Here are 1-2 brief analogies for Kforce (KFRC):

• Kforce is like Robert Half, but with an equally strong emphasis on technology professionals for both staffing and project consulting.
• Kforce is like TEKsystems, but also providing significant staffing and consulting for finance & accounting roles.

• Technology Staffing & Solutions: Kforce provides skilled technology professionals for contract, contract-to-hire, and direct-hire roles, along with project-based IT solutions.
• Finance & Accounting Staffing & Solutions: Kforce offers qualified finance and accounting professionals for contract, contract-to-hire, and direct-hire positions, as well as project-based financial solutions.

Company: Kforce (symbol: KFRC)

Kforce is a professional staffing and solutions firm that primarily sells its services to other companies (B2B model).

Kforce serves a diverse client base and, as stated in its public filings, no single customer accounts for 10% or more of its consolidated revenues. Therefore, there are no specific "major customers" that are individually named by the company in its disclosures.

Instead, Kforce's customer base consists of approximately 4,000 companies annually across various industries that require staffing and project solutions, particularly in the areas of technology and finance & accounting. The company typically serves organizations within the following broad categories:

1. Financial Services Companies: Including banks, investment firms, and other financial institutions.
2. Technology & Communications Companies: Ranging from large tech enterprises to smaller firms needing IT and digital talent.
3. Healthcare & Government Organizations: Providing talent and solutions to hospitals, healthcare providers, and various government agencies.

Joseph J. Liberatore, President & Chief Executive Officer

Mr. Liberatore joined Kforce in 1988 and has held various leadership positions within the company, including Chief Financial Officer until 2013, President of Kforce Interactive from 1999 to 2000, Chief Sales Officer, and Chief Talent Officer. He was promoted to President in 2012 and assumed the role of Chief Executive Officer in January 2022. As President of Kforce Interactive, he was responsible for transforming the company's business model by integrating traditional staffing methodologies with emerging web-based technologies. He has also been instrumental in refining Kforce's strategic focus on technology, finance, and accounting.

Jeffrey B. Hackman, Chief Financial Officer & Principal Accounting Officer

Mr. Hackman currently serves as Kforce's Chief Financial Officer and Principal Accounting Officer, a position he assumed in 2023. He is responsible for investor relations, legal, internal audit, financial planning and analysis (FP&A), accounting, SEC reporting, tax, treasury, procurement, and real estate functions. Prior to his current role, he was the Global Chief Accounting Officer of Cunningham Lindsey from 2013 to 2015. Mr. Hackman previously served Kforce as Chief Accounting Officer and Director of SEC Reporting from 2007 to 2013, and rejoined the company in March 2015 as Senior Vice President of Finance and Accounting. He began his professional career in 2001 with Arthur Andersen and was an Audit Senior Manager with Grant Thornton LLP. Mr. Hackman holds a Bachelor of Science in Accounting and a Masters of Accountancy from the University of South Florida and is a Certified Public Accountant (CPA) in Florida.

David M. Kelly, President & Chief Operating Officer

Mr. Kelly was appointed President and Chief Operating Officer of Kforce in 2023, having previously served as the Chief Financial Officer from January 2013 through October 2023. He joined Kforce in 2000 and has held various roles of increasing responsibility, including group finance officer for the technology solutions practice. Before joining Kforce, Mr. Kelly was treasury director and vice president, controller of operating companies for Komatsu America Corporation, and an implementation manager for Selkirk Financial Technologies. He earned his bachelor's degree in finance from the University of Illinois and an MBA in accounting and finance from the University of Chicago Booth School of Business.

Andrew G. Thomas, Chief Experience Officer

Mr. Thomas serves as Kforce's Chief Experience Officer. He has also held the position of Chief Marketing Officer and Chief Field Services Officer at Kforce. He is an alumnus of Bridgewater State University.

Michael R. Blackman, Chief Corporate Development Officer

Mr. Blackman joined Kforce in 1992 and is a member of the firm's Executive Committee. He holds the title of Chief Corporate Development Officer. His previous roles at Kforce include Director of Selection, Senior Vice President of Investor Relations, and Senior Consultant.

The key risks to Kforce (KFRC) primarily revolve around the cyclical nature of the staffing industry and its reliance on a strong economic environment and consistent demand for skilled professionals.

1. Weakening Demand in the Labor Market and Broader Economic Concerns: Kforce's business is highly susceptible to the overall health of the U.S. labor market and macroeconomic conditions. A weak U.S. jobs report and a cooling labor market typically lead to reduced corporate spending on staffing services, particularly in areas like IT consulting and professional staffing. This has recently resulted in Kforce experiencing year-over-year sales decreases, weak revenue guidance, and downward revisions of price targets and earnings forecasts by analysts. The temporary staffing penetration rate and the college-level unemployment rate, a proxy for Kforce's target demographic, both saw unfavorable trends in December 2024, signaling a challenging environment.
2. Competition for and Retention of Skilled Talent: Kforce operates in a highly competitive and crowded staffing market, facing off against large firms such as Robert Half, ManpowerGroup, and Aerotek. A significant risk is the ongoing and expected increase in competition for individuals with proven technical or professional skills, especially within its core Technology business, where highly skilled consultants and candidates are scarce. Failure to attract and retain these qualified individuals on economically favorable terms could materially and adversely affect Kforce's business.
3. Reliance on Technology Segment and Shifts in Client Spending: Kforce has strategically focused its services on the technology sector. While this segment offers strong long-term drivers, the company faces risks from shifts in enterprise spending and client caution regarding technology roadmaps and AI investment strategies. Recent reports indicate declines in Technology revenue, highlighting how changes in client demand within this key sector can impact Kforce's overall financial performance and growth prospects.

• Artificial Intelligence (AI) and Automation in Recruitment: The rapid advancement and adoption of AI-powered tools for candidate sourcing, screening, matching, and even preliminary interviewing pose a clear emerging threat. These technologies streamline processes traditionally performed by human recruiters, potentially reducing the need for external staffing firms for certain types of placements and challenging the value proposition of human-centric talent acquisition models.
• Proliferation of Gig Economy Platforms and Direct Freelance Marketplaces: The increasing popularity and sophistication of platforms like Upwork, Toptal, and other specialized talent networks allow companies to directly connect with and hire independent contractors and freelancers for project-based or temporary work. This disintermediates traditional staffing firms, offering companies alternative, often faster and more flexible, channels to acquire talent without relying on a third-party intermediary.

Kforce (KFRC) operates primarily within the professional staffing services sector, specializing in technology, finance, and accounting, with approximately 94% of its business being technology-specific. All of Kforce's revenue is generated domestically within the U.S..

The addressable markets for Kforce's main products and services in the U.S. are as follows:

• The U.S. staffing industry is estimated to be approximately $198.7 billion in 2025.
• The U.S. IT staffing market was more than $41.5 billion in 2023 and is projected to reach approximately $46.2 billion in 2025.
• The U.S. management consulting services market is estimated at $125.56 billion in 2025, with projections to reach $168.56 billion by 2030.

Expected Drivers of Future Revenue Growth for Kforce (KFRC)

Over the next 2-3 years, Kforce (KFRC) is expected to drive future revenue growth through several key initiatives and market trends:

1. Expansion of Consulting-Led Solutions and Project-Based Engagements: Kforce is strategically emphasizing and experiencing growth in consulting-led engagements and project solutions. These offerings are noted for commanding higher bill rates and delivering stronger margin profiles, indicating a shift towards more specialized and valuable services.
2. Growing Demand for AI and Digital Transformation Initiatives: Management anticipates that increasing client demand for AI readiness, data modernization, and broader digital transformation efforts will be a significant catalyst for consulting-led revenue growth. Companies are prioritizing operational AI use cases with measurable returns, leading to a robust pipeline of new engagements for Kforce.
3. Stabilization and Growth in the Finance and Accounting (FA) Segment: The Finance and Accounting segment has demonstrated sequential revenue growth for consecutive quarters, following a period of declines. This turnaround is attributed to successful stabilization efforts and targeted investments in higher-skilled areas within the FA business, with average bill rates also showing improvement.
4. Leveraging Offshore Delivery Capabilities: The establishment of a new development center in Pune, India, is poised to enhance Kforce's service offerings to clients. This expansion is expected to unlock significant incremental opportunities, particularly in managed solutions that involve high-skill work areas.
5. Capitalizing on a Backlog of Technology Investments: Despite recent macroeconomic uncertainties, there is a significant backlog of strategically imperative technology investments that clients have postponed. Kforce expects that a clearing of these macroeconomic uncertainties will accelerate client initiatives, leading to increased demand for their technology staffing and solutions.

Share Repurchases

• In October 2025, Kforce's Board of Directors increased the share repurchase authorization to $100.0 million.
• The company returned $41.1 million to shareholders via open-market repurchases in the third quarter of 2025.
• Kforce returned $67.1 million to shareholders through share repurchases in 2023 and $36.5 million in 2024.

Share Issuance

• Kforce's 2025 Stock Incentive Plan reserved approximately 2.7 million shares for the issuance of various stock awards, including stock options and restricted stock.
• The number of shares outstanding has generally decreased over the past few years, from approximately 21.9 million at April 30, 2021, to 18.1 million at October 29, 2025, indicating a net reduction through repurchases.

Outbound Investments

• In February 2023, Kforce sold its 50% noncontrolling interest in WorkLLama for $6.0 million, following an impairment loss of $13.7 million on this equity method investment recognized in 2022.
• The company maintains a very high threshold for any prospective acquisitions, indicating a cautious approach to outbound investments.

Capital Expenditures

• Kforce defines "Free Cash Flow" as net cash provided by operating activities less capital expenditures, highlighting ongoing capital investments.
• The company is making targeted investments in its sales capabilities and advancing enterprise initiatives, including the implementation of Workday and the maturation of its India development center.
• Significant annualized benefits from the Workday implementation are expected to be realized starting in 2027.