Hudson Global, Inc. (NASDAQ:HSON) Q1 2023 Earnings Conference Call May 10, 2023 10:00 AM ET

Company Participants

Jeff Eberwein - Chief Executive Officer

Matt Diamond - Chief Financial Officer

Conference Call Participants

Edward Reilly - EF Hutton

Marc Riddick - Sidoti & Company

Gabe Sanchez - Private Investor

Operator

Good morning, and welcome to the Hudson Global Conference Call for the First Quarter of 2023. Our call today will be led by Chief Executive Officer, Jeff Eberwein and Chief Financial Officer, Matt Diamond.

Please advise that statements made during the presentation include forward-looking statements under applicable securities laws. Such forward-looking statements involve certain risks and uncertainties that may cause actual results to differ materially from those contained in the forward-looking statements. These risks are discussed in our Form 8-K filed today and with other filings made with the Securities and Exchange Commission, including our annual report on Form 10-K. The company disclaims any obligation to update any forward-looking statements. During the course of this conference call, references will be made to non-GAAP terms such as constant currency, adjusted EBITDA, adjusted earnings per diluted share. Reconciliations for these measures are included in our earnings release and in our quarterly slides, both posted on our website, hudsonrpo.com. I encourage you to access the earnings material at this time as the reserve as a helpful restaurant guide during this call.

I will now turn the conference over to Jeff Eberwein.

Jeff Eberwein

Thank you, operator, and welcome, everyone. We thank you for your interest in Hudson Global and for joining us today. I’ll start by reviewing the first quarter 2023 highlights, and Matt Diamond, our CFO, will provide some additional details on our financial results. I’ll then give an update on current business conditions.

For the first quarter of 2023, we reported revenue of $43 million, down 13% year-over-year in constant currency. Adjusted net revenue was $22 million and decreased 12% year-over-year in constant currency. SG&A costs were $21 million in the first quarter, up 5% versus the same period last year in constant currency.

We reported adjusted EBITDA of $1.1 million, down 77% in constant currency versus a year ago. In addition, we reported net income of $0.4 million or $0.11 per share versus net income of $3 million or $0.97 per diluted share in the same period last year. We reported adjusted net income per diluted share of $0.22 in the first quarter of 2023 versus $1.23 a year ago.