DHI Group, Inc. (NYSE: DHX) announced financial results for the third quarter ended September 30, 2021. The stock is up about 10% on the news.
During the second quarter 2021, the Company completed the spinoff of its eFinancialCareers (“eFC”) business to the eFC management team. The results of the eFC business are reported as discontinued operations for all periods presented in this release.
Third Quarter 2021 Financial Highlights
- Total revenue was $30.8 million, up 7% sequentially and 13% year over year.
- Total bookings1 were $30.8 million, up 40% year over year.
- Loss from continuing operations was $2.4 million, or $0.05 per diluted share, compared to a loss of $27.0 million, or $0.56 per diluted share in the year ago quarter. Adjusted loss per diluted share2 for the quarter was $0.01 versus earnings of $0.03 last year.
- Cash flow from operations was $6.3 million, compared to $4.4 million in the year-ago quarter.
- Adjusted EBITDA2 was $6.4 million, an Adjusted EBITDA margin2 of 21%, compared to $5.9 million and 22% in the year-ago quarter.
- Cash was $3.5 million and Net Debt2 was $14.5 million at quarter end.
Commenting on the quarter, Art Zeile, President and CEO of DHI Group, Inc., said:
“We are very pleased to report double-digit total revenue growth for the quarter, with Dice revenue growing 12% year-over-year and returning to growth for the first time in several years. Our bookings1 continue to strengthen across all teams. Dice bookings1 grew 46% year over year. Our revenue renewal rate for Dice continued to strengthen in the third quarter and came in at 92%, up from 89% in the prior quarter and up from 68% in the year ago quarter. Similarly, ClearanceJobs performed extremely well with revenue and bookings growth of 16% and 29%, respectively, and a 94% revenue renewal rate.
“With millions of new technologists’ jobs expected over the next five years, and the unemployment rate for technologists at an all time low, employers need sophisticated tools to attract the right candidates. DHI’s subscription software is that tool, enabling employers to find, attract and hire the highest quality tech professionals. With our industry leading marketplaces for tech professionals, and our continued investment in sales and marketing, we expect to deliver sustainable double-digit revenue growth as we further penetrate this large and growing market.”
Business Outlook
“With our continued strong bookings1 performance we expect total revenue growth in the fourth quarter that is approaching 20% year over year,” commented Kevin Bostick, CFO of DHI Group, Inc. “We will continue to operate the business to Adjusted EBITDA margins2 at or near 20% as we balance our delivery of strong financial performance with sales and marketing investment to spur increased long-term revenue growth.”
