— Improving Profitability Year-Over-Year —

DALLAS–(BUSINESS WIRE)–Oct. 8, 2025–
Resources Connection, Inc. (Nasdaq: RGP) (the “Company”), a professional services firm, today announced its financial results for its first quarter of fiscal 2026 ended August 30, 2025.

First Quarter Fiscal 2026 Highlights Compared to Prior Year Quarter:

• Revenue of $120.2 million compared to $136.9 million

• Same-day constant currency revenue, a non-GAAP measure, declined by 13.9%

• Significant improvement in gross margin to 39.5%, from 36.5%

• Selling, general and administrative expenses (“SG&A”) of $47.9 million improved from $48.9 million, which had included a one-time gain of $3.4 million from sale of the Irvine office building

• Net loss of $2.4 million (net loss margin of 2.0%) improved from net loss of $5.7 million (net loss margin of 4.2%)

• GAAP diluted loss per common share of $0.07 improved from $0.17

• Adjusted diluted earnings per common share, a non-GAAP measure, of $0.03 improved from break-even

• Adjusted EBITDA, a non-GAAP measure, of $3.1 million (Adjusted EBITDA margin of 2.5%), up from $2.3 million (Adjusted EBITDA margin of 1.7%)

• Cash dividends declared of $0.07 per share

Management Commentary

“First quarter results exceeded our outlook ranges on all fronts and we continue to make progress to transform our business to be more integrated, diversified and resilient,” said Kate W. Duchene, Chief Executive Officer. “We are engaging with clients on more consulting opportunities which have higher bill rates, larger deal size and often create more extension and cross selling.  We are increasingly becoming a trusted partner for larger transformations, whether cost reduction, system migration or data modernization and automation-focused programs. We have a plan which we are executing with clarity and conviction in this new fiscal year; we will continue to deepen and expand our consulting capabilities in the focus areas of CFO Advisory & Digital Transformation while strengthening and evolving our on-demand business to be even more relevant in today’s marketplace. In addition, while the macro environment remains unpredictable, we are laser focused on redesigning our cost structure to deliver improved return to shareholders both in the short and long term. We remain confident in our strategy and optimistic about the future of this company. ” 

First Quarter Fiscal 2026 Results

Revenue in the first quarter of fiscal 2026 was $120.2 million compared to $136.9 million in the first quarter of fiscal 2025. On a same-day constant currency basis, revenue decreased by $19.0 million, or 13.9%. Average bill rates increased 2.2% year over year, reflecting continued pricing discipline and pursuit of higher-value engagements. Offsetting this increase, billable hours decreased 14.3% year-over-year, primarily due to choppy demand, as clients delayed transformation projects amid continued global economic uncertainty and soft labor markets.

Gross margin improved to 39.5% compared to 36.5% in the first quarter of fiscal 2025. The increase was primarily due to an improvement in pay/bill ratio, higher consultant utilization and lower costs, including improvements in healthcare costs, and holiday pay reflecting one less holiday in the current fiscal quarter.

SG&A for the first quarter of fiscal 2026 was $47.9 million, or 39.9% of revenue, an improvement from $48.9 million, or 35.7% of revenue, for the first quarter of fiscal 2025. The $1.0 million improvement was primarily driven by a $2.4 million reduction in employee compensation and benefits costs following the Company’s restructuring activities in fiscal 2025, a $1.9 million reduction in technology transformation costs primarily associated with technology implementation during fiscal 2025, a $1.1 million reduction related to business support costs including travel and entertainment, a $0.8 million reduction in acquisition related costs, and a $0.4 million reduction in occupancy expenses. These improvements were partially offset by a $3.4 million gain on the sale of the Irvine office building recorded during the first quarter of fiscal 2025 with no comparable activity occurring during the first quarter of fiscal 2026, and a $0.9 million increase in professional services fees, a $0.7 million increase in stock-based compensation, and a $0.7 million increase in amortization of costs related to capitalized technology transformation costs. The remaining improvement was related to various general and overhead costs.

Income tax expense for the first quarter of fiscal 2026 was $0.5 million, or an effective tax rate of 24.7%, compared to $1.1 million, or an effective tax rate of 22.7%, for the first quarter of fiscal 2025. The negative effective tax rates in both periods reflect the impact of recording tax expense against consolidated pretax losses. In fiscal 2026, the expense was driven primarily by an increase in the domestic and foreign valuation allowance, while in fiscal 2025 it was driven primarily by a non-deductible tax adjustment related to goodwill impairment.

Net loss for the first quarter of fiscal 2026 was $2.4 million (net loss margin of 2.0%), an improvement from a net loss of $5.7 million (net loss margin of 4.2%) in the prior year quarter. This improvement was primarily driven by a reduction in SG&A expenses and the absence of goodwill impairment in the first quarter of fiscal 2026. The Company delivered an Adjusted EBITDA margin of 2.5% in the first quarter of fiscal 2026 up from 1.7% in the prior year quarter.

First Quarter Fiscal 2026 Segment Revenue Results

On-Demand Talent – Revenue in the On-Demand Talent segment was $44.4 million in the first quarter of fiscal 2026 compared to $52.5 million in the first quarter of fiscal 2025. On a same day currency basis, revenue decreased 16.4% in the first quarter of fiscal 2025. The variance was primarily due to lower demand for interim support amidst economic uncertainty as well as a softer and more stagnant labor market, with a 0.4% (or 0.7% on a constant currency basis) increase in average bill rate, which was more than offset by a 15.8% decline in billable hours.

Consulting – Revenue in the Consulting segment was $43.6 million in the first quarter of fiscal 2026 compared to $55.0 million in the first quarter of fiscal 2025. On a same day currency basis, revenue decreased 21.7% in the first quarter of fiscal 2025. The variance was primarily due to a 28.4% decrease in billable hours, partially offset by a 11.1% (or 11.4% on a constant currency basis) increase in the average bill rate largely as a result of the Company’s value-based pricing initiative. As the Company continues to evolve its consulting business to deliver higher value, larger and more complex work, it has improved its ability to command higher bill rates; however, the sales cycle associated with such deal opportunities tends to be more elongated. As a result, revenues in the Consulting segment could be uneven in the near term as the Company continues to execute its strategy in this part of the business.

Europe & Asia Pacific – Revenue in the Europe & Asia Pacific segment increased by $1.9 million or 10.6%, to $19.9 million in the first quarter of fiscal 2026 compared to $18.0 million in the first quarter of fiscal 2025. On a same-day constant currency basis, revenue increased 5.4% in the first quarter of fiscal 2025. The increase was primarily due to a 0.5% increase in billable hours and a 9.6% (or 4.6% on a constant currency basis) increase in the average bill rate. The improvement in average bill rates was driven by the Company’s value-based pricing initiative and a shift in geographic revenue mix towards Europe where average bill rates are higher. Billable hours in Europe increased 21.0% year-over-year, primarily due to growing client demand and project expansions with key accounts, while billable hours in the Asia Pacific region declined 2.6% primarily due to reduction in client spend and the competitive landscape in the region.

Outsourced Services – Revenue in the Outsourced Services segment increased by $0.5 million or 5.3% compared to the prior year quarter, to $10.0 million. On a same-day constant currency basis, revenue increased 3.7% in the first quarter of fiscal 2025. The increase was primarily due to an increase in billable hours of 2.1%.

All Other – Revenue in the All Other segment increased by $0.3 million or 15.3%, to $2.3 million in the first quarter of fiscal 2026 compared to $2.0 million in the first quarter of fiscal 2025. On a same-day constant currency basis, revenue increased 13.6%  in the first quarter of fiscal 2025. The increase was primarily due to an increase in billable hours and an average bill rate increase of 2.7%.

Conference Call Information

RGP will hold a conference call for analysts and investors at 5:00 p.m., ET, today, October 8, 2025. A live webcast of the call will be available on the Events section of the Company’s Investor Relations website. To access the call by phone, please go to this link (registration link) and you will be provided with dial in details. To avoid delays, we encourage participants to dial into the conference call fifteen minutes ahead of the scheduled start time. A replay of the webcast will also be available for a limited time by visiting the Company’s Investor Relations website.

About RGP

RGP (Nasdaq: RGP) is an award-winning global professional services firm with three decades of experience helping the world’s top organizations navigate change and seize opportunity. With three integrated offerings—On-Demand Talent, Consulting, and Outsourced Services—we provide CFOs and other C-suite leaders with the flexibility to solve today’s most pressing challenges on their terms, uniting strategy, execution, and talent across accounting and finance, digital transformation, data, and cloud, at global scale. Our people-first approach continues to drive innovation across industries worldwide.

Based in Dallas, Texas, with offices worldwide, we annually engage with over 1,600 clients around the world from 41 physical practice offices and multiple virtual offices. As of May 2025, RGP is proud to have served 88 percent of the Fortune 100 and has been recognized by U.S. News & World Report (2024–2025 Best Companies to Work For) and Forbes (America’s Best Management Consulting Firms 2025, America’s Best Midsize Employers 2025, World’s Best Management Consulting Firms 2024).

RGP is listed on the Nasdaq Global Select Market, the exchange’s highest tier by listing standards. To learn more about RGP, visit: http://www.rgp.com.

Forward-Looking Statements

Certain statements in this press release are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements relate to expectations concerning matters that are not historical facts. Such forward-looking statements may be identified by words such as “anticipates,” “believes,” “can,” “continue,” “could,” “estimates,” “expects,” “forecast,” “future,” “intends,” “may,” “plans,” “potential,” “predicts,” “remain,” “should,” “strategy” or “will” or the negative of these terms or other comparable terminology. In this press release, such statements include statements regarding our growth and operational plans including expectations about our Consulting and On-Demand businesses and plans regarding our cost structure. Such statements and all phases of the Company’s operations are subject to known and unknown risks, uncertainties and other factors that could cause our actual results, levels of activity, performance or achievements and those of our industry to differ materially from those expressed or implied by these forward-looking statements. Risks and uncertainties include, but are not limited to, the following: risks related to an economic downturn or deterioration of general macroeconomic conditions, potential adverse effects to our and our clients’ liquidity and financial performances from bank failures or other events affecting financial institutions, the highly competitive nature of the market for professional services, risks related to the loss of a significant number of our consultants, or an inability to attract and retain new consultants, the possible impact on our business from the loss of the services of one or more key members of our senior management or key sales professionals, risks related to potential significant increases in wages or payroll-related costs, our ability to secure new projects from clients, our ability to achieve or maintain a suitable pay/bill ratio, our ability to compete effectively in the competitive bidding process, risks related to unfavorable provisions in our contracts which may permit our clients to, among other things, terminate the contracts partially or completely at any time prior to completion, our ability to realize the level of benefit that we expect from our restructuring initiatives, risks that our recent digital expansion and technology transformation efforts may not be successful, our ability to build an efficient support structure as our business continues to grow and transform, our ability to grow our business, manage our growth or sustain our current business, our ability to serve clients internationally, additional operational challenges from our international activities possible disruption of our business from our past and future acquisitions, the possibility that our recent rebranding efforts may not be successful, our potential inability to adequately protect our intellectual property rights, risks that our computer hardware and software and telecommunications systems are damaged, breached or interrupted, risks related to the failure to comply with data privacy laws and regulations and the adverse effect it may have on our reputation, results of operations or financial condition, our ability to comply with governmental, regulatory and legal requirements and company policies, the possible legal liability for damages resulting from the performance of projects by our consultants or for our clients’ mistreatment of our personnel, risks arising from changes in applicable tax laws or adverse results in tax audits or interpretations, the possible adverse effect on our business model from the reclassification of our independent contractors by foreign tax and regulatory authorities, the possible difficulty for a third party to acquire us and resulting depression of our stock price, the operating and financial restrictions from our credit facility, risks related to the variable rate of interest in our credit facility, the possible impact of activist shareholders, the possibility that we are unable to or elect not to pay our quarterly dividend payment, and other factors and uncertainties as are identified in our most recent Annual Report on Form 10-K for the year ended May 31, 2025, which was filed on July 28, 2025 and our other public filings made with the Securities and Exchange Commission (File No. 0-32113). Additional risks and uncertainties not presently known to us or that we currently deem immaterial may also affect our business or operating results. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company does not intend, and undertakes no obligation, to update the forward-looking statements in this press release to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events, unless required by law to do so.

Non-GAAP Financial Measures

The Company uses certain non-GAAP financial measures to assess our financial and operating performance that are not defined by or calculated in accordance with accounting principles generally accepted in the U.S. (“GAAP”) to assess our financial and operating performance. A non-GAAP financial measure is defined as a numerical measure of a company’s financial performance that (i) excludes amounts, or is subject to adjustments that have the effect of excluding amounts, that are included in the comparable measure calculated and presented in accordance with GAAP in the Consolidated Statements of Operations; or (ii) includes amounts, or is subject to adjustments that have the effect of including amounts, that are excluded from the comparable GAAP measure so calculated and presented. The following non-GAAP measures are presented in this press release:

• Same-day constant currency revenue is adjusted for the following items:
  • Currency impact. In order to remove the impact of fluctuations in foreign currency exchange rates, the Company calculates same-day constant currency revenue, which represents the outcome that would have resulted had exchange rates in the current period been the same as those in effect in the comparable prior period.

  • Business days impact. In order to remove the fluctuations caused by comparable periods having a different number of business days, the Company calculates same-day revenue as current period revenue (adjusted for currency impact) divided by the number of business days in the current period, multiplied by the number of business days in the comparable prior period. The number of business days in each respective period is provided in the “Number of Business Days” section of the “Reconciliation of GAAP to Non-GAAP Financial Measures” table below.

• EBITDA is calculated as net income (loss) before amortization expense, depreciation expense, interest and income taxes.

• Adjusted EBITDA is calculated as EBITDA excluding stock-based compensation expense, amortized Enterprise Resource Planning (“ERP”) system costs. technology transformation costs, goodwill impairment, acquisition costs, gain on sale of assets, and restructuring costs. We also present herein Adjusted EBITDA at the segment level as a measure used to assess the performance of our segments. Segment Adjusted EBITDA excludes certain shared corporate administrative costs that are not practical to allocate.

• Adjusted EBITDA Margin is calculated by dividing Adjusted EBITDA by revenue.

• Adjusted diluted earnings (loss) per common share is calculated as diluted earnings (loss) per common share, excluding the per share impact of stock-based compensation expense, technology transformation costs, acquisition costs, goodwill impairment, gain on sale of assets, restructuring costs, and adjusted for the related tax effects of these adjustments.

We believe the above-mentioned non-GAAP financial measures, which are used by management to assess the core performance of our Company, provide useful information and additional clarity of our operating results to our investors in their own evaluation of the core performance of our Company and facilitate a comparison of such performance from period to period. These are not measurements of financial performance or liquidity under GAAP and should not be considered in isolation or construed as substitutes for revenue, net income or other cash flow data prepared in accordance with GAAP for purposes of analyzing our revenue, profitability or liquidity. These measures should be considered in addition to, and not as a substitute for, revenue, net income (loss), earnings (loss) per share, cash flows or other measures of financial performance prepared in accordance with GAAP. In addition, these non-GAAP financial measures may not provide information that is directly comparable to that provided by other companies, as other companies may calculate such financial results differently.

RESOURCES CONNECTION, INC.

RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES

(In thousands, except number of business days)

Segment Results

The Company’s reportable segments are as follows:

• On-Demand Talent – provides businesses with a go-to source for bringing in experts when they need them, serving predominantly the office of the CFO.

• Consulting – drives transformation process across people, processes and technology across domain areas including finance, technology and digital, risk and compliance and operational performance.

• Europe & Asia Pacific – is a geographically defined segment that offers both on-demand and consulting services (excluding the digital consulting business, which is included in our Consulting segment) to clients throughout Europe & Asia Pacific.

• Outsourced Services – operating under the Countsy by RGP^TM brand, this segment offers finance, accounting and human resource services provided to startups, spinouts and scaleups enterprises, utilizing a technology platform and fractional team.

• Sitrick – a crisis communications and public relations firm that provides corporate, financial, transactional and crisis communication and management services.

The Company’s reportable segments are comprised of On-Demand, Consulting, Outsourced Services, and Europe & Asia Pacific. Sitrick does not individually meet the quantitative thresholds to qualify as a reportable segment. Therefore, Sitrick is disclosed under the “All Other” Segment. On July 1, 2024, the Company acquired Reference Point LLC, which is reported within the Consulting segment from the date of acquisition.

The following table discloses the Company’s average bill rate by segment for the last five quarters ended:

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Analyst Contact:
Jennifer Ryu
Chief Financial Officer

(US+) 1-714-430-6500

jennifer.ryu@rgp.com

Media Contact:
Pat Burek
Financial Profiles

(US+) 1-310-622-8244

pburek@finprofiles.com

Source: Resources Connection, Inc.

The post Resources Connection Reports Financial Results for First Quarter Fiscal 2026 appeared first on RGP global consulting and project execution for business transformation.

About RGP

RGP (Nasdaq: RGP) is an award-winning global professional services firm with three decades of experience helping the world’s top organizations navigate change and seize opportunity. With three integrated offerings—On-Demand Talent, Consulting, and Outsourced Services—we provide CFOs and other C-suite leaders with the flexibility to solve today’s most pressing challenges on their terms, uniting strategy, execution, and talent across accounting and finance, digital transformation, data, and cloud, at global scale. Our people-first approach continues to drive innovation across industries worldwide.

Based in Dallas, Texas, with offices worldwide, we annually engage with over 1,600 clients around the world from 41 physical practice offices and multiple virtual offices. As of May 2025, RGP is proud to have served 88 percent of the Fortune 100 and has been recognized by U.S. News & World Report (2024–2025 Best Companies to Work For) and Forbes (America’s Best Management Consulting Firms 2025, America’s Best Midsize Employers 2025, World’s Best Management Consulting Firms 2024).

RGP is listed on the Nasdaq Global Select Market, the exchange’s highest tier by listing standards. To learn more about RGP, visit: http://www.rgp.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20251002179973/en/

Investor Contact:
Jennifer Ryu, Chief Financial Officer

(US+) 1-714-430-6500

jennifer.ryu@rgp.com

Media Contact:
Pat Burek
Financial Profiles

(US+) 1-310-622-8244

pburek@finprofiles.com

Source: Resources Connection

The post Resources Connection to Participate in Noble Capital Markets Emerging Growth Conference appeared first on RGP global consulting and project execution for business transformation.

DALLAS–(BUSINESS WIRE)–Sep. 30, 2025–
RGP^® (Nasdaq: RGP), a global professional services firm, today announced the launch of rIQ, a proprietary AI accelerator that powers generative AI with the data and logic needed to deliver faster, more accurate service solutions.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20250930778629/en/

rIQ is an intelligent framework built on ServiceNow and designed to complement ServiceNow’s out-of-the-box GenAI capabilities. The platform blends AI with human expertise to help organizations reduce costs, cut inefficiencies, accelerate decisions, and resolve issues faster.

“We built rIQ on ServiceNow to help organizations tap into the full potential of GenAI to digitize and automate workflows,” said Rory Fitzpatrick, global head of RGP’s ServiceNow practice. “rIQ enables our customers to bring any GenAI model and any data into a flexible architecture that they can scale and adapt to their needs. This platform enables organizations to spend more time creating value instead of fixing AI models, dealing with unstructured data, and addressing duplicate work.”

rIQ enables seamless integration with existing large language models (LLMs) while maintaining enterprise-security and compliance through ServiceNow’s GenAI controller and is fully compatible with ServiceNow’s Now Assist. The platform’s flexible architecture allows easy integration through pre-built connectors for 30+ enterprise systems, low-code workflow design, and customizable controls that adapt to sector-specific needs.

Key features of rIQ include:

• Decision fatigue reduction – rIQ boosts issue resolution speed, employee efficiency, and customer satisfaction by eliminating misrouted requests and cutting duplicate work.

• Unstructured data mastery – The platform transforms emails, PDFs, scans, calls and recordings into organized workflows that automatically route cases without manual triage.

• Intelligent escalation management – rIQ reduces triage by auto-routing requests to the right teams and auto-generating responses that align with compliance and industry-specific regulations.

• Continuous GenAI learning – The framework constantly refines itself using real-world feedback from agents, supervisors, and customers.

RGP’s award-winning ServiceNow practice brings proven frameworks and specialized talent to help organizations optimize processes in ServiceNow, including HR, IT, customer service, and finance. The team was recognized during the AI Demo at ServiceNow Knowledge 2025 and at the inaugural Singapore ServiceNow Hackathon in 2024.

“We have two decades of experience in the ServiceNow ecosystem, with unmatched expertise across ServiceNow workflows, products, and key business functions,” said Fitzpatrick. “rIQ advances this demonstrated expertise in helping businesses drive high-impact transformation by making the most out of ServiceNow with the speed and flexibility they need.”

ABOUT RGP

RGP (Nasdaq: RGP) is an award-winning global professional services firm with three decades of experience helping the world’s top organizations navigate change and seize opportunity. With three integrated offerings—On-Demand Talent, Consulting, and Outsourced Services—we provide CFOs and C-suite leaders with the flexibility to solve today’s most pressing challenges on their terms, uniting strategy, execution, and talent across digital transformation, data, cloud, and global scale. Our people-first approach continues to drive innovation across industries worldwide.

Based in Dallas, Texas, with offices worldwide, we annually engage with over 1,600 clients around the world from 41 physical practice offices and multiple virtual offices. As of May 2025, RGP is proud to have served 88 percent of the Fortune 100 and has been recognized by U.S. News & World Report (2024–2025 Best Companies to Work For) and Forbes (America’s Best Management Consulting Firms 2025, America’s Best Midsize Employers 2025, World’s Best Management Consulting Firms 2025).

RGP is listed on the Nasdaq Global Select Market, the exchange’s highest tier by listing standards. To learn more about RGP, visit: http://www.rgp.com. (RGP-F)

View source version on businesswire.com: https://www.businesswire.com/news/home/20250930778629/en/

Investor Contact:
Jennifer Ryu, Chief Financial Officer

(US+) 1-714-430-6500

jennifer.ryu@rgp.com

Media Contact:
Pat Burek
Financial Profiles

(US+) 1-310-622-8244

pburek@finprofiles.com

Source: RGP

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This release will be followed by a conference call at 5:00 p.m. ET, October 8, 2025. A live webcast of the call will be available on the “Investor Relations” Events section of the Company’s website. To access the call by phone, please go to this link (registration link), and you will be provided with dial in details. To avoid delays, we encourage participants to dial into the conference call fifteen minutes ahead of the scheduled start time. A replay of the webcast will also be available for a limited time by visiting the RGP Investor Events section of the Company’s website.

ABOUT RGP

RGP (Nasdaq: RGP) is an award-winning global professional services firm with three decades of experience helping the world’s top organizations navigate change and seize opportunity. With three integrated offerings—On-Demand Talent, Consulting, and Outsourced Services—we provide CFOs and C-suite leaders with the flexibility to solve today’s most pressing challenges on their terms, uniting strategy, execution, and talent across digital transformation, data, cloud, and global scale. Our people-first approach continues to drive innovation across industries worldwide.

Based in Dallas, Texas, with offices worldwide, we annually engage with over 1,600 clients around the world from 41 physical practice offices and multiple virtual offices. As of May 2025, RGP is proud to have served 88 percent of the Fortune 100 and has been recognized by U.S. News & World Report (2024–2025 Best Companies to Work For) and Forbes (America’s Best Management Consulting Firms 2025, America’s Best Midsize Employers 2025, World’s Best Management Consulting Firms 2024).

RGP is listed on the Nasdaq Global Select Market, the exchange’s highest tier by listing standards. To learn more about RGP, visit: http://www.rgp.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250924867393/en/

Investor Contact:
Jennifer Ryu, Chief Financial Officer

(US+) 1-714-430-6500

Jennifer.Ryu@rgp.com

Media Contact:
Pat Burek
Financial Profiles

(US+) 1-310-622-8244

pburek@finprofiles.com

Source: Resources Connection, Inc.

The post Resources Connection to Announce First Quarter Fiscal 2026 Results on October 8, 2025 appeared first on RGP global consulting and project execution for business transformation.

About RGP

RGP (Nasdaq: RGP) is an award-winning global professional services firm with three decades of experience helping the world’s top organizations navigate change and seize opportunity. With three integrated offerings—On-Demand Talent, Consulting, and Outsourced Services—we provide CFOs and C-suite leaders with the flexibility to solve today’s most pressing challenges on their terms, uniting strategy, execution, and talent across digital transformation, data, cloud, and global scale. Our people-first approach continues to drive innovation across industries worldwide.

Based in Dallas, Texas, with offices worldwide, we annually engage with over 1,600 clients around the world from 41 physical practice offices and multiple virtual offices. As of May 2025, RGP is proud to have served 88 percent of the Fortune 100 and has been recognized by U.S. News & World Report (2024–2025 Best Companies to Work For) and Forbes (America’s Best Management Consulting Firms 2025, America’s Best Midsize Employers 2025, World’s Best Management Consulting Firms 2024).

RGP is listed on the Nasdaq Global Select Market, the exchange’s highest tier by listing standards. To learn more about RGP, visit: http://www.rgp.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250916817966/en/

Investor Contact:

Jennifer Ryu, Chief Financial Officer

(US+) 1-714-430-6500

jennifer.ryu@rgp.com

Media Contact:

Pat Burek
Financial Profiles

(US+) 1-310-622-8244

pburek@finprofiles.com

Source: Resources Connection, Inc.

The post Resources Connection to Participate in William Blair’s Inaugural Human Capital Services Virtual Conference appeared first on RGP global consulting and project execution for business transformation.

For more than 30 years, RGP has partnered with CFOs and their organizations to strengthen finance, accounting, risk, compliance, and tax capabilities. The creation of this dedicated leadership role formalizes and expands that commitment, positioning RGP to accelerate growth in CFO advisory, digital, technology, and data services.

Rottmann will lead RGP’s Office of the CFO consulting capability area, where the firm sees strong client demand and long-term opportunity. He will oversee the firm’s Finance & Accounting, Governance, Risk & Compliance, and Tax & Treasury practices, reporting to Chief Operating Officer Bhadresh Patel.

“Scott brings not only deep leadership experience but also the ability to help us shape the next era of CFO advisory,” said Patel. “As finance leaders confront a future defined by data, digital innovation, and accelerated transformation, Scott’s expertise will enable us to guide clients beyond incremental improvement toward true enterprise reinvention. His track record of scaling businesses, combined with his understanding of how people, process, technology, and data intersect, will help us deliver bold solutions that anticipate what CFOs need tomorrow, not just today. Scott’s addition strengthens our ability to stand alongside finance leaders as architects of resilience, growth, and long-term value creation.”

Before joining RGP, Rottmann served as a principal and partner at EY-Parthenon, where he helped CXOs, boards, and leadership teams optimize their organizations. Previously, he held senior leadership positions at Genpact and Deloitte.

“I’ve had the opportunity to lead complex, global transformation initiatives for some of the world’s most valuable brands over the past 20 years, and I’m excited to join RGP at this pivotal time of continued growth,” said Rottmann. “RGP was built on a foundation of empowering CFOs and their teams. My role is to evolve that legacy, strengthening our CFO advisory capabilities, and building even deeper, enduring partnerships within the CFO community.”

ABOUT RGP

RGP (Nasdaq: RGP) is an award-winning global professional services firm with three decades of experience helping the world’s top organizations navigate change and seize opportunity. With three integrated offerings—On-Demand Talent, Consulting, and Outsourced Services—we provide CFOs and C-suite leaders with the flexibility to solve today’s most pressing challenges on their terms, uniting strategy, execution, and talent across digital transformation, data, cloud, and global scale. Our people-first approach continues to drive innovation across industries worldwide.

Based in Dallas, Texas, with offices worldwide, we annually engage with over 1,600 clients around the world from 41 physical practice offices and multiple virtual offices. As of May 2025, RGP is proud to have served 88 percent of the Fortune 100 and has been recognized by U.S. News & World Report (2024–2025 Best Companies to Work For) and Forbes (America’s Best Management Consulting Firms 2025, America’s Best Midsize Employers 2025, World’s Best Management Consulting Firms 2024).

RGP is listed on the Nasdaq Global Select Market, the exchange’s highest tier by listing standards. To learn more about RGP, visit: http://www.rgp.com. (RGP-F)

View source version on businesswire.com: https://www.businesswire.com/news/home/20250827048814/en/

Investor Contact:
Jennifer Ryu, Chief Financial Officer

(US+) 1-714-430-6500

jennifer.ryu@rgp.com

Media Contact:
Pat Burek
Financial Profiles

(US+) 1-310-622-8244

pburek@finprofiles.com

Source: RGP

The post RGP Hires Scott Rottmann as President, CFO Advisory appeared first on RGP global consulting and project execution for business transformation.

Upon Mr. White’s resignation, the Board determined that no Lead Independent Director was necessary given that Bob Pisano, the Chair of the Board, is independent. The Board also appointed Roger Carlile to serve as the Chair of the Compensation Committee.

Mr. Pisano said, “We are grateful for David’s many contributions to the Company over his 4 years of service to the Board. His leadership and thoughtful advice have been exceptional and we wish him well in his new position as a fully dedicated leader of the NFL players union. David, a veteran labor executive, has guided some of the most prominent entertainment and financial organizations in the world. We will miss him.”

ABOUT RGP

RGP is a global professional services leader that helps businesses navigate complex challenges with flexible, high-impact solutions across Finance, HR, Operations, and Technology. With 2,300+ experts worldwide and decades of experience, we’re a trusted partner to the C-Suite—optimizing performance, accelerating transformation, and executing critical initiatives from strategy to automation and AI. Whether enterprises need embedded expertise, strategic consulting, or fully outsourced solutions, RGP is built to meet organizations where they are.

Based in Dallas, TX with offices worldwide, we annually engage with over 1,600 clients around the world from 41 physical practice offices and multiple virtual offices. RGP is proud to have served 88% of the Fortune 100 as of May 2025 and has been recognized by U.S. News & World Report (2024-2025 Best Companies to Work for) and Forbes (America’s Best Management Consulting Firms 2025, America’s Best Midsize Employers 2025, World’s Best Management Consulting Firms 2024).

The Company is listed on the Nasdaq Global Select Market, the exchange’s highest tier by listing standards. To learn more about RGP, visit: http://www.rgp.com. (RGP-F)

View source version on businesswire.com: https://www.businesswire.com/news/home/20250807164212/en/

Investor Contact:
Jennifer Ryu, Chief Financial Officer

(US+) 1-714-430-6500

jennifer.ryu@rgp.com

Media Contact:
Pat Burek
Financial Profiles

(US+) 1-310-622-8244

pburek@finprofiles.com

Source: Resources Connection, Inc.

The post Resources Connection, Inc.’s David White Resigns from Board appeared first on RGP global consulting and project execution for business transformation.

ABOUT RGP

RGP is a global professional services leader that helps businesses navigate complex challenges with flexible, high-impact solutions across Finance, HR, Operations, and Technology. With 2,300+ experts worldwide and decades of experience, we’re a trusted partner to the C-Suite—optimizing performance, accelerating transformation, and executing critical initiatives from strategy to automation and AI. Whether enterprises need embedded expertise, strategic consulting, or fully outsourced solutions, RGP is built to meet organizations where they are.

Based in Dallas, TX with offices worldwide, we annually engage with over 1,600 clients around the world from 41 physical practice offices and multiple virtual offices. RGP is proud to have served 88% of the Fortune 100 as of May 2025 and has been recognized by U.S. News & World Report (2024-2025 Best Companies to Work for) and Forbes (America’s Best Management Consulting Firms 2025, America’s Best Midsize Employers 2025, World’s Best Management Consulting Firms 2024).

The Company is listed on the Nasdaq Global Select Market, the exchange’s highest tier by listing standards. To learn more about RGP, visit: http://www.rgp.com. (RGP-F)

View source version on businesswire.com: https://www.businesswire.com/news/home/20250804233172/en/

Investor Contact:
Jennifer Ryu, Chief Financial Officer

(US+) 1-714-430-6500

jennifer.ryu@rgp.com

Media Contact:
Pat Burek
Financial Profiles

(US+) 1-310-622-8244

pburek@finprofiles.com

Source: Resources Connection, Inc.

The post Resources Connection, Inc. Announces Quarterly Dividend and Dividend Payment Date appeared first on RGP global consulting and project execution for business transformation.

DALLAS–(BUSINESS WIRE)–Jul. 28, 2025–
RGP® (Nasdaq: RGP), a professional services firm, today released new research that shows CFOs maintain cautious optimism about their organizations’ current financial health and future outlook despite continued macroeconomic uncertainty.

Nearly 70% of CFOs surveyed are positive about the current financial health of their organizations, and 60% are optimistic about their financial potential over the next 12 months. Yet, CFO optimism is tempered by growing concerns about tariff uncertainty and potential economic, supply chain, and geopolitical disruptions.

The CFO findings are from a wider survey of 202 senior financial decision-makers — including 63 CFOs — from companies with more than $500 million in annual revenue. Respondents were asked how they are approaching strategic capital allocation in the next 12 months, which initiatives they are prioritizing, and the role they are playing in enterprise-wide decision-making.

“Today’s CFOs are shaping the way businesses are adapting, growing, and thriving amid rapid innovation, evolving risks, and unrelenting change,” said Kate Duchene, Chief Executive Officer of RGP. “Not only are CFOs tasked with taking proactive steps to mitigate risks and maintain growth during this period of market volatility, but we are also seeing CFOs take more ownership of decisions related to workforce strategy, digital investment, and enterprise transformation. They are ideally positioned to provide a gauge of current business sentiment and outlook, and what we see is that CFOs remain focused on growth despite a lack of clarity around trade policy.”

Macroeconomic Outlook

Most CFOs surveyed (94%) are concerned about tariff and trade policies, and most (63%) believe that supply chain disruptions are likely to occur in the next 12 months. The top actions CFOs are planning to take in response to tariff concerns include proactively cutting costs elsewhere (68%), supply chain diversification (44%), and engagement with policymakers and trade associations (41%).

“In the last few years, businesses have had to navigate inflation, high interest rates, supply chain challenges, skills shortages, and ongoing market variability,” said Jenn Ryu, Chief Financial Officer at RGP. “CFOs have led the charge in building agility and resilience into their business models to face these challenges, and we are now seeing them take proactive steps in response to tariff uncertainty. They are focused on advancing technological innovation, achieving operational excellence, and upskilling their workforce.”

Strategic Capital Allocation

Most CFOs are directing the highest capital allocations to technology and digital transformation (57%), operational efficiency initiatives (57%), and product and service innovation (51%). Four in 10 CFOs plan to commit more than 10% of their capital budgets to AI initiatives in the next year.

While many organizations remain in the early stages of AI adoption, RGP’s findings show that both investment and optimism are growing as businesses begin to implement AI and see its benefits take shape. Eighty-four percent of CFOs are optimistic about the impact that AI will have on their business in the next 12 months and the same proportion is more optimistic in their outlook than they were 12 months ago.

M&A Outlook

CFOs are signaling strong interest in M&A, positioning 2025 as a potential banner year for strategic acquisitions. Half of CFOs anticipate engaging in M&A activity in the next six months with key focus areas including technology and capability acquisitions, horizontal acquisitions, and geographic expansions. But CFOs recognize that the difference between success and failure won’t lie solely in financial modeling—it will hinge on integration excellence, cultural alignment, and the ability to bring people along on the journey. The CFO’s role as both financial steward and change leader has never been more essential.

“We entered this calendar year with expectations for increased M&A activity and many CFOs are gearing up for a more active second half,” said Bhadresh Patel, Chief Operating Officer at RGP. “While regulatory scrutiny and lingering uncertainty add to the complexity of potential M&A activity, CFOs recognize that the success of any acquisition will hinge on integration excellence and cultural alignment.”

Conclusion

The findings of RGP’s research illuminate a compelling narrative: CFOs are at the forefront of shaping how their organizations adapt, grow, and thrive in an environment defined by rapid technological innovation, evolving risks, and unrelenting change.

The message for 2025 is clear: lead boldly, collaborate cross-functionally, and build organizations that are as resilient as they are visionary.

The RGP June 2025 CFO Survey polled senior financial decision-makers within the technology, financial services, healthcare and pharmaceutical industries and was conducted between May 27 and June 16, 2025. Read more about the findings here: https://rgp.com/research/cfo-perspectives-on-risk-growth-and-the-future-of-finance.

ABOUT RGP

RGP is a global professional services firm with nearly three decades of experience helping the world’s top organizations—from Fortune 50 to fast-moving startups—solve today’s complex business problems. A trusted partner to CFOs and finance leaders, we deliver the talent, consulting, and outsourced services solutions you need to grow faster, work smarter, and keep up with change—all through a flexible model and global network of experts.

Based in Dallas, TX with offices worldwide, we annually engage with over 1,600 clients around the world from 41 physical practice offices and multiple virtual offices. RGP is proud to have served 88% of the Fortune 100 as of May 2025 and has been recognized by U.S. News & World Report (2024-2025 Best Companies to Work for) and Forbes (America’s Best Management Consulting Firms 2025, America’s Best Midsize Employers 2025, and World’s Best Management Consulting Firms 2024).

The Company is listed on the Nasdaq Global Select Market, the exchange’s highest tier by listing standards. To learn more about RGP, visit: http://www.rgp.com. (RGP-F)

View source version on businesswire.com: https://www.businesswire.com/news/home/20250728476830/en/

Investor Contact:
Jennifer Ryu, Chief Financial Officer

(US+) 1-714-430-6500

jennifer.ryu@rgp.com

Media Contact:
Pat Burek
Financial Profiles

(US+) 1-310-622-8244

pburek@finprofiles.com

Source: RGP

The post RGP Survey Shows CFOs Remain Cautiously Optimistic Amid Ongoing Uncertainty appeared first on RGP global consulting and project execution for business transformation.

DALLAS–(BUSINESS WIRE)–Jul. 24, 2025–
Resources Connection, Inc. (Nasdaq: RGP) (the “Company”), a professional services firm, today announced its financial results for its fourth quarter and full fiscal year ended May 31, 2025.

Fourth Quarter Fiscal 2025 Highlights Compared to Prior Year Quarter:

• Revenue of $139.3 million compared to $148.2 million

• Same-day constant currency revenue, a non-GAAP measure, declined 11.4%

• Gross margin remained strong at 40.2%, consistent with the prior year quarter

• Selling, General and Administrative expenses (“SG&A”) of $50.6 million, compared to $46.4 million which included a one-time benefit of $4.4 million related to an earnout adjustment for the CloudGo acquisition

• Net loss of $73.3 million (net loss margin of 52.6%), including a non-cash goodwill impairment charge of $69.0 million, compared to net income of $10.5 million (net income margin of 7.1%)

• GAAP diluted loss per common share of $2.23 compared to diluted net earnings per share of $0.31

• Adjusted diluted earnings per common share, a non-GAAP measure, of $0.16 compared to $0.28

• Adjusted EBITDA, a non-GAAP measure, of $9.8 million (Adjusted EBITDA margin of 7.1%) compared to $13.1 million (Adjusted EBITDA margin of 8.8%)

• Cash dividends declared of $0.07 per share

Full Fiscal Year 2025 Highlights Compared to Prior Year:

• Revenue of $551.3 million compared to $632.8 million

• Same-day constant currency revenue, a non-GAAP measure, declined 13.9%

• Gross margin of 37.6% compared to 38.9%

• SG&A improved 3.3% to $202.0 million, compared to $208.9 million

• Net loss of $191.8 million (net loss margin of 34.8%), including a non-cash goodwill impairment charge of $194.4 million, compared to net income of $21.0 million (net income margin of 3.3%)

• GAAP diluted loss per common share of $5.80 compared to diluted net earnings per share of $0.62

• Adjusted diluted earnings per common share of $0.23 compared to $0.93

• Adjusted EBITDA of $23.5 million (Adjusted EBITDA margin of 4.3%) compared to $51.5 million (Adjusted EBITDA margin of 8.1%)

• Cash and cash equivalents of $86.1 million compared to $108.9 million at fiscal year-end 2024

Management Commentary

“I want to thank our team for delivering results that exceeded the high end of our outlook for revenue and gross margin in this ongoing challenging global marketplace,” said Kate W. Duchene, Chief Executive Officer. “We delivered sequential revenue growth and improved our average bill rates across multiple segments of the business. We continued our efforts to improve the business for the long-term by focusing on cross sell execution to deliver highly flexible and high impact solutions to our clients while continuing to improve cost efficiency by leveraging our newly launched systems. Our teams remain dedicated to focusing on higher quality and larger sales opportunities as we continue to drive pipeline growth around the globe. Given the extended time to close new business, we are ensuring our client relationships remain close and trusted. Our client retention rates continue to be steady and strong. With our refreshed brand positioning and ongoing diversification strategy, we remain committed to unlocking future growth while continuing to create value for current clients and our shareholders.”

Fourth Quarter Fiscal 2025 Results

Revenue was $139.3 million compared to $148.2 million in the fourth quarter of fiscal 2024. On a same-day constant currency basis, revenue was down 11.4% reflecting a persistently challenging demand environment due to the ongoing uncertainty in the broader environment, resulting in lengthened client decision-making and sales cycles. To a lesser extent, in connection with recent actions we have taken to execute on our diversified services strategy for long term growth and stability, we experienced both voluntary and involuntary attrition in the third quarter, including within our sales team, which also affected our revenue performance in Q4. Compared to the prior year quarter, billable hours decreased 10.5% while the average bill rate improved by 4.2% (also 4.2% on a constant currency basis). The year-over-year improvement in average bill rate is attributable to an ongoing focus on value-based pricing and a shift in revenue mix towards higher value consulting projects. While average bill rates improved across almost all of our geographic regions compared to the prior year, the enterprise average bill rate continues to reflect the global revenue mix, which currently includes a higher proportion of revenue generated in Asia Pacific, where bill rates are significantly lower than in the United States (“U.S.”) and Europe.

Gross margin remained strong at 40.2%, consistent with the prior year quarter, reflecting an improvement in pay/bill ratio, offset by less favorable leverage of indirect benefit costs on lower revenue.

SG&A for the fourth quarter of fiscal 2025 was $50.6 million, or 36.3% of revenue, compared to $46.4 million, or 31.3% of revenue in the prior year quarter. The $4.3 million increase in SG&A year-over-year was primarily attributed to a $4.4 million favorable non-cash adjustment on contingent consideration related to the acquisition of CloudGo Pte Ltd. and its subsidiaries (collectively, “CloudGo”) recognized in the prior year quarter, an increase of $1.7 million in restructuring expenses and ongoing alignment of resource capacity and an increase of $1.4 million in other general and administrative expenses including amortization related to an ongoing enterprise resource planning (“ERP”) system implementation. These increases were partially offset by reductions of $1.9 million in technology transformation costs and a net $1.4 million in employee compensation and benefits partially as a result of the reduction in force.

During the fourth quarter of fiscal 2025, the Company conducted a goodwill impairment analysis and recorded a non-cash impairment charge of $69.0 million in the Consulting segment.

The fourth quarter of fiscal 2025 had an income tax expense of $8.0 million, or a negative effective tax rate of (12.2)%, compared to an income tax expense of $1.0 million, or an effective tax rate of 9.0% for the fourth quarter of fiscal 2024. The effective tax rate for the fourth quarter of fiscal 2025 was impacted by the non-deductible portion of the goodwill impairment, coupled with an establishment of a valuation allowance on the Company’s domestic net deferred tax assets. The effective tax rate for the fourth quarter of fiscal 2024 was impacted by a number of tax benefits, chiefly the nontaxable income related to the favorable contingent consideration adjustment in connection with the CloudGo acquisition.

Net loss was $73.3 million (net loss margin of 52.6%), compared to net income of $10.5 million (net income margin of 7.1%) in the prior year quarter, primarily due to the non-cash goodwill impairment charge. The Company delivered an Adjusted EBITDA of $9.8 million, a margin of 7.1% in the fourth quarter of fiscal 2025 compared to $13.1 million, a margin of 8.8% in the prior year quarter.

Full Fiscal Year 2025 Results

Annual revenue of $551.3 million compared to $632.8 million a year ago, or a decrease of 12.9% (or a decrease of 13.9% on a same-day constant currency basis). Billable hours were down 13.5% while the average bill rate remained flat (or increased 0.8% on a constant currency basis) during fiscal 2025 compared to fiscal 2024.

Gross margin was 37.6% compared to 38.9% in the prior year primarily due to lower utilization of salaried consultants and a decrease in leverage on cost of service as a result of lower revenue. Pay/bill ratio remained consistent year over year.

The Company’s continued focus on cost discipline supported SG&A of $202.0 million in fiscal 2025 compared to $208.9 million in fiscal 2024, a 3.3% improvement. The $6.8 million improvement in SG&A year-over-year was primarily attributed to a lower net employee compensation expense of $9.2 million largely resulting from the restructuring plans and ongoing alignment of resource capacity to demand, a $3.4 million gain on the sale of the Irvine office building and a $1.4 million decrease in technology transformation costs. These reductions were partially offset by a $4.4 million favorable non-cash adjustment on contingent consideration related to the CloudGo acquisition recognized in fiscal 2024, a $1.0 million increase in restructuring costs, $1.0 million increase in stock compensation costs and $1.3 million of amortization related to the newly launched ERP system in the third fiscal quarter.

During fiscal 2025, in light of the decline in the Company’s market capitalization, along with the slow recovery in the On-Demand, Consulting, and Europe and Asia business segments, the Company conducted a goodwill impairment analysis during the second, third and fourth quarters of fiscal 2025 and recorded a non-cash goodwill impairment charge of $194.4 million ($70.2 million was recorded in the On-Demand Talent segment, $98.6 million was recorded in the Consulting segment, and $25.6 million in the Europe and Asia segment).

The Company recorded an income tax benefit of $4.3 million (effective tax rate of 2.2%) for the year ended May 31, 2025 compared to income tax expense of $8.8 million (effective tax rate of 29.5%) for the year ended May 25, 2024. The income tax benefit in fiscal 2025 was primarily attributed to the Company’s pretax loss. The lower effective tax rate in fiscal 2025 was primarily the result of non-deductible portion of the goodwill impairment charge, coupled with the establishment of valuation allowances on the Company’s domestic and United Kingdom net deferred tax assets. The effective tax rate during fiscal 2024 was attributed primarily to a non-recurring increase in forfeiture of stock options in connection with an employee termination during the fiscal year, partially offset by a number of rate benefits, chiefly the nontaxable income on the reversal of CloudGo’s contingent liability.

Conference Call Information

RGP will hold a conference call for analysts and investors at 5:00 p.m., ET, today, July 24, 2025. A live webcast of the call will be available on the Events section of the Company’s Investor Relations website. To access the call by phone, please go to this link (registration link), and you will be provided with dial in details. To avoid delays, we encourage participants to dial into the conference call fifteen minutes ahead of the scheduled start time. A replay of the webcast will also be available for 30 days by visiting the Events section of the Company’s Investor Relations website.

About RGP

RGP is a global professional services leader that helps businesses navigate complex challenges with flexible, high-impact solutions across Finance, HR, Operations, and Technology. With 2,300+ experts worldwide and decades of experience, we’re a trusted partner to the C-Suite—optimizing performance, accelerating transformation, and executing critical initiatives from strategy to automation and AI. Whether enterprises need embedded expertise, strategic consulting, or fully outsourced solutions, RGP is built to meet organizations where they are.

Based in Dallas, TX, with offices worldwide, we annually engage with over 1,600 clients around the world from 41 physical practice offices and multiple virtual offices. RGP is proud to have served 88% of the Fortune 100 as of May 2025 and has been recognized by U.S. News & World Report (2024-2025 Best Companies to Work for) and Forbes (America’s Best Management Consulting Firms 2025, America’s Best Midsize Employers 2025, World’s Best Management Consulting Firms 2024).

The Company is listed on the Nasdaq Global Select Market, the exchange’s highest tier by listing standards. To learn more about RGP, visit: http://www.rgp.com. (RGP-F)

Forward-Looking Statements

Certain statements in this press release are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements relate to expectations concerning matters that are not historical facts. Such forward-looking statements may be identified by words such as “anticipates,” “believes,” “can,” “continue,” “could,” “estimates,” “expects,” “forecast,” “future,” “intends,” “may,” “plans,” “potential,” “predicts,” “remain,” “should,” “strategy” or “will” or the negative of these terms or other comparable terminology. In this press release, such statements include statements regarding our expected recovery and growth and operational plans. Such statements and all phases of the Company’s operations are subject to known and unknown risks, uncertainties and other factors that could cause our actual results, levels of activity, performance or achievements and those of our industry to differ materially from those expressed or implied by these forward-looking statements. Risks and uncertainties include, but are not limited to, the following: risks related to an economic downturn or deterioration of general macroeconomic conditions, potential adverse effects to our and our clients’ liquidity and financial performances from bank failures or other events affecting financial institutions, the highly competitive nature of the market for professional services, risks related to the loss of a significant number of our consultants, or an inability to attract and retain new consultants, the possible impact on our business from the loss of the services of one or more key members of our senior management or key sales professionals, risks related to potential significant increases in wages or payroll-related costs, our ability to secure new projects from clients, our ability to achieve or maintain a suitable pay/bill ratio, our ability to compete effectively in the competitive bidding process, risks related to unfavorable provisions in our contracts which may permit our clients to, among other things, terminate the contracts partially or completely at any time prior to completion, our ability to realize the level of benefit that we expect from our restructuring initiatives, risks that our recent digital expansion and technology transformation efforts may not be successful, our ability to build an efficient support structure as our business continues to grow and transform, our ability to grow our business, manage our growth or sustain our current business, our ability to serve clients internationally, additional operational challenges from our international activities possible disruption of our business from our past and future acquisitions, the possibility that our recent rebranding efforts may not be successful, our potential inability to adequately protect our intellectual property rights, risks that our computer hardware and software and telecommunications systems are damaged, breached or interrupted, risks related to the failure to comply with data privacy laws and regulations and the adverse effect it may have on our reputation, results of operations or financial condition, our ability to comply with governmental, regulatory and legal requirements and company policies, the possible legal liability for damages resulting from the performance of projects by our consultants or for our clients’ mistreatment of our personnel, risks arising from changes in applicable tax laws or adverse results in tax audits or interpretations, the possible adverse effect on our business model from the reclassification of our independent contractors by foreign tax and regulatory authorities, the possible difficulty for a third party to acquire us and resulting depression of our stock price, the operating and financial restrictions from our credit facility, risks related to the variable rate of interest in our credit facility, the possible impact of activist shareholders, the possibility that we are unable to or elect not to pay our quarterly dividend payment, and other factors and uncertainties as are identified in our most recent Annual Report on Form 10-K for the year ended May 31, 2025, which will be filed on or around July 25, 2025, and our other public filings made with the Securities and Exchange Commission (File No. 0-32113). Additional risks and uncertainties not presently known to us or that we currently deem immaterial may also affect our business or operating results. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company does not intend, and undertakes no obligation, to update the forward-looking statements in this press release to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events, unless required by law to do so.

Non-GAAP Financial Measures

The Company uses certain non-GAAP financial measures to assess our financial and operating performance that are not defined by or calculated in accordance with accounting principles generally accepted in the U.S. (“GAAP”) to assess our financial and operating performance. A non-GAAP financial measure is defined as a numerical measure of a company’s financial performance that (i) excludes amounts, or is subject to adjustments that have the effect of excluding amounts, that are included in the comparable measure calculated and presented in accordance with GAAP in the Consolidated Statements of Operations; or (ii) includes amounts, or is subject to adjustments that have the effect of including amounts, that are excluded from the comparable GAAP measure so calculated and presented. The following non-GAAP measures are presented in this press release:

• Same-day constant currency revenue is adjusted for the following items:
  • Currency impact. In order to remove the impact of fluctuations in foreign currency exchange rates, the Company calculates same-day constant currency revenue, which represents the outcome that would have resulted had exchange rates in the current period been the same as those in effect in the comparable prior period.

  • Business days impact. In order to remove the fluctuations caused by comparable periods having a different number of business days, the Company calculates same-day revenue as current period revenue (adjusted for currency impact) divided by the number of business days in the current period, multiplied by the number of business days in the comparable prior period. The number of business days in each respective period is provided in the “Number of Business Days” section of the “Reconciliation of GAAP to Non-GAAP Financial Measures” table below.

• EBITDA is calculated as net income (loss) before amortization expense, depreciation expense, interest and income taxes.

• Adjusted EBITDA is calculated as EBITDA excluding stock-based compensation expense, amortized Enterprise Resource Planning (“ERP”) system costs, technology transformation costs, goodwill impairment, acquisition costs, gain on sale of assets, restructuring costs, and contingent consideration adjustments. We also present herein Adjusted EBITDA at the segment level as a measure used to assess the performance of our segments. Segment Adjusted EBITDA excludes certain shared corporate administrative costs that are not practical to allocate.

• Adjusted EBITDA Margin is calculated by dividing Adjusted EBITDA by revenue.

• Adjusted diluted earnings (loss) per common share is calculated as diluted earnings (loss) per common share, excluding the per share impact of stock-based compensation expense, amortized ERP system costs, technology transformation costs, goodwill impairment, acquisition costs, gain on sale of assets, restructuring costs, contingent consideration adjustments, and adjusted for the related tax effects of these adjustments.

We believe the above-mentioned non-GAAP financial measures, which are used by management to assess the core performance of our Company, provide useful information and additional clarity of our operating results to our investors in their own evaluation of the core performance of our Company and facilitate a comparison of such performance from period to period. These are not measurements of financial performance or liquidity under GAAP and should not be considered in isolation or construed as substitutes for revenue, net income or other cash flow data prepared in accordance with GAAP for purposes of analyzing our revenue, profitability or liquidity. These measures should be considered in addition to, and not as a substitute for, revenue, net income, earnings per share, cash flows or other measures of financial performance prepared in accordance with GAAP. In addition, these non-GAAP financial measures may not provide information that is directly comparable to that provided by other companies, as other companies may calculate such financial results differently.

RESOURCES CONNECTION, INC.

RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES

(In thousands, except number of business days)