The global professional services firm Resources Connection Inc. (RGP) posted its second-quarter fiscal 2022 results on Jan. 5. The company’s said it had the “strongest quarterly revenue in ten years.” Before the bell this morning, RGP stock gained 4.40% in value.
Second Quarter Fiscal 2022 Results
RGP reported income of $14.3 million on $200.2 million in revenue (up 30.7% YoY), with adjusted earnings clocking in at $0.47 per share. Analysts had been expecting income more in the $0.32 per share range. The firm's declared cash dividends come out to $0.14 per share.
COVID-19 and Workforce Trends
According to RGP, the increased client demand across many markets and solution offerings “reflected macro trends accelerated by the COVID-19 pandemic,” which include: agility, workforce gaps caused by the Great Resignation, and a need for digital transformation services, as well as an uptick in client spending “on significant and transformational initiatives…”
CEO Comments
CEO Kate W. Duchene believes that clients with operational gaps in non-discretionary roles are increasingly turning to the company for agile quality talent. “Clients are also pursuing transformation initiatives at accelerated levels and, therefore, need project resources for execution,” Duchene added.
