated.

Roger Carlile

Yes. Well, certainly, I think, longer than I'm sure anybody wants and also the entirety of my time here. So that's not fun. I don't think -- as you know, I'm not one to blame the market. But I think when I look at the market and I look at our competitors, I think what we're experiencing is not radically different. What we -- the positive thing that we referred to that we see is that we think that things are stabilizing. We're bottoming out in terms of activity, and we think we will be experiencing some sequential growth as we look forward. So those are all positives. It remains to be seen if that plays out that way, but it feels like we're experiencing that type of environment.

Joseph Gomes

Okay. And on the consultants, I might have missed it. Did you say what their utilization rate was for the quarter? I know it was low 60% last quarter. And then seeing as the salaried consultant utilization is below where you want it to be. I mean, how is that impacting retention of the non-salaried consultants? It would seem to be that's somewhat of a juggling act for management.

Roger Carlile

We did not mention the utilization. I'll let Jessica comment on that in a moment. But in terms of the juggling act, they're really -- our view is those businesses have to be their best versions of themselves. So it's not like one necessarily impacts the other. What is more likely than not is, and we have some very good examples of that in this quarter, when we secure a major consulting project, particularly if the client would like to have all of those people or majority of those people now in their office in a given part of the U.S., we would have to supplement our own employed -- fully employed consulting team with on-demand talent. So it's really an A, which is the power of this model as opposed to any type of balancing act between them.

Jessica Block

Yes. Just to follow up on that. Salaried consultant utilization was similar, slightly lower sort of high 50s.

Operator

Our next question comes from Kartik Mehta with Northcoast Research.

Kartik Mehta

Roger, you made a comment during the prepared remarks about the new salespeople you've hired and you said, obviously, some are performing at or above expectations and others are still ramping up. As you look at the time frame of all these investments that you've made, in aggregate, is it where you expected, better than you expected? I'm curious as to how you would frame how the sales part of this new salespeople are doing in terms of aggregate.

Roger Carlile

Yes. I think by and large, the investment in the sales team is probably ramping about as expected. I think if you went back at the end of the last fiscal year, the last quarter, we spoke about the time to ramp and the likelihood that you would see the majority of that impact in the latter 2 quarters of this fiscal year. So I don't think we actually commented that anybody was more or ahead or behind the ramp, just that we've already had some that are doing quite well against their ramp, and so we're seeing that benefit. But I think everything is progressing at this point at about the pace we would expect.

Kartik Mehta

And then just a follow-up, Jessica, on the SG&A for the second quarter guidance, it looks like it's in line with what is the first quarter. I think Roger, you talked about potential cost actions. I'm wondering, when you talk about cost actions, is that more about kind of maintaining where the SG&A levels are? Or do you think there's an opportunity to even lower them if revenue kind of stays in that $100 million a quarter range?

Roger Carlile

Well, it's both, actually. I mean we are -- while the bulk of the investment that we were making is done, we still have some of that, that comes in and has a full year impact effect. So you have a little bit of that. All of that is in go-to-market activity. So it's things that drive revenue. At the same time, we are focused on looking at both things that would lower the SG&A costs. And as we talked about, looking at the utilization of our salaried consultants, that where it doesn't impact revenue but also improve gross margin. So it really would have an impact in both of those areas.

Operator

I would now like to turn the call back over to Roger Carlile for any closing remarks.

Roger Carlile

All right. Thank you, operator, and thanks, everyone, for joining our call today. We appreciate your interest in RGP, and don't hesitate to reach out with any additional questions. Thank you.

Operator

Thank you. This concludes the conference. Thank you for your participation. You may now disconnect.