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HSON...Hudson Global Reports 2021 Second Quarter Results

OLD GREENWICH, Conn., Aug. 06, 2021 (GLOBE NEWSWIRE) -- Hudson Global, Inc. (Nasdaq: HSON), a leading global total talent solutions company, announced today financial results for the second quarter ended June 30, 2021.

2021 Second Quarter Summary

Revenue of $39.7 million increased 61.5% from the second quarter of 2020 and 41.4% in constant currency.

Adjusted net revenue of $15.1 million increased 69.0% from the second quarter of 2020 and 52.7% in constant currency.

Net loss decreased to $0.1 million, or $0.04 per basic and diluted share, compared to net loss of $0.8 million, or $0.27 per basic and diluted share, for the second quarter of 2020. Adjusted net income per diluted share (non-GAAP measure)* was $0.15 compared to adjusted net loss per diluted share of $0.13 in the second quarter of 2020.

Adjusted EBITDA (non-GAAP measure)* was $1.7 million compared to adjusted EBITDA loss of $0.4 million in the second quarter of 2020.

Total cash including restricted cash was $24.5 million at June 30, 2021.

“Our business exhibited strong growth in revenue, adjusted net revenue, and adjusted EBITDA across each of our three regions in the second quarter of 2021 versus the prior year quarter,” said Jeff Eberwein, Chief Executive Officer of Hudson Global. “I am very proud of how well our team has responded to and capitalized on the rebound in demand for our services. I am also encouraged by our pace of new business wins so far this year as well as the robust growth of our sales pipeline.”

* The Company provides non-GAAP measures as a supplement to financial results based on accounting principles generally accepted in the United States ("GAAP"). Constant currency, adjusted EBITDA, EBITDA, adjusted net income or loss, and adjusted net income or loss per diluted share are defined in the segment tables at the end of this release and a reconciliation of such non-GAAP measures to the most directly comparable GAAP measures is included within such segment tables.

Regional Highlights

All growth rate comparisons are in constant currency.

Asia Pacific

Asia Pacific revenue of $28.8 million increased 32% and adjusted net revenue of $6.9 million increased 26% in the second quarter of 2021 compared to the same period in 2020. EBITDA was $1.0 million in the second quarter of 2021 compared to EBITDA of $1.0 million in the same period one year ago, and adjusted EBITDA was $1.4 million compared to adjusted EBITDA of $1.0 million in the second quarter of 2020.

Americas

In the second quarter of 2021, Americas revenue of $5.4 million increased 139% and adjusted net revenue of $5.0 million increased 159% from the second quarter of 2020. Strong organic growth in the Americas as well as the acquisition of Coit Group in Q4 2020 contributed to the region's top line growth. EBITDA loss decreased to $0.2 million in the second quarter of 2021 compared to EBITDA loss of $0.9 million in same period last year. The region recorded adjusted EBITDA of $0.5 million compared to adjusted EBITDA loss of $0.6 million a year ago.

Europe

Europe revenue in the second quarter of 2021 increased 39% to $5.5 million and adjusted net revenue of $3.2 million increased 30% from the second quarter of 2020. EBITDA increased to $0.5 million in the second quarter of 2021 compared to EBITDA of $0.3 million in the same period one year ago. Adjusted EBITDA increased to $0.6 million in the second quarter of 2021 compared to adjusted EBITDA of $0.1 million in the second quarter of 2020.

Corporate Costs

In the second quarter of 2021, the Company's corporate costs were $0.8 million, flat versus the prior year quarter. Corporate costs for each of the second quarters of 2021 and 2020 excluded non-recurring expenses of $0.1 million.

Liquidity and Capital Resources

The Company ended the second quarter of 2021 with $24.5 million in cash, including $0.3 million in restricted cash. The Company generated $1.0 million in cash flow from operations during the second quarter of 2021, compared to $1.9 million of cash flow from operations in the second quarter of 2020.

Share Repurchase Program

Since the beginning of 2019, the Company has reduced its share count by 16% and continues to view share repurchases as an attractive use of capital. Under its $10 million common stock share repurchase program, the Company has $1.7 million remaining.

COVID-19 Update

The Company is vigilantly monitoring the business environment surrounding COVID-19 and continues to proactively address this situation as it evolves. The Company believes it can continue to take appropriate actions to manage the business in this challenging environment due to the flexibility of its workforce and the strength of its balance sheet.

Conference Call/Webcast

The Company will conduct a conference call today at 10:00 a.m. ET to discuss this announcement. Individuals wishing to listen can access the webcast on the investor information section of the Company's web site at hudsonrpo.com.

If you wish to join the conference call, please use the dial-in information below:

Toll-Fee Dial-In Number: [phone]

International Dial-In Number: [phone]

Conference ID #: 8387899

The archived call will be available on the investor information section of the Company's web site at hudsonrpo.com.
https://finance.yahoo.com/news/hudson-global-reports-2021-second-123000610.html