Hudson Global, Inc. reported a decline in financial performance for the three and nine months ended September 30, 2024, compared to the same periods in 2023. Total revenue for Q3 2024 was $36.9 million, down 6.5% from $39.4 million in Q3 2023. For the nine months, revenue decreased by 16.4% to $106.5 million from $127.4 million. The decline was primarily attributed to reduced revenue in Australia, with contracting revenue down significantly.

Operating losses were recorded for both periods, with a loss of $0.5 million in Q3 2024 compared to an operating income of $1.3 million in Q3 2023. For the nine months, the operating loss was $3.7 million, a stark contrast to the operating income of $2.7 million in the previous year. The net loss for Q3 2024 was $0.8 million, compared to a net income of $0.5 million in Q3 2023, while the nine-month net loss was $4.2 million, down from a net income of $1.5 million in 2023.

Adjusted net revenue also saw declines, with Q3 2024 adjusted net revenue at $18.6 million, down from $19.4 million in Q3 2023. For the nine months, adjusted net revenue fell to $52.5 million from $63.7 million. The company’s SG&A and non-operating expenses increased slightly, reflecting higher costs associated with the acquisition of Hudson Global Resources (Singapore) Pte. Ltd., completed in October 2023.

As of September 30, 2024, total current assets decreased to $43.0 million from $45.8 million at the end of 2023, with cash and cash equivalents dropping to $15.8 million from $22.6 million. Total liabilities rose to $14.2 million, up from $12.4 million, while stockholders' equity decreased to $42.9 million from $48.6 million.

Strategically, Hudson Global has focused on expanding its global footprint through recent agreements with Dubai-based talent solutions companies and the introduction of executive search services in North America. The company also appointed Jacob Zabkowicz as Global CEO in November 2023, with a focus on capital allocation and maximizing shareholder value. The Rights Agreement approved in July 2024 aims to preserve the value of the company’s significant U.S. net operating losses.

Overall, Hudson Global's financial results reflect significant challenges in revenue generation and profitability, alongside strategic efforts to enhance its service offerings and market presence.

About Hudson Global, Inc.

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