DHI Group, Inc. (DHX) swung to a net profit for the quarter ended Dec. 31, 2016. The company has made a net profit of $5.48 million, or $ 0.11 a share in the quarter, against a net loss of $28.25 million, or $0.56 a share in the last year period. On the other hand, adjusted net income for the quarter stood at $5.48 million, or $0.11 a share compared with $5.74 million or $0.11 a share, a year ago.
Revenue during the quarter dropped 15.56 percent to $54.94 million from $65.06 million in the previous year period. Gross margin for the quarter expanded 143 basis points over the previous year period to 86.22 percent. Operating margin for the quarter period stood at positive 15.19 percent as compared to a negative 37.32 percent for the previous year period.
Operating income for the quarter was $8.35 million, compared with an operating loss of $24.28 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $13.88 million compared with $18.73 million in the prior year period. At the same time, adjusted EBITDA margin contracted 352 basis points in the quarter to 25.27 percent from 28.79 percent in the last year period.
"The fourth quarter was a pivotal period for our Company, as we began implementing our tech-focused strategy to reinvigorate growth and ultimately transform our Company," said Michael Durney, president and chief executive officer of DHI Group, Inc. "We are laying the groundwork for future growth through our intensified focus on tech professional engagement and recruiting customer pain points. Already, we're seeing indications that these efforts are paying off with improving business metrics such as impressive growth in Dice Careers downloads. Looking forward into 2017, we are as excited and optimistic as ever about our Company’s prospects."
Operating cash flow drops significantly
DHI Group, Inc. has generated cash of $44.58 million from operating activities during the year, down 26.70 percent or $16.23 million, when compared with the last year.
The company has spent $10.77 million cash to meet investing activities during the year as against cash outgo of $9.08 million in the last year.
The company has spent $44.21 million cash to carry out financing activities during the year as against cash outgo of $44.66 million in the last year period.
Cash and cash equivalents stood at $22.99 million as on Dec. 31, 2016, down 32.49 percent or $11.06 million from $34.05 million on Dec. 31, 2015.
Working capital remains negative
Working capital of DHI Group, Inc. was negative $38.12 million on Dec. 31, 2016 compared with negative $24.86 million on Dec. 31, 2015. Current ratio was at 0.65 as on Dec. 31, 2016, down from 0.78 on Dec. 31, 2015.
Debt comes down
DHI Group, Inc. has recorded a decline in total debt over the last one year. It stood at $84.76 million as on Dec. 31, 2016, down 14.76 percent or $14.68 million from $99.44 million on Dec. 31, 2015. Total debt was 27.33 percent of total assets as on Dec. 31, 2016, compared with 26.84 percent on Dec. 31, 2015. Debt to equity ratio was at 0.82 as on Dec. 31, 2016, up from 0.72 as on Dec. 31, 2015.
Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
