Segments

3 Months Ended

Jul. 31, 2024

Segment Reporting [Abstract]

Segments

Segments

The Company has eight reportable segments: Consulting, Digital, Executive Search North America, Executive Search Europe, the Middle East and Africa ("EMEA"), Executive Search Asia Pacific, Executive Search Latin America, Professional Search & Interim and RPO.

The Company evaluates performance and allocates resources based on the Company’s chief operating decision maker (“CODM”) review of 1) fee revenue and 2) adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”). To the extent that such costs or charges occur, Adjusted EBITDA excludes restructuring charges, integration/acquisition costs, certain separation costs and certain non-cash charges (goodwill, intangible asset and other impairment charges). The CODM is not provided asset information by reportable segment.

Financial highlights are as follows:

	Three Months Ended July 31,
	2024		2023
	Consolidated
	(in thousands)
Fee revenue	$	674,946	$	699,189
Total revenue	$	682,761	$	706,262
Net income attributable to Korn Ferry	$	62,604	$	46,605
Net income attributable to noncontrolling interest	1,652		580
Other income, net	(14,505)		(13,577)
Interest expense, net	3,945		4,740
Income tax provision	22,354		18,420
Operating income	76,050		56,768
Depreciation and amortization	19,578		19,012
Other income, net	14,505		13,577
Integration/acquisition costs	1,076		4,128
Impairment of fixed assets	—		123
Impairment of right-of-use assets	—		1,629
Restructuring charges, net	—		421
Adjusted EBITDA(1)	$	111,209	$	95,658

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(1) Adjusted EBITDA refers to earnings before interest, taxes, depreciation and amortization, further excludes integration/acquisition costs, impairment of fixed assets, impairment of right-of-use assets, and restructuring charges, net when applicable.

Financial highlights by reportable segments are as follows:

	Three Months Ended July 31,
	2024						2023
	Fee revenue		Total revenue		Adjusted EBITDA		Fee revenue		Total revenue		Adjusted EBITDA
	(in thousands)
Consulting	$	167,870	$	170,767	$	29,294	$	168,088	$	170,793	$	25,180
Digital	88,180		88,211		26,623		87,986		88,012		24,325
Executive Search:
North America	134,752		136,087		35,098		127,498		129,413		28,756
EMEA	45,981		46,276		7,265		46,776		47,135		5,638
Asia Pacific	20,579		20,704		4,218		24,539		24,610		6,315
Latin America	7,323		7,326		2,798		6,421		6,422		1,741
Professional Search & Interim	121,741		122,730		25,706		142,179		143,069		24,329
RPO	88,520		90,660		12,494		95,702		96,808		10,471
Corporate	—		—		(32,287)		—		—		(31,097)
Consolidated	$	674,946	$	682,761	$	111,209	$	699,189	$	706,262	$	95,658