Kforce 1Q Revenue Rises 0.1% to $330.4M, Q2 Guide of $344M–$352M
Kforce reported 1Q26 revenue of $330.4 M, up 0.1% year-over-year, with FA Flex revenue climbing 5.7% and gross profit margin rising 60 bps to 27.3%. It returned $18.6 M to shareholders, set a $0.40 Q2 dividend and guided Q2 revenue of $344 M–$352 M for mid-single digit growth.
1. Q1 Financial Results
Kforce posted first-quarter 2026 revenue of $330.4 million, a 0.1% year-over-year increase led by a 5.7% rise in FA Flex revenue and 0.2% growth in Technology Flex. Gross profit margin expanded by 60 basis points to 27.3%, operating margin improved 10 bps to 3.6%, and diluted EPS climbed 2.2% to $0.46.
2. Capital Returns
During the quarter, the company returned $18.6 million to shareholders through open market share repurchases and the quarterly dividend. The board approved a $0.40 per share dividend for Q2, payable on June 26, 2026, to shareholders of record on June 12, 2026.
3. Second Quarter Guidance
For Q2 2026, Kforce expects 64 billing days and projects revenue between $344 million and $352 million, reflecting mid-single digit growth. Guidance includes EPS of $0.67–$0.75, gross profit margin of 27.7%–27.9%, Flex margin of 26.4%–26.6%, SG&A at 22.1%–22.3% of revenue, and operating margin of 5.0%–5.4%.