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Reportable Segments
3 Months Ended
Mar. 31, 2017
Segment Reporting [Abstract]  
Reportable Segments
Reportable Segments
Kforce’s reportable segments are as follows: (1) Technology (“Tech”); (2) Finance and Accounting (“FA”); and (3) Government Solutions (“GS”). This determination is supported by, among other factors: the existence of individuals responsible for the operations of each segment and who also report directly to our chief operating decision maker (“CODM”), the nature of the segment’s operations and information presented to Kforce’s Board and our CODM. Kforce also reports Flex and Direct Hire revenues separately by segment, which has been incorporated into the table below.
Historically, and for the three months ended March 31, 2017 and 2016, Kforce has generated only sales and gross profit information on a segment basis. Substantially all operations and long-lived assets are located in the United States. We do not report total assets or income separately by segment as our operations are largely combined.
The following table provides information concerning the operations of our segments (in thousands):
 
Tech
 
FA
 
GS
 
Total
Three Months Ended March 31,
 
 
 
 
 
 
 
2017
 
 
 
 
 
 
 
Net service revenues:
 
 
 
 
 
 
 
Flex revenues
$
216,886

 
$
80,949

 
$
24,652

 
$
322,487

Direct Hire revenues
5,159

 
6,346

 

 
11,505

Total net service revenues
$
222,045

 
$
87,295

 
$
24,652

 
$
333,992

Gross profit
$
61,100

 
$
28,655

 
$
7,380

 
$
97,135

Operating expenses
 
 
 
 
 
 
87,913

Income before income taxes
 
 
 
 
 
 
$
9,222

2016
 
 
 
 
 
 
 
Net service revenues:
 
 
 
 
 
 
 
Flex revenues
$
211,209

 
$
75,306

 
$
23,121

 
$
309,636

Direct Hire revenues
5,379

 
7,186

 

 
12,565

Total net service revenues
$
216,588

 
$
82,492

 
$
23,121

 
$
322,201

Gross profit
$
61,791

 
$
28,821

 
$
6,577

 
$
97,189

Operating expenses
 
 
 
 
 
 
88,450

Income before income taxes
 
 
 
 
 
 
$
8,739