Business Segments

3 Months Ended

Mar. 31, 2019

The Company 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, 2018. The Company evaluates performance based on income from operations before net interest income, intangible asset 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 months ended March 31, 2019 and 2018 (in thousands):



	Three Months Ended March 31,
	2019			2018
Net service revenues
Temporary and consultant staffing	$	1,084,627		$	1,066,288
Permanent placement staffing	131,562			121,400
Risk consulting and internal audit services	252,341			207,645
	$	1,468,530		$	1,395,333
Operating income
Temporary and consultant staffing	$	106,018		$	96,723
Permanent placement staffing	21,557			22,379
Risk consulting and internal audit services	18,654			15,265
	146,229			134,367
Amortization of intangible assets	342			463
Interest income, net	(1,496		)	(735		)
Income before income taxes	$	147,383		$	134,639