# EDGAR Filing Document

**Accession Number:** 0001066605
**File Stem:** 0001628280-25-047914
**Filing Date:** 2025-11
**Character Count:** 34890
**Document Hash:** 2d115f3642d2636d69ade83c7217432f
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001628280-25-047914.hdr.sgml**: 20251103

**ACCESSION NUMBER**: 0001628280-25-047914

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 14

**CONFORMED PERIOD OF REPORT**: 20251103

**ITEM INFORMATION**: Results of Operations and Financial Condition

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20251103

**DATE AS OF CHANGE**: 20251103

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** HEIDRICK & STRUGGLES INTERNATIONAL INC
- **CENTRAL INDEX KEY:** 0001066605
- **STANDARD INDUSTRIAL CLASSIFICATION:** SERVICES-EMPLOYMENT AGENCIES [7361]
- **ORGANIZATION NAME:** 07 Trade & Services
- **EIN:** 362681268
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 000-25837
- **FILM NUMBER:** 251442037

**BUSINESS ADDRESS:**
- **STREET 1:** 233 S WACKER DRIVE
- **STREET 2:** SUITE 4900
- **CITY:** CHICAGO
- **STATE:** IL
- **ZIP:** 60606-6303
- **BUSINESS PHONE:** 3124961200

**MAIL ADDRESS:**
- **STREET 1:** 233 S WACKER DRIVE
- **STREET 2:** SUITE 4900
- **CITY:** CHICAGO
- **STATE:** IL
- **ZIP:** 60606

?xml version='1.0' encoding='ASCII'? hsii-20251103

**UNITED STATES** 

**SECURITIES AND EXCHANGE COMMISSION**

**Washington D.C. 20549**

**FORM 8-K**

**CURRENT REPORT**

**Pursuant to Section 13 OR 15(d) of**

**The Securities Exchange Act of 1934**

**Date of Report (Date of earliest event reported): November 3, 2025** 

**HEIDRICK & STRUGGLES INTERNATIONAL, INC.**

**(Exact name of registrant as specified in its charter)**

---

| | | |
|:---|:---|:---|
| **Delaware** | **0-25837** | **36-2681268** |
| **(State or Other Jurisdiction of<br>Incorporation or Organization)** | **(Commission File Number)** | **(I.R.S. Employer<br>Identification Number)** |

---

---

| | |
|:---|:---|
| **233 South Wacker Drive, Suite 4900, Chicago, Illinois** | **60606-6303** |
| **(Address of principal executive offices)** | **(Zip Code)** |

---

**Registrant's telephone number, including area code: (312) 496-1200**

**N/A**

**(Former name or former address, if changed since last report.)**

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

**Securities registered pursuant to Section 12(b) of the Act:** 

---

| | | |
|:---|:---|:---|
| **Title of each class** | **Trading Symbol(s)** | **Name of each exchange on which registered** |
| Common Stock, $0.01 par value | HSII | The Nasdaq Stock Market LLC |

---

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR 230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR 240.12b-2).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

------

**Item 2.02 Results of Operations and Financial Condition.**

On November 3, 2025, Heidrick & Struggles International, Inc. ("Heidrick & Struggles" or the "Company") reported its earnings for the quarter ended September 30, 2025. A copy of the Company's press release containing the information is being furnished as Exhibit 99.1 to this Report on Form 8-K and is incorporated herein by reference.

The information furnished pursuant to this Item 2.02, including Exhibit 99.1, shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934 (the "Exchange Act") or otherwise subject to the liabilities under that Section and shall not be deemed to be incorporated by reference into any filing of Heidrick & Struggles under the Securities Act of 1933 or the Exchange Act.

**Item 9.01 Financial Statements and Exhibits.**

(d) Exhibits

The following exhibits are being furnished as part of this Report on Form 8-K:

---

| | |
|:---|:---|
| Exhibit No. | Description |
| 99.1 | <u>[Heidrick & Struggles International, Inc. Press Release dated November 3, 2025.](hsii-20250930earningsrelea.htm)</u> |
| 104 | Inline XBRL for the cover page of this Current Report on Form 8-K (included as Exhibit 101) |

---

------

**SIGNATURES**

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

---

| | |
|:---|:---|
| | Heidrick & Struggles International, Inc. |
| | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Registrant) |
| Dated: November 3, 2025 | /s/ Tracey Heaton |
| | Name: Tracey Heaton |
| | Title: Chief Legal Officer & Corporate Secretary |

---

## Exhibit 99.1

**Exhibit 99.1**

![imagea.jpg](imagea.jpg)

*FOR IMMEDIATE RELEASE*

**Heidrick & Struggles Delivers 16% Revenue Growth in Q3, Driving Strong Profitability**

***Q3 Revenue Exceeds High End of Outlook***

***All Lines of Business Contribute to Consolidated Revenue Growth***

**Third Quarter 2025 Financial Highlights:**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Net revenue of $322.8 million increased 15.9% year over year

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Adjusted EBITDA of $34.2 million with Adjusted EBITDA margin of 10.6%

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Net income of $17.6 million with diluted earnings per share of $0.83

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The Board of Directors declared a $0.15 per share cash dividend

**CHICAGO, November 3, 2025** – Heidrick & Struggles International, Inc. (Nasdaq: HSII) ("Heidrick & Struggles", "Heidrick" or the "Company"), a premier provider of global leadership advisory and on-demand talent solutions, today announced financial results for its third quarter ended September 30, 2025.

"We continued our strong 2025 momentum highlighted by our third quarter results that exceeded the high end of our outlook," said Tom Monahan, CEO of Heidrick & Struggles. "Our teams remained laser focused on partnering with clients through the full suite of our global leadership advisory solutions to meet and solve their needs while developing differentiated, deep, and durable global client relationships. With a focus on being a trusted partner to senior leaders and ensuring Heidrick is a company where the best people do their best work, we aim to drive sustainable growth and profitability which in turn allows us to reinvest into growing top talent while developing client solutions for the future."

**Take Private Transaction**

As announced on October 6, 2025, Heidrick entered into a definitive agreement to become a private company with an investor consortium led by Advent International and Corvex Private Equity for $59.00 per share in cash. In light of this transaction, Heidrick will not be hosting an earnings conference call or live webcast to discuss its third quarter 2025 financial results.

**Dividend**

The Board of Directors declared a 2025 third quarter cash dividend of $0.15 per share payable on November 26, 2025, to shareholders of record at the close of business on November 13, 2025.

------

---

| | | |
|:---|:---|:---|
| **Selected Consolidated Results** | **Selected Consolidated Results** | **Selected Consolidated Results** |
| (Dollars in millions, except per share amounts, and average revenue per executive search in thousands) | (Dollars in millions, except per share amounts, and average revenue per executive search in thousands) | (Dollars in millions, except per share amounts, and average revenue per executive search in thousands) |
|  | **Three Months Ended <br>September 30,** | **Three Months Ended <br>September 30,** |
|  | **2025** | **2024** |
| Revenue before reimbursements (net revenue) | $322.8 | $278.6 |
| **Adjusted results (a):** |  |  |
| Adjusted EBITDA | $34.2 | $30.4 |
| Adjusted EBITDA margin | 10.6% | 10.9% |
| Net income | $17.6 | $14.8 |
| Diluted earnings per share | $0.83 | $0.71 |
| **Selected Executive Search Data** | **Selected Executive Search Data** |  |
| Revenue before reimbursements (net revenue) | $239.1 | $204.4 |
| Ending number of consultants | 421 | 414 |
| Annualized consultant productivity | $2.3 | $2.0 |
| Average revenue per executive search | $162 | $149 |
| Confirmations (% increase/decrease) | 7.1% | 5.4% |
| **Selected On-Demand Talent Data** |  |  |
| Revenue before reimbursements (net revenue) | $50.9 | $46.2 |
| **Selected Heidrick Consulting Data** |  |  |
| Revenue before reimbursements (net revenue) | $32.8 | $27.9 |
| Ending number of consultants | 93 | 84 |
| (a) Non-GAAP financial measures. See Non-GAAP Financial Measures, Reconciliation of Net Income and Operating Income to Adjusted EBITDA at the end of this press release for more information. | (a) Non-GAAP financial measures. See Non-GAAP Financial Measures, Reconciliation of Net Income and Operating Income to Adjusted EBITDA at the end of this press release for more information. | (a) Non-GAAP financial measures. See Non-GAAP Financial Measures, Reconciliation of Net Income and Operating Income to Adjusted EBITDA at the end of this press release for more information. |

---

**2025 Third Quarter Results**

Consolidated net revenue increased 15.9%, or $44.3 million, to $322.8 million in the 2025 third quarter compared to consolidated net revenue of $278.6 million in the 2024 third quarter (up 14.2%, or $39.7 million on a constant currency basis). The revenue increase was driven by year-over-year growth in each of the Company's lines of business — Executive Search, On-Demand Talent, and Heidrick Consulting.

2025 third quarter net income was $17.6 million and diluted earnings per share was $0.83 compared to net income of $14.8 million and diluted earnings per share of $0.71 in the 2024 third quarter.

Adjusted EBITDA increased $3.8 million, or 12.6%, to $34.2 million in the 2025 third quarter compared to $30.4 million in the 2024 third quarter, and 2025 third quarter adjusted EBITDA margin declined 30 basis points to 10.6% compared to 10.9% in the 2024 third quarter.

------

<u>Executive Search</u> net revenue was $239.1 million in the 2025 third quarter compared to net revenue of $204.4 million in the 2024 third quarter, an increase of $34.7 million, or 17.0% (up $32.3 million, or 15.8% on a constant currency basis). The higher revenue versus the year-ago period was driven by increases of 20.8% in the Americas (up 20.7% on a constant currency basis), 18.0% in Europe (up 12.1% on a constant currency basis), partially offset by a decrease in Asia Pacific of 3.9% (down 3.1% on a constant currency basis) when compared to the 2024 third quarter.

Adjusted EBITDA increased $6.5 million, or 12.8%, to $57.2 million in the 2025 third quarter compared to $50.7 million in the 2024 third quarter, and 2025 third quarter adjusted EBITDA margin was 23.9% compared to 24.8% in the 2024 third quarter.

<u>On-Demand Talent</u> net revenue increased $4.7 million, or 10.1%, to $50.9 million in the 2025 third quarter compared to net revenue of $46.2 million in the 2024 third quarter (up $3.0 million, or 6.6% on a constant currency basis).

Adjusted EBITDA was $2.8 million in the 2025 third quarter compared to $1.8 million in the 2024 third quarter, and Adjusted EBITDA margin was 5.6% compared to 3.8% in the 2024 third quarter.

<u>Heidrick Consulting</u> net revenue increased $4.9 million, or 17.6%, to $32.8 million in the 2025 third quarter compared to net revenue of $27.9 million in the 2024 second quarter (up $4.3 million, or 15.4% on a constant currency basis).

Adjusted EBITDA was a loss of $1.9 million in the 2025 third quarter compared to a loss of $1.0 million in the 2024 third quarter, and Adjusted EBITDA margin was (5.7)% compared to (3.7)% in the 2024 third quarter.

**About Heidrick & Struggles International, Inc.**

Heidrick & Struggles (Nasdaq: HSII) is the world's foremost advisor on executive leadership, driving superior client performance through premier human capital leadership advisory services. For more than 70 years, we've delivered value for our clients by leveraging unrivaled expertise to help organizations discover and enable outstanding leaders and teams. Learn more at www.heidrick.com.

**Non-GAAP Financial Measures**

To supplement the financial results presented in accordance with generally accepted accounting principles in the United States ("GAAP"), Heidrick & Struggles presents certain non-GAAP financial measures. A "non-GAAP financial measure" is defined as a numerical measure of a company's financial performance that excludes or includes amounts different than the most directly comparable measure calculated and presented in accordance with GAAP in the statements of comprehensive income, balance sheets or statements of cash flow of the Company.

Non-GAAP financial measures used within this earnings release are adjusted EBITDA, adjusted EBITDA margin, and net revenue excluding the impact of exchange rate fluctuations (referred to as constant currency). These measures are presented because management uses this information to monitor and evaluate financial results and allocate resources. Management believes this information is also useful for investors to evaluate the comparability of financial information presented. Reconciliations of these non-GAAP financial measures to the most directly comparable measures calculated and presented in accordance with GAAP are provided as schedules attached to this release.

Adjusted EBITDA refers to net income before interest, taxes, depreciation and amortization, as adjusted, to the extent they occur, for earnout accretion, earnout fair value adjustments, contingent compensation, deferred compensation plan income or expense, certain reorganization costs, transaction fees, impairment charges and restructuring charges.

Adjusted EBITDA margin refers to adjusted EBITDA as a percentage of net revenue in the same period.

The Company evaluates its results of operations on both an as reported and a constant currency basis. The constant currency presentation is a non-GAAP financial measure, which excludes the impact of fluctuations in foreign currency exchange rates. The Company believes providing constant currency information provides valuable supplemental information regarding its results of operations, consistent with how it evaluates its performance. The Company calculates constant currency percentages by converting its financial results in a local currency for a period using the average exchange rate for the prior period to which it is comparing. This calculation may differ from similarly titled measures used by other companies.

------

**Safe Harbor Statement**

This press release contains forward-looking statements within the meaning of the federal securities laws, including statements regarding guidance for the third quarter of 2025. The forward-looking statements are based on current expectations, estimates, forecasts, and projections about the industry in which we operate and management's beliefs and assumptions. Forward-looking statements may be identified by the use of words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates," "outlook," "projects," "forecasts," "aim" and similar expressions. Forward-looking statements are not guarantees of future performance, rely on a number of assumptions, and involve certain known and unknown risks and uncertainties that are difficult to predict, many of which are beyond our control. Factors that may cause actual outcomes and results to differ materially from what is expressed, forecasted or implied in the forward-looking statements include, among other things, our ability to attract, integrate, develop, manage, retain and motivate qualified consultants and senior leaders; our ability to prevent our consultants from taking our clients with them to another firm; our ability to maintain our professional reputation and brand name; our clients' ability to restrict us from recruiting their employees; our heavy reliance on information management systems; risks arising from our implementation of new technology and intellectual property to deliver new products and services to our clients; our dependence on third parties for the execution of certain critical functions; the fact that we face the risk of liability in the services we perform; the fact that data security, data privacy and data protection laws and other evolving regulations and cross-border data transfer restrictions may limit the use of our services and adversely affect our business; any challenges to the classification of our on-demand talent as independent contractors; the fact that increased cybersecurity requirements, vulnerabilities, threats and more sophisticated and targeted cyber-related attacks could pose a risk to our systems, networks, solutions, services and data; the fact that our net revenue may be affected by adverse macroeconomic or labor market conditions, including impacts of inflation and effects of geopolitical instability; the aggressive competition we face; the impact of foreign currency exchange rate fluctuations; our ability to access additional credit; social, political, regulatory, legal and economic risks in markets where we operate, including the impact of the ongoing war in Ukraine, the conflict between Israel and Hamas and any broader regional conflict in the Middle East, the risks of an expansion or escalation of those conflicts and our ability to quickly and completely recover from any disruption to our business; the impact from actions by the U.S. presidential administration and Congress; unfavorable tax law changes and tax authority rulings; our ability to realize the benefit of our net deferred tax assets; the fact that we may not be able to align our cost structure with net revenue; any impairment of our goodwill, other intangible assets and other long-lived assets; our ability to maintain an effective system of disclosure controls and internal control over our financial reporting and produce accurate and timely financial statements; our ability to execute and integrate future acquisitions; the fact that we have anti-takeover provisions that make an acquisition of us difficult and expensive; risks and uncertainties relating to the transactions contemplated by the Merger Agreement (as defined below), including the occurrence of any event, change, or other circumstance that could give rise to the right of one or both of the parties to terminate the Merger Agreement; the possibility that the Merger and the related transactions do not close when expected or at all because required regulatory, stockholder, or other approvals and other conditions to closing are not waived, received or satisfied on a timely basis or at all; the risk that the benefits from the Merger may not be fully realized; and the diversion of management's attention and time to the Merger from ongoing business operations and opportunities. We caution the reader that the list of factors may not be exhaustive. For more information on the factors that could affect the outcome of forward-looking statements, refer to our Annual Report on Form 10-K for the year ended December 31, 2024, under the heading "Risk Factors" in Item 1A, and any subsequent Company filings with the Securities and Exchange Commission ("SEC"). We caution the reader that the list of factors may not be exhaustive. We undertake no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise.

We caution the reader that the list of factors may not be exhaustive. For more information on these risks, uncertainties and other factors, refer to our Annual Report on Form 10-K for the year ended December 31, 2024, under the heading "Risk Factors" in Item 1A, and our subsequent filings with the Securities and Exchange Commission. The forward-looking statements contained in this press release speak only as of the date of this press release. We undertake no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise.

**Contacts:**

**Investors & Analysts:**

Vance Edelson

Vance.Edelson@icrinc.com

**Media:**

Bianca Wilson, Global Director, Public Relations

bwilson@heidrick.com

------

**Heidrick & Struggles International, Inc.**

**Consolidated Statements of Comprehensive Income**

(In thousands, except per share amounts)

(Unaudited)

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended <br>September 30,** | **Three Months Ended <br>September 30,** | | |
| | **2025** | **2024** | **$ Change** | **% Change** |
| **Revenue** |  |  |  |  |
| &nbsp;&nbsp;Revenue before reimbursements (net revenue) | $322837 | $278559 | $44278 | 15.9% |
| &nbsp;&nbsp;Reimbursements | 5059 | 4256 | 803 | 18.9% |
| &nbsp;&nbsp;&nbsp;&nbsp;Total revenue | 327896 | 282815 | 45081 | 15.9% |
| **Operating expenses** |  |  |  |  |
| &nbsp;&nbsp;Salaries and benefits | 217836 | 183025 | 34811 | 19.0% |
| &nbsp;&nbsp;General and administrative expenses | 41778 | 39740 | 2038 | 5.1% |
| &nbsp;&nbsp;Cost of services | 37644 | 31030 | 6614 | 21.3% |
| &nbsp;&nbsp;Research and development | 6418 | 5682 | 736 | 13.0% |
| &nbsp;&nbsp;Reimbursed expenses | 5059 | 4256 | 803 | 18.9% |
| &nbsp;&nbsp;&nbsp;&nbsp;Total operating expenses | 308735 | 263733 | 45002 | 17.1% |
| **Operating income** | 19161 | 19082 | 79 | 0.4% |
| **Non-operating income (loss)** |  |  |  |  |
| &nbsp;&nbsp;Interest, net | 3436 | 2570 |  |  |
| &nbsp;&nbsp;Other, net | 3884 | (555) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net non-operating income | 7320 | 2015 |  |  |
| **Income before income taxes** | 26481 | 21097 |  |  |
| &nbsp;&nbsp;Provision for income taxes | 8835 | 6268 |  |  |
| **Net income** | 17646 | 14829 |  |  |
| &nbsp;&nbsp;Other comprehensive income (loss), net of tax | (261) | 6996 |  |  |
| **Comprehensive income** | $17385 | $21825 |  |  |
| **Weighted-average common shares outstanding** |  |  |  |  |
| Basic | 20735 | 20357 |  |  |
| Diluted | 21316 | 21024 |  |  |
| **Earnings per common share** |  |  |  |  |
| Basic | $0.85 | $0.73 |  |  |
| Diluted | $0.83 | $0.71 |  |  |
| Salaries and benefits as a % of net revenue | 67.5% | 65.7% |  |  |
| General and administrative expenses as a % of net revenue | 12.9% | 14.3% |  |  |
| Cost of services as a % of net revenue | 11.7% | 11.1% |  |  |
| Research and development as a % of net revenue | 2.0% | 2.0% |  |  |
| Operating margin | 5.9% | 6.9% |  |  |

---

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**Heidrick & Struggles International, Inc.**

**Segment Information**

(In thousands)

(Unaudited)

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended September 30,** | **Three Months Ended September 30,** | **Three Months Ended September 30,** | **Three Months Ended September 30,** | **Three Months Ended September 30,** | **Three Months Ended September 30,** |
| | **2025** | **2024** | **$ Change** | **% Change** | **2025 Margin**<sup>1</sup> | **2024 Margin**<sup>1</sup> |
| **Revenue** |  |  |  |  |  |  |
| &nbsp;&nbsp;Executive Search |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Americas | $162508 | $134545 | $27963 | 20.8% |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Europe | 50927 | 43143 | 7784 | 18.0% |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Asia Pacific | 25648 | 26701 | (1053) | (3.9)% |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Executive Search | 239083 | 204389 | 34694 | 17.0% |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;On-Demand Talent | 50910 | 46231 | 4679 | 10.1% |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Heidrick Consulting | 32844 | 27939 | 4905 | 17.6% |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Revenue before reimbursements (net revenue) | 322837 | 278559 | 44278 | 15.9% |  |  |
| &nbsp;&nbsp;Reimbursements | 5059 | 4256 | 803 | 18.9% |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total revenue | $327896 | $282815 | $45081 | 15.9% |  |  |
| **Adjusted EBITDA** |  |  |  |  |  |  |
| &nbsp;&nbsp;Executive Search |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Americas | $48893 | $40465 | $8428 | 20.8% | 30.1% | 30.1% |
| &nbsp;&nbsp;&nbsp;&nbsp;Europe | 6578 | 5022 | 1556 | 31.0% | 12.9% | 11.6% |
| &nbsp;&nbsp;&nbsp;&nbsp;Asia Pacific | 1760 | 5247 | (3487) | (66.5)% | 6.9% | 19.7% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Executive Search | 57231 | 50734 | 6497 | 12.8% | 23.9% | 24.8% |
| &nbsp;&nbsp;&nbsp;&nbsp;On-Demand Talent | 2837 | 1763 | 1074 | (60.9)% | 5.6% | 3.8% |
| &nbsp;&nbsp;&nbsp;&nbsp;Heidrick Consulting | (1864) | (1025) | (839) | (81.9)% | (5.7)% | (3.7)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total segments | 58204 | 51472 | 6732 | 13.1% | 18.0% | 18.5% |
| &nbsp;&nbsp;&nbsp;&nbsp;Research and Development | (4615) | (4606) | (9) | (0.2)% | (1.4)% | (1.7)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Global Operations Support | (19345) | (16451) | (2894) | (17.6)% | (6.0)% | (5.9)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Adjusted EBITDA | $34244 | $30415 | $3829 | 12.6% | 10.6% | 10.9% |

---

<sup>1</sup> Margin based on revenue before reimbursements (net revenue).

------

**Heidrick & Struggles International, Inc.**

**Consolidated Statements of Comprehensive Income**

(In thousands, except per share amounts)

(Unaudited)

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Nine Months Ended <br>September 30,** | **Nine Months Ended <br>September 30,** | | |
| | **2025** | **2024** | **$ Change** | **% Change** |
| **Revenue** |  |  |  |  |
| &nbsp;&nbsp;Revenue before reimbursements (net revenue) | $923663 | $822382 | $101281 | 12.3% |
| &nbsp;&nbsp;Reimbursements | 13583 | 12408 | 1175 | 9.5% |
| &nbsp;&nbsp;&nbsp;&nbsp;Total revenue | 937246 | 834790 | 102456 | 12.3% |
| **Operating expenses** |  |  |  |  |
| &nbsp;&nbsp;Salaries and benefits | 616514 | 535330 | 81184 | 15.2% |
| &nbsp;&nbsp;General and administrative expenses | 125386 | 127556 | (2170) | (1.7)% |
| &nbsp;&nbsp;Cost of services | 102297 | 88158 | 14139 | 16.0% |
| &nbsp;&nbsp;Research and development | 18847 | 17002 | 1845 | 10.9% |
| &nbsp;&nbsp;Impairment charges |  | 16224 | (16224) | (100.0)% |
| &nbsp;&nbsp;Restructuring charges |  | 6939 | (6939) | (100.0)% |
| &nbsp;&nbsp;Reimbursed expenses | 13583 | 12408 | 1175 | 9.5% |
| &nbsp;&nbsp;&nbsp;&nbsp;Total operating expenses | 876627 | 803617 | 73010 | 9.1% |
| **Operating income** | 60619 | 31173 | 29446 | 94.5% |
| **Non-operating income** |  |  |  |  |
| &nbsp;&nbsp;Interest, net | 10030 | 9268 |  |  |
| &nbsp;&nbsp;Other, net | 4594 | 3013 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net non-operating income | 14624 | 12281 |  |  |
| **Income before income taxes** | 75243 | 43454 |  |  |
| &nbsp;&nbsp;Provision for income taxes | 23218 | 19750 |  |  |
| **Net income** | 52025 | 23704 |  |  |
| &nbsp;&nbsp;Other comprehensive income, net of tax | 8760 | 811 |  |  |
| **Comprehensive income** | $60785 | $24515 |  |  |
| **Weighted-average common shares outstanding** |  |  |  |  |
| Basic | 20617 | 20254 |  |  |
| Diluted | 21377 | 21144 |  |  |
| **Earnings per common share** |  |  |  |  |
| Basic | $2.52 | $1.17 |  |  |
| Diluted | $2.43 | $1.12 |  |  |
| Salaries and benefits as a % of net revenue | 66.7% | 65.1% |  |  |
| General and administrative expenses as a % of net revenue | 13.6% | 15.5% |  |  |
| Cost of services as a % of net revenue | 11.1% | 10.7% |  |  |
| Research and development as a % of net revenue | 2.0% | 2.1% |  |  |
| Operating margin | 6.6% | 3.8% |  |  |

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**Heidrick & Struggles International, Inc.**

**Segment Information**

(In thousands)

(Unaudited)

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Nine Months Ended September 30,** | **Nine Months Ended September 30,** | **Nine Months Ended September 30,** | **Nine Months Ended September 30,** | **Nine Months Ended September 30,** | **Nine Months Ended September 30,** |
| | **2025** | **2024** | **$ Change** | **%<br>Change** | **2025 Margin**<sup>1</sup> | **2024 Margin**<sup>1</sup> |
| **Revenue** |  |  |  |  |  |  |
| &nbsp;&nbsp;Executive Search |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Americas | $467082 | $418302 | $48780 | 11.7% |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Europe | 148769 | 124706 | 24063 | 19.3% |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Asia Pacific | 74796 | 72829 | 1967 | 2.7% |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Executive Search | 690647 | 615837 | 74810 | 12.1% |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;On-Demand Talent | 141340 | 125983 | 15357 | 12.2% |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Heidrick Consulting | 91676 | 80562 | 11114 | 13.8% |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Revenue before reimbursements (net revenue) | 923663 | 822382 | 101281 | 12.3% |  |  |
| &nbsp;&nbsp;Reimbursements | 13583 | 12408 | 1175 | 9.5% |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total revenue | $937246 | $834790 | $102456 | 12.3% |  |  |
| **Adjusted EBITDA** |  |  |  |  |  |  |
| &nbsp;&nbsp;Executive Search |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Americas | $139770 | $130448 | $9322 | 7.1% | 29.9% | 31.2% |
| &nbsp;&nbsp;&nbsp;&nbsp;Europe | 17008 | 11215 | 5793 | 51.7% | 11.4% | 9.0% |
| &nbsp;&nbsp;&nbsp;&nbsp;Asia Pacific | 7302 | 10182 | (2880) | (28.3)% | 9.8% | 14.0% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Executive Search | 164080 | 151845 | 12235 | 8.1% | 23.8% | 24.7% |
| &nbsp;&nbsp;&nbsp;&nbsp;On-Demand Talent | 4265 | (787) | 5052 | 641.9% | 3.0% | (0.6)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Heidrick Consulting | (3405) | (4447) | 1042 | 23.4% | (3.7)% | (5.5)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total segments | 164940 | 146611 | 18329 | 12.5% | 17.9% | 17.8% |
| &nbsp;&nbsp;&nbsp;&nbsp;Research and Development | (13877) | (14312) | 435 | 3.0% | (1.5)% | (1.7)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Global Operations Support | (53845) | (47205) | (6640) | (14.1)% | (5.8)% | (5.7)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Adjusted EBITDA | $97218 | $85094 | $12124 | 14.2% | 10.5% | 10.3% |

---

<sup>1</sup> Margin based on revenue before reimbursements (net revenue).

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**Heidrick & Struggles International, Inc.**

**Consolidated Balance Sheets**

(In thousands)

(Unaudited)

---

| | | |
|:---|:---|:---|
| | **September 30,<br>2025** | **December 31,<br>2024** |
| **Current assets** | | |
| &nbsp;&nbsp;Cash and cash equivalents | $454640 | $515627 |
| &nbsp;&nbsp;Marketable securities | 73442 | 47896 |
| &nbsp;&nbsp;Accounts receivable, net | 204085 | 134331 |
| &nbsp;&nbsp;Prepaid expenses | 31553 | 28718 |
| &nbsp;&nbsp;Other current assets | 49716 | 39935 |
| &nbsp;&nbsp;Income taxes recoverable | 10200 | 6470 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total current assets | 823636 | 772977 |
| **Non-current assets** |  |  |
| &nbsp;&nbsp;Property and equipment, net | 55513 | 51685 |
| &nbsp;&nbsp;Operating lease right-of-use assets | 79189 | 83518 |
| &nbsp;&nbsp;Assets designated for retirement and pension plans | 11310 | 9976 |
| &nbsp;&nbsp;Investments | 72537 | 58290 |
| &nbsp;&nbsp;Other non-current assets | 26262 | 25500 |
| &nbsp;&nbsp;Goodwill | 142464 | 137861 |
| &nbsp;&nbsp;Other intangible assets, net | 8949 | 12483 |
| &nbsp;&nbsp;Deferred income taxes | 44402 | 41898 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total non-current assets | 440626 | 421211 |
| **Total assets** | $1264262 | $1194188 |
| **Current liabilities** |  |  |
| &nbsp;&nbsp;Accounts payable | $20281 | $25088 |
| &nbsp;&nbsp;Accrued salaries and benefits | 366127 | 353531 |
| &nbsp;&nbsp;Deferred revenue | 56110 | 51085 |
| &nbsp;&nbsp;Operating lease liabilities | 18182 | 17653 |
| &nbsp;&nbsp;Other current liabilities | 67450 | 21369 |
| &nbsp;&nbsp;Income taxes payable | 10825 | 14287 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total current liabilities | 538975 | 483013 |
| **Non-current liabilities** |  |  |
| &nbsp;&nbsp;Accrued salaries and benefits | 38945 | 58547 |
| &nbsp;&nbsp;Retirement and pension plans | 88193 | 72138 |
| &nbsp;&nbsp;Operating lease liabilities | 83100 | 83152 |
| &nbsp;&nbsp;Other non-current liabilities | 4380 | 42905 |
| &nbsp;&nbsp;Deferred income taxes | 1449 | 1616 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total non-current liabilities | 216067 | 258358 |
| **Total liabilities** | 755042 | 741371 |
| **Stockholders' equity** | 509220 | 452817 |
| **Total liabilities and stockholders' equity** | $1264262 | $1194188 |

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**Heidrick & Struggles International, Inc.**

**Reconciliation of Net Income to Adjusted EBITDA (Non-GAAP)**

(In thousands)

(Unaudited)

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended<br>September 30,** | **Three Months Ended<br>September 30,** | **Nine Months Ended<br>September 30,** | **Nine Months Ended<br>September 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| **Revenue before reimbursements (net revenue)** | $322837 | $278559 | $923663 | $822382 |
| **Net income** | 17646 | 14829 | 52025 | 23704 |
| &nbsp;&nbsp;Interest, net | (3436) | (2570) | (10030) | (9268) |
| &nbsp;&nbsp;Other, net | (3884) | 555 | (4594) | (3013) |
| &nbsp;&nbsp;Provision for income taxes | 8835 | 6268 | 23218 | 19750 |
| **Operating income** | 19161 | 19082 | 60619 | 31173 |
| **Adjustments** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation | 3760 | 2997 | 10367 | 7480 |
| &nbsp;&nbsp;&nbsp;&nbsp;Intangible amortization | 1623 | 1953 | 4878 | 6170 |
| &nbsp;&nbsp;&nbsp;&nbsp;Earnout accretion | 517 | 478 | 1534 | 1413 |
| &nbsp;&nbsp;&nbsp;&nbsp;Earnout fair value adjustments |  |  | (2315) | 1211 |
| &nbsp;&nbsp;&nbsp;&nbsp;Acquisition contingent compensation | 2627 | 2947 | 7014 | 8220 |
| &nbsp;&nbsp;&nbsp;&nbsp;Deferred compensation plan | 3895 | 2958 | 8735 | 6264 |
| &nbsp;&nbsp;&nbsp;&nbsp;Reorganization costs | 911 |  | 4636 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Transaction fees | 1750 |  | 1750 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Impairment charges |  |  |  | 16224 |
| &nbsp;&nbsp;&nbsp;&nbsp;Restructuring charges |  |  |  | 6939 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total adjustments | 15083 | 11333 | 36599 | 53921 |
| **Adjusted EBITDA** | $34244 | $30415 | $97218 | $85094 |
| **Adjusted EBITDA margin** | 10.6% | 10.9% | 10.5% | 10.3% |

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