Everforth Reports Revenue and Net Income Decline in Q2 and First Half of 2026

Everforth, Inc., formerly known as ASGN Incorporated, reported its financial results for the second quarter and first half of 2026, revealing a decline in both revenue and net income compared to the same periods in 2025. For the three months ended June 30, 2026, the company generated revenues of $1.007 billion, a decrease of 1.3% from $1.021 billion in the prior year. Net income for the quarter was $14.2 million, down from $29.3 million in the same quarter of 2025. For the first six months of 2026, revenues totaled $1.975 billion, down 0.7% from $1.989 billion, while net income fell to $19.7 million from $50.2 million.

The decline in revenue was attributed to reduced contributions from several sectors within the Commercial Segment, particularly Business Services, Financial Services, Consumer and Industrial, and Healthcare. The Federal Government Segment also experienced a 2.3% decrease in revenue, primarily due to lower earnings from Defense and Intelligence agencies. Despite these declines, the Technology, Media, and Telecom (TMT) sector showed some growth, partially offsetting losses in other areas. Gross profit for the quarter was $284.6 million, down 3.0% year-over-year, with a gross margin of 28.3%, reflecting a 40 basis point compression.

In terms of strategic developments, Everforth completed the acquisition of Quinnox Inc. in March 2026 for $290 million, which is expected to enhance its capabilities in the Commercial Segment. The acquisition's impact is still being assessed, and the company anticipates adjustments to the fair value of assets acquired within the next 12 months. The company also reported an increase in selling, general, and administrative expenses, which rose to $226.2 million in the second quarter, partly due to acquisition-related costs.

Operationally, Everforth's total assets increased to $4.024 billion as of June 30, 2026, up from $3.677 billion at the end of 2025. The company reported a significant rise in accounts receivable, which increased to $766.3 million from $674.4 million, indicating a potential slowdown in cash collection. The company’s long-term debt also rose to $1.438 billion, up from $1.169 billion, reflecting increased borrowings to support its acquisition strategy. The company’s liquidity position remains stable, with cash and cash equivalents at $152.9 million and available credit under its revolving facility.

Looking ahead, Everforth anticipates continued challenges in revenue growth due to market conditions and sector-specific declines. However, the company remains focused on integrating Quinnox and leveraging its capabilities to drive future growth. Management expressed confidence in the company's ability to meet its obligations and capitalize on opportunities in the evolving technology landscape, although they caution that past performance may not be indicative of future results.