Heidrick & STruggles Posts 19 Percent Revenue Decline

July 31, 2012 – Chicago-based executive search firm Heidrick & Struggles International/(NASDAQ:HSII) has posted net revenue of $116.1 million, down 18.7 percent from $142.8 million in the 2011 second quarter. Year over year, net revenue declined 14.9 percent in the Americas, 21.3 percent in Europe (approximately 13 percent on a constant currency basis), and 25.2 percent in Asia Pacific (approximately 24 percent on a constant currency basis). All industry practices except education & social enterprise contributed to the decline. Net income was $1.9 million and diluted earnings per share were $0.10, compared to earnings of $7.4 million and diluted earnings per share $0.41. "Although revenue improved compared to the first quarter, confirmation trends fell short of our expectations and second quarter results were disappointing," said L. Kevin Kelly, CEO. "Search confirmations were adversely impacted by increasing uncertainty about the pace of global economic recovery, including the euro-zone financial crisis, as well as continued weakness in hiring trends and investment spending generally."