Korn/Ferry International News Release (06/11/15)

Korn/Ferry International reported total revenue of $282.2 million for the fiscal fourth quarter of 2015, up 8% from $261 million in the fiscal fourth quarter of 2014. The company reported total revenue of $1.1 billion for fiscal 2015, up 7% from $996 million in fiscal 2014. Fee revenue totaled $271.7 million in the fourth quarter, up 8% (14.2% in constant currency) from $251.7 million, and $1 billion for fiscal 2015, up 7% (9.6% in constant currency) from $960.3 million. Net income totaled $25.5 million in the fourth quarter, up 20.3% from $21.2 million, and $88.4 million for fiscal 2015, up 21.6% from $72.7 million.

By segment, total revenue for the fourth quarter was $161.7 million for executive recruitment, up 5.2% from $153.7 million; $75.3 million for leadership and talent consulting, up 10.1% from $68.4 million; and $45.2 million for Futurestep, up 16.8% from $38.7 million. For all of fiscal 2015, revenue totaled $619.3 million for executive recruitment, up 4.8% from $591.2 million; $275.2 million for leadership and talent consulting, up 4.6% from $263 million; and $171.6 million for Futurestep, up 21.4% from $141.4 million.

Wall Street Journal (06/12/15) Jeffrey Sparshott; Kate Davidson

The producer-price index for final demand rose a seasonally adjusted 0.5% in May from April, according to the U.S. Department of Labor. Most of the increase was due to higher energy prices. Core prices, which exclude the energy and food categories, increased 0.1%. When excluding energy, food, and trade services, the index declined 0.1%. Economists polled by the Wall Street Journal had forecast overall prices would increase 0.4% and core prices would rise 0.1%.

Overall producer prices have fallen 1.1% from a year ago and core prices have risen 0.6%. It’s the fourth consecutive monthly decline in overall producer prices.

Wall Street Journal (06/11/15) Kathleen Madigan

The healthy labor market is prompting consumers to spend, according to 66 economists polled by the Wall Street Journal, which likely will fuel the overall economy. Inflation-adjusted household spending is forecast to increase 2.7% this quarter and more than 3% in the third and fourth quarters, up significantly from the 1.8% gain realized during the winter.

Retail sales rose 1.2% in May. Excluding autos, sales rose 1%.

“Consumers are more secure in their jobs and that makes them more ready to spend,” says Joseph Carson of AllianceBernstein. The record level of job openings means businesses will continue to hire new employees, he says.