Business Segments

6 Months Ended

Jun. 30, 2017

The Company, which aggregates its operating segments based on the nature of services, has three reportable segments: temporary and consultant staffing, permanent placement staffing, and risk consulting and internal audit services. The temporary and consultant staffing segment provides specialized staffing in the accounting and finance, administrative and office, information technology, legal, advertising, marketing and web design fields. The permanent placement staffing segment provides full-time personnel in the accounting, finance, administrative and office, and information technology fields. The risk consulting and internal audit services segment provides business and technology risk consulting and internal audit services.

The accounting policies of the segments are set forth in Note A—"Summary of Significant Accounting Policies" in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016. The Company evaluates performance based on income from operations before net interest income, intangible amortization expense, and income taxes.

The following table provides a reconciliation of revenue and operating income by reportable segment to consolidated results for the three and six months ended June 30, 2017 and 2016 (in thousands):



	Three Months Ended June 30,						Six Months Ended June 30,
	2017			2016			2017			2016
Net service revenues
Temporary and consultant staffing	$	998,296		$	1,032,083		$	1,985,902		$	2,041,248
Permanent placement staffing	112,653			113,439			216,286			219,728
Risk consulting and internal audit services	197,479			198,638			393,610			385,809
	$	1,308,428		$	1,344,160		$	2,595,798		$	2,646,785
Operating income
Temporary and consultant staffing	$	93,088		$	107,133		$	183,459		$	205,016
Permanent placement staffing	21,046			24,576			39,348			46,078
Risk consulting and internal audit services	16,583			17,788			33,489			32,301
	130,717			149,497			256,296			283,395
Amortization of intangible assets	365			314			666			602
Interest income, net	(355		)	(231		)	(578		)	(412		)
Income before income taxes	$	130,707		$	149,414		$	256,208		$	283,205