ASGN Reports $4.1 Billion Revenue for Fiscal Year 2024, 7.9% Decline from Previous Year

ASGN Incorporated reported a revenue of $4.1 billion for the fiscal year ending December 31, 2024, reflecting a 7.9% decline from the previous year's revenue of $4.45 billion. The decrease was primarily attributed to a significant drop in assignment revenues, which fell by 16.3% to $1.74 billion, while consulting revenues increased by 3.0% to $1.13 billion. The Federal Government Segment also experienced a revenue decline of 3.5%, totaling $1.23 billion, largely due to reduced third-party software license revenues. Despite the overall revenue decline, the company's gross profit decreased at a slower rate of 7.5%, resulting in a gross margin of 28.9%, up from 28.8% in 2023.

In terms of profitability, ASGN's net income for 2024 was $175.2 million, down from $219.3 million in 2023. The company reported a diluted earnings per share of $3.83, compared to $4.50 in the prior year. The decline in net income was influenced by lower revenues and a slight increase in the effective tax rate to 27.0%. Selling, general, and administrative expenses decreased to $821.2 million, or 20.0% of revenues, down from 19.0% in 2023, primarily due to reduced compensation-related expenses.

Strategically, ASGN has continued to focus on enhancing its IT consulting capabilities through both organic growth and acquisitions. The company has completed nine tuck-in acquisitions over the past five years, which have contributed to its service offerings in high-demand areas such as artificial intelligence and cybersecurity. In February 2025, ASGN announced its intention to acquire TopBloc, LLC, a Workday consultancy, for $340 million, further expanding its consulting capabilities.

Operationally, ASGN employed approximately 21,300 billable professionals as of December 31, 2024, with a total employee headcount of around 3,200 internal employees. The company operates a network of 81 branch offices across the U.S. and additional locations in Canada and Europe. The Federal Government Segment maintained a contract backlog of $3.1 billion, providing visibility into future revenues, while the Commercial Segment's consulting bookings totaled $1.28 billion, indicating a book-to-bill ratio of 1.1 to 1.

Looking ahead, ASGN anticipates continued challenges due to macroeconomic conditions affecting the IT services industry. The company aims to leverage its diverse client base and expand its consulting services to drive future growth. Management remains focused on integrating new technologies and enhancing operational efficiencies to adapt to evolving market demands. However, ASGN acknowledges that actual results may differ from forward-looking statements due to various risks, including competition, client demand, and economic fluctuations.