Heidrick & Struggles International, Inc. (NASDAQ:HSII)
Q3 2022 Earnings Conference Call
October 24, 2022 05:00 PM ET
Company Participants
Suzanne Rosenberg - VP, IR
Krishnan Rajagopalan - President and CEO
Mark Harris - CFO
Conference Call Participants
Tobey Sommer - Truist Securities
Kevin Steinke - Barrington Research
Marc Riddick - Sidoti
Presentation
Operator
Welcome to the Third Quarter 2022 Heidrick & Struggles Earnings Conference Call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question-and-answer session. [Operator Instructions] As a reminder, today's conference is being recorded.
It is now my pleasure to turn the conference over to Suzanne Rosenberg, Vice President of Investor Relations. Please go ahead, Ms. Rosenberg.
Suzanne Rosenberg
Thank you, and welcome to our 2022 third quarter conference call. On today's call is our President and CEO, Krishnan Rajagopalan; and Chief Financial Officer, Mark Harris. We posted our third quarter slides on the IR home page of our website at heidrick.com and we encourage you to view these slides for additional context.
Please note that in the materials presented today, we may refer to non-GAAP financial measures that we believe provide additional insight into underlying results. A reconciliation between GAAP and non-GAAP financial measures may be found in the earnings press release. Also in our remarks, we may make certain forward-looking statements. We ask that you please refer to the safe harbor language also contained in today's press release.
Krishnan, I'll now turn the call over to you.
Krishnan Rajagopalan
Thank you, Suzanne. Good afternoon, everyone. We are pleased to report another set of strong results on both the top and bottom line, when compared to the record performance delivered last year. This was achieved while we continued to make investments in digital assets and weathered unfavorable foreign exchange rates, along with an inevitable market slowdown. Profitability neared historic highs. Specifically, our nine-month year-to-date operating income of $92 million, which is already approaching full-year 2021s operating income of $98 million.
Third quarter operating margins remained robust at 11.1%. And on the bottom line, we achieved third quarter diluted EPS of $1.02. On the topline, constant currency net revenue of $266 million met our expectations and marked a new milestone as the highest third quarter revenue in the company's history. In addition to these strong results, we ended third quarter with our highest cash balance of $456 million, which provides us with great financial flexibility as we continue to invest in our diversification strategy, including the development of our digital assets.