Korn Ferry reported a strong financial performance for the second quarter of fiscal year 2026, with fee revenue reaching $721.7 million, a 7% increase from $674.4 million in the same period last year. The company's net income attributable to Korn Ferry rose by 19% to $72.4 million, resulting in a net income margin of 10%. Adjusted EBITDA also saw a 7% increase, totaling $124.8 million, with a margin of 17.3%. The diluted earnings per share improved to $1.36, up from $1.14 in the prior year.
The company experienced notable growth in several segments, particularly in Executive Search and Professional Search & Interim, which reported year-over-year increases of 10% and 17%, respectively. The increase in fee revenue was attributed to higher average bill rates and an uptick in the number of engagements billed. Korn Ferry's Consulting segment also contributed to the revenue growth, with a 4% increase in fee revenue, driven by a rise in average bill rates.
Korn Ferry's operational metrics reflected positive trends, with a total of 350 Marquee and Diamond accounts contributing approximately 39% of consolidated fee revenue. The company also reported a decrease in general and administrative expenses by 22% to $50.3 million, largely due to a gain from the modification of an office lease. Compensation and benefits expenses increased by 6% to $462.0 million, primarily driven by higher performance-related bonuses and salaries.
Looking ahead, Korn Ferry remains optimistic about its growth trajectory, supported by its strategic initiatives and market demand for its services. The company has a robust liquidity position, with cash and cash equivalents totaling $761.6 million as of October 31, 2025. Korn Ferry's management indicated that they expect continued demand for their consulting and talent acquisition services, despite potential macroeconomic challenges. The company is committed to investing in growth initiatives while maintaining a balanced approach to capital allocation, including share repurchases and dividends.
About KORN FERRY
Korn Ferry is a global consulting firm specializing in talent management, organizational strategy, leadership development, and workforce transformation. It offers services across the talent lifecycle, including executive search, leadership assessment, digital talent solutions, and talent acquisition outsourcing. Serving diverse industries worldwide, Korn Ferry leverages proprietary data, behavioral science, and integrated technology to deliver scalable, data-driven insights and customized solutions that enhance organizational performance.
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