Heidrick & Struggles Reports 2001 Fourth Quarter and Full Year Revenue And Earnings
Initial View on 2002 First Quarter Also Provided
CHICAGO, Feb. 13 /PRNewswire-FirstCall/ -- Heidrick & Struggles
International, Inc. (Nasdaq: HSII), the world's premier executive search and
leadership consulting firm, today announced its financial results for the 2001
fourth quarter and full year. For the 2001 fourth quarter, Heidrick &
Struggles reported a loss per share of $0.31 on an adjusted basis, which
excludes the quarter's special charges and gains on investments, compared to
diluted earnings per share of $0.41 in last year's fourth quarter.
Consolidated revenue was $88.5 million, a decrease of 40 percent from
$148.0 million in the comparable quarter of 2000. The effects of foreign
currency translation into the U.S. dollar were not a significant factor on
consolidated results in the quarter. The net loss -- also excluding the
special items -- was $5.6 million, a decrease of $14.0 million from net income
of $8.4 million reported in last year's fourth quarter.
On a U.S. GAAP-reported basis for the 2001 fourth quarter, the loss per
share was $1.96, compared to diluted earnings per share of $0.40 in the 2000
fourth quarter. The net loss was $35.3 million, compared to net income of
$8.3 million in last year's fourth quarter. The reconciliation between U.S.
GAAP-reported results and adjusted results is shown below.
Three Months Ended December 31,
Per Share* $Millions
2001 2000 2001 2000
U.S. GAAP Reported Net
Income (Loss) $(1.96) $0.40 $(35.3) $8.3
Add back:
Special Charges 1.50 - 27.1 -
Write-down of
Investments 0.18 0.01 3.2 0.1
Subtract:
Net Realized Gain on
Investments - - (0.1) -
Net Unrealized Gain
on Derivative
Instruments (0.03) - (0.5) -
Adjusted Net Income
(Loss) $(0.31) $0.41 $(5.6) $8.4
*earnings per share are on a diluted basis
"While the economic climate continues to present more difficulties around
the world than the firm has seen in a very long time, the actions we have
taken during the past eight months to realign our cost structure are taking
root," said Piers Marmion, Chief Executive Officer of Heidrick & Struggles
International, Inc. "We contained our loss despite revenue that was lower
than we originally anticipated. Across our organization, employees are
watching expenses carefully while focusing attention on aggressive business
development."
Consolidated salaries and employee benefits expense in the 2001 fourth
quarter was $57.7 million, down 40 percent from $96.0 million in the
comparable quarter last year. The decrease was due to lower performance-based
compensation for management and consultants related to significantly lower
revenue and profitability levels, and a reduction in headcount on a
year-over-year basis. In addition, the expense declined because of the
renegotiation of certain minimum guarantees that results in their extension
from a one-year to a three-year amortization period.
Consolidated general and administrative expense declined 5 percent to
$38.5 million in the 2001 fourth quarter, compared to $40.5 million in the
2000 fourth quarter, primarily due to a decline in marketing and other
expenses at LeadersOnline.
During the 2001 fourth quarter, Heidrick & Struggles incurred charges of
$42.8 million related to the actions previously announced in October 2001.
These actions included a reduction in workforce, the consolidation or closing
of offices, and the settlement of the former CEO's contract upon his
retirement. Also during the fourth quarter the company wrote down its
investment in ETF Group -- incurring a non-cash charge of $5.0 million -- due
to the economy's impact on the value of start-up technology companies. ETF
Group is a Europe-based global venture capital firm that helps emerging
companies expand into international markets.
On January 1, 2001, Heidrick & Struggles adopted Statement of Financial
Accounting Standards (SFAS) No. 133, "Accounting for Derivative Instruments
and Hedging Activities," and its subsequent amendments. During the 2001 fourth
quarter, the company recorded an unrealized gain of $833,000, net of
consultants' bonuses and administrative and other costs, due to changes in the
fair value of the warrant portfolio in accordance with SFAS 133. The company
also realized a gain of $111,000 in connection with its warrant program.
Note: The following discussions on Executive Search and LeadersOnline
exclude the special charges noted previously.
Executive Search Results
Revenue for Executive Search was $83.6 million in the 2001 fourth quarter,
down 41 percent from $142.8 million in the 2000 fourth quarter. Results in
all regions of the world were substantially below a year ago as the economy
and other world events continued to impact business. The operating loss,
which includes corporate expenses, was $9.3 million in the 2001 fourth
quarter, compared to operating income of $13.3 million a year ago.
While confirmed searches decreased 54 percent from the 2000 fourth
quarter, fees per search rose 28 percent because searches conducted for the
highest levels of management positions represented a larger proportion of the
mix. At December 31, 2001, the company employed 432 executive search
consultants, compared to 485 as of September 30, 2001, and 510 as of December
31, 2000. For the 2001 year, Heidrick & Struggles Executive Search confirmed
4,966 searches, a decrease of 36 percent from the 7,816 confirmed searches in
the 2000 year. Average fees per search increased 19 percent to $87,400
compared to $73,500 in 2000.
Revenue in North America in the 2001 fourth quarter was $45.0 million, a
decrease of 45 percent from $82.0 million in the 2000 fourth quarter. All of
the practices reported lower revenue in the quarter. The operating margin
declined to 10.6 percent from 16.6 percent in the 2000 fourth quarter, due to
the lower level of revenue.
In Latin America, revenue was $3.0 million, a decrease of 43 percent from
$5.3 million in the 2000 fourth quarter. Excluding the impact of foreign
currency translation into the U.S. dollar, revenue decreased 35 percent on a
local currency basis from the comparable quarter in 2000. There was an
operating loss of $689,000 in the 2001 fourth quarter, compared to operating
income of $106,000 in the 2000 fourth quarter.
Revenue in Europe was $30.5 million, a decrease of 36 percent from
$47.4 million in the 2000 fourth quarter, with the effects of foreign currency
translation contributing modestly to results. Almost all the practices
experienced revenue declines. There was an operating loss of $3.5 million in
the 2001 fourth quarter, compared to operating income of $5.0 million in the
comparable quarter last year, as revenue fell more quickly than the rate at
which the region's cost structure could be adjusted.
In Asia Pacific, revenue was $5.1 million, a decrease of 38 percent from
$8.2 million in the 2000 fourth quarter. There was an operating loss of
$402,000 in the 2001 fourth quarter, compared to operating income of $903,000
in the comparable quarter last year.
LeadersOnline Results
Revenue for LeadersOnline was $4.9 million in the 2001 fourth quarter, a
5 percent decrease from $5.1 million in the 2000 fourth quarter. Operating
income was $1.6 million in the 2001 fourth quarter, compared to a loss of
$1.9 million in the 2000 fourth quarter. This was LeadersOnline's second
consecutive quarter of profitability as expenses for staff, and marketing and
other discretionary expenses were reduced to align costs with revenue, and
savings were achieved as a result of its integration into the core executive
search business. The integration was completed in January 2002. The company
has repositioned LeadersOnline as a practice group focused on the recruitment
of emerging, high potential executive talent, and is renaming the service
Heidrick & Struggles Management Search.
Twelve-Month Consolidated Results
For the 2001 year the loss per share on an adjusted basis -- excluding the
year's special charges, gains and losses on investments, and the cumulative
effect of accounting change -- was $0.15, a decrease of $1.55 from the
adjusted diluted earnings per share of $1.40 last year. Revenue was
$455.5 million, a decrease of 23 percent from $594.4 million in the full year
2000. The net loss, also excluding the special items, was $2.8 million, a
decrease of $31.4 million from adjusted net income of $28.6 million in the
2000 year.
On a U.S. GAAP-reported basis for the twelve months ended December 31,
2001, the consolidated loss per share was $2.28, a decrease of $3.23 from
diluted earnings per share of $0.95 in the 2000 year. The net loss was
$42.9 million, a decrease of $62.3 million from net income of $19.4 million in
the 2000 year. The reconciliation between U.S. GAAP-reported results and
adjusted results is shown below.
Twelve Months Ended December 31,
Per Share* $Millions
2001 2000 2001 2000
U.S. GAAP Reported
Net Income (Loss) $(2.28) $0.95 $(42.9) $19.4
Add back:
Special/Nonrecurring
Charges 1.76 0.65 33.1 13.2
Write-down of
Investments 0.49 0.01 9.2 0.1
Net Unrealized Loss on
Derivative Instruments 0.15 - 2.9 -
Subtract:
Net Realized Gains on
Investments (0.03) (0.21) (0.6) (4.2)
Cumulative Effect of
Accounting Change (0.24) - (4.5) -
Adjusted Net Income
(Loss) $(0.15) $1.40 $(2.8) $28.6
*earnings per share are on a diluted basis
Columns may not add due to rounding
Consolidated Outlook for the 2002 First Quarter and Full Year
A number of external factors continue to affect the global business
environment, creating uncertainty for the firm and its clients. Visibility on
revenue is still limited, but at this time, the company believes revenue for
the 2002 first quarter could be in the range of $80 million to $90 million.
At those revenue levels, the company estimates that the corresponding 2002
first quarter losses could range from $0.19 to $0.14 per share.
"Because of seasonal patterns, the year typically begins slowly for us, so
it is difficult to discern meaningful trends at this point," said Marmion.
"While we continue to believe that our revenue run rate will increase as the
year progresses, we are withholding management approval on some discretionary
expenses in the budget until revenue improves. We will, however, invest in
our future growth under nearly any economic scenario to support critical
business building activities."
Webcast of Investor Call Available
To review its 2001 fourth quarter and full year financial results, the
company will provide a real-time webcast of the related investor call on
Thursday, February 14, 2002, at 9:00 a.m. Central Time. The call will last up
to one hour and will feature remarks by Piers Marmion, Chief Executive
Officer, and Kevin Smith, Chief Financial Officer. The webcast will be
available online at http://www.heidrick.com/ . Listeners should log on approximately
ten minutes in advance to ensure they are set up to receive the webcast. A
replay will be available for up to 30 days. The webcast will also be available
through CCBN's Investor Distribution Network. Individual investors can listen
to the webcast through CCBN's individual investor center at
http://www.companyboardroom.com/ . Institutional investors can access the webcast via
CCBN's password-protected event management site, StreetEvents, at
http://www.streetevents.com/ .
About Heidrick & Struggles International, Inc.
Heidrick & Struggles International, Inc. is the world's premier provider
of executive-level search and leadership consulting services. Currently,
approximately 1,800 Heidrick & Struggles search professionals and employees
operate from offices throughout North and South America, Europe, the Middle
East, Africa and Asia Pacific. For nearly 50 years, Heidrick & Struggles
Executive Search has specialized in chief executive, board member and
senior-level management assignments for a broad spectrum of clients:
multi-national corporations, mid-cap and start-up companies, nonprofit
entities, educational institutions, foundations, associations and governmental
units. We are expanding our range of complementary services to offer
solutions to senior management teams for their human capital needs, including
recruitment of emerging talent, executive assessment, and interim executive
placement. For more information about Heidrick & Struggles, visit our web
site at http://www.heidrick.com/ .
Safe Harbor Statement
This news release contains forward-looking statements. The forward-looking
statements are based on current expectations, estimates, forecasts and
projections about the industry in which we operate and management's beliefs
and assumptions. Forward-looking statements may be identified by the use of
words such as "expects," "anticipates," "intends," "plans," "believes,"
"seeks," "estimates," and similar expressions. Forward-looking statements are
not guarantees of future performance and involve certain known and unknown
risks, uncertainties and assumptions that are difficult to predict. Actual
outcomes and results may differ materially from what is expressed, forecasted
or implied in the forward-looking statements. Factors that may affect the
outcome of the forward-looking statements include, among other things, our
ability to attract and retain qualified executive search consultants; a
continuing economic downturn in the United States or a material economic
downturn in Europe or elsewhere, or social or political instability in
overseas markets; bad debt write-offs far in excess of allowances for doubtful
accounts; continued increased acceptance of online recruiting; losses in our
venture capital investments; an inability to achieve the planned cost savings
from our restructuring initiatives; and delays in the development and/or
implementation of new technology and systems. We undertake no obligation to
update publicly any forward-looking statements, whether as a result of new
information, future events or otherwise.
Heidrick & Struggles International, Inc.
Consolidated Statements of Income
(In thousands, except per share data)
Three Months Ended December 31,
2001 2000
Adjust- Adjust-
Actual ments Proforma Actual ments Proforma
Revenue $88,477 $- $88,477 $147,961 $- $147,961
Operating expense:
Salaries and
employee benefits 57,687 - 57,687 95,971 - 95,971
General and
administrative
expenses 38,462 - 38,462 40,516 - 40,516
Special charges
(a) 42,795 (42,795) - - - -
Total operating
expenses 138,944 (42,795) 96,149 136,487 - 136,487
Operating income
(loss) (50,467) 42,795 (7,672) 11,474 - 11,474
Non-operating
income (expense):
Interest income 919 - 919 3,001 - 3,001
Interest expense (53) - (53) (42) - (42)
Realized gains on
investments (b) 111 (111) - 86 (86) -
Net unrealized
gain (loss) on
derivative
instruments (c) 833 (833) - - - -
Write-down of
long-term
investments (d) (5,000) 5,000 - (240) 240 -
Other, net (77) - (77) 337 - 337
Net non-
operating
income
(expense) (3,267) 4,056 789 3,142 154 3,296
Income (loss)
before income
taxes (53,734) 46,851 (6,883) 14,616 154 14,770
Provision for
(benefit from)
income taxes (18,453) 17,165 (1,288) 6,284 66 6,350
Net income (loss) $(35,281) $29,686 $(5,595) $8,332 $88 $8,420
Basic earnings
(loss) per common
share $(1.96) $(0.31) $0.43 $0.44
Basic weighted
average common
shares outstanding 18,020 18,020 19,343 19,343
Diluted earnings
(loss) per common
share $(1.96) $(0.31) $0.40 $0.41
Diluted weighted
average common
share outstanding 18,020 18,020 20,752 20,752
(a) During the fourth quarter of 2001, the Company announced a strategic
reduction of its workforce, the consolidation and closing of offices, and
the settlement of the former CEO's contract upon his retirement. As a
result of these announced actions, the Company incurred special charges
totaling $42.8 million ($1.50 per share) in the 2001 fourth quarter. The
2001 fourth quarter proforma results exclude the impact of these special
charges.
(b) The 2001 fourth quarter proforma results exclude $111,000 of realized
gains on investments. The 2000 fourth quarter proforma results exclude
$86,000 of realized gains on investments.
(c) On January 1, 2001, the Company adopted Statement of Financial
Accounting Standards (SFAS) No. 133, "Accounting for Derivative
Instruments and Hedging Activities", and its subsequent amendments.
During the fourth quarter of 2001, the Company recorded an unrealized gain
of $833,000 ($0.03 per share), net of consultants' bonuses and
administrative and other costs, due to SFAS 133. The 2001 fourth quarter
proforma results exclude the impact of this unrealized gain.
(d) During the fourth quarter of 2001, the Company wrote down its
investment in ETF Group, incurring a charge of $5.0 million ($0.18 per
share). The 2001 fourth quarter proforma results exclude the impact of
this write-down. During the fourth quarter of 2000, the Company recorded
a write-down of $240,000 ($0.01 per share) related to its investment in
SVIC. The 2000 fourth quarter proforma results exclude the impact of this
write-down.
Heidrick & Struggles International, Inc.
Consolidated Statements of Income
(In thousands, except per share data)
Twelve Months Ended December 31,
2001
Actual Adjustments Proforma
Revenue $455,534 $- $455,534
Operating expense:
Salaries and employee benefits:
Salaries and employee benefits 302,792 - 302,792
Nonrecurring compensation
charge (a) - - -
General and administrative
expenses:
General and administrative
expenses 157,404 - 157,404
Nonrecurring general and
administrative charge (a) - - -
Special charges (b) 53,230 (53,230) -
Total operating expenses 513,426 (53,230) 460,196
Operating income (loss) (57,892) 53,230 (4,662)
Non-operating income (expense):
Interest income 5,523 - 5,523
Interest expense (166) - (166)
Realized gains on investments (c) 978 (978) -
Net unrealized gain (loss) on
derivative instruments (d) (4,681) 4,681 -
Write-down of long-term
investments (e) (14,760) 14,760 -
Minority interest - - -
Other, net (517) - (517)
Net non-operating income
(expense) (13,623) 18,463 4,840
Income (loss) before income taxes
and cumulative effect of accounting
change (71,515) 71,693 178
Provision for (benefit from) income
taxes (24,094) 27,113 3,019
Net income (loss) before cumulative
effect of accounting change (47,421) 44,580 (2,841)
Cumulative effect of accounting
change, net of tax (d) 4,494 (4,494) -
Net income (loss) $(42,927) $40,086 $(2,841)
Basic earnings (loss) per common
share $(2.28) $(0.15)
Basic weighted average common shares
outstanding 18,839 18,839
Diluted earnings (loss) per common
share $(2.28) $(0.15)
Diluted weighted average common
share outstanding 18,839 18,839
Twelve Months Ended December 31,
2000
Actual Adjustments Proforma
Revenue $594,394 $- $594,394
Operating expense:
Salaries and employee benefits:
Salaries and employee benefits 395,105 - 395,105
Nonrecurring compensation
charge (a) 12,222 (12,222) -
General and administrative
expenses:
General and administrative
expenses 156,242 - 156,242
Nonrecurring general and
administrative charge (a) 1,753 (1,753) -
Special charges (b) - - -
Total operating expenses 565,322 (13,975) 551,347
Operating income (loss) 29,072 13,975 43,047
Non-operating income (expense):
Interest income 8,723 - 8,723
Interest expense (209) - (209)
Realized gains on investments (c) 7,399 (7,399) -
Net unrealized gain (loss) on
derivative instruments (d) - - -
Write-down of long-term
investments (e) (240) 240 -
Minority interest 208 - 208
Other, net 210 - 210
Net non-operating income
(expense) 16,091 (7,159) 8,932
Income (loss) before income taxes
and cumulative effect of accounting
change 45,163 6,816 51,979
Provision for (benefit from) income
taxes 25,746 (2,325) 23,421
Net income (loss) before cumulative
effect of accounting change 19,417 9,141 28,558
Cumulative effect of accounting
change, net of tax (d) - - -
Net income (loss) $19,417 $9,141 $28,558
Basic earnings (loss) per common
share $1.02 $1.50
Basic weighted average common shares
outstanding 18,979 18,979
Diluted earnings (loss) per common
share $0.95 $1.40
Diluted weighted average common
share outstanding 20,389 20,389
(a) In the third quarter of 2000, the Company incurred a $14.0 million
nonrecurring charge ($13.2 million after tax) as a result of the
withdrawal of LeadersOnline's IPO. This included a non-cash compensation
charge of $12.2 million which represents the remainder of the non-cash
compensation charge related to the issuance of options by LeadersOnline,
at a price below the deemed fair market value for accounting purposes, at
the time of issuance. The remaining $1.8 million is due to the write-off
of expenses related to the planning of the IPO and is included in
nonrecurring general and administrative charges. The proforma results for
the year ended December 31, 2000 exclude the impact of these nonrecurring
charges.
(b) For the year ended December 31, 2001, the Company incurred special
charges of $53.2 million ($1.76 per share). During the second quarter of
2001, the Company announced a strategic reduction of its workforce in
order to adjust to current economic conditions, while retaining the
resources necessary to capitalize on growth opportunities when the economy
recovers. As a result of these workforce reductions, the Company incurred
special charges in the second and third quarters of 2001 totaling $10.4
million. During the fourth quarter of 2001, the Company announced
additional reductions in its workforce, the consolidation and closing of
offices, and the settlement of the former CEO's contract upon his
retirement. As a result of these announced actions, the Company incurred
special charges totaling $42.8 million in the fourth quarter 2001. The
proforma results for the year ended December 31, 2001 exclude the impact
of these special charges.
(c) Proforma results for the year ended December 31, 2001 exclude $978,000
of realized gains on investments. Proforma results for the year ended
December 31, 2000 exclude $7.4 million of realized gains on investments.
(d) On January 1, 2001, the Company adopted Statement of Financial
Accounting Standards (SFAS) No. 133, "Accounting for Derivative
Instruments and Hedging Activities", and its subsequent amendments. As a
result, the Company recorded a transition adjustment of $4.5 million, net
of consultants' bonuses, administrative and other costs, and taxes. In
addition, for the year ended December 31, 2001, the Company recorded an
unrealized loss of $4.7 million ($0.15 per share), net of consultants'
bonuses and administrative and other costs, due to SFAS 133. The proforma
results for the year ended December 31, 2001 exclude the impact of the
transition adjustment and the unrealized loss.
(e) During the year ended December 31, 2001, the Company wrote down its
investments in SVIC and ETF Group, incurring charges of $14.8 million
($0.49 per share). During the fourth quarter of 2000, the Company
recorded a write-down of $240,000 ($0.01 per share) related to its
investment in SVIC. The proforma results for the years ended December 31,
2001 and 2000, respectively, exclude the impact of these write-downs.
HEIDRICK & STRUGGLES INTERNATIONAL, INC.
SEGMENT INFORMATION, AS ADJUSTED
(In thousands)
Three Months Ended December 31,
2001 2000
2001 2000 % Change Margin Margin
Revenue
Americas
North America $45,049 $81,973 -45.0%
Latin America 3,014 5,252 -42.6%
International
Europe 30,457 47,371 -35.7%
Asia Pacific 5,062 8,227 -38.5%
Total Executive Search 83,582 142,823 -41.5%
LeadersOnline 4,895 5,138 -4.7%
Total Company $88,477 $147,961 -40.2%
Operating Income (Loss)
Americas
North America $4,771 $13,585 -64.9% 10.6% 16.6%
Latin America (689) 106 - - 2.0%
International
Europe (3,540) 5,019 - - 10.6%
Asia Pacific (402) 903 - - 11.0%
Total Executive Search 140 19,613 -99.3% 0.2% 13.7%
LeadersOnline 1,588 (1,873) - 32.4% -
Corporate (9,400) (6,266) 50.0% - -
Total Company (a) $(7,672) $11,474 - - 7.8%
(a) For the three months ended December 31, 2001, the proforma operating
loss excludes the impact of $42.8 million of special charges related to
the Company's announced strategic reduction of its workforce, the
consolidation and closing of offices, and the settlement of the former
CEO's contract upon his retirement.
Twelve Months Ended December 31,
2001 2000
2001 2000 % Change Margin Margin
Revenue
Americas
North America $236,540 $343,393 -31.1%
Latin America 14,534 20,018 -27.4%
International
Europe 155,684 176,431 -11.8%
Asia Pacific 27,174 34,361 -20.9%
Total Executive Search 433,932 574,203 -24.4%
LeadersOnline 21,602 20,191 7.0%
Total Company $455,534 $594,394 -23.4%
Operating Income (Loss)
Americas
North America $23,188 $63,111 -63.3% 9.8% 18.4%
Latin America (1,986) 1,837 - - 9.2%
International
Europe 4,884 16,818 -71.0% 3.1% 9.5%
Asia Pacific 1,916 4,769 -59.8% 7.1% 13.9%
Total Executive Search 28,002 86,535 -67.6% 6.5% 15.1%
LeadersOnline (a) 829 (13,203) - 3.8% -
Corporate (33,493) (30,285) 10.6% - -
Total Company (b) $(4,662) $43,047 - - 7.2%
(a) For the year ended December 31, 2000, the proforma operating loss for
LeadersOnline excludes the impact of $14.0 million of nonrecurring charges
resulting from the withdrawal of LeadersOnline's IPO. This included a
non-cash compensation charge of $12.2 million which represents the
remainder of the non-cash compensation charge related to the issuance of
options by LeadersOnline, at a price below the deemed fair market value
for accounting purposes, at the time of issuance. The remaining
$1.8 million is due to the write-off of expenses related to the planning
of the IPO.
(b) For the year ended December 31, 2001, the proforma operating loss
excludes the impact of $53.2 million of special charges. During the
second quarter of 2001, the Company announced a strategic reduction of its
workforce in order to adjust to current economic conditions, while
retaining the resources necessary to capitalize on growth opportunities
when the economy recovers. As a result of these workforce reductions, the
Company incurred special charges in the second and third quarters of 2001
totaling $10.4 million. During the fourth quarter of 2001, the Company
announced additional reductions in its workforce, the consolidation and
closing of offices, and the settlement of the former CEO's contract upon
his retirement. As a result of these announced actions, the Company
incurred special charges totaling $42.8 million in the fourth quarter
2001.
HEIDRICK & STRUGGLES INTERNATIONAL, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
December 31, December 31,
2001 2000
Current assets:
Cash and cash equivalents $108,732 $184,836
Accounts receivable, net of
allowance for doubtful accounts 54,241 106,334
Other receivables 5,870 7,357
Prepaid expenses 11,445 11,783
Prepaid income taxes 22,958 -
Deferred income taxes, net 36,605 26,071
Total current assets 239,851 336,381
Property and equipment, net 54,364 52,660
Other assets:
Cash and investments designated for
nonqualified retirement plans 16,624 16,506
Investments and other assets 29,473 45,097
Deferred income taxes, net 7,089 6,792
Goodwill & other intangibles, net 63,705 66,208
Total other assets 116,891 134,603
Total assets $411,106 $523,644
HEIDRICK & STRUGGLES INTERNATIONAL, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
December 31, December 31,
2001 2000
Current liabilities:
Current maturities of long-term
debt $2,480 $1,135
Accounts payable 13,391 10,051
Accrued expenses-
Salaries and employee benefits 101,341 160,552
Other 29,970 27,888
Income taxes payable - 16,415
Total current liabilities 147,182 216,041
Noncurrent liabilities:
Long-term debt, less current
maturities 1,959 610
Liability for nonqualified
retirement plans 19,092 19,316
Other 13,282 -
Total noncurrent liabilities 34,333 19,926
Stockholders' equity 229,591 287,677
Total liabilities and
stockholders' equity $411,106 $523,644
SOURCE Heidrick & Struggles International, Inc.
Web site: http://www.heidrick.com/
CONTACT: Media, Eric Sodorff, +1-312-496-1613 or esodorff@heidrick.com , or Analyst,
Lynn McHugh, +1-312-496-1593 or lmchugh@heidrick.com , both of Heidrick & Struggles
International, Inc.