Kforce Reports $330.4M Q1 Revenue, EPS of $0.46 and 50% AI Pipeline Growth

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Kforce Inc posted Q1 revenue of $330.4 million, its first year-over-year growth since Q4 2022, and delivered EPS of $0.46, topping guidance. The company’s AI pipeline surged 50% with new innovation studio and India pods, while Flex gross margins expanded 90 basis points.

1. Q1 Financial Results

Kforce reported first-quarter revenue of $330.4 million, marking its first year-over-year revenue growth since Q4 2022, and delivered EPS of $0.46, surpassing guidance. Client visits rose nearly 10% and job orders increased nearly 20% year over year.

2. AI Investments and Growth

The company launched an AI Innovation Studio and established AI pods in India, driving its AI pipeline growth of nearly 50% year over year and integrating AI capabilities across almost all roles.

3. India Operations and Margin Impact

Sixty percent of Kforce’s 25 largest clients now use a blended model with Indian operations, and improved bill-pay spreads boosted Flex gross margins by 90 basis points, with offshore services expected to enrich margins as they scale.

Sources

FF