REVENUE, DIRECT COSTS AND GROSS MARGIN

The Company’s revenue, direct costs and gross margin were as follows:



	Three Months Ended June 30, 2015
	Temporary Contracting		Permanent Recruitment		Other		Total
Revenue	$	80,389	$	31,873	$	10,481	$	122,743
Direct costs (1)	69,101		697		2,723		72,521
Gross margin	$	11,288	$	31,176	$	7,758	$	50,222

	Three Months Ended June 30, 2014
	Temporary Contracting		Permanent Recruitment		Other		Total
Revenue	$	103,441	$	34,725	$	12,904	$	151,070
Direct costs (1)	87,594		671		2,934		91,199
Gross margin	$	15,847	$	34,054	$	9,970	$	59,871



	Six Months Ended June 30, 2015
	Temporary Contracting		Permanent Recruitment		Other		Total
Revenue	$	166,969	$	59,979	$	20,112	$	247,060
Direct costs (1)	142,717		1,182		5,035		148,934
Gross margin	$	24,252	$	58,797	$	15,077	$	98,126

	Six Months Ended June 30, 2014
	Temporary Contracting		Permanent Recruitment		Other		Total
Revenue	$	205,610	$	64,422	$	25,205	$	295,237
Direct costs (1)	174,389		1,158		5,790		181,337
Gross margin	$	31,221	$	63,264	$	19,415	$	113,900

(1)

Direct costs in Temporary Contracting include the direct staffing costs of salaries, payroll taxes, employee benefits, travel expenses, rent and insurance costs for the Company’s contractors and reimbursed out-of-pocket expenses and other direct costs. Other than reimbursed out-of-pocket expenses, there are no other direct costs associated with the Permanent Recruitment and Other category. Gross margin represents revenue less direct costs. The region where services are provided, the mix of contracting and permanent recruitment, and the functional nature of the staffing services provided can affect gross margin. The salaries, commissions, payroll taxes and employee benefits related to recruitment professionals are included under the caption "Selling, general and administrative expenses" in the Condensed Consolidated Statements of Operations and Other Comprehensive Income (Loss).