By Sabela Ojea
Resources Connection swung to a loss in the latest quarter, citing declining demand from on-demand clients.
The professional services firm on Thursday posted a net loss for the fiscal second quarter ended Nov. 23 of $68.7 million, or $2.08 a share, compared with a profit of $4.9 million, or 14 cents a share, for the same period a year earlier.
Analysts polled by FactSet had forecast a quarterly loss of 6 cents a share.
Stripping out one-time items, the company's earnings per share came in at 18 cents.
Revenue fell 11% to $145.6 million, beating the $137 million expected by analysts.
"Based on pipeline activities and client dialogue this quarter, we are cautiously optimistic the new calendar year will bring a stronger demand environment and are confident in our strategic vision as reflected by the Board's additional share repurchase authorization," Chief Executive Kate Duchene said.
The company's latest earnings come about a month after it said it is planning to slash jobs to save on costs and streamline its operations. The layoffs are expected to be completed by the third quarter of fiscal 2025.
Write to Sabela Ojea at sabela.ojea@wsj.com; @sabelaojeaguix
(END) Dow Jones Newswires
January 02, 2025 16:29 ET (21:29 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.