Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Feb. 24, 2015 | Jun. 30, 2014 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | FALSE | ||
Document Period End Date | 31-Dec-14 | ||
Document Fiscal Year Focus | 2014 | ||
Document Fiscal Period Focus | FY | ||
Entity Registrant Name | KFORCE INC | ||
Entity Central Index Key | 930420 | ||
Current Fiscal Year End Date | -19 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 29,515,188 | ||
Entity Public Float | $583,008,954 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations and Comprehensive Income (Loss) (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income Statement [Abstract] | |||
Net service revenues | $1,217,331 | $1,073,728 | $1,005,487 |
Direct costs of services | 842,750 | 729,352 | 684,901 |
Gross profit | 374,581 | 344,376 | 320,586 |
Selling, general and administrative expenses | 315,338 | 307,944 | 305,940 |
Goodwill impairment | 0 | 14,510 | 69,158 |
Depreciation and amortization | 9,894 | 9,846 | 10,789 |
Income (loss) from operations | 49,349 | 12,076 | -65,301 |
Other expense (income): | |||
Interest expense | 1,411 | 1,225 | 954 |
Other (income) expense | -19 | -78 | 103 |
Income (loss) from continuing operations, before income taxes | 47,957 | 10,929 | -66,358 |
Income tax expense (benefit) | 18,559 | 5,635 | -24,227 |
Income (loss) from continuing operations | 29,398 | 5,294 | -42,131 |
Income from discontinued operations, net of income taxes | 61,517 | 5,493 | 28,428 |
Net income (loss) | 90,915 | 10,787 | -13,703 |
Other comprehensive (loss) income: | |||
Defined benefit pension and post-retirement plans, net of tax | -688 | 3,030 | 1,337 |
Comprehensive income (loss) | $90,227 | $13,817 | ($12,366) |
Earnings (loss) per share – basic: | |||
From continuing operations | $0.94 | $0.16 | ($1.18) |
From discontinued operations | $1.95 | $0.16 | $0.80 |
Earnings (loss) per share – basic | $2.89 | $0.32 | ($0.38) |
Earnings (loss) per share – diluted | |||
From continuing operations | $0.93 | $0.16 | ($1.18) |
From discontinued operations | $1.94 | $0.16 | $0.80 |
Earnings (loss) per share – diluted | $2.87 | $0.32 | ($0.38) |
Weighted average shares outstanding – basic | 31,475 | 33,511 | 35,791 |
Weighted average shares outstanding – diluted | 31,691 | 33,643 | 35,791 |
Cash dividends declared per share | $0.41 | $0.10 | $1 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current Assets: | ||
Cash and cash equivalents | $1,238 | $875 |
Trade receivables, net of allowances of $2,040 and $2,028, respectively | 204,710 | 179,095 |
Income tax refund receivable | 3,311 | 7,720 |
Deferred tax assets, net | 4,980 | 4,662 |
Prepaid expenses and other current assets | 10,170 | 10,534 |
Total current assets | 224,409 | 202,886 |
Fixed assets, net | 35,330 | 36,728 |
Other assets, net | 30,349 | 30,991 |
Deferred tax assets, net | 22,855 | 23,270 |
Intangible assets, net | 5,011 | 4,993 |
Goodwill | 45,968 | 48,900 |
Total assets | 363,922 | 347,768 |
Current Liabilities: | ||
Accounts payable and other accrued liabilities | 38,104 | 31,821 |
Accrued payroll costs | 52,208 | 56,872 |
Other current liabilities | 986 | 1,141 |
Income taxes payable | 2,885 | 139 |
Total current liabilities | 94,183 | 89,973 |
Long-term debt – credit facility | 93,333 | 62,642 |
Long-term debt – other | 562 | 1,364 |
Other long-term liabilities | 36,456 | 36,556 |
Total liabilities | 224,534 | 190,535 |
Commitments and contingencies | ||
Stockholders’ Equity: | ||
Preferred stock, $0.01 par; 15,000 shares authorized, none issued and outstanding | 0 | 0 |
Common stock, $0.01 par; 250,000 shares authorized, 70,029 and 69,480 issued, respectively | 700 | 695 |
Additional paid-in capital | 412,642 | 404,600 |
Accumulated other comprehensive (loss) income | -371 | 317 |
Retained earnings | 125,378 | 47,612 |
Treasury stock, at cost; 40,616 and 35,751 shares, respectively | -398,961 | -295,991 |
Total stockholders’ equity | 139,388 | 157,233 |
Total liabilities and stockholders’ equity | $363,922 | $347,768 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Statement of Financial Position [Abstract] | ||
Trade receivables, allowances | $2,040 | $2,028 |
Preferred stock, par value | $0.01 | $0.01 |
Preferred stock, shares authorized | 15,000,000 | 15,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 250,000,000 | 250,000,000 |
Common stock, shares issued | 70,029,000 | 69,480,000 |
Treasury stock, shares | 40,616,000 | 35,751,000 |
Consolidated_Statements_of_Cha
Consolidated Statements of Changes in Stockholders' Equity (USD $) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Retained Earnings [Member] | Treasury Stock [Member] |
In Thousands | ||||||
Balance at beginning of period at Dec. 31, 2011 | $686 | $372,212 | ($4,050) | $89,135 | ($224,868) | |
Shares at beginning of period at Dec. 31, 2011 | 68,566 | 30,644 | ||||
Issuance for stock-based compensation and dividends, net of forfeitures | -105 | |||||
Exercise of stock options | 70 | 70 | ||||
Issuance for stock-based compensation and dividends, net of forfeitures | -1 | 36 | ||||
Exercise of stock options | 0 | 736 | ||||
Income tax benefit from stock-based compensation | 1,201 | |||||
Stock-based compensation expense | 26,243 | |||||
Employee stock purchase plan | 647 | 260 | 387 | |||
Pension and post-retirement plans, net of tax of $394, $1,919 and $854, respectively | 1,337 | 1,337 | ||||
Net income (loss) | -13,703 | -13,703 | ||||
Dividends, net of forfeitures ($0.41, $0.10 and $1.00 per share, respectively) | -35,229 | |||||
Repurchases of common stock, shares | 3,376 | |||||
Shares tendered in payment of the exercise price of stock options, shares | 11 | |||||
Employee stock purchase plan, shares | -51 | -51 | ||||
Repurchases of common stock | -44,375 | |||||
Shares tendered in payment of the exercise price of stock options | -161 | |||||
Balance at end of period at Dec. 31, 2012 | 685 | 400,688 | -2,713 | 40,203 | -269,017 | |
Shares at end of period at Dec. 31, 2012 | 68,531 | 33,980 | ||||
Issuance for stock-based compensation and dividends, net of forfeitures | 882 | |||||
Exercise of stock options | 67 | 67 | ||||
Issuance for stock-based compensation and dividends, net of forfeitures | 9 | 72 | ||||
Exercise of stock options | 1 | 597 | ||||
Income tax benefit from stock-based compensation | 399 | |||||
Stock-based compensation expense | 2,570 | |||||
Employee stock purchase plan | 613 | 274 | 339 | |||
Pension and post-retirement plans, net of tax of $394, $1,919 and $854, respectively | 3,030 | 3,030 | ||||
Net income (loss) | 10,787 | 10,787 | ||||
Dividends, net of forfeitures ($0.41, $0.10 and $1.00 per share, respectively) | -3,378 | |||||
Repurchases of common stock, shares | 1,812 | |||||
Shares tendered in payment of the exercise price of stock options, shares | 0 | |||||
Employee stock purchase plan, shares | -41 | -41 | ||||
Repurchases of common stock | -27,313 | |||||
Shares tendered in payment of the exercise price of stock options | 0 | |||||
Balance at end of period at Dec. 31, 2013 | 157,233 | 695 | 404,600 | 317 | 47,612 | -295,991 |
Shares at end of period at Dec. 31, 2013 | 69,480 | 35,751 | ||||
Issuance for stock-based compensation and dividends, net of forfeitures | 444 | |||||
Exercise of stock options | 105 | 105 | ||||
Issuance for stock-based compensation and dividends, net of forfeitures | 4 | 369 | ||||
Exercise of stock options | 1 | 1,213 | ||||
Income tax benefit from stock-based compensation | 595 | |||||
Stock-based compensation expense | 5,475 | |||||
Employee stock purchase plan | 699 | 390 | 309 | |||
Pension and post-retirement plans, net of tax of $394, $1,919 and $854, respectively | -688 | -688 | ||||
Net income (loss) | 90,915 | 90,915 | ||||
Dividends, net of forfeitures ($0.41, $0.10 and $1.00 per share, respectively) | -13,149 | |||||
Repurchases of common stock, shares | 4,896 | |||||
Shares tendered in payment of the exercise price of stock options, shares | 4 | |||||
Employee stock purchase plan, shares | -35 | -35 | ||||
Repurchases of common stock | -103,195 | |||||
Shares tendered in payment of the exercise price of stock options | -84 | |||||
Balance at end of period at Dec. 31, 2014 | $139,388 | $700 | $412,642 | ($371) | $125,378 | ($398,961) |
Shares at end of period at Dec. 31, 2014 | 70,029 | 40,616 |
Consolidated_Statements_of_Cha1
Consolidated Statements of Changes in Stockholders' Equity (Parenthetical) (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Dividend | $0.41 | $0.10 | $1 |
Accumulated Other Comprehensive Income (Loss) [Member] | |||
Pension and postretirement plans, net of tax | $394 | $1,919 | $854 |
Retained Earnings [Member] | |||
Dividend | $0.41 | $0.10 | $1 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Cash flows from operating activities: | |||
Net income (loss) | $90,915 | $10,787 | ($13,703) |
Adjustments to reconcile net income (loss) to cash (used in) provided by operating activities: | |||
Gain on sale of discontinued operations | -64,600 | 0 | -36,418 |
Goodwill impairment | 0 | 14,510 | 69,158 |
Deferred income tax provision (benefit), net | 491 | 1,166 | -17,136 |
Provision for bad debts on accounts receivable | 825 | 546 | 1,860 |
Depreciation and amortization including discontinued operations | 10,058 | 9,846 | 10,862 |
Stock-based compensation | 3,028 | 2,570 | 25,740 |
Pension and post-retirement benefit plans expense | 1,424 | 3,237 | 4,505 |
Amortization of deferred financing costs | 105 | 90 | 92 |
Tax benefit attributable to stock-based compensation | 595 | 399 | 1,201 |
Excess tax benefit attributable to stock-based compensation | 0 | -110 | -1,130 |
Deferred compensation liability increase, net | 1,482 | 3,994 | 2,111 |
Gain on cash surrender value of Company-owned life insurance | -1,036 | -3,690 | -1,797 |
Gain from Company-owned life insurance proceeds | -849 | 0 | 0 |
Other | -152 | 257 | 55 |
(Increase) decrease in operating assets | |||
Trade receivables, net | -40,339 | -28,071 | 4,298 |
Income tax refund receivable | 4,409 | -5,970 | -1,500 |
Prepaid expenses and other current assets | 530 | -3,170 | -2,246 |
Other assets, net | -27 | -57 | 244 |
Increase (decrease) in operating liabilities | |||
Accounts payable and other current liabilities | 5,653 | -12,471 | 10,913 |
Accrued payroll costs | -248 | 7,422 | -241 |
Income taxes payable | -35,529 | -903 | 807 |
Other long-term liabilities | -2,317 | 83 | -1,697 |
Cash (used in) provided by operating activities | -25,582 | 465 | 55,978 |
Cash flows from investing activities: | |||
Capital expenditures | -6,011 | -8,145 | -5,846 |
Acquisition, net of cash received | -2,611 | 0 | 0 |
Proceeds from disposition of business | 117,887 | 0 | 55,446 |
Proceeds from the disposition of assets held within the Rabbi Trust | 2,668 | 3,278 | 4,259 |
Purchase of assets held within the Rabbi Trust | -2,436 | -3,697 | -1,460 |
Proceeds from Company-owned life insurance | 1,037 | 0 | 0 |
Other | 1 | 17 | 6 |
Cash provided by (used in) investing activities | 110,535 | -8,547 | 52,405 |
Cash flows from financing activities: | |||
Proceeds from bank line of credit | 684,427 | 591,688 | 241,973 |
Payments on bank line of credit | -653,701 | -550,081 | -270,499 |
Payments of capital expenditure financing | -1,280 | -1,452 | -1,802 |
Payments of loan financing costs | -460 | 0 | 0 |
Short-term vendor financing | -160 | -180 | 253 |
Proceeds from exercise of stock options, net of shares tendered in payment of exercise | 1,131 | 598 | 575 |
Excess tax benefit attributable to stock-based compensation | 0 | 110 | 1,130 |
Repurchases of common stock | -101,771 | -29,810 | -44,375 |
Cash dividend | -12,776 | -3,297 | -35,196 |
Cash (used in) provided by financing activities | -84,590 | 7,576 | -107,941 |
Change in cash and cash equivalents | 363 | -506 | 442 |
Cash and cash equivalents at beginning of year | 875 | 1,381 | 939 |
Cash and cash equivalents at end of year | $1,238 | $875 | $1,381 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Accounting Policies [Abstract] | ||||||||||||
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies | |||||||||||
Organization and Nature of Operations | ||||||||||||
Kforce Inc. and subsidiaries (collectively, “Kforce”) provide professional staffing services and solutions to customers in the following segments: Technology (“Tech”), Finance and Accounting (“FA”), and Government Solutions (“GS”). Kforce provides flexible staffing services and solutions on both a temporary and full-time basis. Kforce operates through its corporate headquarters in Tampa, Florida and 62 field offices located throughout the United States. Additionally, one of our subsidiaries, Kforce Global Solutions, Inc. (“Global”), provides information technology outsourcing services internationally through an office in Manila, Philippines. Our international operations comprised less than 2% of net service revenues for each of the three years ended December 31, 2014 and are included in our Tech segment. | ||||||||||||
Kforce serves clients from the Fortune 1000, the Federal Government, state and local governments, local and regional companies and small to mid-sized companies. | ||||||||||||
Basis of Presentation | ||||||||||||
The consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP") and the rules of the SEC. | ||||||||||||
Certain prior year amounts have been reclassified to conform with the current year presentation for amounts related to discontinued operations (see Note 2 - “Discontinued Operations” for further information on the discontinued operations). | ||||||||||||
Principles of Consolidation | ||||||||||||
The consolidated financial statements include the accounts of Kforce Inc. and its wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. References in this document to “Kforce,” “the Company,” “we,” “the Firm,” “our” or “us” refer to Kforce Inc. and its subsidiaries, except where the context indicates otherwise. | ||||||||||||
Use of Estimates | ||||||||||||
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The most important of these estimates and assumptions relate to the following: allowance for doubtful accounts, fallouts and other accounts receivable reserves; accounting for goodwill and identifiable intangible assets and any related impairment; self-insured liabilities for workers’ compensation and health insurance; stock-based compensation; obligations for pension plans and accounting for income taxes. Although these and other estimates and assumptions are based on the best available information, actual results could be materially different from these estimates. | ||||||||||||
Cash and Cash Equivalents | ||||||||||||
Kforce classifies all highly liquid investments with an original initial maturity of three months or less as cash equivalents. Cash and cash equivalents consist of cash on hand with banks, either in commercial accounts, or overnight interest-bearing money market accounts and at times may exceed federally insured limits. Cash and cash equivalents are stated at cost, which approximates fair value due to the short duration of their maturities. | ||||||||||||
Accounts Receivable Reserves | ||||||||||||
Kforce establishes its reserves for expected credit losses, fallouts, early payment discounts and revenue adjustments based on past experience and estimates of potential future activity. Specific to our allowance for doubtful accounts, which comprises a majority of our accounts receivable reserves, Kforce performs an ongoing analysis of factors including recent write-off and delinquency trends, a specific analysis of significant receivable balances that are past due, the concentration of accounts receivable among clients and higher-risk sectors, and the current state of the U.S. economy. Trade receivables are written off by Kforce after all reasonable collection efforts have been exhausted. | ||||||||||||
Accounts receivable reserves as a percentage of gross accounts receivable was 1.0% and 1.1% as of December 31, 2014 and December 31, 2013, respectively. | ||||||||||||
Revenue Recognition | ||||||||||||
Kforce considers amounts to be earned once evidence of an arrangement has been obtained, delivery has occurred, fees are fixed or determinable, and collectability is reasonably assured. We earn revenues from two primary sources: Flexible billings and Search fees. | ||||||||||||
Flexible billings are recognized as the services are provided by Kforce’s Flexible Consultants. Net service revenues represent services rendered to customers less credits, discounts, rebates and revenue-related reserves. Revenues include reimbursements of travel and out-of-pocket expenses (“billable expenses”) with equivalent amounts of expense recorded in direct costs of services. | ||||||||||||
Search fees are recognized by Kforce when employment candidates accept offers of permanent employment and are scheduled to commence employment within 30 days. Kforce records revenues net of an estimated reserve for “fallouts,” which is based on Kforce’s historical fallout experience. Fallouts occur when a candidate does not remain employed with the client through the contingency period, which is typically 90 days or less. | ||||||||||||
Our GS segment generates its revenues under contracts that are, in general, greater in duration than our other segments and which can often span several years, inclusive of renewal periods. Our GS segment does not generate any Search fees. Our GS segment generates revenues under the following contract arrangements. | ||||||||||||
• | Revenues for time-and-materials contracts, which accounts for approximately 69% of this segment’s revenue, are recorded based on contractually established billing rates at the time services are provided. | |||||||||||
• | Revenues on fixed-price contracts are recognized on the basis of the estimated percentage-of-completion. Approximately 20% of this segment’s revenues are recognized under this method. Progress towards completion is typically measured based on costs incurred as a proportion of estimated total costs or other measures of progress when applicable. Profit in a given period is reported at the expected profit margin to be achieved on the overall contract. | |||||||||||
• | Revenue on cost-plus arrangements is recognized based on allowable costs incurred plus an estimate of the applicable fees earned. Approximately 11% of this segment’s revenues are recognized under these arrangements. | |||||||||||
Direct Costs of Services | ||||||||||||
Direct costs of services are composed of all related costs of employment for its Flexible Consultants, including payroll wages, payroll taxes, payroll-related insurance and certain fringe benefits, as well as subcontractor costs. Direct costs of services exclude depreciation and amortization expense, which is presented on a separate line in the accompanying Consolidated Statements of Operations and Comprehensive Income (Loss). | ||||||||||||
Income Taxes | ||||||||||||
Kforce accounts for income taxes using the asset and liability approach to the recognition of deferred tax assets and liabilities for the expected future tax consequences of differences between the financial statement carrying amounts and the tax basis of assets and liabilities. Unless it is more likely than not that a deferred tax asset can be utilized to offset future taxes, a valuation allowance is recorded against that asset. The tax benefits of deductions attributable to employees’ disqualifying dispositions of shares obtained from incentive stock options, exercises of non-qualified stock options, and vesting of restricted stock are reflected as increases in additional paid-in capital. | ||||||||||||
Kforce evaluates tax positions that have been taken or are expected to be taken in its tax returns, and records a liability for uncertain tax positions. Kforce uses a two-step approach to recognize and measure uncertain tax positions. First, tax positions are recognized if the weight of available evidence indicates that it is more likely than not that the position will be sustained upon examination, including resolution of related appeals or litigation processes, if any. Second, tax positions are measured as the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon settlement. Kforce recognizes interest and penalties related to unrecognized tax benefits in the income tax expense (benefit) in the accompanying Consolidated Statement of Operations and Comprehensive Income (Loss). | ||||||||||||
Fair Value Measurements | ||||||||||||
Kforce uses fair value measurements in areas that include, but are not limited to: the impairment testing of goodwill and intangible and long-lived assets; stock-based compensation arrangements; valuing the investment in money market funds within Kforce’s deferred compensation plan; and our contingent liability. The carrying values of cash and cash equivalents, accounts receivable, accounts payable, and other current assets and liabilities approximate fair value because of the short-term nature of these instruments. Using available market information and appropriate valuation methodologies, Kforce has determined the estimated fair value measurements; however, considerable judgment is required in interpreting data to develop the estimates of fair value. | ||||||||||||
Fixed Assets | ||||||||||||
Fixed assets are carried at cost, less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the assets. The cost of leasehold improvements is amortized using the straight-line method over the shorter of the estimated useful lives of the assets or the terms of the related leases, which generally range from three to five years. | ||||||||||||
Goodwill and Other Intangible Assets | ||||||||||||
Goodwill | ||||||||||||
Kforce performs a goodwill impairment analysis, using the two-step analysis method, on an annual basis and whenever events or changes in circumstances indicate that the carrying value may not be recoverable unless it is determined, based upon a review of the qualitative factors of a reporting unit, that it is more likely than not that the fair value of a reporting unit exceeds its carrying amount, including goodwill. Under the two-step analysis method, the recoverability of goodwill is measured at the reporting unit level, which Kforce has determined to be consistent with its operating segments; by comparing the reporting unit’s carrying amount, including goodwill, to the fair market value of the reporting unit. Kforce determines the fair market value of its reporting units based on a weighting of the present value of projected future cash flows (the “income approach”) and the use of comparative market approaches under both the guideline company method and guideline transaction method (collectively, the “market approach”). Fair market value using the income approach is based on Kforce’s estimated future cash flows on a discounted basis. The market approach compares each of Kforce’s reporting units to other comparable companies based on valuation multiples derived from operational and transactional data to arrive at a fair value. Factors requiring significant judgment include, among others, the assumptions related to discount rates, forecasted operating results, long-term growth rates, the determination of comparable companies, and market multiples. Changes in economic or operating conditions, or changes in Kforce’s business strategies, that occur after the annual impairment analysis and which impact these assumptions, may result in a future goodwill impairment charge, which could be material to Kforce’s consolidated financial statements. | ||||||||||||
Other Intangible Assets | ||||||||||||
Identifiable intangible assets arising from certain of Kforce’s acquisitions include non-compete and employment agreements, contractual relationships, customer contracts, technology, and a trade name and trademark. For definite-lived intangible assets, Kforce has determined that the straight-line method is an appropriate methodology to allocate the cost over the period of expected benefit, which ranges from one to fifteen years. The impairment evaluation for indefinite-lived intangible assets, which for Kforce consists of a trademark and trade name, is conducted on an annual basis or more frequently if events or changes in circumstances indicate that an asset may be impaired. | ||||||||||||
Impairment of Long-Lived Assets | ||||||||||||
Kforce reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. Recoverability of long-lived assets is measured by a comparison of the carrying amount of the asset group to the future undiscounted net cash flows expected to be generated by those assets. If such assets are considered to be impaired, the impairment charge recognized is the amount by which the carrying amounts of the assets exceed the fair value of the assets, as determined based on the present value of projected future cash flows. | ||||||||||||
Capitalized Software | ||||||||||||
Kforce purchases, develops, and implements new computer software to enhance the performance of our technology infrastructure. Direct internal costs, such as payroll and payroll-related costs, and external costs incurred during the development stage of each project, are capitalized and classified as capitalized software. Kforce capitalized development-stage implementation costs of $0.4 million, $1.0 million and $1.7 million during the years ended December 31, 2014, 2013 and 2012, respectively. Capitalized software development costs are classified as other assets, net in the accompanying Consolidated Balance Sheets and are being amortized over the estimated useful lives of the software, which range from one to five years, using the straight-line method. | ||||||||||||
Commissions | ||||||||||||
Our associates make placements and earn commissions as a percentage of revenues (for Search revenue) or gross profit (for Flex revenue) pursuant to a calendar-year-basis commission plan. The amount of commissions paid as a percentage of revenues or gross profit increases as volume increases. Kforce accrues commissions for revenues or gross profit at a percentage equal to the percent of total expected commissions payable to total revenues or gross profit for the year, as applicable. | ||||||||||||
Stock-Based Compensation | ||||||||||||
Kforce accounts for stock-based compensation by measuring the cost of employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award. The cost is recognized over the requisite service period, net of estimated forfeitures. If the actual number of forfeitures differs from those estimated, additional adjustments to compensation expense may be required in future periods. | ||||||||||||
Workers’ Compensation | ||||||||||||
Kforce retains the economic burden for the first $250 thousand per occurrence in workers’ compensation claims except: (1) in states that require participation in state-operated insurance funds and (2) for its GS segment which is fully insured for workers’ compensation claims. Workers’ compensation includes ongoing health care and indemnity coverage for claims and may be paid over numerous years following the date of injury. Workers’ compensation expense includes insurance premiums paid, claims administration fees charged by Kforce’s workers’ compensation administrator, premiums paid to state-operated insurance funds and an estimate for Kforce’s liability for IBNR claims and for the ongoing development of existing claims. | ||||||||||||
Kforce estimates its workers’ compensation liability based upon historical claims experience, actuarially determined loss development factors, and qualitative considerations such as claims management activities. | ||||||||||||
Taxes Assessed by Governmental Agencies – Revenue Producing Transactions | ||||||||||||
Kforce collects sales tax for various taxing authorities and it is our policy to record these amounts on a net basis; thus, sales tax amounts are not included in net service revenues. | ||||||||||||
Health Insurance | ||||||||||||
Except for certain fully insured health insurance lines of coverage, Kforce retains the risk of loss for each health insurance plan participant up to $275 thousand in claims annually. Additionally, for all claim amounts exceeding $275 thousand, Kforce retains the risk of loss up to an aggregate annual loss of those claims of $500 thousand. For its partially self-insured lines of coverage, health insurance costs are accrued using estimates to approximate the liability for reported claims and IBNR claims, which are primarily based upon an evaluation of historical claims experience, actuarially-determined completion factors and a qualitative review of our health insurance exposure including the extent of outstanding claims and expected changes in health insurance costs. | ||||||||||||
Accounting for Pension Benefits | ||||||||||||
Kforce recognizes the underfunded status of its defined benefit pension plans as a liability in its Consolidated Balance Sheets and recognizes changes in that funded status in the year in which the changes occur through other comprehensive income (loss). Kforce also measures the funded status of the defined benefit pension plans as of the date of its fiscal year-end, with limited exceptions. | ||||||||||||
Amortization of a net unrecognized gain or loss in accumulated other comprehensive income (loss) is included as a component of net periodic benefit cost if, as of the beginning of the year, that net gain or loss exceeds 10% of the projected benefit obligation. If amortization is required, the minimum amortization shall be that excess divided by the average remaining service period of active plan participants. | ||||||||||||
Earnings per Share | ||||||||||||
Basic earnings (loss) per share is computed as earnings (loss) divided by the weighted average number of common shares outstanding during the period. Basic weighted average shares outstanding excludes unvested shares of restricted stock. Diluted earnings (loss) per common share is computed by dividing the earnings (loss) attributable to common shareholders for the period by the weighted average number of common shares outstanding during the period plus the dilutive effect of stock options and other potentially dilutive securities such as unvested shares of restricted stock using the treasury stock method, except where the effect of including potential common shares would be anti-dilutive. Weighted average shares outstanding for purposes of computing diluted earnings per common share excludes contingently issuable unvested restricted stock unless the performance condition has been achieved as of the end of the applicable reporting period. | ||||||||||||
The following table sets forth the computation of basic and diluted earnings (loss) per share for the three years ended December 31 (in thousands, except per share amounts): | ||||||||||||
Years Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Numerator: | ||||||||||||
Income (loss) from continuing operations | $ | 29,398 | $ | 5,294 | $ | (42,131 | ) | |||||
Income from discontinued operations, net of tax | 61,517 | 5,493 | 28,428 | |||||||||
Net income (loss) | $ | 90,915 | $ | 10,787 | $ | (13,703 | ) | |||||
Denominator: | ||||||||||||
Weighted average shares outstanding – basic | 31,475 | 33,511 | 35,791 | |||||||||
Common stock equivalents | 216 | 132 | — | |||||||||
Weighted average shares outstanding – diluted | 31,691 | 33,643 | 35,791 | |||||||||
Earnings (loss) per share – basic: | ||||||||||||
From continuing operations | $ | 0.94 | $ | 0.16 | $ | (1.18 | ) | |||||
From discontinued operations | 1.95 | 0.16 | 0.8 | |||||||||
Earnings (loss) per share – basic | $ | 2.89 | $ | 0.32 | $ | (0.38 | ) | |||||
Earnings (loss) per share – diluted: | ||||||||||||
From continuing operations | $ | 0.93 | $ | 0.16 | $ | (1.18 | ) | |||||
From discontinued operations | 1.94 | 0.16 | 0.8 | |||||||||
Earnings (loss) per share – diluted | $ | 2.87 | $ | 0.32 | $ | (0.38 | ) | |||||
For the years ended December 31, 2014 and 2013, there were no shares of common stock excluded from the computation of diluted earnings per share. For the year ended December 31, 2012, there were 33 thousand shares of common stock excluded from the computation of dilutive earnings per share because their inclusion would have had an anti-dilutive effect on earnings per share. Given that Kforce had a loss from continuing operations for the year ended December 31, 2012, the calculation of diluted loss per share from continuing operations, earnings from discontinued operations, and net loss is computed using basic weighted average common shares outstanding. | ||||||||||||
Treasury Stock | ||||||||||||
Kforce’s Board of Directors (“Board”) may authorize share repurchases of Kforce’s common stock. Shares repurchased under Board authorizations are held in treasury for general corporate purposes, including issuances under various employee stock-based award plans. Treasury shares are accounted for under the cost method and reported as a reduction of stockholders’ equity in the accompanying consolidated financial statements. | ||||||||||||
Comprehensive Income (Loss) | ||||||||||||
Accumulated other comprehensive income (loss) represents the net after-tax impact of unrecognized actuarial gains and losses related to: (1) the supplemental executive retirement plan which covers a limited number of executives and (2) a defined benefit plan covering all eligible employees in our Philippine operations. Because each of these plans is unfunded as of December 31, 2014, the actuarial gains and losses arise as a result of the actuarial experience of the plans, as well as changes in actuarial assumptions in measuring the associated obligation as of year-end, or an interim date if any re-measurement is necessary. This information is provided in our Consolidated Statements of Operations and Comprehensive Income (Loss). | ||||||||||||
Dividends | ||||||||||||
Kforce’s Board may, at its discretion, declare and pay dividends on the outstanding shares of Kforce’s common stock out of retained earnings, subject to statutory requirements. Dividends for any outstanding and unvested restricted stock as of the record date are awarded in the form of additional shares of forfeitable restricted stock, at the same rate as the cash dividend on common stock and based on the closing stock price on the record date. Such additional shares have the same vesting terms and conditions as the outstanding and unvested restricted stock. The following summarizes the cash dividends declared for the three years ended December 31: | ||||||||||||
YEARS ENDED DECEMBER 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Cash dividends declared per share | $ | 0.41 | $ | 0.1 | $ | 1 | ||||||
Kforce currently expects to continue to declare and pay quarterly dividends of an amount similar to its December 2014 dividend of $0.11 per share. However, the amount and payment of future dividends are discretionary and will be subject to determination by Kforce’s Board of Directors each quarter following its review of the Firm’s financial performance and legal ability to pay. | ||||||||||||
New Accounting Standards | ||||||||||||
In August 2014, the FASB issued authoritative guidance regarding disclosure of uncertainties about an entity’s ability to continue as a going concern, which requires management to evaluate, at each interim and annual reporting period, whether there are conditions or events that raise substantial doubt about the entity’s ability to continue as a going concern within one year after the date the financial statements are issued, and provide related disclosures. This guidance is to be applied for annual periods ending after December 15, 2016, and for annual and interim periods thereafter, and early adoption is permitted. We do not anticipate a material impact to the consolidated financial statements upon adoption. | ||||||||||||
In May 2014, the FASB issued authoritative guidance regarding revenue from contracts with customers, which specifies that revenue should be recognized when promised goods or services are transferred to customers in an amount that reflects the consideration which the company expects to be entitled in exchange for those goods or services. This guidance is to be applied for annual reporting periods beginning on or after December 15, 2016 and interim periods within those annual periods and will require enhanced disclosures. Kforce is currently evaluating the potential impact of the accounting and disclosure requirements on the consolidated financial statements; we do not currently anticipate a material impact to the consolidated financial statements upon adoption. | ||||||||||||
In April 2014, the FASB issued authoritative guidance regarding reporting discontinued operations and disclosures of disposals of components of an entity, which specifies additional thresholds for a disposal to qualify as a discontinued operation and requires new disclosures of both discontinued operations and certain other disposals that do not meet the definition of a discontinued operation. The guidance is to be applied for annual reporting periods beginning on or after December 15, 2014, and early adoption is permitted. Kforce elected not to adopt this standard early. |
Discontinued_Operations
Discontinued Operations | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Discontinued Operations and Disposal Groups [Abstract] | |||||||||||||
Discontinued Operations | Discontinued Operations | ||||||||||||
Effective August 3, 2014, Kforce sold to RCM Acquisition, Inc. (the “Purchaser”), under a Stock Purchase Agreement (the “HIM SPA”) dated August 4, 2014, all of the issued and outstanding stock of KHI, a wholly-owned subsidiary of Kforce Inc. and operator of the former HIM reporting segment, for a total cash purchase price of $119.0 million plus a post-closing working capital adjustment of $96 thousand. | |||||||||||||
In connection with the sale, Kforce entered into a Transition Services Agreement (the “HIM TSA”) with the Purchaser to provide certain post-closing transitional services for a period not to exceed 12 months. The fees for these services will be generally equivalent to Kforce’s cost, and additional services may be provided at negotiated rates. Although the services provided under the HIM TSA generate continuing cash flows between Kforce and the Purchaser, the amounts are not considered to be direct cash flows of the discontinued operation nor are they significant to the ongoing operations of either entity. Kforce has no contractual ability through the HIM TSA, HIM SPA or any other agreement to significantly influence the operating or financial policies of the Purchaser. As a result, Kforce has no significant continuing involvement in the operations of KHI and, as such, has classified the operating results of the former HIM reporting segment as discontinued operations. | |||||||||||||
In accordance with and defined within the HIM SPA, Kforce is obligated to indemnify the Purchaser for certain losses, as defined, in excess of $1.19 million, although this deductible does not apply to certain specified losses. Kforce’s obligations under the indemnification provisions of the HIM SPA, with the exception of certain items, ceased 18 months after the sale closed and are, in some cases, limited to an aggregate of $8.925 million; this only applies to certain specified losses. While it cannot be certain, Kforce believes any material exposure under the indemnification provisions is remote and, as a result, has not recorded a liability as of December 31, 2014. | |||||||||||||
The total financial results of HIM have been presented as discontinued operations in the accompanying Consolidated Statements of Operations and Comprehensive Income (Loss). The following summarizes the revenues and pretax profits of HIM for the three years ended December 31 (in thousands): | |||||||||||||
YEARS ENDED DECEMBER 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Net service revenues | $ | 56,670 | $ | 78,159 | $ | 76,992 | |||||||
Income from discontinued operations, before income taxes | $ | 103,512 | $ | 9,169 | $ | 10,792 | |||||||
For the year ended December 31, 2014, the income from discontinued operations included a gain, net of transaction costs, on the sale of discontinued operations of $94.3 million pretax, or $56.1 million after tax. The transaction costs primarily included legal fees, stock-based compensation related to the acceleration of restricted stock, commissions and transaction bonuses in the form of cash and common stock, which, in the aggregate, totaled $11.0 million. Stock-based compensation related to acceleration of restricted stock and transaction bonuses paid in stock in lieu of cash was $2.4 million. Kforce utilized the proceeds from the sale of HIM initially to pay down the outstanding borrowings under our Credit Facility and ultimately to repurchase shares of common stock. | |||||||||||||
Certain of the assets and liabilities pertaining to the discontinued operations of HIM as of the closing date were sold to or assumed by the Purchaser, and deconsolidated from Kforce. The following table summarizes the carrying amounts of the major classes of assets and liabilities at December 31, 2013 related to the discontinued operation, including those not sold to or assumed by the Purchaser (in thousands): | |||||||||||||
December 31, 2013 | |||||||||||||
Assets: | |||||||||||||
Trade receivables | $ | 11,755 | |||||||||||
Goodwill | 4,887 | ||||||||||||
Prepaid expenses and other current assets | 219 | ||||||||||||
Fixed assets, net | 162 | ||||||||||||
Other assets, net | 88 | ||||||||||||
Total assets | 17,111 | ||||||||||||
Liabilities: | |||||||||||||
Accounts payable and other accrued liabilities | 712 | ||||||||||||
Accrued payroll costs | 4,177 | ||||||||||||
Other long-term liabilities | 868 | ||||||||||||
Total liabilities | 5,757 | ||||||||||||
Net assets | $ | 11,354 | |||||||||||
On March 17, 2012, Kforce entered into a Stock Purchase Agreement (the “KCR SPA”) to sell all of the issued and outstanding stock of KCR to inVentiv Health, Inc. (“inVentiv”). On March 31, 2012, the Firm closed the sale of KCR to the Purchaser for a total cash purchase price of $57.3 million, after giving effect to a $7.3 million post-closing working capital adjustment. | |||||||||||||
Kforce also entered into a Transition Services Agreement (the “KCR TSA”) with inVentiv to provide certain post-closing transitional services for a period not to exceed 18 months' time. Services provided by Kforce under the KCR TSA ceased during the three months ended June 30, 2013. The fees for a significant majority of these services were generally equivalent to Kforce’s cost. | |||||||||||||
In accordance with the KCR SPA, Kforce was obligated to indemnify inVentiv for certain losses, as defined, in excess of $375 thousand although this deductible did not apply to certain losses. Kforce’s obligations under the indemnification provisions of the KCR SPA, with the exception of certain items, ceased 18 months after the sale closed and were limited to an aggregate of $5.0 million, although this cap did not apply to certain losses. Kforce believes any exposure under the indemnification provisions is remote, particularly given that the 18 months time period for general indemnification claims has now passed, and, as a result, Kforce has not recorded a liability as of December 31, 2014. The financial results of KCR have been presented as discontinued operations in the accompanying Consolidated Statements of Operations and Comprehensive Income (Loss). The following summarizes the revenues and pretax profits of KCR for the year ended December 31, 2012 (in thousands): | |||||||||||||
December 31, 2012 | |||||||||||||
Net service revenues | $ | 29,808 | |||||||||||
Income from discontinued operations, before income taxes | $ | 39,735 | |||||||||||
In connection with the disposition of KCR, the Board exercised its discretion, as permitted within the Kforce Inc. 2006 Stock Incentive Plan, to accelerate the vesting, for tax planning purposes, of substantially all of the outstanding and unvested restricted stock and ALTI effective March 31, 2012. Kforce recognized a tax benefit from the acceleration of the vesting of restricted stock and ALTI. The acceleration resulted in the recognition of previously unrecognized compensation expense during the quarter ended March 31, 2012 of $31.3 million, which included $0.8 million of payroll taxes. This expense was classified in selling, general and administrative expenses in the accompanying Consolidated Statements of Operations and Comprehensive Income (Loss). | |||||||||||||
Income tax expense as a percentage of income from discontinued operations, before income taxes, for the year ended December 31, 2014, 2013 and 2012 was 40.6%, 40.1% and 43.7%, respectively. |
Fixed_Assets
Fixed Assets | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Property, Plant and Equipment [Abstract] | ||||||||||
Fixed Assets | Fixed Assets | |||||||||
Major classifications of fixed assets and related useful lives are summarized as follows (in thousands): | ||||||||||
DECEMBER 31, | ||||||||||
USEFUL LIFE | 2014 | 2013 | ||||||||
Land | $ | 5,892 | $ | 5,892 | ||||||
Building and improvements | 5-40 years | 25,304 | 25,191 | |||||||
Furniture and equipment | 5-10 years | 10,881 | 9,701 | |||||||
Computer equipment | 3-5 years | 6,618 | 8,966 | |||||||
Leasehold improvements | 3-5 years | 8,347 | 6,894 | |||||||
Capital leases | 3-5 years | 3,762 | 4,306 | |||||||
60,804 | 60,950 | |||||||||
Less accumulated depreciation and amortization | (25,474 | ) | (24,222 | ) | ||||||
$ | 35,330 | $ | 36,728 | |||||||
Depreciation and amortization expense during the years ended December 31, 2014, 2013 and 2012 was $6.3 million, $5.9 million and $5.4 million, respectively. |
Income_Taxes
Income Taxes | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Income Tax Disclosure [Abstract] | ||||||||||||
Income Taxes | Income Taxes | |||||||||||
The provision for income taxes from continuing operations consists of the following (in thousands): | ||||||||||||
YEARS ENDED DECEMBER 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Current: | ||||||||||||
Federal | $ | 15,782 | $ | 4,140 | $ | (4,371 | ) | |||||
State | 2,527 | 449 | (1,716 | ) | ||||||||
Deferred | 250 | 1,046 | (18,140 | ) | ||||||||
$ | 18,559 | $ | 5,635 | $ | (24,227 | ) | ||||||
The provision for income taxes from continuing operations shown above varied from the statutory federal income tax rate for those periods as follows: | ||||||||||||
YEARS ENDED DECEMBER 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Federal income tax rate | 35 | % | 35 | % | 35 | % | ||||||
State income taxes, net of Federal tax effect | 3.2 | 4.1 | 5.2 | |||||||||
Non-deductible goodwill impairment | — | 4.3 | (3.4 | ) | ||||||||
Non-deductible compensation | 1.1 | — | — | |||||||||
Non-deductible meals and entertainment | 1.1 | 5.2 | — | |||||||||
Other | (1.7 | ) | 3 | (0.3 | ) | |||||||
Effective tax rate | 38.7 | % | 51.6 | % | 36.5 | % | ||||||
Deferred income tax assets and liabilities are composed of the following (in thousands): | ||||||||||||
DECEMBER 31, | ||||||||||||
2014 | 2013 | |||||||||||
Deferred taxes, current: | ||||||||||||
Assets: | ||||||||||||
Accounts receivable reserves | $ | 804 | $ | 779 | ||||||||
Accrued liabilities | 3,123 | 2,902 | ||||||||||
Deferred compensation obligation | 1,426 | 1,111 | ||||||||||
Pension and post-retirement benefit plans | — | 19 | ||||||||||
Other | 75 | 75 | ||||||||||
Deferred tax assets, current | 5,428 | 4,886 | ||||||||||
Liabilities: | ||||||||||||
Prepaid expenses | (448 | ) | (224 | ) | ||||||||
Deferred tax asset, net – current | 4,980 | 4,662 | ||||||||||
Deferred taxes, non-current: | ||||||||||||
Assets: | ||||||||||||
Accrued liabilities | 649 | 579 | ||||||||||
Deferred compensation obligation | 6,324 | 6,896 | ||||||||||
Stock-based compensation | 1,185 | 773 | ||||||||||
Pension and post-retirement benefit plans | 5,125 | 4,916 | ||||||||||
Goodwill and intangible assets | 10,407 | 11,750 | ||||||||||
Deferred revenue | 28 | 106 | ||||||||||
Other | 995 | 1,531 | ||||||||||
Deferred tax assets, non-current | 24,713 | 26,551 | ||||||||||
Liabilities: | ||||||||||||
Fixed assets | (1,651 | ) | (2,693 | ) | ||||||||
Other | (122 | ) | (503 | ) | ||||||||
Deferred tax liabilities, non-current | (1,773 | ) | (3,196 | ) | ||||||||
Valuation allowance | (85 | ) | (85 | ) | ||||||||
Deferred tax asset, net – non-current | 22,855 | 23,270 | ||||||||||
Net deferred tax asset | $ | 27,835 | $ | 27,932 | ||||||||
At December 31, 2014, Kforce had approximately $26.8 million of state tax net operating losses (“NOLs”) which will be carried forward to be offset against future state taxable income. The state tax NOLs expire in varying amounts through 2033. | ||||||||||||
In evaluating the realizability of Kforce’s deferred tax assets, management assesses whether it is more likely than not that some portion, or all, of the deferred tax assets, will be realized. Management considers, among other things, the ability to generate future taxable income (including reversals of deferred tax liabilities) during the periods in which the related temporary differences will become deductible. | ||||||||||||
Kforce is periodically subject to IRS audits, as well as state and other local income tax audits for various tax years. During 2014, the IRS finished an examination of Kforce’s U.S. income tax return for 2010 and 2011 with no material adjustments. Although Kforce has not experienced any material liabilities in the past due to income tax audits, Kforce can make no assurances that this will continue. | ||||||||||||
Uncertain Income Tax Positions | ||||||||||||
An uncertain income tax position taken on the income tax return must be recognized in the consolidated financial statements at the largest amount that is more likely than not to be sustained upon audit by the relevant taxing authority. An uncertain income tax position will not be recognized if it has less than a 50% likelihood of being sustained. | ||||||||||||
A reconciliation of the beginning and ending amounts of unrecognized tax benefits for the years ended December 31, 2014, 2013 and 2012 is as follows (in thousands): | ||||||||||||
DECEMBER 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Beginning balance | $ | 403 | $ | 133 | $ | 72 | ||||||
Additions for tax positions of prior years | 90 | 269 | 36 | |||||||||
Additions for tax positions of current year | — | 25 | 25 | |||||||||
Reductions for tax positions of prior years – lapse of applicable statutes | (35 | ) | (24 | ) | — | |||||||
Settlements | (180 | ) | — | — | ||||||||
Ending balance | $ | 278 | $ | 403 | $ | 133 | ||||||
The entire amount of these unrecognized tax benefits as of December 31, 2014, if recognized, would not significantly impact the effective tax rate. Kforce does not expect any significant changes to its uncertain tax positions in the next 12 months. | ||||||||||||
Kforce and its subsidiaries file income tax returns in the U.S. federal jurisdiction and various states. Global files income tax returns in the Philippines. With a few exceptions, Kforce is no longer subject to federal, state, local, or non-U.S. income tax examinations by tax authorities for years before 2010. |
Other_Assets
Other Assets | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||||||||
Other Assets | Other Assets | |||||||
Other assets consisted of the following (in thousands): | ||||||||
DECEMBER 31, | ||||||||
2014 | 2013 | |||||||
Assets held in Rabbi Trust | $ | 25,715 | $ | 24,910 | ||||
Capitalized software, net of amortization | 3,678 | 5,472 | ||||||
Deferred loan costs, net of amortization | 608 | 288 | ||||||
Other non-current assets | 348 | 321 | ||||||
$ | 30,349 | $ | 30,991 | |||||
As of December 31, 2014, the assets held in Rabbi Trust were $25.7 million, which was related to the cash surrender value of life insurance policies. As of December 31, 2013, the assets held in Rabbi Trust were $24.9 million, which was comprised of $24.0 million related to the cash surrender value of life insurance policies and $0.9 million of money market funds. The cash surrender value of Company-owned life insurance policies relates to policies maintained by Kforce on certain participants in its deferred compensation plan, which, in conjunction with the money market funds, could be used to fund the related obligations. | ||||||||
Kforce capitalized software purchases, as well as direct costs associated with software developed for internal use of approximately $1.2 million and $2.2 million during the years ended December 31, 2014 and 2013, respectively. Accumulated amortization of capitalized software was $37.6 million and $34.8 million as of December 31, 2014 and 2013, respectively. Amortization expense of capitalized software during the years ended December 31, 2014, 2013 and 2012 was $2.9 million, $3.2 million and $4.6 million, respectively. |
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||||||||||||||||
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets | |||||||||||||||||||
Goodwill | ||||||||||||||||||||
The following table contains a disclosure of changes in the carrying amount of goodwill in total and for each reporting unit for the two years ended December 31, 2014 and 2013 (in thousands): | ||||||||||||||||||||
Technology | Finance and | Health | Government | Total | ||||||||||||||||
Accounting | Information | Solutions | ||||||||||||||||||
Management | ||||||||||||||||||||
Balance as of December 31, 2012 | $ | 17,034 | $ | 8,006 | $ | 4,887 | $ | 33,483 | $ | 63,410 | ||||||||||
Impairment of goodwill | — | — | — | (14,510 | ) | (14,510 | ) | |||||||||||||
Balance as of December 31, 2013 | $ | 17,034 | $ | 8,006 | $ | 4,887 | $ | 18,973 | $ | 48,900 | ||||||||||
Additions (a) | — | — | — | 1,955 | 1,955 | |||||||||||||||
Disposition of HIM (b) | — | — | (4,887 | ) | — | (4,887 | ) | |||||||||||||
Balance as of December 31, 2014 | $ | 17,034 | $ | 8,006 | $ | — | $ | 20,928 | $ | 45,968 | ||||||||||
(a) | The increase is due to the acquisition of a business within our GS reporting segment. | |||||||||||||||||||
(b) | The decrease is due to the disposition of our HIM reporting segment. See Note 2 – “Discontinued Operations” for additional discussion. | |||||||||||||||||||
Kforce performed its annual impairment assessment of the carrying value of goodwill as of December 31, 2014 and 2013. During the impairment test performed as of December 31, 2014, Kforce performed a step 1 analysis for each reporting unit and compared the carrying value of Tech, FA and GS to the respective estimated fair values. Kforce concluded there were no indications of impairment for its reporting units during the December 31, 2014 annual impairment tests. As of December 31, 2013 and 2012, for our Tech and FA reporting units, we assessed qualitative factors to determine whether the existence of events or circumstances indicated that it was more likely than not that the fair value of the reporting units was less than its carrying amount. We concluded that it was more likely than not that the fair value of the reporting units were more than its carrying amount and therefore we were not required to perform any additional analysis. In 2013 and 2012, for our GS reporting unit, we performed the two-step analysis and compared the carrying value to its estimated fair value noting that the carrying value exceeded the fair value of the reporting unit which resulted in an impairment to goodwill in 2013 and 2012. | ||||||||||||||||||||
As part of our customary quarterly procedures, we considered the qualitative and quantitative factors associated with each of our reporting units and determined that there was no indication that the carrying values of any of our reporting units were likely impaired throughout 2014. | ||||||||||||||||||||
As of December 31, 2014, for our Tech, FA and GS reporting units, we compared the respective carrying values to their estimated fair value based on a weighting of both the income approach and the market approaches. Discounted cash flows, which serve as the primary basis for the income approach, were based on discrete financial forecasts which were developed by management for planning purposes and were consistent with those distributed within Kforce. Cash flows beyond the discrete forecast period of five years were estimated using a terminal value calculation, which incorporated historical and forecasted financial trends and also considered long-term earnings growth rates for publicly-traded peer companies, as well as the risk-free rate of return. For the GS reporting unit, the discrete financial forecast includes certain adjustments of costs that Kforce believes a market participant buyer, such as a large government contractor, would incur to operate the GS reporting unit. The market approaches consist of: (1) the guideline company method and (2) the guideline transaction method. The guideline company method applies pricing multiples derived from publicly-traded guideline companies that are comparable to the respective reporting unit to determine its value. The guideline transaction method applies pricing multiples derived from recently completed acquisitions that we believe are reasonably comparable to the reporting unit to determine fair value. | ||||||||||||||||||||
Upon completion of the first step of the goodwill impairment analysis as of December 31, 2014 for our Tech, FA and GS reporting units, it was determined that the fair value exceeded its carrying value. As a result, no impairment charges were recognized for the Tech, FA and GS reporting units during the year ended December 31, 2014. | ||||||||||||||||||||
During the fourth quarter of 2013, Kforce management made a strategic business decision with regard to the GS segment to focus its service offerings and efforts on prime integrated business solution services. Upon completion of the first step of the goodwill impairment analysis as of December 31, 2013 for our GS reporting unit, it was determined that there was an indication of impairment. Because indicators of impairment existed, we commenced the second step of the goodwill impairment analysis. The goodwill impairment loss for the reporting unit was measured by the amount the carrying value of goodwill exceeded the implied fair value of the goodwill. Based on this assessment, we recorded an impairment charge of $14.5 million which is presented separately in the Consolidated Statements of Operations and Comprehensive Income (Loss). A tax benefit in the amount of $5.2 million was recorded related to the goodwill impairment charge. | ||||||||||||||||||||
During the three months ended June 30, 2012, due to certain adverse effects of events and indications during that time period, Kforce believed that a triggering event occurred within our GS reporting unit during the quarter. As a result, Kforce performed an interim goodwill impairment analysis for its GS reporting unit as of June 30, 2012, which resulted in an indication of impairment and Kforce recording an estimated impairment charge. Due to the complexity of the second step of the impairment analysis, Kforce completed the analysis during the fourth quarter of 2012. Based on this assessment, we recorded an impairment charge of $69.2 million which included a related tax benefit of $24.7 million during the year ended December 31, 2012. This impairment charge included an incremental adjustment of $3.9 million with a related tax benefit of $1.4 million resulting from the completion of the second step analysis during the fourth quarter of 2012. | ||||||||||||||||||||
Total goodwill impairment for the years ending December 31, 2014, 2013 and 2012 was nil, $14.5 million and $69.2 million, respectively. The following table contains a disclosure of the gross amount and accumulated impairment losses of goodwill for Tech, FA and GS reporting units for the three years ended December 31, 2014 (in thousands): | ||||||||||||||||||||
Goodwill Carrying Value by Reporting Unit as of: | ||||||||||||||||||||
31-Dec-14 | 31-Dec-13 | 31-Dec-12 | ||||||||||||||||||
Technology | ||||||||||||||||||||
Gross amount | $ | 156,391 | $ | 156,391 | $ | 156,391 | ||||||||||||||
Accumulated impairment losses | (139,357 | ) | (139,357 | ) | (139,357 | ) | ||||||||||||||
Carrying value | $ | 17,034 | $ | 17,034 | $ | 17,034 | ||||||||||||||
Finance and Accounting | ||||||||||||||||||||
Gross amount | $ | 19,766 | $ | 19,766 | $ | 19,766 | ||||||||||||||
Accumulated impairment losses | (11,760 | ) | (11,760 | ) | (11,760 | ) | ||||||||||||||
Carrying value | $ | 8,006 | $ | 8,006 | $ | 8,006 | ||||||||||||||
Government Solutions | ||||||||||||||||||||
Gross amount | $ | 104,596 | $ | 102,641 | $ | 102,641 | ||||||||||||||
Accumulated impairment losses | (83,668 | ) | (83,668 | ) | (69,158 | ) | ||||||||||||||
Carrying value | $ | 20,928 | $ | 18,973 | $ | 33,483 | ||||||||||||||
Other Intangible Assets | ||||||||||||||||||||
The gross and net carrying values of intangible assets as of December 31, 2014 and 2013, by major intangible asset class, are as follows (in thousands): | ||||||||||||||||||||
31-Dec-14 | 31-Dec-13 | |||||||||||||||||||
Definite-lived intangible assets | ||||||||||||||||||||
Customer relationships, customer contracts, technology and other | ||||||||||||||||||||
Gross amount | $ | 28,603 | $ | 27,940 | ||||||||||||||||
Accumulated amortization | (25,832 | ) | (25,187 | ) | ||||||||||||||||
Carrying value | $ | 2,771 | $ | 2,753 | ||||||||||||||||
Indefinite-lived intangible assets | ||||||||||||||||||||
Trade name and trademark | ||||||||||||||||||||
Gross amount | $ | 2,240 | $ | 2,240 | ||||||||||||||||
Accumulated impairment losses | — | — | ||||||||||||||||||
Carrying value | $ | 2,240 | $ | 2,240 | ||||||||||||||||
Amortization expense on intangible assets for each of the three years ended December 31, 2014, 2013, and 2012 was $0.7 million, $0.7 million and $0.9 million, respectively. Amortization expense for 2015, 2016, 2017, 2018, 2019 and thereafter is expected to be approximately $0.8 million, $0.6 million, $0.3 million, $0.3 million, $0.3 million and $0.4 million, respectively. | ||||||||||||||||||||
There was no impairment expense related to indefinite-lived intangible assets during the years ended December 31, 2014, 2013 or 2012. |
Accounts_Payable_and_Other_Acc
Accounts Payable and Other Accrued Liabilities | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Payables and Accruals [Abstract] | ||||||||
Accounts Payable and Other Accrued Liabilities | Accounts Payable and Other Accrued Liabilities | |||||||
Accounts payable and other accrued liabilities consisted of the following (in thousands): | ||||||||
DECEMBER 31, | ||||||||
2014 | 2013 | |||||||
Accounts payable | $ | 21,863 | $ | 19,445 | ||||
Accrued liabilities | 16,241 | 12,376 | ||||||
$ | 38,104 | $ | 31,821 | |||||
Kforce utilizes a major procurement card provider to pay certain of its corporate trade payables. The balance owed to this provider for these transactions as of December 31, 2014 and 2013 was $535 thousand and $695 thousand, respectively, and has been included in accounts payable and other accrued liabilities in the accompanying Consolidated Balance Sheets. The cash flows associated with these transactions have been presented as a financing activity in the accompanying Consolidated Statement of Cash Flows. |
Accrued_Payroll_Costs
Accrued Payroll Costs | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Text Block [Abstract] | ||||||||
Accrued Payroll Costs | Accrued Payroll Costs | |||||||
Accrued payroll costs consisted of the following (in thousands): | ||||||||
DECEMBER 31, | ||||||||
2014 | 2013 | |||||||
Payroll and benefits | $ | 43,797 | $ | 43,059 | ||||
Payroll taxes | 3,062 | 9,111 | ||||||
Health insurance liabilities | 3,417 | 2,993 | ||||||
Workers’ compensation liabilities | 1,932 | 1,709 | ||||||
$ | 52,208 | $ | 56,872 | |||||
Credit_Facility
Credit Facility | 12 Months Ended |
Dec. 31, 2014 | |
Debt Disclosure [Abstract] | |
Credit Facility | Credit Facility |
On September 20, 2011, Kforce entered into a Third Amended and Restated Credit Agreement, with a syndicate led by Bank of America, N.A. This was amended on March 30, 2012 through the execution of a Consent and First Amendment, on December 27, 2013 through the execution of a Second Amendment and Joinder, and further amended on December 23, 2014 through the execution of a Third Amendment resulting in a maximum borrowing capacity of $170.0 million, as well as an accordion option of $50.0 million. The maximum borrowings available to Kforce under the Credit Facility are limited to: (a) a revolving Credit Facility of up to $170.0 million (the “Revolving Loan Amount”) and (b) a $15.0 million sub-limit included in the Credit Facility for letters of credit. | |
Available borrowings under the Credit Facility are limited to 85% of the net amount of eligible accounts receivable, plus 85% of the net amount of eligible unbilled accounts receivable, plus 80% of the net amount of eligible employee placement accounts, minus certain minimum availability reserve; provided, that the Firm may, subject to certain conditions, elect to increase the available borrowing limitation based on a percentage of the appraised fair market value of the Firm's corporate headquarters property and/or an additional percentage of net eligible accounts receivable, net eligible unbilled accounts receivable and net eligible employee placement accounts. Borrowings under the Credit Facility are secured by substantially all of the assets of the Firm, excluding the real estate located at the Firm's corporate headquarters in Tampa, Florida, unless the eligible real estate conditions are met. Outstanding borrowings under the Revolving Loan Amount bear interest at a rate of: (a) LIBOR plus an applicable margin based on various factors or (b) the higher of (1) the prime rate, (2) the federal funds rate plus 0.50% or (3) LIBOR plus 1.25%. Fluctuations in the ratio of unbilled to billed receivables could result in material changes to availability from time to time. Letters of credit issued under the Credit Facility require Kforce to pay a fronting fee equal to 0.125% of the amount of each letter of credit issued, plus a per annum fee equal to the applicable margin for LIBOR loans based on the total letters of credit outstanding. To the extent that Kforce has unused availability under the Credit Facility, an unused line fee is required to be paid on a monthly basis equal to: (a) if the average daily aggregate revolver outstanding are less than 35% of the amount of the commitments, 0.35% or (b) if the average daily aggregate revolver outstanding are greater than 35% of the amount of the commitments, 0.25% times the amount by which the maximum revolver amount exceeded the sum of the average daily aggregate revolver outstanding, during the immediately preceding month or shorter period if calculated for the first month hereafter or on the termination date. | |
Under the Credit Facility, Kforce is subject to certain affirmative and negative covenants including (but not limited to) the maintenance of a fixed charge coverage ratio of at least 1.00 to 1.00 if the Firm’s availability under the Credit Facility is less than the greater of 10% of the aggregate amount of the commitment of all of the lenders under the Credit Facility and $11 million. Our ability to make distributions or repurchase equity securities could be limited if the Firm's availability is less than the greater of 12.5% of the aggregate amount of the commitment of all lenders under the Credit Facility and $20.6 million. Kforce had availability under the Credit Facility of $39.6 million as of December 31, 2014; therefore, the minimum fixed charge coverage ratio was not applicable and our ability to make distributions or repurchase equity securities was not restricted. Kforce believes that it will be able to maintain these minimum availability requirements; however, in the event that Kforce is unable to do so, Kforce could fail the fixed charge coverage ratio, which would constitute an event of default, or could limit our ability to make distributions or repurchase equity securities. Kforce believes the likelihood of default is remote. The Credit Facility expires December 23, 2019. | |
As of December 31, 2014 and 2013, $93.3 million and $62.6 million was outstanding under the Credit Facility, respectively. During the three months ended December 31, 2014, maximum outstanding borrowings under the Credit Facility were $93.3 million. As of February 24, 2015, $97.0 million was outstanding and $39.7 million was available under the Credit Facility. |
Other_LongTerm_Liabilities
Other Long-Term Liabilities | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Text Block [Abstract] | ||||||||
Other Long-Term Liabilities | Other Long-Term Liabilities | |||||||
Other long-term liabilities consisted of the following (in thousands): | ||||||||
DECEMBER 31, | ||||||||
2014 | 2013 | |||||||
Deferred compensation plan (Note 11) | $ | 22,425 | $ | 22,247 | ||||
Supplemental executive retirement plan (Note 11) | 10,197 | 7,852 | ||||||
Supplemental executive retirement health plan (Note 11) | — | 2,627 | ||||||
Other | 3,834 | 3,830 | ||||||
$ | 36,456 | $ | 36,556 | |||||
Employee_Benefit_Plans
Employee Benefit Plans | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Postemployment Benefits [Abstract] | ||||||||||||
Employee Benefit Plans | Employee Benefit Plans | |||||||||||
Alternative Long-Term Incentive | ||||||||||||
On January 3, 2012, Kforce granted to certain executive officers an ALTI as the result of certain performance criteria established in 2011 being met, which was to be initially measured over three tranches having periods of 12, 24, and 36 months, respectively. The terms of the grants specified that the ultimate annual payouts would be based on: (a) Kforce’s common stock price changes each year relative to its peer group or (b) the achievement of other market conditions contained in the terms of the award. | ||||||||||||
As discussed within Note 2 – “Discontinued Operations,” the Board approved the acceleration of all outstanding and unvested long-term incentives, including the ALTI, effective March 31, 2012. The accelerated ALTI of $9.8 million was paid in April 2012. Kforce recognized total compensation expense related to the ALTI of $9.8 million during the year ended December 31, 2012. No compensation expense related to the ALTI was recorded during the years ended December 31, 2014 or 2013. | ||||||||||||
401(k) Savings Plans | ||||||||||||
Kforce has a qualified defined contribution 401(k) Retirement Savings Plan (the “Kforce 401(k) Plan”) covering substantially all Kforce employees. Assets of the Kforce 401(k) Plan are held in trust for the sole benefit of employees and/or their beneficiaries. On October 2, 2006, Kforce created the Kforce Government Practice Plan, a qualified defined contribution 401(k) retirement savings plan (the “Government 401(k) Plan”), which covers all eligible employees of KGS. Assets of the Government 401(k) Plan are held in trust for the sole benefit of employees and/or their beneficiaries. Employer matching contributions are discretionary and are funded annually as approved by the Board of Directors. | ||||||||||||
Kforce accrued matching contributions of $1.3 million and $1.0 million for the above plans as of December 31, 2014 and 2013, respectively. The Kforce 401(k) Plan and Government 401(k) Plan held a combined 229 thousand and 317 thousand shares of Kforce’s common stock as of December 31, 2014 and 2013, respectively. | ||||||||||||
Employee Stock Purchase Plan | ||||||||||||
Kforce’s employee stock purchase plan allows all eligible employees to purchase Kforce’s common stock at a 5% discount from its market price at the end of a rolling three-month offering period. Kforce issued 35 thousand, 41 thousand and 51 thousand shares of common stock at an average purchase price of $19.76, $14.88 and $12.55 per share during the years ended December 31, 2014, 2013 and 2012, respectively. All shares purchased under the employee stock purchase plan were settled using Kforce’s treasury stock. | ||||||||||||
Deferred Compensation Plan | ||||||||||||
Kforce has a Non-Qualified Deferred Compensation Plan (the “Kforce NQDC Plan”) and a Kforce Non-Qualified Deferred Compensation Government Practice Plan (the “Government NQDC Plan”), pursuant to which eligible management and highly compensated key employees, as defined by IRS regulations, may elect to defer all or part of their compensation to later years. These amounts are classified in accounts payable and other accrued liabilities if payable within the next year or as other long-term liabilities if payable after the next year, upon retirement or termination of employment. At December 31, 2014 and 2013, amounts included in accounts payable and other accrued liabilities related to the deferred compensation plan totaled $3.7 million and $3.1 million, respectively. Amounts included in other long-term liabilities related to the deferred compensation plan totaled $22.4 million and $22.2 million as of December 31, 2014 and 2013, respectively. Kforce has insured the lives of certain participants in the deferred compensation plan to assist in the funding of the deferred compensation liability. Compensation income from continuing operations of $187 thousand was recognized for the plans for the year ended December 31, 2014. Compensation expense from continuing operations of $566 thousand and $635 thousand was recognized for the plans for the years ended December 31, 2013 and 2012, respectively. | ||||||||||||
Employee distributions are being funded through proceeds from the sale of assets held within our Rabbi Trust. The fair value of the assets within the Rabbi Trust, including the cash surrender value of the Company-owned life insurance policies and money market funds, was $25.7 million and $24.9 million as of December 31, 2014 and 2013, respectively, and is recorded in Other assets, net in the accompanying Consolidated Balance Sheets. For the years ended December 31, 2014, 2013 and 2012, there was nil, $15 thousand in losses and $519 thousand in gains, respectively, attributable to the investments in trading securities, including both money market funds and bond mutual funds, which is included in selling, general and administrative expenses in the Consolidated Statements of Operations and Comprehensive Income (Loss). | ||||||||||||
Foreign Pension Plan | ||||||||||||
Kforce maintains a foreign defined benefit pension plan for eligible employees of the Philippine branch of Global that is required by Philippine labor laws. The plan defines retirement as those employees who have attained the age of 60 and have completed at least five years of credited service. Benefits payable under the plan equate to one-half month’s salary for each year of credited service. Benefits under the plan are paid out as a lump sum to eligible employees at retirement. | ||||||||||||
The significant assumptions used by Kforce in the actuarial valuation include the discount rate, the estimated rate of future annual compensation increases and the estimated turnover rate. As of December 31, 2014, 2013 and 2012, the discount rate used to determine the actuarial present value of the projected benefit obligation and pension expense was 4.7%, 5.0% and 6.0%, respectively. The discount rate was determined based on long-term Philippine government securities yields commensurate with the expected payout of the benefit obligation. The estimated rate of future annual compensation increases as of December 31, 2014, 2013 and 2012 was 3.0%, and was based on historical compensation increases, as well as future expectations. The Company applies a turnover rate to the specific age of each group of employees, which ranges from 20 to 64 years of age. For the years ended December 31, 2014, 2013 and 2012, net periodic benefit cost was $124 thousand, $92 thousand and $128 thousand, respectively. | ||||||||||||
As of December 31, 2014 and 2013, the projected benefit obligation associated with our foreign defined benefit pension plan was $1.6 million and $1.4 million, respectively, which is classified in other long-term liabilities in the accompanying Consolidated Balance Sheets. | ||||||||||||
Supplemental Executive Retirement Plan | ||||||||||||
Kforce maintains a SERP for the benefit of certain executive officers. The primary goals of the SERP are to create an additional wealth accumulation opportunity, restore lost qualified pension benefits due to government limitations and retain our covered executive officers. The SERP is a non-qualified benefit plan and does not include elective deferrals of covered executive officers’ compensation. | ||||||||||||
Normal retirement age under the SERP is defined as age 65; however, certain conditions allow for early retirement as early as age 55 or upon a change in control. Vesting under the plan is defined as 100% upon a participant’s attainment of age 55 and 10 years of service and 0% prior to a participant’s attainment of age 55 and 10 years of service. Full vesting also occurs if a participant with five years or more of service is involuntarily terminated by Kforce without cause or upon death, disability or a change in control. The SERP is funded entirely by Kforce, and benefits are taxable to the covered executive officer upon receipt and deductible by Kforce when paid. Benefits payable under the SERP upon the occurrence of a qualifying distribution event, as defined, are targeted at 45% of the covered executive officers’ average salary and bonus, as defined, from the three years in which the covered executive officer earned the highest salary and bonus during the last 10 years of employment, which is subject to adjustment for retirement prior to the normal retirement age and the participant’s vesting percentage. The benefits under the SERP are reduced for a participant that has not reached age 62 with 10 years of service or age 55 with 25 years of service with a percentage reduction up to the normal retirement age. | ||||||||||||
Benefits under the SERP are normally paid based on the lump sum present value but may be paid over the life of the covered executive officer or 10-year annuity, as elected by the covered executive officer upon commencement of participation in the SERP. None of the benefits earned pursuant to the SERP are attributable to services provided prior to the effective date of the plan. For purposes of the measurement of the benefit obligation as of December 31, 2014, Kforce has assumed that all participants will elect to take the lump sum present value option based on historical trends. | ||||||||||||
Actuarial Assumptions | ||||||||||||
The following represents the actuarial assumptions used to determine the actuarial present value of projected benefit obligations at: | ||||||||||||
DECEMBER 31, | ||||||||||||
2014 | 2013 | |||||||||||
Discount rate | 3.75 | % | 3.75 | % | ||||||||
Expected long-term rate of return on plan assets | — | % | — | % | ||||||||
Rate of future compensation increase | 4 | % | 4 | % | ||||||||
The following represents the weighted average actuarial assumptions used to determine net periodic benefit cost for the years ended: | ||||||||||||
DECEMBER 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Discount rate | 3.75 | % | 2.5 | % | 3.25 | % | ||||||
Expected long-term rate of return on plan assets | — | % | — | % | — | % | ||||||
Rate of future compensation increase | 4 | % | 4 | % | 4 | % | ||||||
The discount rate was determined using the Moody’s Aa long-term corporate bond yield as of the measurement date with a maturity commensurate with the expected payout of the SERP obligation. This rate is also compared against the Citigroup Pension Discount Curve and Liability Index to ensure the rate used is reasonable and may be adjusted accordingly. This index is widely used by companies throughout the United States and is considered to be one of the preferred standards for establishing a discount rate. | ||||||||||||
Due to the SERP being unfunded as of December 31, 2014 and 2013, it is not necessary for Kforce to determine the expected long-term rate of return on plan assets. Once funded, Kforce will determine the expected long-term rate of return on plan assets by determining the composition of the asset portfolio, the historical long-term investment performance and the current market conditions. The assumed rate of future compensation increases is based on a combination of factors, including the historical compensation increases for its covered executive officers and future target compensation levels for its covered executive officers taking into account the covered executive officers' assumed retirement date. | ||||||||||||
The periodic benefit cost is based on actuarial assumptions that are reviewed on an annual basis; however, Kforce monitors these assumptions on a periodic basis to ensure that they accurately reflect current expectations of the cost of providing retirement benefits. | ||||||||||||
Net Periodic Benefit Cost | ||||||||||||
The following represents the components of net periodic benefit cost for the years ended (in thousands): | ||||||||||||
DECEMBER 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Service cost | $ | 1,164 | $ | 2,018 | $ | 2,087 | ||||||
Interest cost | 294 | 471 | 560 | |||||||||
Amortization of actuarial loss | — | 97 | 164 | |||||||||
Settlement loss | — | 24 | — | |||||||||
Net periodic benefit cost | $ | 1,458 | $ | 2,610 | $ | 2,811 | ||||||
Changes in Benefit Obligation | ||||||||||||
The following represents the changes in the benefit obligation for the years ended (in thousands): | ||||||||||||
DECEMBER 31, | ||||||||||||
2014 | 2013 | |||||||||||
Projected benefit obligation, beginning | $ | 7,852 | $ | 19,658 | ||||||||
Service cost | 1,164 | 2,018 | ||||||||||
Interest cost | 294 | 471 | ||||||||||
Actuarial experience and changes in actuarial assumptions | 887 | (1,475 | ) | |||||||||
Curtailment | — | (2,138 | ) | |||||||||
Benefits Paid | — | (10,682 | ) | |||||||||
Projected benefit obligation, ending | $ | 10,197 | $ | 7,852 | ||||||||
During the year ended December 31, 2014, there were no payments made under the SERP. During the three months ended December 31, 2013, in connection with the Firm’s organizational realignment, two participants in the SERP were terminated, resulting in a curtailment of $2.1 million to the projected benefit obligation. Additionally, during the three months ended December 31, 2013, Kforce made a lump sum payment to a participant in the SERP of $10.7 million as a result of the participant’s separation from service on June 1, 2013. The present value of the projected benefit obligation as of December 31, 2014 and 2013 was $10.2 million and $7.9 million, respectively, and is recorded in other long-term liabilities in the accompanying Consolidated Balance Sheets. | ||||||||||||
Contributions | ||||||||||||
There is no requirement for Kforce to fund the SERP and, as a result, no contributions have been made to the SERP through the year ended December 31, 2014. Kforce does not currently anticipate funding the SERP during the year ending December 31, 2015. | ||||||||||||
Estimated Future Benefit Payments | ||||||||||||
Undiscounted benefit payments by the SERP, which reflect the anticipated future service of participants, expected to be paid are as follows (in thousands): | ||||||||||||
PROJECTED ANNUAL | ||||||||||||
BENEFIT PAYMENTS | ||||||||||||
2015 | $ | — | ||||||||||
2016 | — | |||||||||||
2017 | — | |||||||||||
2018 | — | |||||||||||
2019 | 9,187 | |||||||||||
2020-2024 | — | |||||||||||
Thereafter | 4,081 | |||||||||||
Supplemental Executive Retirement Health Plan | ||||||||||||
Kforce maintained a Supplemental Executive Retirement Health Plan (“SERHP”) to provide post-retirement health and welfare benefits to certain executives. The vesting and eligibility requirements mirrored that of the SERP, and no advance funding was required by Kforce or the participants. Consistent with the SERP, none of the benefits earned were attributable to services provided prior to the effective date of the plan. | ||||||||||||
During the year ended December 31, 2014, Kforce terminated the Company's SERHP and settled all future benefit obligations by making lump sum payments totaling approximately $3.9 million, which resulted in a net settlement loss of $725 thousand recorded in selling, general and administrative expenses in the corresponding Consolidated Statement of Operations and Comprehensive Income (Loss). The termination effectively removed Kforce's related post-retirement benefit obligation. | ||||||||||||
During the three months ended December 31, 2013, in connection with the Firm’s organizational realignment, two participants in the SERHP were terminated, resulting in a curtailment of $785 thousand to the projected benefit obligation and in the recognition of a curtailment gain of $359 thousand recorded in selling, general and administrative expenses in the corresponding Consolidated Statement of Operations and Comprehensive Income (Loss). The current portion of the accumulated post-retirement benefit obligation as recorded in other current liabilities in the accompanying Consolidated Balance Sheets was $47 thousand as of December 31, 2013. The long-term portion of the accumulated post-retirement benefit obligation as of December 31, 2013 was $2.6 million and is recorded in other long-term liabilities in the accompanying Consolidated Balance Sheets. | ||||||||||||
Net Periodic Post-retirement Benefit Cost | ||||||||||||
The following represents the components of net periodic post-retirement benefit cost for the years ended (in thousands): | ||||||||||||
DECEMBER 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Service cost | $ | 174 | $ | 649 | $ | 919 | ||||||
Interest cost | 78 | 134 | 150 | |||||||||
Amortization of actuarial loss | — | 86 | 272 | |||||||||
Settlement/curtailment loss/(gain) | 725 | (359 | ) | — | ||||||||
Net periodic benefit cost | $ | 977 | $ | 510 | $ | 1,341 | ||||||
Changes in Post-retirement Benefit Obligation | ||||||||||||
The following represents the changes in the post-retirement benefit obligation for the years ended (in thousands): | ||||||||||||
DECEMBER 31, | ||||||||||||
2014 | 2013 | |||||||||||
Accumulated post-retirement benefit obligation, beginning | $ | 2,674 | $ | 3,574 | ||||||||
Service cost | 174 | 649 | ||||||||||
Interest cost | 78 | 134 | ||||||||||
Actuarial experience and changes in actuarial assumptions | 234 | (834 | ) | |||||||||
Settlement/curtailment loss/(gain) | 725 | (785 | ) | |||||||||
Benefits Paid | (3,885 | ) | (64 | ) | ||||||||
Accumulated post-retirement benefit obligation, ending | $ | — | $ | 2,674 | ||||||||
Fair_Value_Measurements
Fair Value Measurements | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||
Fair Value Measurements | Fair Value Measurements | |||||||||||||||
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e., an exit price) in an orderly transaction between market participants at the measurement date. It establishes a fair value hierarchy and a framework which requires categorizing assets and liabilities into one of three levels based on the assumptions (inputs) used in valuing the asset or liability. Level 1 provides the most reliable measure of fair value, while Level 3 generally requires significant management judgment. Level 1 inputs are unadjusted, quoted market prices in active markets for identical assets or liabilities. Level 2 inputs are observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets or liabilities in active markets or quoted prices for identical assets or liabilities in inactive markets. Level 3 inputs include unobservable inputs that are supported by little, infrequent, or no market activity and reflect management’s own assumptions about inputs used in pricing the asset or liability. The Company uses the following valuation techniques to measure fair value. | ||||||||||||||||
The underlying investments within Kforce’s deferred compensation plan have included money market funds, which are held within the Rabbi Trust. Assets held within the money market funds are measured on a recurring basis and are recorded at fair value based on each fund’s quoted market value per share in an active market, which is considered a Level 1 input. | ||||||||||||||||
Certain assets, in specific circumstances, are measured at fair value on a non-recurring basis utilizing Level 3 inputs such as goodwill, other intangible assets and other long-lived assets. For these assets, measurement at fair value in periods subsequent to their initial recognition would be applicable if one or more of these assets were determined to be impaired. | ||||||||||||||||
There were no transfers into or out of Level 1, 2 or 3 assets during the years ended December 31, 2014 and 2013. Transfers between levels are deemed to have occurred if the lowest level of input were to change. | ||||||||||||||||
Kforce’s measurements at fair value on a recurring and non-recurring basis as of December 31, 2014 and 2013 were as follows (in thousands): | ||||||||||||||||
Assets/(Liabilities) Measured at Fair Value: | Asset/(Liability) | Quoted Prices in | Significant | Significant | ||||||||||||
Active Markets | Other | Unobservable | ||||||||||||||
for Identical | Observable | Inputs (Level 3) | ||||||||||||||
Assets (Level 1) | Inputs (Level 2) | |||||||||||||||
As of December 31, 2014 | ||||||||||||||||
Recurring basis: | ||||||||||||||||
Money market funds (1) | $ | — | $ | — | $ | — | $ | — | ||||||||
Contingent liability (2) | $ | (477 | ) | $ | — | $ | — | $ | (477 | ) | ||||||
As of December 31, 2013 | ||||||||||||||||
Recurring basis: | ||||||||||||||||
Money market funds (1) | $ | 869 | $ | 869 | $ | — | $ | — | ||||||||
Non-recurring basis: | ||||||||||||||||
Goodwill (3) | $ | 48,900 | $ | — | $ | — | $ | 48,900 | ||||||||
-1 | See Note 11 – “Employee Benefit Plans” and Note 5 – “Other Assets” for additional discussion. | |||||||||||||||
-2 | The contingent liability relates to the acquisition of a business within our GS reporting segment. | |||||||||||||||
-3 | This amount is representative of the aggregated goodwill balance. The portion measured at fair value as of December 31, 2013 of $19.0 million was related to the GS segment. The remaining portion of the goodwill balance presented is at carrying value. See Note 6 – “Goodwill and Other Intangible Assets” for additional discussion. |
Stock_Incentive_Plans
Stock Incentive Plans | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||
Stock Incentive Plans | Stock Incentive Plans | ||||||||||||||||
On April 5, 2013, the shareholders approved the 2013 Stock Incentive Plan, which was previously adopted by the Board on March 1, 2013, subject to shareholder approval. The aggregate number of shares of common stock that are subject to awards under the 2013 Stock Incentive Plan, subject to adjustment upon a change in capitalization, is 4.0 million. On June 20, 2006, the shareholders approved the 2006 Stock Incentive Plan and, as amended, the aggregate number of shares of common stock that are subject to awards is 7.9 million. | |||||||||||||||||
The 2013 Stock Incentive Plan and 2006 Stock Incentive Plan allow for the issuance of stock options, SARs, restricted stock and common stock, subject to share availability. Vesting of equity instruments is determined on a grant-by-grant basis. Options expire at the end of 10 years from the date of grant, and Kforce issues new shares upon exercise of options. | |||||||||||||||||
The 2013 Stock Incentive Plan terminates on April 5, 2023 and the 2006 Stock Incentive Plan terminates on April 28, 2016. The Incentive Stock Option Plan expired in 2005. | |||||||||||||||||
Total stock-based compensation expense recognized related to all equity awards during the years ended December 31, 2014, 2013 and 2012 was $5.5 million, $2.6 million and $26.2 million, respectively. During the years ended December 31, 2014, 2013 and 2012, Kforce recognized stock-based compensation expense from continuing operations of $3.0 million, $2.6 million and $26.2 million, respectively. The related tax benefit for the three years ended December 31, 2014 was $1.2 million, $1.0 million and $10.2 million, respectively. | |||||||||||||||||
Stock Options | |||||||||||||||||
The following table presents the activity under each of the stock incentive plans discussed above for the three years ended December 31, 2014, 2013 and 2012 (in thousands, except per share amounts): | |||||||||||||||||
Incentive | 2006 Stock | Total | Weighted | Total | |||||||||||||
Stock | Incentive | Average | Intrinsic | ||||||||||||||
Option | Plan | Exercise | Value of | ||||||||||||||
Plan | Price Per | Options | |||||||||||||||
Share | Exercised | ||||||||||||||||
Outstanding as of December 31, 2011 | 226 | 98 | 324 | $ | 10.79 | ||||||||||||
Exercised | (65 | ) | (5 | ) | (70 | ) | $ | 10.48 | $ | 238 | |||||||
Forfeited/Cancelled | (7 | ) | — | (7 | ) | $ | 11 | ||||||||||
Outstanding as of December 31, 2012 | 154 | 93 | 247 | $ | 10.87 | ||||||||||||
Exercised | (57 | ) | (10 | ) | (67 | ) | $ | 8.98 | $ | 573 | |||||||
Forfeited/Cancelled | — | — | — | $ | — | ||||||||||||
Outstanding as of December 31, 2013 | 97 | 83 | 180 | $ | 11.57 | ||||||||||||
Exercised | (57 | ) | (48 | ) | (105 | ) | $ | 11.61 | $ | 1,029 | |||||||
Forfeited/Cancelled | (18 | ) | — | (18 | ) | $ | 11 | ||||||||||
Outstanding and Exercisable as of December 31, 2014 | 22 | 35 | 57 | $ | 11.69 | ||||||||||||
The following table summarizes information about employee and director stock options under all of the plans mentioned above as of December 31, 2014 (in thousands, except per share amounts): | |||||||||||||||||
OUTSTANDING AND EXERCISABLE | |||||||||||||||||
Range of Exercise Prices | Number of Awards (#) | Weighted Average | Weighted | Total | |||||||||||||
Remaining | Average | Intrinsic | |||||||||||||||
Contractual Term | Exercise | Value | |||||||||||||||
(Yrs) | Price ($) | ||||||||||||||||
$0.00 - $9.13 | — | — | $ | — | $ | — | |||||||||||
$9.13 - $14.45 | 57 | 1.56 | $ | 11.69 | 713 | ||||||||||||
57 | 1.56 | $ | 11.69 | $ | 713 | ||||||||||||
No compensation expense was recorded during the years ended December 31, 2014, 2013 or 2012 as a result of the grant date fair value having been fully amortized as of December 31, 2009. As of December 31, 2014, there was no unrecognized compensation cost related to non-vested options. | |||||||||||||||||
Restricted Stock | |||||||||||||||||
Kforce's annual restricted stock grants made to executives and management are generally based on the extent by which annual long-term incentive performance goals, which are established by Kforce’s Compensation Committee during the first quarter of the year of performance, have been met, as determined by the Compensation Committee. Additionally, Kforce, with the approval of the Compensation Committee, grants restricted stock in varying amounts as determined appropriate during the year to retain executives and management. Restricted stock granted during the year ended December 31, 2014 will vest over a period of two to ten years, with equal vesting annually. | |||||||||||||||||
During the three months ended December 31, 2013, Kforce granted certain restricted stock awards containing time-based vesting terms of ten years with an equal number of shares vesting in each of years six through ten, as well as a performance-accelerations feature upon which vesting would accelerate if Kforce's closing stock price exceeded the stock price at the date of grant by a pre-established percentage for a period of ten trading days. During the three months ended March 31, 2014, the Firm modified all awards containing a performance-acceleration feature that were granted during the three months ended December 31, 2013, as follows: (1) eliminated the performance-acceleration feature and (2) reduced the time-based vesting term to five years, with equal vesting annually. The total number of restricted shares impacted by this modification was 268 thousand, excluding already forfeited shares, and the number of employees impacted was 87. The total incremental compensation cost resulting from the modification was $109 thousand, which will be amortized on a straight-line basis over the requisite service period of the modified awards. | |||||||||||||||||
Restricted stock contain the same voting rights as other common stock and are included in the number of shares of common stock issued and outstanding. Restricted stock contain the right to forfeitable dividends in the form of additional shares of restricted stock at the same rate as the cash dividend on common stock and containing the same vesting provisions as the underlying award. The following table presents the activity for the three years ended December 31, 2014 (in thousands, except per share amounts): | |||||||||||||||||
Number of Restricted Stock | Weighted Average | Total Intrinsic | |||||||||||||||
Grant Date | Value of Restricted | ||||||||||||||||
Fair Value | Stock Vested | ||||||||||||||||
Outstanding as of December 31, 2011 | 3,334 | $ | 14.3 | — | |||||||||||||
Granted | 288 | $ | 12.67 | — | |||||||||||||
Vested | (3,191 | ) | $ | 14.15 | $ | 47,407 | |||||||||||
Forfeited (a) | (393 | ) | $ | 16.37 | — | ||||||||||||
Outstanding as of December 31, 2012 | 38 | $ | 12.11 | — | |||||||||||||
Granted | 904 | $ | 16.72 | — | |||||||||||||
Vested | (109 | ) | $ | 14.15 | $ | 2,092 | |||||||||||
Forfeited | (22 | ) | $ | 15.43 | — | ||||||||||||
Outstanding as of December 31, 2013 | 811 | $ | 16.89 | — | |||||||||||||
Granted | 528 | $ | 20.18 | — | |||||||||||||
Vested | (273 | ) | $ | 17.37 | $ | 5,624 | |||||||||||
Forfeited | (84 | ) | $ | 18.38 | — | ||||||||||||
Outstanding as of December 31, 2014 | 982 | $ | 18.55 | — | |||||||||||||
(a) | In February 2012, the Compensation Committee certified 2011 performance measures, which resulted in the forfeiture of approximately 393 thousand of these shares of restricted stock which was consistent with estimated forfeitures during 2011 that was used for compensation expense recognition purposes. | ||||||||||||||||
The fair market value of restricted stock is determined based on the closing stock price of Kforce’s common stock at the date of grant, and is amortized on a straight-line basis over the requisite service period. | |||||||||||||||||
In connection with the disposition of HIM, as discussed within Note 2 – “Discontinued Operations,” stock-based compensation related to acceleration of restricted stock was approximately $0.6 million. | |||||||||||||||||
In connection with the Firm’s organizational realignment, Kforce terminated two of its covered executive officers during the three months ended December 31, 2013. In connection with their termination, Kforce accelerated the vesting of their restricted stock and, as a result, accelerated all of the related unrecognized compensation expense associated with these awards of $1.1 million during the three months ended December 31, 2013. | |||||||||||||||||
As discussed within Note 2 – “Discontinued Operations,” the Board approved the vesting acceleration of substantially all of the outstanding and unvested long-term incentives, including the restricted stock, effective March 31, 2012. As a result of the acceleration, Kforce accelerated all of the previously unrecognized compensation expense associated with these awards of $22.2 million during the three months ended December 31, 2013. | |||||||||||||||||
As of December 31, 2014, total unrecognized compensation expense related to restricted stock was $11.5 million, which will be recognized over a weighted average remaining period of 4.8 years. | |||||||||||||||||
Common Stock | |||||||||||||||||
As discussed within Note 2 – “Discontinued Operations,” the transaction expense related to the sale of HIM included commissions and transaction bonuses paid by the Firm in the form of Kforce common stock. As a result, during the year ended December 31, 2014, Kforce issued 92 thousand shares of common stock and recognized stock-based compensation expense of approximately $1.8 million. |
Organizational_Realignment
Organizational Realignment | 12 Months Ended |
Dec. 31, 2014 | |
Restructuring and Related Activities [Abstract] | |
Organizational Realignment | Organizational Realignment |
During October 2013, the Firm commenced a plan to streamline its leadership and support-related structure to better align a higher percentage of personnel in roles that are closest to the customer through an organizational realignment. The new organizational design was intended to provide improved accountability and deliver better results for our clients, consultants and core personnel. As a result of the organizational realignment, Kforce incurred severance and termination-related expenses of $7.1 million during the three months ended December 31, 2013, which was recorded within selling, general and administrative expenses in the Consolidated Statement of Operations and Comprehensive Income (Loss). The severance and termination-related expenses included the acceleration of previously unrecorded stock compensation expense of $1.1 million. |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ||||||||||||||||||||||||||||
Commitments and Contingencies | Commitments and Contingencies | |||||||||||||||||||||||||||
Lease Commitments | ||||||||||||||||||||||||||||
Kforce leases space and operating assets under operating and capital leases expiring at various dates, with some leases cancelable upon 30 to 90 days' notice and with some leases containing escalation in rent clauses. The leases require Kforce to pay taxes, insurance and maintenance costs, in addition to rental payments. | ||||||||||||||||||||||||||||
Future minimum lease payments, inclusive of accelerated lease payments, under non-cancelable capital and operating leases are summarized as follows (in thousands): | ||||||||||||||||||||||||||||
2015 | 2016 | 2017 | 2018 | 2019 | Thereafter | Total | ||||||||||||||||||||||
Capital leases | ||||||||||||||||||||||||||||
Present value of payments | $ | 1,090 | $ | 429 | $ | 129 | $ | 4 | $ | — | $ | — | $ | 1,652 | ||||||||||||||
Interest | 51 | 41 | 13 | 2 | — | — | 107 | |||||||||||||||||||||
Capital lease payments | $ | 1,141 | $ | 470 | $ | 142 | $ | 6 | $ | — | $ | — | $ | 1,759 | ||||||||||||||
Operating leases | ||||||||||||||||||||||||||||
Facilities | $ | 6,236 | $ | 5,464 | $ | 3,601 | $ | 1,634 | $ | 716 | $ | 339 | $ | 17,990 | ||||||||||||||
Furniture and equipment | 112 | 34 | — | — | — | — | 146 | |||||||||||||||||||||
Total operating leases | $ | 6,348 | $ | 5,498 | $ | 3,601 | $ | 1,634 | $ | 716 | $ | 339 | $ | 18,136 | ||||||||||||||
Total leases | $ | 7,489 | $ | 5,968 | $ | 3,743 | $ | 1,640 | $ | 716 | $ | 339 | $ | 19,895 | ||||||||||||||
The present value of the minimum lease payments for capital lease obligations has been classified in other current liabilities and long-term debt – other, according to their respective maturities. Rental expense under operating leases was $5.6 million, $5.3 million and $5.2 million for the years ended December 31, 2014, 2013 and 2012, respectively. | ||||||||||||||||||||||||||||
Purchase Commitments | ||||||||||||||||||||||||||||
Kforce has entered into various commitments including, among others, a compensation software hosting and licensing arrangement, and a commitment for data center fees for certain of our information technology applications. As of December 31, 2014, these commitments amounted to approximately $12.6 million and are expected to be paid as follows: $7.6 million in 2015; $4.0 million in 2016; $1.0 million in 2017; $11 thousand in 2018; and nil in 2019. | ||||||||||||||||||||||||||||
Letters of Credit | ||||||||||||||||||||||||||||
Kforce provides letters of credit to certain vendors in lieu of cash deposits. At December 31, 2014, Kforce had letters of credit outstanding for workers’ compensation and other insurance coverage totaling $2.7 million, and for facility lease deposits totaling $0.5 million. | ||||||||||||||||||||||||||||
Litigation | ||||||||||||||||||||||||||||
We are involved in legal proceedings, claims, and administrative matters that arise in the ordinary course of our business. We have made accruals with respect to certain of these matters, where appropriate, that are reflected in our consolidated financial statements but are not, individually or in the aggregate, considered material. For other matters for which an accrual has not been made, we have not yet determined that a loss is probable or the amount of loss cannot be reasonably estimated. While the ultimate outcome of the matters cannot be determined, we currently do not expect that these proceedings and claims, individually or in the aggregate, will have a material effect on our consolidated financial position, results of operations, or cash flows. The outcome of any litigation is inherently uncertain, however, and if decided adversely to us, or if we determine that settlement of particular litigation is appropriate, we may be subject to liability that could have a material adverse effect on our consolidated financial position, results of operations, or cash flows. Kforce maintains liability insurance in such amounts and with such coverage and deductibles as management believes is reasonable. The principal liability risks that Kforce insures against are workers’ compensation, personal injury, bodily injury, property damage, directors’ and officers’ liability, errors and omissions, employment practices liability and fidelity losses. There can be no assurance that Kforce’s liability insurance will cover all events or that the limits of coverage will be sufficient to fully cover all liabilities. Accordingly, we disclose matters below for which a material loss is reasonably possible. In each case, however, except where otherwise noted, we have either determined that the range of loss is not reasonably estimable or that any reasonably estimable range of loss is not material to our consolidated financial statements. | ||||||||||||||||||||||||||||
On February 19, 2014, the United States District Court for the Middle District of Florida unsealed a qui tam complaint that had been filed by a terminated former employee in June of 2013. The complaint was filed against Kforce and Kforce Government Solutions Inc., was captioned United States of America and William Turner, Relator v. Kforce Government Solutions Inc. and Kforce Inc., Case No. 8:13-cv-1517-T-36TBM, and was amended on April 14, 2014. The amended complaint alleges False Claims Act and federal and state whistleblower statute violations and certain accounting irregularities, as well as employment law and defamation claims. On June 13, 2014, the defendants filed a motion to dismiss the complaint. On October 8, 2014, the United States government filed a notice of its election to decline to intervene in the case. On November 10, 2014, the court granted the defendants’ motion to dismiss all federal claims with prejudice, and also dismissed the state law claims without prejudice for lack of jurisdiction. Mr. Turner appealed the court’s ruling to the United States Court of Appeals for the Eleventh Circuit, where the case is currently pending as USCA Case No. 14-15529. | ||||||||||||||||||||||||||||
Tax Audits | ||||||||||||||||||||||||||||
Kforce is periodically subject to IRS audits, as well as state and other local income tax audits for various tax years. During 2014, the IRS finished an examination of Kforce’s U.S. income tax return for 2010 and 2011 with no material adjustments. During 2013, the IRS finished an examination of Kforce’s United States income tax return for 2009 with no material adjustments, and no settlements. Although Kforce has not experienced any material liabilities in the past due to income tax audits, Kforce can make no assurances that this will continue. | ||||||||||||||||||||||||||||
Employment Agreements | ||||||||||||||||||||||||||||
Kforce has entered into employment agreements with certain executives that provide for minimum compensation, salary and continuation of certain benefits for a six-month to a three-year period under certain circumstances. Certain of the agreements also provide for a severance payment of one to three times annual salary and one half to three times average annual bonus if such an agreement is terminated without good cause by Kforce or for good reason by the executive. These agreements contain certain post-employment restrictive covenants. Kforce’s liability at December 31, 2014 would be approximately $19.2 million if, following a change in control, all of the executives under contract were terminated without good cause by the employer or if the executives resigned for good reason and $41.6 million if, in the absence of a change in control, all of the executives under contract were terminated by Kforce without good cause or if the executives resigned for good reason. | ||||||||||||||||||||||||||||
Kforce has not recorded any liability related to the employment agreements as no events have occurred that would require payment under the agreements. |
Reportable_Segments
Reportable Segments | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Segment Reporting [Abstract] | ||||||||||||||||
Reportable Segments | Reportable Segments | |||||||||||||||
Kforce’s reportable segments are as follows: (1) Tech; (2) FA; and (3) 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 the Board of Directors and our CODM. Kforce also reports Flexible billings and Search fees separately by segment, which has been incorporated into the table below. The following table has been updated to reflect the disposition of HIM and KCR. As described in Note 2 – “Discontinued Operations,” all revenues and gross profit associated with the discontinued operations have been recorded within income from discontinued operations, net of tax, in the Consolidated Statement of Operations and Comprehensive Income (Loss). | ||||||||||||||||
Historically, and through our year ended December 31, 2014, 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 from continuing operations separately by segment as our operations are largely combined. | ||||||||||||||||
The following table provides information concerning the operations of our segments for the years ended December 31, 2014, 2013 and 2012 (in thousands): | ||||||||||||||||
Technology | Finance and | Government | Total | |||||||||||||
Accounting | Solutions | |||||||||||||||
2014 | ||||||||||||||||
Net service revenues | ||||||||||||||||
Flexible billings | $ | 823,311 | $ | 249,274 | $ | 98,051 | $ | 1,170,636 | ||||||||
Search fees | 19,158 | 27,537 | — | 46,695 | ||||||||||||
Total revenue | $ | 842,469 | $ | 276,811 | $ | 98,051 | $ | 1,217,331 | ||||||||
Gross profit | $ | 243,085 | $ | 101,071 | $ | 30,425 | $ | 374,581 | ||||||||
Operating expenses | 326,624 | |||||||||||||||
Income from continuing operations, before income taxes | $ | 47,957 | ||||||||||||||
2013 | ||||||||||||||||
Net service revenues | ||||||||||||||||
Flexible billings | $ | 720,179 | $ | 213,158 | $ | 91,949 | $ | 1,025,286 | ||||||||
Search fees | 19,183 | 29,259 | — | 48,442 | ||||||||||||
Total revenue | $ | 739,362 | $ | 242,417 | $ | 91,949 | $ | 1,073,728 | ||||||||
Gross profit | $ | 219,360 | $ | 93,663 | $ | 31,353 | $ | 344,376 | ||||||||
Operating expenses | 333,447 | |||||||||||||||
Income from continuing operations, before income taxes | $ | 10,929 | ||||||||||||||
2012 | ||||||||||||||||
Net service revenues | ||||||||||||||||
Flexible billings | $ | 655,062 | $ | 211,797 | $ | 91,424 | $ | 958,283 | ||||||||
Search fees | 20,525 | 26,679 | — | 47,204 | ||||||||||||
Total revenue | $ | 675,587 | $ | 238,476 | $ | 91,424 | $ | 1,005,487 | ||||||||
Gross profit | $ | 200,738 | $ | 91,124 | $ | 28,724 | $ | 320,586 | ||||||||
Operating expenses | 386,944 | |||||||||||||||
Loss from continuing operations, before income taxes | $ | (66,358 | ) |
Quarterly_Financial_Data_Unaud
Quarterly Financial Data (Unaudited) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||||||
Quarterly Financial Data (Unaudited) | Quarterly Financial Data (Unaudited) | |||||||||||||||
The quarterly financial data presented below has been adjusted, where applicable, to reflect the discontinued operations of HIM, which is more fully described in Note 2 – “Discontinued Operations.” Certain prior quarter amounts have been reclassified to conform with current year presentation and may not tie back to quarterly filings. The following table provides quarterly information for the years ended December 31, 2014, 2013 and 2012 (in thousands, except per share amounts): | ||||||||||||||||
THREE MONTHS ENDED | ||||||||||||||||
March 31 | June 30 | September 30 | December 31 | |||||||||||||
2014 | ||||||||||||||||
Net service revenues | $ | 282,024 | $ | 302,758 | $ | 313,810 | $ | 318,739 | ||||||||
Gross profit | 83,526 | 94,386 | 98,291 | 98,378 | ||||||||||||
Income from continuing operations, net of income taxes | 4,389 | 7,953 | 7,995 | 9,061 | ||||||||||||
Income (loss) from discontinued operations, net of income taxes | 1,860 | 2,750 | 57,023 | (116 | ) | |||||||||||
Net income | 6,249 | 10,703 | 65,018 | 8,945 | ||||||||||||
Earnings per share-basic | $ | 0.19 | $ | 0.33 | $ | 2.07 | $ | 0.3 | ||||||||
Earnings per share-diluted | $ | 0.19 | $ | 0.33 | $ | 2.06 | $ | 0.3 | ||||||||
2013 | ||||||||||||||||
Net service revenues | $ | 246,991 | $ | 264,720 | $ | 279,956 | $ | 282,061 | ||||||||
Gross profit | 77,355 | 86,595 | 91,055 | 89,371 | ||||||||||||
Income (loss) from continuing operations, net of income taxes | 1,929 | 5,443 | 7,636 | (9,714 | ) | |||||||||||
Income from discontinued operations, net of income taxes | 1,165 | 1,505 | 1,343 | 1,480 | ||||||||||||
Net income (loss) | 3,094 | 6,948 | 8,979 | (8,234 | ) | |||||||||||
Earnings (loss) per share-basic | $ | 0.09 | $ | 0.21 | $ | 0.27 | $ | (0.25 | ) | |||||||
Earnings (loss) per share-diluted | $ | 0.09 | $ | 0.21 | $ | 0.27 | $ | (0.25 | ) | |||||||
During the third quarter of 2014, in connection with the disposition of HIM, the income from discontinued operations included a gain, net of transactions costs, on the sale of discontinued operations of $94.3 million pretax, or $56.1 million after tax. The transactions costs primarily included legal fees, stock-based compensation related to the acceleration of restricted stock, commissions and transaction bonuses in the form of cash and common stock, which in the aggregate, totaled $11.0 million. Stock-based compensation related to the acceleration of restricted stock and transaction bonuses paid in stock in lieu of cash was $2.4 million. | ||||||||||||||||
During the fourth quarter of 2013, the Firm executed an organizational realignment plan and incurred severance and termination-related expenses of $7.1 million and a Compensation Committee approved discretionary bonuses related to the realignment of $3.6 million. |
Supplemental_Cash_Flow_Informa
Supplemental Cash Flow Information | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Supplemental Cash Flow Elements [Abstract] | ||||||||||||
Supplemental Cash Flow Information | Supplemental Cash Flow Information | |||||||||||
Supplemental cash flow information is as follows for the year ended December 31 (in thousands): | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Cash paid during the period for: | ||||||||||||
Income taxes, net | $ | 52,565 | $ | 14,789 | $ | 14,456 | ||||||
Interest, net | $ | 1,048 | $ | 800 | $ | 554 | ||||||
Non-Cash Transaction Information: | ||||||||||||
Tax benefit from disqualifying dispositions of stock options and restricted stock | $ | 128 | $ | 15 | $ | 36 | ||||||
Shares tendered in payment of exercise price of stock options and SARs | $ | 84 | $ | — | $ | 161 | ||||||
Employee stock purchase plan | $ | 699 | $ | 613 | $ | 647 | ||||||
Equipment acquired under capital leases | $ | 313 | $ | 1,929 | $ | 672 | ||||||
Unsettled repurchases of common stock | $ | 1,425 | $ | — | $ | 2,498 | ||||||
Contingent consideration for acquisition | $ | 477 | $ | — | $ | — | ||||||
Schedule_II_Valuation_and_Qual
Schedule II Valuation and Qualifying Accounts and Reserves Supplemental Schedule | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||
Valuation and Qualifying Accounts [Abstract] | |||||||||||||||||||
Schedule II Valuation and Qualifying Accounts and Reserves Supplemental Schedule | SCHEDULE II | ||||||||||||||||||
KFORCE INC. AND SUBSIDIARIES | |||||||||||||||||||
VALUATION AND QUALIFYING | |||||||||||||||||||
ACCOUNTS AND RESERVES | |||||||||||||||||||
SUPPLEMENTAL SCHEDULE | |||||||||||||||||||
(in thousands) | |||||||||||||||||||
COLUMN A | COLUMN B | COLUMN C | COLUMN D | COLUMN E | |||||||||||||||
DESCRIPTION | BALANCE AT | CHARGED TO | CHARGED | DEDUCTIONS (b) | BALANCE AT | ||||||||||||||
BEGINNING OF | COSTS AND | TO OTHER | END OF | ||||||||||||||||
EXPENSES | ACCOUNTS (a) | PERIOD | |||||||||||||||||
(RECOVERY) | |||||||||||||||||||
Accounts receivable reserves | 2012 | $ | 2,457 | 1,249 | (70 | ) | (1,483 | ) | $ | 2,153 | |||||||||
2013 | $ | 2,153 | 382 | (54 | ) | (453 | ) | $ | 2,028 | ||||||||||
2014 | $ | 2,028 | 530 | 31 | (549 | ) | $ | 2,040 | |||||||||||
(a) | Charged to other accounts includes the provision for fallouts of search placements that has been deducted from net service revenues in the accompanying Consolidated Statements of Income and Comprehensive Income (Loss). | ||||||||||||||||||
(b) | Deductions include write-offs of uncollectible accounts receivable and fallouts of search placements that have been charged against the allowance for doubtful accounts, fallouts and other accounts receivables reserves. |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Accounting Policies [Abstract] | ||||||||||||
Organization and Nature of Operations | Organization and Nature of Operations | |||||||||||
Kforce Inc. and subsidiaries (collectively, “Kforce”) provide professional staffing services and solutions to customers in the following segments: Technology (“Tech”), Finance and Accounting (“FA”), and Government Solutions (“GS”). Kforce provides flexible staffing services and solutions on both a temporary and full-time basis. Kforce operates through its corporate headquarters in Tampa, Florida and 62 field offices located throughout the United States. Additionally, one of our subsidiaries, Kforce Global Solutions, Inc. (“Global”), provides information technology outsourcing services internationally through an office in Manila, Philippines. Our international operations comprised less than 2% of net service revenues for each of the three years ended December 31, 2014 and are included in our Tech segment. | ||||||||||||
Kforce serves clients from the Fortune 1000, the Federal Government, state and local governments, local and regional companies and small to mid-sized companies. | ||||||||||||
Basis of Presentation | Basis of Presentation | |||||||||||
The consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP") and the rules of the SEC. | ||||||||||||
Certain prior year amounts have been reclassified to conform with the current year presentation for amounts related to discontinued operations (see Note 2 - “Discontinued Operations” for further information on the discontinued operations). | ||||||||||||
Principles of Consolidation | Principles of Consolidation | |||||||||||
The consolidated financial statements include the accounts of Kforce Inc. and its wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. References in this document to “Kforce,” “the Company,” “we,” “the Firm,” “our” or “us” refer to Kforce Inc. and its subsidiaries, except where the context indicates otherwise. | ||||||||||||
Use of Estimates | Use of Estimates | |||||||||||
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The most important of these estimates and assumptions relate to the following: allowance for doubtful accounts, fallouts and other accounts receivable reserves; accounting for goodwill and identifiable intangible assets and any related impairment; self-insured liabilities for workers’ compensation and health insurance; stock-based compensation; obligations for pension plans and accounting for income taxes. Although these and other estimates and assumptions are based on the best available information, actual results could be materially different from these estimates. | ||||||||||||
Cash and Cash Equivalents | Cash and Cash Equivalents | |||||||||||
Kforce classifies all highly liquid investments with an original initial maturity of three months or less as cash equivalents. Cash and cash equivalents consist of cash on hand with banks, either in commercial accounts, or overnight interest-bearing money market accounts and at times may exceed federally insured limits. Cash and cash equivalents are stated at cost, which approximates fair value due to the short duration of their maturities. | ||||||||||||
Accounts Receivable Reserves | Accounts Receivable Reserves | |||||||||||
Kforce establishes its reserves for expected credit losses, fallouts, early payment discounts and revenue adjustments based on past experience and estimates of potential future activity. Specific to our allowance for doubtful accounts, which comprises a majority of our accounts receivable reserves, Kforce performs an ongoing analysis of factors including recent write-off and delinquency trends, a specific analysis of significant receivable balances that are past due, the concentration of accounts receivable among clients and higher-risk sectors, and the current state of the U.S. economy. Trade receivables are written off by Kforce after all reasonable collection efforts have been exhausted. | ||||||||||||
Revenue Recognition | Revenue Recognition | |||||||||||
Kforce considers amounts to be earned once evidence of an arrangement has been obtained, delivery has occurred, fees are fixed or determinable, and collectability is reasonably assured. We earn revenues from two primary sources: Flexible billings and Search fees. | ||||||||||||
Flexible billings are recognized as the services are provided by Kforce’s Flexible Consultants. Net service revenues represent services rendered to customers less credits, discounts, rebates and revenue-related reserves. Revenues include reimbursements of travel and out-of-pocket expenses (“billable expenses”) with equivalent amounts of expense recorded in direct costs of services. | ||||||||||||
Search fees are recognized by Kforce when employment candidates accept offers of permanent employment and are scheduled to commence employment within 30 days. Kforce records revenues net of an estimated reserve for “fallouts,” which is based on Kforce’s historical fallout experience. Fallouts occur when a candidate does not remain employed with the client through the contingency period, which is typically 90 days or less. | ||||||||||||
Our GS segment generates its revenues under contracts that are, in general, greater in duration than our other segments and which can often span several years, inclusive of renewal periods. Our GS segment does not generate any Search fees. Our GS segment generates revenues under the following contract arrangements. | ||||||||||||
• | Revenues for time-and-materials contracts, which accounts for approximately 69% of this segment’s revenue, are recorded based on contractually established billing rates at the time services are provided. | |||||||||||
• | Revenues on fixed-price contracts are recognized on the basis of the estimated percentage-of-completion. Approximately 20% of this segment’s revenues are recognized under this method. Progress towards completion is typically measured based on costs incurred as a proportion of estimated total costs or other measures of progress when applicable. Profit in a given period is reported at the expected profit margin to be achieved on the overall contract. | |||||||||||
• | Revenue on cost-plus arrangements is recognized based on allowable costs incurred plus an estimate of the applicable fees earned. Approximately 11% of this segment’s revenues are recognized under these arrangements. | |||||||||||
Direct Costs of Services | Direct Costs of Services | |||||||||||
Direct costs of services are composed of all related costs of employment for its Flexible Consultants, including payroll wages, payroll taxes, payroll-related insurance and certain fringe benefits, as well as subcontractor costs. Direct costs of services exclude depreciation and amortization expense, which is presented on a separate line in the accompanying Consolidated Statements of Operations and Comprehensive Income (Loss). | ||||||||||||
Income Taxes | Income Taxes | |||||||||||
Kforce accounts for income taxes using the asset and liability approach to the recognition of deferred tax assets and liabilities for the expected future tax consequences of differences between the financial statement carrying amounts and the tax basis of assets and liabilities. Unless it is more likely than not that a deferred tax asset can be utilized to offset future taxes, a valuation allowance is recorded against that asset. The tax benefits of deductions attributable to employees’ disqualifying dispositions of shares obtained from incentive stock options, exercises of non-qualified stock options, and vesting of restricted stock are reflected as increases in additional paid-in capital. | ||||||||||||
Kforce evaluates tax positions that have been taken or are expected to be taken in its tax returns, and records a liability for uncertain tax positions. Kforce uses a two-step approach to recognize and measure uncertain tax positions. First, tax positions are recognized if the weight of available evidence indicates that it is more likely than not that the position will be sustained upon examination, including resolution of related appeals or litigation processes, if any. Second, tax positions are measured as the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon settlement. Kforce recognizes interest and penalties related to unrecognized tax benefits in the income tax expense (benefit) in the accompanying Consolidated Statement of Operations and Comprehensive Income (Loss). | ||||||||||||
Fair Value Measurements | Fair Value Measurements | |||||||||||
Kforce uses fair value measurements in areas that include, but are not limited to: the impairment testing of goodwill and intangible and long-lived assets; stock-based compensation arrangements; valuing the investment in money market funds within Kforce’s deferred compensation plan; and our contingent liability. The carrying values of cash and cash equivalents, accounts receivable, accounts payable, and other current assets and liabilities approximate fair value because of the short-term nature of these instruments. Using available market information and appropriate valuation methodologies, Kforce has determined the estimated fair value measurements; however, considerable judgment is required in interpreting data to develop the estimates of fair value. | ||||||||||||
Fixed Assets | Fixed Assets | |||||||||||
Fixed assets are carried at cost, less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the assets. The cost of leasehold improvements is amortized using the straight-line method over the shorter of the estimated useful lives of the assets or the terms of the related leases, which generally range from three to five years. | ||||||||||||
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets | |||||||||||
Goodwill | ||||||||||||
Kforce performs a goodwill impairment analysis, using the two-step analysis method, on an annual basis and whenever events or changes in circumstances indicate that the carrying value may not be recoverable unless it is determined, based upon a review of the qualitative factors of a reporting unit, that it is more likely than not that the fair value of a reporting unit exceeds its carrying amount, including goodwill. Under the two-step analysis method, the recoverability of goodwill is measured at the reporting unit level, which Kforce has determined to be consistent with its operating segments; by comparing the reporting unit’s carrying amount, including goodwill, to the fair market value of the reporting unit. Kforce determines the fair market value of its reporting units based on a weighting of the present value of projected future cash flows (the “income approach”) and the use of comparative market approaches under both the guideline company method and guideline transaction method (collectively, the “market approach”). Fair market value using the income approach is based on Kforce’s estimated future cash flows on a discounted basis. The market approach compares each of Kforce’s reporting units to other comparable companies based on valuation multiples derived from operational and transactional data to arrive at a fair value. Factors requiring significant judgment include, among others, the assumptions related to discount rates, forecasted operating results, long-term growth rates, the determination of comparable companies, and market multiples. Changes in economic or operating conditions, or changes in Kforce’s business strategies, that occur after the annual impairment analysis and which impact these assumptions, may result in a future goodwill impairment charge, which could be material to Kforce’s consolidated financial statements. | ||||||||||||
Other Intangible Assets | ||||||||||||
Identifiable intangible assets arising from certain of Kforce’s acquisitions include non-compete and employment agreements, contractual relationships, customer contracts, technology, and a trade name and trademark. For definite-lived intangible assets, Kforce has determined that the straight-line method is an appropriate methodology to allocate the cost over the period of expected benefit, which ranges from one to fifteen years. The impairment evaluation for indefinite-lived intangible assets, which for Kforce consists of a trademark and trade name, is conducted on an annual basis or more frequently if events or changes in circumstances indicate that an asset may be impaired. | ||||||||||||
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets | |||||||||||
Kforce reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. Recoverability of long-lived assets is measured by a comparison of the carrying amount of the asset group to the future undiscounted net cash flows expected to be generated by those assets. If such assets are considered to be impaired, the impairment charge recognized is the amount by which the carrying amounts of the assets exceed the fair value of the assets, as determined based on the present value of projected future cash flows. | ||||||||||||
Capitalized Software | Capitalized Software | |||||||||||
Kforce purchases, develops, and implements new computer software to enhance the performance of our technology infrastructure. Direct internal costs, such as payroll and payroll-related costs, and external costs incurred during the development stage of each project, are capitalized and classified as capitalized software. Kforce capitalized development-stage implementation costs of $0.4 million, $1.0 million and $1.7 million during the years ended December 31, 2014, 2013 and 2012, respectively. Capitalized software development costs are classified as other assets, net in the accompanying Consolidated Balance Sheets and are being amortized over the estimated useful lives of the software, which range from one to five years, using the straight-line method. | ||||||||||||
Commissions | Commissions | |||||||||||
Our associates make placements and earn commissions as a percentage of revenues (for Search revenue) or gross profit (for Flex revenue) pursuant to a calendar-year-basis commission plan. The amount of commissions paid as a percentage of revenues or gross profit increases as volume increases. Kforce accrues commissions for revenues or gross profit at a percentage equal to the percent of total expected commissions payable to total revenues or gross profit for the year, as applicable. | ||||||||||||
Stock-Based Compensation | Stock-Based Compensation | |||||||||||
Kforce accounts for stock-based compensation by measuring the cost of employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award. The cost is recognized over the requisite service period, net of estimated forfeitures. If the actual number of forfeitures differs from those estimated, additional adjustments to compensation expense may be required in future periods. | ||||||||||||
Workers' Compensation | Workers’ Compensation | |||||||||||
Kforce retains the economic burden for the first $250 thousand per occurrence in workers’ compensation claims except: (1) in states that require participation in state-operated insurance funds and (2) for its GS segment which is fully insured for workers’ compensation claims. Workers’ compensation includes ongoing health care and indemnity coverage for claims and may be paid over numerous years following the date of injury. Workers’ compensation expense includes insurance premiums paid, claims administration fees charged by Kforce’s workers’ compensation administrator, premiums paid to state-operated insurance funds and an estimate for Kforce’s liability for IBNR claims and for the ongoing development of existing claims. | ||||||||||||
Kforce estimates its workers’ compensation liability based upon historical claims experience, actuarially determined loss development factors, and qualitative considerations such as claims management activities. | ||||||||||||
Taxes Assessed by Governmental Agencies - Revenue Producing Transactions | Taxes Assessed by Governmental Agencies – Revenue Producing Transactions | |||||||||||
Kforce collects sales tax for various taxing authorities and it is our policy to record these amounts on a net basis; thus, sales tax amounts are not included in net service revenues. | ||||||||||||
Health Insurance | Health Insurance | |||||||||||
Except for certain fully insured health insurance lines of coverage, Kforce retains the risk of loss for each health insurance plan participant up to $275 thousand in claims annually. Additionally, for all claim amounts exceeding $275 thousand, Kforce retains the risk of loss up to an aggregate annual loss of those claims of $500 thousand. For its partially self-insured lines of coverage, health insurance costs are accrued using estimates to approximate the liability for reported claims and IBNR claims, which are primarily based upon an evaluation of historical claims experience, actuarially-determined completion factors and a qualitative review of our health insurance exposure including the extent of outstanding claims and expected changes in health insurance costs. | ||||||||||||
Accounting for Pension Benefits | Accounting for Pension Benefits | |||||||||||
Kforce recognizes the underfunded status of its defined benefit pension plans as a liability in its Consolidated Balance Sheets and recognizes changes in that funded status in the year in which the changes occur through other comprehensive income (loss). Kforce also measures the funded status of the defined benefit pension plans as of the date of its fiscal year-end, with limited exceptions. | ||||||||||||
Amortization of a net unrecognized gain or loss in accumulated other comprehensive income (loss) is included as a component of net periodic benefit cost if, as of the beginning of the year, that net gain or loss exceeds 10% of the projected benefit obligation. If amortization is required, the minimum amortization shall be that excess divided by the average remaining service period of active plan participants. | ||||||||||||
Earnings Per Share | Earnings per Share | |||||||||||
Basic earnings (loss) per share is computed as earnings (loss) divided by the weighted average number of common shares outstanding during the period. Basic weighted average shares outstanding excludes unvested shares of restricted stock. Diluted earnings (loss) per common share is computed by dividing the earnings (loss) attributable to common shareholders for the period by the weighted average number of common shares outstanding during the period plus the dilutive effect of stock options and other potentially dilutive securities such as unvested shares of restricted stock using the treasury stock method, except where the effect of including potential common shares would be anti-dilutive. Weighted average shares outstanding for purposes of computing diluted earnings per common share excludes contingently issuable unvested restricted stock unless the performance condition has been achieved as of the end of the applicable reporting period. | ||||||||||||
Treasury Stock | Treasury Stock | |||||||||||
Kforce’s Board of Directors (“Board”) may authorize share repurchases of Kforce’s common stock. Shares repurchased under Board authorizations are held in treasury for general corporate purposes, including issuances under various employee stock-based award plans. Treasury shares are accounted for under the cost method and reported as a reduction of stockholders’ equity in the accompanying consolidated financial statements. | ||||||||||||
Comprehensive Income (Loss) | Comprehensive Income (Loss) | |||||||||||
Accumulated other comprehensive income (loss) represents the net after-tax impact of unrecognized actuarial gains and losses related to: (1) the supplemental executive retirement plan which covers a limited number of executives and (2) a defined benefit plan covering all eligible employees in our Philippine operations. Because each of these plans is unfunded as of December 31, 2014, the actuarial gains and losses arise as a result of the actuarial experience of the plans, as well as changes in actuarial assumptions in measuring the associated obligation as of year-end, or an interim date if any re-measurement is necessary. This information is provided in our Consolidated Statements of Operations and Comprehensive Income (Loss). | ||||||||||||
Dividends | Dividends | |||||||||||
Kforce’s Board may, at its discretion, declare and pay dividends on the outstanding shares of Kforce’s common stock out of retained earnings, subject to statutory requirements. Dividends for any outstanding and unvested restricted stock as of the record date are awarded in the form of additional shares of forfeitable restricted stock, at the same rate as the cash dividend on common stock and based on the closing stock price on the record date. Such additional shares have the same vesting terms and conditions as the outstanding and unvested restricted stock. The following summarizes the cash dividends declared for the three years ended December 31: | ||||||||||||
YEARS ENDED DECEMBER 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Cash dividends declared per share | $ | 0.41 | $ | 0.1 | $ | 1 | ||||||
Kforce currently expects to continue to declare and pay quarterly dividends of an amount similar to its December 2014 dividend of $0.11 per share. However, the amount and payment of future dividends are discretionary and will be subject to determination by Kforce’s Board of Directors each quarter following its review of the Firm’s financial performance and legal ability to pay. | ||||||||||||
New Accounting Standards | New Accounting Standards | |||||||||||
In August 2014, the FASB issued authoritative guidance regarding disclosure of uncertainties about an entity’s ability to continue as a going concern, which requires management to evaluate, at each interim and annual reporting period, whether there are conditions or events that raise substantial doubt about the entity’s ability to continue as a going concern within one year after the date the financial statements are issued, and provide related disclosures. This guidance is to be applied for annual periods ending after December 15, 2016, and for annual and interim periods thereafter, and early adoption is permitted. We do not anticipate a material impact to the consolidated financial statements upon adoption. | ||||||||||||
In May 2014, the FASB issued authoritative guidance regarding revenue from contracts with customers, which specifies that revenue should be recognized when promised goods or services are transferred to customers in an amount that reflects the consideration which the company expects to be entitled in exchange for those goods or services. This guidance is to be applied for annual reporting periods beginning on or after December 15, 2016 and interim periods within those annual periods and will require enhanced disclosures. Kforce is currently evaluating the potential impact of the accounting and disclosure requirements on the consolidated financial statements; we do not currently anticipate a material impact to the consolidated financial statements upon adoption. | ||||||||||||
In April 2014, the FASB issued authoritative guidance regarding reporting discontinued operations and disclosures of disposals of components of an entity, which specifies additional thresholds for a disposal to qualify as a discontinued operation and requires new disclosures of both discontinued operations and certain other disposals that do not meet the definition of a discontinued operation. The guidance is to be applied for annual reporting periods beginning on or after December 15, 2014, and early adoption is permitted. Kforce elected not to adopt this standard early. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Accounting Policies [Abstract] | ||||||||||||
Computation of Basic and Diluted Earnings Per Share | The following table sets forth the computation of basic and diluted earnings (loss) per share for the three years ended December 31 (in thousands, except per share amounts): | |||||||||||
Years Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Numerator: | ||||||||||||
Income (loss) from continuing operations | $ | 29,398 | $ | 5,294 | $ | (42,131 | ) | |||||
Income from discontinued operations, net of tax | 61,517 | 5,493 | 28,428 | |||||||||
Net income (loss) | $ | 90,915 | $ | 10,787 | $ | (13,703 | ) | |||||
Denominator: | ||||||||||||
Weighted average shares outstanding – basic | 31,475 | 33,511 | 35,791 | |||||||||
Common stock equivalents | 216 | 132 | — | |||||||||
Weighted average shares outstanding – diluted | 31,691 | 33,643 | 35,791 | |||||||||
Earnings (loss) per share – basic: | ||||||||||||
From continuing operations | $ | 0.94 | $ | 0.16 | $ | (1.18 | ) | |||||
From discontinued operations | 1.95 | 0.16 | 0.8 | |||||||||
Earnings (loss) per share – basic | $ | 2.89 | $ | 0.32 | $ | (0.38 | ) | |||||
Earnings (loss) per share – diluted: | ||||||||||||
From continuing operations | $ | 0.93 | $ | 0.16 | $ | (1.18 | ) | |||||
From discontinued operations | 1.94 | 0.16 | 0.8 | |||||||||
Earnings (loss) per share – diluted | $ | 2.87 | $ | 0.32 | $ | (0.38 | ) | |||||
Summary of Cash Dividends Declared | The following summarizes the cash dividends declared for the three years ended December 31: | |||||||||||
YEARS ENDED DECEMBER 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Cash dividends declared per share | $ | 0.41 | $ | 0.1 | $ | 1 | ||||||
Discontinued_Operations_Tables
Discontinued Operations (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||||
Carrying Amounts of Major Classes of Assets and Liabilities Sold | The following table summarizes the carrying amounts of the major classes of assets and liabilities at December 31, 2013 related to the discontinued operation, including those not sold to or assumed by the Purchaser (in thousands): | ||||||||||||
December 31, 2013 | |||||||||||||
Assets: | |||||||||||||
Trade receivables | $ | 11,755 | |||||||||||
Goodwill | 4,887 | ||||||||||||
Prepaid expenses and other current assets | 219 | ||||||||||||
Fixed assets, net | 162 | ||||||||||||
Other assets, net | 88 | ||||||||||||
Total assets | 17,111 | ||||||||||||
Liabilities: | |||||||||||||
Accounts payable and other accrued liabilities | 712 | ||||||||||||
Accrued payroll costs | 4,177 | ||||||||||||
Other long-term liabilities | 868 | ||||||||||||
Total liabilities | 5,757 | ||||||||||||
Net assets | $ | 11,354 | |||||||||||
Health Information Management [Member] | |||||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||||
Summary of Income From Discontinued Operations | The following summarizes the revenues and pretax profits of HIM for the three years ended December 31 (in thousands): | ||||||||||||
YEARS ENDED DECEMBER 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Net service revenues | $ | 56,670 | $ | 78,159 | $ | 76,992 | |||||||
Income from discontinued operations, before income taxes | $ | 103,512 | $ | 9,169 | $ | 10,792 | |||||||
Kforce Clinical Research, Inc [Member] | |||||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||||
Summary of Income From Discontinued Operations | The following summarizes the revenues and pretax profits of KCR for the year ended December 31, 2012 (in thousands): | ||||||||||||
December 31, 2012 | |||||||||||||
Net service revenues | $ | 29,808 | |||||||||||
Income from discontinued operations, before income taxes | $ | 39,735 | |||||||||||
Fixed_Assets_Tables
Fixed Assets (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Property, Plant and Equipment [Abstract] | ||||||||||
Major Classifications of Fixed Assets and Related Useful Lives | Major classifications of fixed assets and related useful lives are summarized as follows (in thousands): | |||||||||
DECEMBER 31, | ||||||||||
USEFUL LIFE | 2014 | 2013 | ||||||||
Land | $ | 5,892 | $ | 5,892 | ||||||
Building and improvements | 5-40 years | 25,304 | 25,191 | |||||||
Furniture and equipment | 5-10 years | 10,881 | 9,701 | |||||||
Computer equipment | 3-5 years | 6,618 | 8,966 | |||||||
Leasehold improvements | 3-5 years | 8,347 | 6,894 | |||||||
Capital leases | 3-5 years | 3,762 | 4,306 | |||||||
60,804 | 60,950 | |||||||||
Less accumulated depreciation and amortization | (25,474 | ) | (24,222 | ) | ||||||
$ | 35,330 | $ | 36,728 | |||||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Income Tax Disclosure [Abstract] | ||||||||||||
Income Tax Expense (Benefit), Continuing Operations | The provision for income taxes from continuing operations consists of the following (in thousands): | |||||||||||
YEARS ENDED DECEMBER 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Current: | ||||||||||||
Federal | $ | 15,782 | $ | 4,140 | $ | (4,371 | ) | |||||
State | 2,527 | 449 | (1,716 | ) | ||||||||
Deferred | 250 | 1,046 | (18,140 | ) | ||||||||
$ | 18,559 | $ | 5,635 | $ | (24,227 | ) | ||||||
Effective Income Tax Rate, Continuing Operations, Tax Rate Reconciliation | The provision for income taxes from continuing operations shown above varied from the statutory federal income tax rate for those periods as follows: | |||||||||||
YEARS ENDED DECEMBER 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Federal income tax rate | 35 | % | 35 | % | 35 | % | ||||||
State income taxes, net of Federal tax effect | 3.2 | 4.1 | 5.2 | |||||||||
Non-deductible goodwill impairment | — | 4.3 | (3.4 | ) | ||||||||
Non-deductible compensation | 1.1 | — | — | |||||||||
Non-deductible meals and entertainment | 1.1 | 5.2 | — | |||||||||
Other | (1.7 | ) | 3 | (0.3 | ) | |||||||
Effective tax rate | 38.7 | % | 51.6 | % | 36.5 | % | ||||||
Components of Deferred Tax Assets and Liabilities | Deferred income tax assets and liabilities are composed of the following (in thousands): | |||||||||||
DECEMBER 31, | ||||||||||||
2014 | 2013 | |||||||||||
Deferred taxes, current: | ||||||||||||
Assets: | ||||||||||||
Accounts receivable reserves | $ | 804 | $ | 779 | ||||||||
Accrued liabilities | 3,123 | 2,902 | ||||||||||
Deferred compensation obligation | 1,426 | 1,111 | ||||||||||
Pension and post-retirement benefit plans | — | 19 | ||||||||||
Other | 75 | 75 | ||||||||||
Deferred tax assets, current | 5,428 | 4,886 | ||||||||||
Liabilities: | ||||||||||||
Prepaid expenses | (448 | ) | (224 | ) | ||||||||
Deferred tax asset, net – current | 4,980 | 4,662 | ||||||||||
Deferred taxes, non-current: | ||||||||||||
Assets: | ||||||||||||
Accrued liabilities | 649 | 579 | ||||||||||
Deferred compensation obligation | 6,324 | 6,896 | ||||||||||
Stock-based compensation | 1,185 | 773 | ||||||||||
Pension and post-retirement benefit plans | 5,125 | 4,916 | ||||||||||
Goodwill and intangible assets | 10,407 | 11,750 | ||||||||||
Deferred revenue | 28 | 106 | ||||||||||
Other | 995 | 1,531 | ||||||||||
Deferred tax assets, non-current | 24,713 | 26,551 | ||||||||||
Liabilities: | ||||||||||||
Fixed assets | (1,651 | ) | (2,693 | ) | ||||||||
Other | (122 | ) | (503 | ) | ||||||||
Deferred tax liabilities, non-current | (1,773 | ) | (3,196 | ) | ||||||||
Valuation allowance | (85 | ) | (85 | ) | ||||||||
Deferred tax asset, net – non-current | 22,855 | 23,270 | ||||||||||
Net deferred tax asset | $ | 27,835 | $ | 27,932 | ||||||||
Income Tax Uncertainties | A reconciliation of the beginning and ending amounts of unrecognized tax benefits for the years ended December 31, 2014, 2013 and 2012 is as follows (in thousands): | |||||||||||
DECEMBER 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Beginning balance | $ | 403 | $ | 133 | $ | 72 | ||||||
Additions for tax positions of prior years | 90 | 269 | 36 | |||||||||
Additions for tax positions of current year | — | 25 | 25 | |||||||||
Reductions for tax positions of prior years – lapse of applicable statutes | (35 | ) | (24 | ) | — | |||||||
Settlements | (180 | ) | — | — | ||||||||
Ending balance | $ | 278 | $ | 403 | $ | 133 | ||||||
Other_Assets_Tables
Other Assets (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||||||||
Other Assets | ||||||||
DECEMBER 31, | ||||||||
2014 | 2013 | |||||||
Assets held in Rabbi Trust | $ | 25,715 | $ | 24,910 | ||||
Capitalized software, net of amortization | 3,678 | 5,472 | ||||||
Deferred loan costs, net of amortization | 608 | 288 | ||||||
Other non-current assets | 348 | 321 | ||||||
$ | 30,349 | $ | 30,991 | |||||
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||||||||||||||||
Changes in the Carrying Amount of Goodwill in Total and for Each Reporting Unit | The following table contains a disclosure of changes in the carrying amount of goodwill in total and for each reporting unit for the two years ended December 31, 2014 and 2013 (in thousands): | |||||||||||||||||||
Technology | Finance and | Health | Government | Total | ||||||||||||||||
Accounting | Information | Solutions | ||||||||||||||||||
Management | ||||||||||||||||||||
Balance as of December 31, 2012 | $ | 17,034 | $ | 8,006 | $ | 4,887 | $ | 33,483 | $ | 63,410 | ||||||||||
Impairment of goodwill | — | — | — | (14,510 | ) | (14,510 | ) | |||||||||||||
Balance as of December 31, 2013 | $ | 17,034 | $ | 8,006 | $ | 4,887 | $ | 18,973 | $ | 48,900 | ||||||||||
Additions (a) | — | — | — | 1,955 | 1,955 | |||||||||||||||
Disposition of HIM (b) | — | — | (4,887 | ) | — | (4,887 | ) | |||||||||||||
Balance as of December 31, 2014 | $ | 17,034 | $ | 8,006 | $ | — | $ | 20,928 | $ | 45,968 | ||||||||||
(a) | The increase is due to the acquisition of a business within our GS reporting segment. | |||||||||||||||||||
(b) | The decrease is due to the disposition of our HIM reporting segment. See Note 2 – “Discontinued Operations” for additional discussion. | |||||||||||||||||||
Summary of the Gross Amount and Accumulated Impairment Losses of Goodwill | The following table contains a disclosure of the gross amount and accumulated impairment losses of goodwill for Tech, FA and GS reporting units for the three years ended December 31, 2014 (in thousands): | |||||||||||||||||||
Goodwill Carrying Value by Reporting Unit as of: | ||||||||||||||||||||
31-Dec-14 | 31-Dec-13 | 31-Dec-12 | ||||||||||||||||||
Technology | ||||||||||||||||||||
Gross amount | $ | 156,391 | $ | 156,391 | $ | 156,391 | ||||||||||||||
Accumulated impairment losses | (139,357 | ) | (139,357 | ) | (139,357 | ) | ||||||||||||||
Carrying value | $ | 17,034 | $ | 17,034 | $ | 17,034 | ||||||||||||||
Finance and Accounting | ||||||||||||||||||||
Gross amount | $ | 19,766 | $ | 19,766 | $ | 19,766 | ||||||||||||||
Accumulated impairment losses | (11,760 | ) | (11,760 | ) | (11,760 | ) | ||||||||||||||
Carrying value | $ | 8,006 | $ | 8,006 | $ | 8,006 | ||||||||||||||
Government Solutions | ||||||||||||||||||||
Gross amount | $ | 104,596 | $ | 102,641 | $ | 102,641 | ||||||||||||||
Accumulated impairment losses | (83,668 | ) | (83,668 | ) | (69,158 | ) | ||||||||||||||
Carrying value | $ | 20,928 | $ | 18,973 | $ | 33,483 | ||||||||||||||
Summary of the Gross and Net Carrying Values of Intangible Assets | The gross and net carrying values of intangible assets as of December 31, 2014 and 2013, by major intangible asset class, are as follows (in thousands): | |||||||||||||||||||
31-Dec-14 | 31-Dec-13 | |||||||||||||||||||
Definite-lived intangible assets | ||||||||||||||||||||
Customer relationships, customer contracts, technology and other | ||||||||||||||||||||
Gross amount | $ | 28,603 | $ | 27,940 | ||||||||||||||||
Accumulated amortization | (25,832 | ) | (25,187 | ) | ||||||||||||||||
Carrying value | $ | 2,771 | $ | 2,753 | ||||||||||||||||
Indefinite-lived intangible assets | ||||||||||||||||||||
Trade name and trademark | ||||||||||||||||||||
Gross amount | $ | 2,240 | $ | 2,240 | ||||||||||||||||
Accumulated impairment losses | — | — | ||||||||||||||||||
Carrying value | $ | 2,240 | $ | 2,240 | ||||||||||||||||
Accounts_Payable_and_Other_Acc1
Accounts Payable and Other Accrued Liabilities (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Payables and Accruals [Abstract] | ||||||||
Schedule of Accounts Payable and Accrued Liabilities | Accounts payable and other accrued liabilities consisted of the following (in thousands): | |||||||
DECEMBER 31, | ||||||||
2014 | 2013 | |||||||
Accounts payable | $ | 21,863 | $ | 19,445 | ||||
Accrued liabilities | 16,241 | 12,376 | ||||||
$ | 38,104 | $ | 31,821 | |||||
Accrued_Payroll_Costs_Tables
Accrued Payroll Costs (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Text Block [Abstract] | ||||||||
Components of Accrued Payroll Costs | Accrued payroll costs consisted of the following (in thousands): | |||||||
DECEMBER 31, | ||||||||
2014 | 2013 | |||||||
Payroll and benefits | $ | 43,797 | $ | 43,059 | ||||
Payroll taxes | 3,062 | 9,111 | ||||||
Health insurance liabilities | 3,417 | 2,993 | ||||||
Workers’ compensation liabilities | 1,932 | 1,709 | ||||||
$ | 52,208 | $ | 56,872 | |||||
Other_LongTerm_Liabilities_Tab
Other Long-Term Liabilities (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Text Block [Abstract] | ||||||||
Components of Other- Long Term Liabilities | Other long-term liabilities consisted of the following (in thousands): | |||||||
DECEMBER 31, | ||||||||
2014 | 2013 | |||||||
Deferred compensation plan (Note 11) | $ | 22,425 | $ | 22,247 | ||||
Supplemental executive retirement plan (Note 11) | 10,197 | 7,852 | ||||||
Supplemental executive retirement health plan (Note 11) | — | 2,627 | ||||||
Other | 3,834 | 3,830 | ||||||
$ | 36,456 | $ | 36,556 | |||||
Employee_Benefit_Plans_Tables
Employee Benefit Plans (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Supplemental Executive Retirement Plan [Member] | ||||||||||||
Actuarial Assumptions Used to Determine the Actuarial Present Value of Projected Benefit Obligations | The following represents the actuarial assumptions used to determine the actuarial present value of projected benefit obligations at: | |||||||||||
DECEMBER 31, | ||||||||||||
2014 | 2013 | |||||||||||
Discount rate | 3.75 | % | 3.75 | % | ||||||||
Expected long-term rate of return on plan assets | — | % | — | % | ||||||||
Rate of future compensation increase | 4 | % | 4 | % | ||||||||
Components of Net Periodic Benefit Cost | The following represents the components of net periodic benefit cost for the years ended (in thousands): | |||||||||||
DECEMBER 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Service cost | $ | 1,164 | $ | 2,018 | $ | 2,087 | ||||||
Interest cost | 294 | 471 | 560 | |||||||||
Amortization of actuarial loss | — | 97 | 164 | |||||||||
Settlement loss | — | 24 | — | |||||||||
Net periodic benefit cost | $ | 1,458 | $ | 2,610 | $ | 2,811 | ||||||
Changes in the Benefit Obligation | The following represents the changes in the benefit obligation for the years ended (in thousands): | |||||||||||
DECEMBER 31, | ||||||||||||
2014 | 2013 | |||||||||||
Projected benefit obligation, beginning | $ | 7,852 | $ | 19,658 | ||||||||
Service cost | 1,164 | 2,018 | ||||||||||
Interest cost | 294 | 471 | ||||||||||
Actuarial experience and changes in actuarial assumptions | 887 | (1,475 | ) | |||||||||
Curtailment | — | (2,138 | ) | |||||||||
Benefits Paid | — | (10,682 | ) | |||||||||
Projected benefit obligation, ending | $ | 10,197 | $ | 7,852 | ||||||||
Projected Annual Benefit Payment | Undiscounted benefit payments by the SERP, which reflect the anticipated future service of participants, expected to be paid are as follows (in thousands): | |||||||||||
PROJECTED ANNUAL | ||||||||||||
BENEFIT PAYMENTS | ||||||||||||
2015 | $ | — | ||||||||||
2016 | — | |||||||||||
2017 | — | |||||||||||
2018 | — | |||||||||||
2019 | 9,187 | |||||||||||
2020-2024 | — | |||||||||||
Thereafter | 4,081 | |||||||||||
Supplemental Executive Retirement Health Plan [Member] | ||||||||||||
Components of Net Periodic Benefit Cost | The following represents the components of net periodic post-retirement benefit cost for the years ended (in thousands): | |||||||||||
DECEMBER 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Service cost | $ | 174 | $ | 649 | $ | 919 | ||||||
Interest cost | 78 | 134 | 150 | |||||||||
Amortization of actuarial loss | — | 86 | 272 | |||||||||
Settlement/curtailment loss/(gain) | 725 | (359 | ) | — | ||||||||
Net periodic benefit cost | $ | 977 | $ | 510 | $ | 1,341 | ||||||
Changes in the Benefit Obligation | The following represents the changes in the post-retirement benefit obligation for the years ended (in thousands): | |||||||||||
DECEMBER 31, | ||||||||||||
2014 | 2013 | |||||||||||
Accumulated post-retirement benefit obligation, beginning | $ | 2,674 | $ | 3,574 | ||||||||
Service cost | 174 | 649 | ||||||||||
Interest cost | 78 | 134 | ||||||||||
Actuarial experience and changes in actuarial assumptions | 234 | (834 | ) | |||||||||
Settlement/curtailment loss/(gain) | 725 | (785 | ) | |||||||||
Benefits Paid | (3,885 | ) | (64 | ) | ||||||||
Accumulated post-retirement benefit obligation, ending | $ | — | $ | 2,674 | ||||||||
Weighted Average [Member] | Supplemental Executive Retirement Plan [Member] | ||||||||||||
Actuarial Assumptions Used to Determine Net Periodic Benefit Cost | The following represents the weighted average actuarial assumptions used to determine net periodic benefit cost for the years ended: | |||||||||||
DECEMBER 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Discount rate | 3.75 | % | 2.5 | % | 3.25 | % | ||||||
Expected long-term rate of return on plan assets | — | % | — | % | — | % | ||||||
Rate of future compensation increase | 4 | % | 4 | % | 4 | % |
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||
Fair Value Measurements on a Recurring and Non-Recurring Basis | There were no transfers into or out of Level 1, 2 or 3 assets during the years ended December 31, 2014 and 2013. Transfers between levels are deemed to have occurred if the lowest level of input were to change. | |||||||||||||||
Kforce’s measurements at fair value on a recurring and non-recurring basis as of December 31, 2014 and 2013 were as follows (in thousands): | ||||||||||||||||
Assets/(Liabilities) Measured at Fair Value: | Asset/(Liability) | Quoted Prices in | Significant | Significant | ||||||||||||
Active Markets | Other | Unobservable | ||||||||||||||
for Identical | Observable | Inputs (Level 3) | ||||||||||||||
Assets (Level 1) | Inputs (Level 2) | |||||||||||||||
As of December 31, 2014 | ||||||||||||||||
Recurring basis: | ||||||||||||||||
Money market funds (1) | $ | — | $ | — | $ | — | $ | — | ||||||||
Contingent liability (2) | $ | (477 | ) | $ | — | $ | — | $ | (477 | ) | ||||||
As of December 31, 2013 | ||||||||||||||||
Recurring basis: | ||||||||||||||||
Money market funds (1) | $ | 869 | $ | 869 | $ | — | $ | — | ||||||||
Non-recurring basis: | ||||||||||||||||
Goodwill (3) | $ | 48,900 | $ | — | $ | — | $ | 48,900 | ||||||||
-1 | See Note 11 – “Employee Benefit Plans” and Note 5 – “Other Assets” for additional discussion. | |||||||||||||||
-2 | The contingent liability relates to the acquisition of a business within our GS reporting segment. | |||||||||||||||
-3 | This amount is representative of the aggregated goodwill balance. The portion measured at fair value as of December 31, 2013 of $19.0 million was related to the GS segment. The remaining portion of the goodwill balance presented is at carrying value. See Note 6 – “Goodwill and Other Intangible Assets” for additional discussion. |
Stock_Incentive_Plans_Tables
Stock Incentive Plans (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||
Summary of Stock Option Activity | The following table presents the activity under each of the stock incentive plans discussed above for the three years ended December 31, 2014, 2013 and 2012 (in thousands, except per share amounts): | ||||||||||||||||
Incentive | 2006 Stock | Total | Weighted | Total | |||||||||||||
Stock | Incentive | Average | Intrinsic | ||||||||||||||
Option | Plan | Exercise | Value of | ||||||||||||||
Plan | Price Per | Options | |||||||||||||||
Share | Exercised | ||||||||||||||||
Outstanding as of December 31, 2011 | 226 | 98 | 324 | $ | 10.79 | ||||||||||||
Exercised | (65 | ) | (5 | ) | (70 | ) | $ | 10.48 | $ | 238 | |||||||
Forfeited/Cancelled | (7 | ) | — | (7 | ) | $ | 11 | ||||||||||
Outstanding as of December 31, 2012 | 154 | 93 | 247 | $ | 10.87 | ||||||||||||
Exercised | (57 | ) | (10 | ) | (67 | ) | $ | 8.98 | $ | 573 | |||||||
Forfeited/Cancelled | — | — | — | $ | — | ||||||||||||
Outstanding as of December 31, 2013 | 97 | 83 | 180 | $ | 11.57 | ||||||||||||
Exercised | (57 | ) | (48 | ) | (105 | ) | $ | 11.61 | $ | 1,029 | |||||||
Forfeited/Cancelled | (18 | ) | — | (18 | ) | $ | 11 | ||||||||||
Outstanding and Exercisable as of December 31, 2014 | 22 | 35 | 57 | $ | 11.69 | ||||||||||||
Summary of Employee and Director Stock Option Activity | The following table summarizes information about employee and director stock options under all of the plans mentioned above as of December 31, 2014 (in thousands, except per share amounts): | ||||||||||||||||
OUTSTANDING AND EXERCISABLE | |||||||||||||||||
Range of Exercise Prices | Number of Awards (#) | Weighted Average | Weighted | Total | |||||||||||||
Remaining | Average | Intrinsic | |||||||||||||||
Contractual Term | Exercise | Value | |||||||||||||||
(Yrs) | Price ($) | ||||||||||||||||
$0.00 - $9.13 | — | — | $ | — | $ | — | |||||||||||
$9.13 - $14.45 | 57 | 1.56 | $ | 11.69 | 713 | ||||||||||||
57 | 1.56 | $ | 11.69 | $ | 713 | ||||||||||||
Summary of Restricted Stock Activity | The following table presents the activity for the three years ended December 31, 2014 (in thousands, except per share amounts): | ||||||||||||||||
Number of Restricted Stock | Weighted Average | Total Intrinsic | |||||||||||||||
Grant Date | Value of Restricted | ||||||||||||||||
Fair Value | Stock Vested | ||||||||||||||||
Outstanding as of December 31, 2011 | 3,334 | $ | 14.3 | — | |||||||||||||
Granted | 288 | $ | 12.67 | — | |||||||||||||
Vested | (3,191 | ) | $ | 14.15 | $ | 47,407 | |||||||||||
Forfeited (a) | (393 | ) | $ | 16.37 | — | ||||||||||||
Outstanding as of December 31, 2012 | 38 | $ | 12.11 | — | |||||||||||||
Granted | 904 | $ | 16.72 | — | |||||||||||||
Vested | (109 | ) | $ | 14.15 | $ | 2,092 | |||||||||||
Forfeited | (22 | ) | $ | 15.43 | — | ||||||||||||
Outstanding as of December 31, 2013 | 811 | $ | 16.89 | — | |||||||||||||
Granted | 528 | $ | 20.18 | — | |||||||||||||
Vested | (273 | ) | $ | 17.37 | $ | 5,624 | |||||||||||
Forfeited | (84 | ) | $ | 18.38 | — | ||||||||||||
Outstanding as of December 31, 2014 | 982 | $ | 18.55 | — | |||||||||||||
(a) | In February 2012, the Compensation Committee certified 2011 performance measures, which resulted in the forfeiture of approximately 393 thousand of these shares of restricted stock which was consistent with estimated forfeitures during 2011 that was used for compensation expense recognition purposes. |
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ||||||||||||||||||||||||||||
Summary of Future Minimum Lease Payments for Capital and Operating Lease | Future minimum lease payments, inclusive of accelerated lease payments, under non-cancelable capital and operating leases are summarized as follows (in thousands): | |||||||||||||||||||||||||||
2015 | 2016 | 2017 | 2018 | 2019 | Thereafter | Total | ||||||||||||||||||||||
Capital leases | ||||||||||||||||||||||||||||
Present value of payments | $ | 1,090 | $ | 429 | $ | 129 | $ | 4 | $ | — | $ | — | $ | 1,652 | ||||||||||||||
Interest | 51 | 41 | 13 | 2 | — | — | 107 | |||||||||||||||||||||
Capital lease payments | $ | 1,141 | $ | 470 | $ | 142 | $ | 6 | $ | — | $ | — | $ | 1,759 | ||||||||||||||
Operating leases | ||||||||||||||||||||||||||||
Facilities | $ | 6,236 | $ | 5,464 | $ | 3,601 | $ | 1,634 | $ | 716 | $ | 339 | $ | 17,990 | ||||||||||||||
Furniture and equipment | 112 | 34 | — | — | — | — | 146 | |||||||||||||||||||||
Total operating leases | $ | 6,348 | $ | 5,498 | $ | 3,601 | $ | 1,634 | $ | 716 | $ | 339 | $ | 18,136 | ||||||||||||||
Total leases | $ | 7,489 | $ | 5,968 | $ | 3,743 | $ | 1,640 | $ | 716 | $ | 339 | $ | 19,895 | ||||||||||||||
Reportable_Segments_Tables
Reportable Segments (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Segment Reporting [Abstract] | ||||||||||||||||
Operations of Segments | The following table provides information concerning the operations of our segments for the years ended December 31, 2014, 2013 and 2012 (in thousands): | |||||||||||||||
Technology | Finance and | Government | Total | |||||||||||||
Accounting | Solutions | |||||||||||||||
2014 | ||||||||||||||||
Net service revenues | ||||||||||||||||
Flexible billings | $ | 823,311 | $ | 249,274 | $ | 98,051 | $ | 1,170,636 | ||||||||
Search fees | 19,158 | 27,537 | — | 46,695 | ||||||||||||
Total revenue | $ | 842,469 | $ | 276,811 | $ | 98,051 | $ | 1,217,331 | ||||||||
Gross profit | $ | 243,085 | $ | 101,071 | $ | 30,425 | $ | 374,581 | ||||||||
Operating expenses | 326,624 | |||||||||||||||
Income from continuing operations, before income taxes | $ | 47,957 | ||||||||||||||
2013 | ||||||||||||||||
Net service revenues | ||||||||||||||||
Flexible billings | $ | 720,179 | $ | 213,158 | $ | 91,949 | $ | 1,025,286 | ||||||||
Search fees | 19,183 | 29,259 | — | 48,442 | ||||||||||||
Total revenue | $ | 739,362 | $ | 242,417 | $ | 91,949 | $ | 1,073,728 | ||||||||
Gross profit | $ | 219,360 | $ | 93,663 | $ | 31,353 | $ | 344,376 | ||||||||
Operating expenses | 333,447 | |||||||||||||||
Income from continuing operations, before income taxes | $ | 10,929 | ||||||||||||||
2012 | ||||||||||||||||
Net service revenues | ||||||||||||||||
Flexible billings | $ | 655,062 | $ | 211,797 | $ | 91,424 | $ | 958,283 | ||||||||
Search fees | 20,525 | 26,679 | — | 47,204 | ||||||||||||
Total revenue | $ | 675,587 | $ | 238,476 | $ | 91,424 | $ | 1,005,487 | ||||||||
Gross profit | $ | 200,738 | $ | 91,124 | $ | 28,724 | $ | 320,586 | ||||||||
Operating expenses | 386,944 | |||||||||||||||
Loss from continuing operations, before income taxes | $ | (66,358 | ) |
Quarterly_Financial_Data_Unaud1
Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||||||
Summary of Quarterly Financial Information | The quarterly financial data presented below has been adjusted, where applicable, to reflect the discontinued operations of HIM, which is more fully described in Note 2 – “Discontinued Operations.” Certain prior quarter amounts have been reclassified to conform with current year presentation and may not tie back to quarterly filings. The following table provides quarterly information for the years ended December 31, 2014, 2013 and 2012 (in thousands, except per share amounts): | |||||||||||||||
THREE MONTHS ENDED | ||||||||||||||||
March 31 | June 30 | September 30 | December 31 | |||||||||||||
2014 | ||||||||||||||||
Net service revenues | $ | 282,024 | $ | 302,758 | $ | 313,810 | $ | 318,739 | ||||||||
Gross profit | 83,526 | 94,386 | 98,291 | 98,378 | ||||||||||||
Income from continuing operations, net of income taxes | 4,389 | 7,953 | 7,995 | 9,061 | ||||||||||||
Income (loss) from discontinued operations, net of income taxes | 1,860 | 2,750 | 57,023 | (116 | ) | |||||||||||
Net income | 6,249 | 10,703 | 65,018 | 8,945 | ||||||||||||
Earnings per share-basic | $ | 0.19 | $ | 0.33 | $ | 2.07 | $ | 0.3 | ||||||||
Earnings per share-diluted | $ | 0.19 | $ | 0.33 | $ | 2.06 | $ | 0.3 | ||||||||
2013 | ||||||||||||||||
Net service revenues | $ | 246,991 | $ | 264,720 | $ | 279,956 | $ | 282,061 | ||||||||
Gross profit | 77,355 | 86,595 | 91,055 | 89,371 | ||||||||||||
Income (loss) from continuing operations, net of income taxes | 1,929 | 5,443 | 7,636 | (9,714 | ) | |||||||||||
Income from discontinued operations, net of income taxes | 1,165 | 1,505 | 1,343 | 1,480 | ||||||||||||
Net income (loss) | 3,094 | 6,948 | 8,979 | (8,234 | ) | |||||||||||
Earnings (loss) per share-basic | $ | 0.09 | $ | 0.21 | $ | 0.27 | $ | (0.25 | ) | |||||||
Earnings (loss) per share-diluted | $ | 0.09 | $ | 0.21 | $ | 0.27 | $ | (0.25 | ) | |||||||
Supplemental_Cash_Flow_Informa1
Supplemental Cash Flow Information (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Supplemental Cash Flow Elements [Abstract] | ||||||||||||
Details of Supplemental Cash Flow Information | Supplemental cash flow information is as follows for the year ended December 31 (in thousands): | |||||||||||
2014 | 2013 | 2012 | ||||||||||
Cash paid during the period for: | ||||||||||||
Income taxes, net | $ | 52,565 | $ | 14,789 | $ | 14,456 | ||||||
Interest, net | $ | 1,048 | $ | 800 | $ | 554 | ||||||
Non-Cash Transaction Information: | ||||||||||||
Tax benefit from disqualifying dispositions of stock options and restricted stock | $ | 128 | $ | 15 | $ | 36 | ||||||
Shares tendered in payment of exercise price of stock options and SARs | $ | 84 | $ | — | $ | 161 | ||||||
Employee stock purchase plan | $ | 699 | $ | 613 | $ | 647 | ||||||
Equipment acquired under capital leases | $ | 313 | $ | 1,929 | $ | 672 | ||||||
Unsettled repurchases of common stock | $ | 1,425 | $ | — | $ | 2,498 | ||||||
Contingent consideration for acquisition | $ | 477 | $ | — | $ | — | ||||||
Summary_of_Significant_Account3
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Office | ||||
Source | ||||
Nature of Business and Significant Accounting Policies [Line Items] | ||||
Number of domestic field offices of parent company | 62 | |||
Percentage of net service revenue from international operations | 2.00% | 2.00% | 2.00% | |
Accounts receivable reserves as percentage of gross accounts receivable | 1.00% | 1.10% | ||
Number of primary sources of revenues | 2 | |||
Maximum scheduled period to commence employment for search revenue recognition | 30 days | |||
Typical contingency period for occurrence of fallouts | 90 days | |||
Minimum likelihood of being realized upon settlement of uncertain tax positions | 50.00% | |||
Development-stage implementation costs of software | $0.40 | $1 | $1.70 | |
Economic burden for worker's compensation claim per occurrence | 250,000 | |||
Defined benefit plan estimated amount of plan participants future benefits liability | 275,000 | |||
Defined benefit plan estimated maximum amount of plan participants future benefits liability | 500,000 | |||
Defined Benefit Plan amortization threshold percentage | 10.00% | |||
Common stock excluded from the computation of dilutive earnings per share | 0 | 0 | 33,000 | |
Dividend declared per share | $0.11 | $0.41 | $0.10 | $1 |
Government Solutions [Member] | ||||
Nature of Business and Significant Accounting Policies [Line Items] | ||||
Time and material contracts revenue as percentage of aggregate segment revenue | 69.00% | |||
Percentage of revenue recognized on percentage of completion method | 20.00% | |||
Percentage of revenue recognized on cost plus arrangement method | 11.00% | |||
Minimum [Member] | ||||
Nature of Business and Significant Accounting Policies [Line Items] | ||||
Cost allocation period for definite-lived intangible assets | 1 year | |||
Minimum [Member] | Leasehold Improvements [Member] | ||||
Nature of Business and Significant Accounting Policies [Line Items] | ||||
Amortization period | 3 years | |||
Minimum [Member] | Computers and Software [Member] | ||||
Nature of Business and Significant Accounting Policies [Line Items] | ||||
Amortization period | 1 year | |||
Maximum [Member] | ||||
Nature of Business and Significant Accounting Policies [Line Items] | ||||
Cost allocation period for definite-lived intangible assets | 15 years | |||
Maximum [Member] | Leasehold Improvements [Member] | ||||
Nature of Business and Significant Accounting Policies [Line Items] | ||||
Amortization period | 5 years | |||
Maximum [Member] | Computers and Software [Member] | ||||
Nature of Business and Significant Accounting Policies [Line Items] | ||||
Amortization period | 5 years |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies - Computation of Basic and Diluted Earnings Per Share (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Numerator: | |||||||||||
Income (loss) from continuing operations | $9,061 | $7,995 | $7,953 | $4,389 | ($9,714) | $7,636 | $5,443 | $1,929 | $29,398 | $5,294 | ($42,131) |
Income from discontinued operations, net of tax | -116 | 57,023 | 2,750 | 1,860 | 1,480 | 1,343 | 1,505 | 1,165 | 61,517 | 5,493 | 28,428 |
Net income (loss) | $8,945 | $65,018 | $10,703 | $6,249 | ($8,234) | $8,979 | $6,948 | $3,094 | $90,915 | $10,787 | ($13,703) |
Denominator: | |||||||||||
Weighted average shares outstanding – basic | 31,475 | 33,511 | 35,791 | ||||||||
Common stock equivalents | 216 | 132 | 0 | ||||||||
Weighted average shares outstanding – diluted | 31,691 | 33,643 | 35,791 | ||||||||
Earnings (loss) per share – basic: | |||||||||||
From continuing operations | $0.94 | $0.16 | ($1.18) | ||||||||
From discontinued operations | $1.95 | $0.16 | $0.80 | ||||||||
Earnings (loss) per share - basic | $0.30 | $2.07 | $0.33 | $0.19 | ($0.25) | $0.27 | $0.21 | $0.09 | $2.89 | $0.32 | ($0.38) |
Earnings (loss) per share - diluted: | |||||||||||
From continuing operations | $0.93 | $0.16 | ($1.18) | ||||||||
From discontinued operations | $1.94 | $0.16 | $0.80 | ||||||||
Earnings (loss) per share - diluted | $0.30 | $2.06 | $0.33 | $0.19 | ($0.25) | $0.27 | $0.21 | $0.09 | $2.87 | $0.32 | ($0.38) |
Summary_of_Significant_Account5
Summary of Significant Accounting Policies - Summary of Cash Dividend Declared (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Accounting Policies [Abstract] | ||||
Cash dividends declared per share | $0.11 | $0.41 | $0.10 | $1 |
Discontinued_Operations_Additi
Discontinued Operations - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | 0 Months Ended | 3 Months Ended | 0 Months Ended | |||
Sep. 30, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Aug. 03, 2014 | Mar. 31, 2012 | Mar. 31, 2012 | |
Schedule of Discontinued Operations [Line Items] | ||||||||
Gain on sale of discontinued operations before income tax | $94,300,000 | |||||||
Gain on sale of discontinued operations after income tax | 56,100,000 | |||||||
Transaction costs | 11,000,000 | |||||||
Stock based compensation related to acceleration of restricted stock and transaction bonuses paid in stock | 2,400,000 | |||||||
Recognized compensation expense | 1,100,000 | |||||||
Payroll taxes | 1,200,000 | 1,000,000 | 10,200,000 | |||||
Income tax expense as a percentage of income from discontinued operations | 40.60% | 40.10% | 43.70% | |||||
Kforce Healthcare, Inc [Member] | RCM Acquisition Inc [Member] | ||||||||
Schedule of Discontinued Operations [Line Items] | ||||||||
Purchase Price For Divestiture Of Business | 119,000,000 | |||||||
Post closing working capital adjustment | 96,000 | |||||||
Health Information Management [Member] | ||||||||
Schedule of Discontinued Operations [Line Items] | ||||||||
Gain on sale of discontinued operations before income tax | 94,300,000 | |||||||
Gain on sale of discontinued operations after income tax | 56,100,000 | |||||||
Transaction costs | 11,000,000 | |||||||
Stock based compensation related to acceleration of restricted stock and transaction bonuses paid in stock | 2,400,000 | |||||||
Recognized compensation expense | 600,000 | |||||||
Kforce Clinical Research, Inc [Member] | ||||||||
Schedule of Discontinued Operations [Line Items] | ||||||||
Recognized compensation expense | 22,200,000 | 31,300,000 | ||||||
Payroll taxes | 800,000 | |||||||
Stock Purchase Agreement [Member] | inVentiv Health, Inc. [Member] | Private Placement [Member] | ||||||||
Schedule of Discontinued Operations [Line Items] | ||||||||
Indemnification Deductible | 375,000 | |||||||
Indemnification Aggregate Cap | 5,000,000 | |||||||
Indemnification obligations period | 18 months | 18 months | ||||||
Kforce Clinical Research, Inc.[Member] | Stock Purchase Agreement [Member] | RCM Acquisition Inc [Member] | Private Placement [Member] | ||||||||
Schedule of Discontinued Operations [Line Items] | ||||||||
Stock purchase agreement date | 4-Aug-14 | |||||||
Effective date of stock acquisition | 3-Aug-14 | |||||||
Kforce Clinical Research, Inc.[Member] | Stock Purchase Agreement [Member] | inVentiv Health, Inc. [Member] | Private Placement [Member] | ||||||||
Schedule of Discontinued Operations [Line Items] | ||||||||
Purchase Price For Divestiture Of Business | 57,300,000 | |||||||
Post closing working capital adjustment | 7,300,000 | |||||||
Stock purchase agreement date | 17-Mar-12 | |||||||
Effective date of stock acquisition | 31-Mar-12 | |||||||
Kforce Clinical Research, Inc.[Member] | Transition Services Agreement [Member] | inVentiv Health, Inc. [Member] | Private Placement [Member] | Maximum [Member] | ||||||||
Schedule of Discontinued Operations [Line Items] | ||||||||
Post-closing transitional services period | 18 months | |||||||
Transition Services Agreement [Member] | Kforce Healthcare, Inc [Member] | RCM Acquisition Inc [Member] | ||||||||
Schedule of Discontinued Operations [Line Items] | ||||||||
Post-closing transitional services period | 12 months | |||||||
Indemnification Agreement [Member] | Stock Purchase Agreement [Member] | RCM Acquisition Inc [Member] | ||||||||
Schedule of Discontinued Operations [Line Items] | ||||||||
Indemnification Deductible | 1,190,000 | |||||||
Indemnification Aggregate Cap | $8,925,000 |
Discontinued_Operations_Summar
Discontinued Operations - Summary of Revenues and Pretax Profits (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Discontinued Operations and Disposal Groups [Abstract] | |||
Net service revenues | $56,670 | $78,159 | $76,992 |
Income from discontinued operations, before income taxes | $103,512 | $9,169 | $10,792 |
Discontinued_Operations_Discon
Discontinued Operations Discontinued Operations - Summary of Carrying Amounts for Major Classes of Assets and Liabilities (Details) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Assets: | |
Trade receivables | $11,755 |
Goodwill | 4,887 |
Prepaid expenses and other current assets | 219 |
Fixed assets, net | 162 |
Other assets, net | 88 |
Total assets | 17,111 |
Liabilities: | |
Accounts payable and other accrued liabilities | 712 |
Accrued payroll costs | 4,177 |
Other long-term liabilities | 868 |
Total liabilities | 5,757 |
Net assets | $11,354 |
Discontinued_Operations_Summar1
Discontinued Operations - Summary of Results from Discontinued Operations (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Schedule of Discontinued Operations [Line Items] | |||
Net service revenues | $56,670 | $78,159 | $76,992 |
Income from discontinued operations, before income taxes | 103,512 | 9,169 | 10,792 |
Kforce Clinical Research, Inc [Member] | |||
Schedule of Discontinued Operations [Line Items] | |||
Net service revenues | 29,808 | ||
Income from discontinued operations, before income taxes | $39,735 |
Fixed_Assets_Major_Classificat
Fixed Assets - Major Classifications of Fixed Assets and Related Useful Lives (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Property, Plant and Equipment [Line Items] | ||
Fixed assets, gross | 60,804 | $60,950 |
Less accumulated depreciation and amortization | -25,474 | -24,222 |
Fixed assets, net | 35,330 | 36,728 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, gross | 5,892 | 5,892 |
Building and Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, gross | 25,304 | 25,191 |
Building and Improvements [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, Useful Life | 5 years | |
Building and Improvements [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, Useful Life | 40 years | |
Furniture and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, gross | 10,881 | 9,701 |
Furniture and Equipment [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, Useful Life | 5 years | |
Furniture and Equipment [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, Useful Life | 10 years | |
Computer Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, gross | 6,618 | 8,966 |
Computer Equipment [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, Useful Life | 3 years | |
Computer Equipment [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, Useful Life | 5 years | |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, gross | 8,347 | 6,894 |
Leasehold Improvements [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, Useful Life | 3 years | |
Leasehold Improvements [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, Useful Life | 5 years | |
Capital Leases [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, gross | 3,762 | $4,306 |
Capital Leases [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, Useful Life | 3 years | |
Capital Leases [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, Useful Life | 5 years |
Fixed_Assets_Additional_inform
Fixed Assets - Additional information (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Property Plant And Equipment Useful Life And Values [Abstract] | |||
Depreciation and amortization | $6.30 | $5.90 | $5.40 |
Income_Taxes_Income_Tax_Expens
Income Taxes - Income Tax Expense (Benefit), Continuing Operations (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income Tax Disclosure [Abstract] | |||
Federal | $15,782 | $4,140 | ($4,371) |
State | 2,527 | 449 | -1,716 |
Deferred | 250 | 1,046 | -18,140 |
Total income tax expense (benefit), continuing operations | $18,559 | $5,635 | ($24,227) |
Income_Taxes_Effective_Income_
Income Taxes - Effective Income Tax Rate, Continuing Operations, Tax Rate Reconciliation (Detail) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Income Tax Disclosure [Abstract] | |||
Federal income tax rate | 35.00% | 35.00% | 35.00% |
State income taxes, net of Federal tax effect | 3.20% | 4.10% | 5.20% |
Non-deductible goodwill impairment | 0.00% | 4.30% | -3.40% |
Non-deductible compensation | 1.10% | 0.00% | 0.00% |
Non-deductible meals and entertainment | 1.10% | 5.20% | 0.00% |
Other | -1.70% | 3.00% | -0.30% |
Effective tax rate | 38.70% | 51.60% | 36.50% |
Income_Taxes_Components_of_Def
Income Taxes - Components of Deferred Tax Assets and Liabilities (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Assets: | ||
Accounts receivable reserves | $804 | $779 |
Accrued liabilities | 3,123 | 2,902 |
Deferred compensation obligation | 1,426 | 1,111 |
Pension and post-retirement benefit plans | 0 | 19 |
Other | 75 | 75 |
Deferred tax assets, current | 5,428 | 4,886 |
Liabilities: | ||
Prepaid expenses | -448 | -224 |
Deferred tax asset, net – current | 4,980 | 4,662 |
Assets: | ||
Accrued liabilities | 649 | 579 |
Deferred compensation obligation | 6,324 | 6,896 |
Stock-based compensation | 1,185 | 773 |
Pension and post-retirement benefit plans | 5,125 | 4,916 |
Goodwill and intangible assets | 10,407 | 11,750 |
Deferred revenue | 28 | 106 |
Other | 995 | 1,531 |
Deferred tax assets, non-current | 24,713 | 26,551 |
Liabilities: | ||
Fixed assets | -1,651 | -2,693 |
Other | -122 | -503 |
Deferred tax liabilities, non-current | -1,773 | -3,196 |
Valuation allowance | -85 | -85 |
Deferred tax asset, net – non-current | 22,855 | 23,270 |
Net deferred tax asset | $27,835 | $27,932 |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2014 |
Operating Loss Carryforwards [Line Items] | |
Likelihood of an uncertain income tax position not being recognized | 50.00% |
State [Member] | |
Operating Loss Carryforwards [Line Items] | |
State tax net operating losses | 26.8 |
State tax expiration date | State tax NOLs expire in varying amounts through 2032 |
Income_Taxes_Income_Tax_Uncert
Income Taxes - Income Tax Uncertainties (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income Tax Disclosure [Abstract] | |||
Beginning balance | $403 | $133 | $72 |
Additions for tax positions of prior years | 90 | 269 | 36 |
Additions for tax positions of current year | 0 | 25 | 25 |
Reductions for tax positions of prior years - lapse of applicable statutes | -35 | -24 | 0 |
Settlements | -180 | 0 | 0 |
Ending balance | $278 | $403 | $133 |
Other_Assets_Other_Assets_Deta
Other Assets - Other Assets (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Other Assets Non Current [Line Items] | ||
Capitalized software, net of amortization | $3,678 | $5,472 |
Deferred loan costs, net of amortization | 608 | 288 |
Other non-current assets | 348 | 321 |
Total other assets | 30,349 | 30,991 |
Rabbi Trust [Member] | ||
Other Assets Non Current [Line Items] | ||
Assets held in Rabbi Trust | $25,715 | $24,910 |
Other_Assets_Additional_Inform
Other Assets - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Other Assets [Line Items] | |||
Capitalized software purchases and direct costs associated with software developed for internal use | $1,200,000 | $2,200,000 | |
Accumulated amortization of capitalized software | 37,600,000 | 34,800,000 | |
Amortization expense of capitalized software | 2,900,000 | 3,200,000 | 4,600,000 |
Rabbi Trust [Member] | |||
Other Assets [Line Items] | |||
Assets held in Rabbi Trust | 25,715,000 | 24,910,000 | |
Rabbi Trust [Member] | Cash Surrender Value of Life Insurance Policies [Member] | |||
Other Assets [Line Items] | |||
Assets held in Rabbi Trust | 24,000,000 | ||
Rabbi Trust [Member] | Money Market Funds [Member] | |||
Other Assets [Line Items] | |||
Assets held in Rabbi Trust | $900,000 |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets - Changes in the Carrying Amount of Goodwill in Total and for Each Reporting Unit (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Goodwill [Line Items] | ||||
Carrying value, beginning balance | $48,900 | $63,410 | ||
Impairment of goodwill | 0 | -14,510 | -69,158 | |
Additions (a) | 1,955 | |||
Disposition of HIM | -4,887 | |||
Carrying value, ending balance | 63,410 | 45,968 | 48,900 | 63,410 |
Technology [Member] | ||||
Goodwill [Line Items] | ||||
Carrying value, beginning balance | 17,034 | 17,034 | ||
Impairment of goodwill | 0 | |||
Additions (a) | 0 | |||
Disposition of HIM | 0 | |||
Carrying value, ending balance | 17,034 | 17,034 | ||
Finance and Accounting [Member] | ||||
Goodwill [Line Items] | ||||
Carrying value, beginning balance | 8,006 | 8,006 | ||
Impairment of goodwill | 0 | |||
Additions (a) | 0 | |||
Disposition of HIM | 0 | |||
Carrying value, ending balance | 8,006 | 8,006 | ||
Health Information Management [Member] | ||||
Goodwill [Line Items] | ||||
Carrying value, beginning balance | 4,887 | 4,887 | ||
Impairment of goodwill | 0 | |||
Additions (a) | 0 | |||
Disposition of HIM | -4,887 | |||
Carrying value, ending balance | 0 | 4,887 | ||
Government Solutions [Member] | ||||
Goodwill [Line Items] | ||||
Carrying value, beginning balance | 18,973 | 33,483 | ||
Impairment of goodwill | -3,900 | -14,510 | -69,158 | |
Additions (a) | 1,955 | |||
Disposition of HIM | 0 | |||
Carrying value, ending balance | $33,483 | $20,928 | $18,973 | $33,483 |
Goodwill_and_Other_Intangible_3
Goodwill and Other Intangible Assets - Additional Information (Detail) (USD $) | 12 Months Ended | 3 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | |
Goodwill And Other Intangible Assets [Line Items] | ||||
Discrete forecast period | 5 years | |||
Goodwill impairment | $0 | $14,510,000 | $69,158,000 | |
Amortization of intangible assets | 700,000 | 700,000 | 900,000 | |
Estimated remaining amortization expense, 2015 | 800,000 | |||
Estimated remaining amortization expense, 2016 | 600,000 | |||
Estimated remaining amortization expense, 2017 | 300,000 | |||
Estimated remaining amortization expense, 2018 | 300,000 | |||
Estimated remaining amortization expense, 2019 | 300,000 | |||
Estimated remaining amortization expense, thereafter | 400,000 | |||
Impairment expense | 0 | 0 | 0 | |
Technology [Member] | ||||
Goodwill And Other Intangible Assets [Line Items] | ||||
Goodwill impairment | 0 | |||
Finance and Accounting [Member] | ||||
Goodwill And Other Intangible Assets [Line Items] | ||||
Goodwill impairment | 0 | |||
Government Solutions [Member] | ||||
Goodwill And Other Intangible Assets [Line Items] | ||||
Goodwill impairment | 14,510,000 | 69,158,000 | 3,900,000 | |
Goodwill related tax benefit | $5,200,000 | $24,700,000 | $1,400,000 |
Goodwill_and_Other_Intangible_4
Goodwill and Other Intangible Assets - Summary of the Gross Amount and Accumulated Impairment Losses of Goodwill (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | |||
Goodwill [Line Items] | |||
Carrying value | $45,968 | $48,900 | $63,410 |
Technology [Member] | |||
Goodwill [Line Items] | |||
Gross amount | 156,391 | 156,391 | 156,391 |
Accumulated impairment losses | -139,357 | -139,357 | -139,357 |
Carrying value | 17,034 | 17,034 | 17,034 |
Finance and Accounting [Member] | |||
Goodwill [Line Items] | |||
Gross amount | 19,766 | 19,766 | 19,766 |
Accumulated impairment losses | -11,760 | -11,760 | -11,760 |
Carrying value | 8,006 | 8,006 | 8,006 |
Government Solutions [Member] | |||
Goodwill [Line Items] | |||
Gross amount | 104,596 | 102,641 | 102,641 |
Accumulated impairment losses | -83,668 | -83,668 | -69,158 |
Carrying value | $20,928 | $18,973 | $33,483 |
Goodwill_and_Other_Intangible_5
Goodwill and Other Intangible Assets - Summary of the Gross and Net Carrying Values of Intangible Assets (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Indefinite-lived intangible assets | ||
Carrying value | $5,011 | $4,993 |
Customer Relationships, Customer Contracts, Technology and Other [Member] | ||
Definite-lived intangible assets | ||
Gross amount | 28,603 | 27,940 |
Accumulated amortization | -25,832 | -25,187 |
Carrying value | 2,771 | 2,753 |
Trade Names And Trademarks [Member] | ||
Indefinite-lived intangible assets | ||
Gross amount | 2,240 | 2,240 |
Accumulated impairment losses | 0 | 0 |
Carrying value | $2,240 | $2,240 |
Accounts_Payable_and_Other_Acc2
Accounts Payable and Other Accrued Liabilities - Schedule of Accounts Payable and Accrued Liabilities (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Payables and Accruals [Abstract] | ||
Accounts payable | $21,863 | $19,445 |
Accrued liabilities | 16,241 | 12,376 |
Total | $38,104 | $31,821 |
Accounts_Payable_and_Other_Acc3
Accounts Payable and Other Accrued Liabilities - Additional Information (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Payables and Accruals [Abstract] | ||
Amount owed to procurement card provider | $535 | $695 |
Accrued_Payroll_Costs_Componen
Accrued Payroll Costs - Components of Accrued Payroll Costs (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Accrued Payroll Costs [Abstract] | ||
Payroll and benefits | $43,797 | $43,059 |
Payroll taxes | 3,062 | 9,111 |
Accrued Insurance, Current | 3,417 | 2,993 |
Workers' compensation liabilities | 1,932 | 1,709 |
Total | $52,208 | $56,872 |
Credit_Facility_Additional_Inf
Credit Facility - Additional Information (Detail) (USD $) | 12 Months Ended | 3 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Feb. 24, 2015 | |
Line of Credit Facility [Line Items] | ||||
Date of credit agreement | 20-Sep-11 | |||
Date of credit amended | 23-Dec-14 | |||
Description of borrowing availability under credit facility | Available borrowings under the Credit Facility are limited to 85% of the net amount of eligible accounts receivable, plus 85% of the net amount of eligible unbilled accounts receivable, plus 80% of the net amount of eligible employee placement accounts, minus certain minimum availability reserve; provided, that the Firm may, subject to certain conditions, elect to increase the available borrowing limitation based on a percentage of the appraised fair market value of the Firm's corporate headquarters property and/or an additional percentage of net eligible accounts receivable, net eligible unbilled accounts receivable and net eligible employee placement accounts. | |||
Interest rate terms | Outstanding borrowings under the Revolving Loan Amount bear interest at a rate of: (a)Â LIBOR plus an applicable margin based on various factors or (b)Â the higher of (1)Â the prime rate, (2)Â the federal funds rate plus 0.50% or (3)Â LIBOR plus 1.25%. | |||
Percentage of accounts receivable | 85.00% | 85.00% | ||
Percentage of unbilled accounts receivable | 85.00% | 85.00% | ||
Percentage of employee placement accounts | 80.00% | 80.00% | ||
Percentage of interest rate under revolving loan amount, Condition 1 | 1.25% | 1.25% | ||
Percentage of interest rate under revolving loan amount, Condition 2 | 0.50% | 0.50% | ||
Percentage of interest rate under revolving loan amount, Condition 3 | 0.13% | 0.13% | ||
Fixed charge coverage ratio required | 1 | |||
Percentage of aggregate amount of the commitment | 10.00% | |||
Minimum availability under credit facility to avoid negative covenants | $11,000,000 | |||
Borrowing capacity under credit facility | 39,600,000 | 39,600,000 | ||
Credit facility expiration date | 23-Dec-19 | |||
Outstanding under the Credit Facility | 93,300,000 | 93,300,000 | 62,600,000 | |
Amount outstanding under Credit Facility | 93,300,000 | 93,300,000 | 62,600,000 | |
Revolving Credit Facility [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Borrowing capacity under credit facility | 170,000,000 | 170,000,000 | ||
Remaining credit facility under accordion option | 50,000,000 | 50,000,000 | ||
Unused credit facility commitment fee percentage threshold | 35.00% | |||
Covenant limit on distributions and equity repurchases percent | 12.50% | |||
Covenant limit on distributions and equity repurchases | 20,600,000 | 20,600,000 | ||
Maximum amount outstanding during period | 93,300,000 | |||
Letter of Credit [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Sub-limit under credit facility for letters of credit | 15,000,000 | |||
Subsequent Event [Member] | Revolving Credit Facility [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Outstanding under the Credit Facility | 97,000,000 | |||
Amount outstanding under Credit Facility | 97,000,000 | |||
Credit facility remaining borrowing capacity | $39,700,000 | |||
Below Threshold [Member] | Revolving Credit Facility [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Unused credit facility commitment fee percentage | 0.35% | |||
Above Threshold [Member] | Revolving Credit Facility [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Unused credit facility commitment fee percentage | 0.25% |
Other_LongTerm_Liabilities_Com
Other Long-Term Liabilities - Components of Other- Long Term Liabilities (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Other Long Term Liabilities [Line Items] | ||
Deferred compensation plan | $22,425 | $22,247 |
Other | 3,834 | 3,830 |
Total | 36,456 | 36,556 |
Supplemental Executive Retirement Plan [Member] | ||
Other Long Term Liabilities [Line Items] | ||
Supplemental executive retirement plan | 10,197 | 7,852 |
Supplemental Executive Retirement Health Plan [Member] | ||
Other Long Term Liabilities [Line Items] | ||
Supplemental executive retirement plan | $0 | $2,627 |
Employee_Benefit_Plans_Additio
Employee Benefit Plans - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | 0 Months Ended | |||
Share data in Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jan. 03, 2012 | Apr. 30, 2012 |
Participant | tranche | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||||
Alternative Long Term Incentive Payment | $9,800,000 | |||||
Accrued matching contribution | 1,300,000 | 1,000,000 | ||||
Kforce common stock held by both plans | 317 | 229 | 317 | |||
Percentage of discount on shares purchased under employee stock purchase plan | 5.00% | |||||
Employee stock purchase plan, shares | 35 | 41 | 51 | |||
Average purchase price | $19.76 | $14.88 | $12.55 | |||
Gains (losses) attributable to the investments in bond mutual funds | 0 | -15,000 | 519,000 | |||
Number of participants terminated | 2 | |||||
Alternative Long-Term Incentive [Member] | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||||
Number of tranches | 3 | |||||
Alternative long term incentive expense | 0 | 0 | 9,800,000 | |||
Tranche One [Member] | Alternative Long-Term Incentive [Member] | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||||
Alternative measurement periods | 12 months | |||||
Tranche Two [Member] | Alternative Long-Term Incentive [Member] | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||||
Alternative measurement periods | 24 months | |||||
Tranche Three [Member] | Alternative Long-Term Incentive [Member] | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||||
Alternative measurement periods | 36 months | |||||
Rabbi Trust [Member] | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||||
Assets held in Rabbi Trust | 24,910,000 | 25,715,000 | 24,910,000 | |||
Non-Qualified Deferred Compensation Plan [Member] | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||||
Deferred compensation plan, amount included in accounts payable and other accrued liabilities | 3,100,000 | 3,700,000 | 3,100,000 | |||
Deferred compensation plan, amount included in other long term liability | 22,200,000 | 22,400,000 | 22,200,000 | |||
Compensation expenses | 187,000 | 566,000 | 635,000 | |||
Foreign Pension Plan [Member] | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||||
Defined benefit plan arrangement minimum age | 60 years | |||||
Completed at least credited service period | 5 years | |||||
Defined benefit plan assumptions used calculating benefit obligation benefits payable per service year | one-half month’s salary for each year of credited service | |||||
Discount rate used to determine the actuarial present value of the projected benefit obligation and pension expense | 5.00% | 4.70% | 5.00% | 6.00% | ||
Estimated rate of future annual compensation increases | 3.00% | |||||
Net periodic benefit cost | 124,000 | 92,000 | 128,000 | |||
Defined benefit plan, benefit obligation | 1,400,000 | 1,600,000 | 1,400,000 | |||
Foreign Pension Plan [Member] | Minimum [Member] | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||||
Age group of employees for company turnover rate | 20 years | |||||
Foreign Pension Plan [Member] | Maximum [Member] | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||||
Age group of employees for company turnover rate | 64 years | |||||
Supplemental Executive Retirement Plan [Member] | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||||
Defined benefit plan arrangement minimum age | 55 years | |||||
Completed at least credited service period | 10 years | |||||
Discount rate used to determine the actuarial present value of the projected benefit obligation and pension expense | 3.75% | 3.75% | 3.75% | |||
Net periodic benefit cost | 1,458,000 | 2,610,000 | 2,811,000 | |||
Defined benefit plan, benefit obligation | 7,852,000 | 10,197,000 | 7,852,000 | 19,658,000 | ||
Normal retirement age | 65 years | |||||
Early retirement age | 55 years | |||||
Vesting percentage under plan for attaining age 55 and 10 years | 100.00% | |||||
Vesting percentage under plan prior to attaining age 55 and 10 years | 0.00% | |||||
Define benefit plan employees minimum requisition period under specific conditions | 5 years | |||||
Benefits payable targeted percentage | 45.00% | |||||
Period in which the executive officer earned the highest salary and bonus | 3 years | |||||
Eligible service under condition one for reduced benefits under plan | 10 years | |||||
Eligible age under condition one for reduced benefits under the plan | 62 years | |||||
Eligible age under condition two for reduced benefits under plan | 55 years | |||||
Eligible service under condition two for reduced benefits under plan | 25 years | |||||
Lump sum payment period | 10 years | |||||
Number of participants terminated | 2 | |||||
Curtailment | 2,100,000 | 0 | 2,138,000 | |||
Defined benefit plan accumulated benefit obligation non-current | 7,852,000 | 10,197,000 | 7,852,000 | |||
Contributions made to the SERP | 0 | |||||
Lump-sum payment to the participant in SERHP | 10,700,000 | |||||
Supplemental Executive Retirement Health Plan [Member] | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||||
Net periodic benefit cost | 977,000 | 510,000 | 1,341,000 | |||
Defined benefit plan, benefit obligation | 2,674,000 | 0 | 2,674,000 | 3,574,000 | ||
Number of participants terminated | 2 | |||||
Curtailment | 785,000 | |||||
Defined benefit plan accumulated benefit obligation non-current | 2,627,000 | 0 | 2,627,000 | |||
Lump-sum payment to the participant in SERHP | 3,900,000 | |||||
Settlement gain (loss) | -725,000 | 359,000 | 0 | |||
Curtailment gain | 359,000 | |||||
Defined benefit plan accumulated benefit obligation current | 47,000 | $47,000 |
Employee_Benefit_Plan_Actuaria
Employee Benefit Plan - Actuarial Assumptions Used to Determine the Actuarial Present Value of Projected Benefit Obligations (Detail) (Supplemental Executive Retirement Plan [Member]) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Supplemental Executive Retirement Plan [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Discount rate | 3.75% | 3.75% | |
Expected long-term rate of return on plan assets | 0.00% | 0.00% | 0.00% |
Rate of future compensation increase | 4.00% | 4.00% |
Employee_Benefit_Plans_Weighte
Employee Benefit Plans - Weighted Average Actuarial Assumptions Used To Determine Net Periodic Benefit Cost (Detail) (Supplemental Executive Retirement Plan [Member]) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Supplemental Executive Retirement Plan [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Discount rate | 3.75% | 2.50% | 3.25% |
Expected long-term rate of return on plan assets | 0.00% | 0.00% | 0.00% |
Rate of future compensation increase | 4.00% | 4.00% | 4.00% |
Employee_Benefit_Plans_Compone
Employee Benefit Plans - Components of Net Periodic Benefit Cost (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Supplemental Executive Retirement Health Plan [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Service cost | $174 | $649 | $919 |
Interest cost | 78 | 134 | 150 |
Amortization of actuarial loss | 0 | 86 | 272 |
Settlement/curtailment loss/(gain) | 725 | -359 | 0 |
Net periodic benefit (gain) cost | 977 | 510 | 1,341 |
Supplemental Executive Retirement Plan [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Service cost | 1,164 | 2,018 | 2,087 |
Interest cost | 294 | 471 | 560 |
Amortization of actuarial loss | 0 | 97 | 164 |
Settlement loss | 0 | 24 | 0 |
Net periodic benefit (gain) cost | $1,458 | $2,610 | $2,811 |
Employee_Benefit_Plans_Project
Employee Benefit Plans - Projected Annual Benefit Payment (Detail) (Supplemental Executive Retirement Plan [Member], USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Supplemental Executive Retirement Plan [Member] | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
2015 | $0 |
2016 | 0 |
2017 | 0 |
2018 | 0 |
2019 | 9,187 |
2020-2024 | 0 |
Thereafter | $4,081 |
Employee_Benefit_Plans_Changes
Employee Benefit Plans - Changes in the Benefit Obligation (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Supplemental Executive Retirement Health Plan [Member] | ||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Accumulated postretirement benefit obligation, beginning | $2,674 | $3,574 | ||
Service cost | 174 | 649 | 919 | |
Interest cost | 78 | 134 | 150 | |
Actuarial experience and changes in actuarial assumptions | 234 | -834 | ||
Curtailment | -785 | |||
Settlement/curtailment loss/(gain) | 725 | -785 | ||
Benefits Paid | -3,885 | -64 | ||
Accumulated postretirement benefit obligation, ending | 2,674 | 0 | 2,674 | 3,574 |
Supplemental Executive Retirement Plan [Member] | ||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Accumulated postretirement benefit obligation, beginning | 7,852 | 19,658 | ||
Service cost | 1,164 | 2,018 | 2,087 | |
Interest cost | 294 | 471 | 560 | |
Actuarial experience and changes in actuarial assumptions | 887 | -1,475 | ||
Curtailment | -2,100 | 0 | -2,138 | |
Benefits Paid | 0 | -10,682 | ||
Accumulated postretirement benefit obligation, ending | $7,852 | $10,197 | $7,852 | $19,658 |
Fair_Value_Measurements_Additi
Fair Value Measurements - Additional Information (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Fair Value Disclosures [Abstract] | ||
Transfers into or out of Level 1, 2 or 3 assets | $0 | $0 |
Fair_Value_Measurements_Fair_V
Fair Value Measurements - Fair Value Measurements on a Recurring and Non-Recurring Basis (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | |||
Non-recurring basis: | |||
Goodwill | $45,968 | $48,900 | $63,410 |
Recurring Basis [Member] | |||
Fair value measurements on a recurring and non-recurring basis | |||
Contingent Liability | -477 | ||
Non-Recurring Basis [Member] | |||
Non-recurring basis: | |||
Goodwill | 48,900 | ||
Money Market Funds [Member] | Recurring Basis [Member] | |||
Fair value measurements on a recurring and non-recurring basis | |||
Fair value disclosure of assets | 0 | 869 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Recurring Basis [Member] | |||
Fair value measurements on a recurring and non-recurring basis | |||
Contingent Liability | 0 | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Non-Recurring Basis [Member] | |||
Non-recurring basis: | |||
Goodwill | 0 | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Money Market Funds [Member] | Recurring Basis [Member] | |||
Fair value measurements on a recurring and non-recurring basis | |||
Fair value disclosure of assets | 0 | 869 | |
Significant Other Observable Inputs (Level 2) [Member] | Recurring Basis [Member] | |||
Fair value measurements on a recurring and non-recurring basis | |||
Contingent Liability | 0 | ||
Significant Other Observable Inputs (Level 2) [Member] | Non-Recurring Basis [Member] | |||
Non-recurring basis: | |||
Goodwill | 0 | ||
Significant Other Observable Inputs (Level 2) [Member] | Money Market Funds [Member] | Recurring Basis [Member] | |||
Fair value measurements on a recurring and non-recurring basis | |||
Fair value disclosure of assets | 0 | 0 | |
Significant Unobservable Inputs (Level 3) [Member] | Recurring Basis [Member] | |||
Fair value measurements on a recurring and non-recurring basis | |||
Contingent Liability | -477 | ||
Significant Unobservable Inputs (Level 3) [Member] | Non-Recurring Basis [Member] | |||
Non-recurring basis: | |||
Goodwill | 48,900 | ||
Significant Unobservable Inputs (Level 3) [Member] | Money Market Funds [Member] | Recurring Basis [Member] | |||
Fair value measurements on a recurring and non-recurring basis | |||
Fair value disclosure of assets | $0 | $0 |
Fair_Value_Measurements_Fair_V1
Fair Value Measurements - Fair Value Measurements on a Recurring and Non-Recurring Basis - Additional Information (Detail) (Government Solutions [Member], USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Government Solutions [Member] | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Goodwill fair value | $19 |
Stock_Incentive_Plans_Addition
Stock Incentive Plans - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | |||||
Mar. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Mar. 31, 2012 | Apr. 05, 2013 | Jun. 20, 2006 | |
employee | Participant | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Stock-based compensation expense | $5,500,000 | $2,600,000 | $26,200,000 | |||||
Related tax benefit | 1,200,000 | 1,000,000 | 10,200,000 | |||||
Restricted shares impacted by modification | 268,000 | |||||||
Number of employees impacted by modification | 87 | |||||||
Incremental compensation cost resulting from modification | 109,000 | |||||||
ERROR in label resolution. | 2 | |||||||
Unrecorded stock compensation expenses | 1,100,000 | |||||||
Health Information Management [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Unrecorded stock compensation expenses | 600,000 | |||||||
Kforce Clinical Research, Inc [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Related tax benefit | 800,000 | |||||||
Unrecorded stock compensation expenses | 22,200,000 | 31,300,000 | ||||||
Stock Options [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Stock-based compensation expense including discontinued operations | 0 | 0 | 0 | |||||
Unrecognized compensation cost | 0 | |||||||
Performance Accelerated Restricted Stock [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Restricted stock granted, vesting period | 5 years | |||||||
Closing stock price measurement period | 10 days | |||||||
Performance Accelerated Restricted Stock [Member] | Minimum [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Restricted stock granted, vesting period | 6 years | |||||||
Performance Accelerated Restricted Stock [Member] | Maximum [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Restricted stock granted, vesting period | 10 years | |||||||
Stock Options Outstanding [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Option expiration period from grant date | 10 years | |||||||
Restricted Stock [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Total unrecognized compensation expenses | 11,500,000 | |||||||
Weighted average period expected to be recognized | 4 years 9 months 18 days | |||||||
Stock-based compensation expense | 20% of the grant vesting annually in years six through ten | |||||||
Restricted Stock [Member] | Minimum [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Restricted stock granted, vesting period | 2 years | |||||||
Restricted Stock [Member] | Maximum [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Restricted stock granted, vesting period | 10 years | |||||||
2013 Stock Incentive Plan [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Authorized awards | 4,000,000 | |||||||
Equity plan expiration date | 5-Apr-23 | |||||||
2006 Stock Incentive Plan [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Authorized awards | 7,900,000 | |||||||
Equity plan expiration date | 28-Apr-16 | |||||||
Incentive Stock Option Plan [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Equity plan ceased year | 2005 | |||||||
Continuing Operations [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Stock-based compensation expense | 3,000,000 | 2,600,000 | 26,200,000 | |||||
Common Stock [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Stock-based compensation expense | $1,800,000 | |||||||
Common stock issued | 92,000 |
Stock_Incentive_Plans_Summary_
Stock Incentive Plans - Summary of Stock Option Activity (Detail) (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Outstanding as of Beginning of year | 180 | 247 | 324 |
Exercised | -105 | -67 | -70 |
Forfeited/Cancelled | -18 | 0 | -7 |
Outstanding as of Ending of year | 57 | 180 | 247 |
Outstanding, Weighted Average Exercise Price per Share, Beginning Balance | $11.57 | $10.87 | $10.79 |
Exercised, Weighted Average Exercise Price per Share | $11.61 | $8.98 | $10.48 |
Forfeited/Cancelled, Weighted Average Exercise Price per Share | $11 | $0 | $11 |
Outstanding, Weighted Average Exercise Price per Share, Ending Balance | $11.69 | $11.57 | $10.87 |
Exercised, Total Intrinsic Value of Options Exercised | $1,029 | $573 | $238 |
Incentive Stock Option Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Outstanding as of Beginning of year | 97 | 154 | 226 |
Exercised | -57 | -57 | -65 |
Forfeited/Cancelled | -18 | 0 | -7 |
Outstanding as of Ending of year | 22 | 97 | 154 |
Stock Incentive Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Outstanding as of Beginning of year | 83 | 93 | 98 |
Exercised | -48 | -10 | -5 |
Forfeited/Cancelled | 0 | 0 | 0 |
Outstanding as of Ending of year | 35 | 83 | 93 |
Stock_Incentive_Plans_Range_of
Stock Incentive Plans - Range of Outstanding and Exercisable Option Exercise Prices (Detail) (USD $) | 12 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Number of Awards | 57 |
Weighted Average Remaining Contractual Term | 1 year 6 months 22 days |
Weighted Average Exercise Price | $11.69 |
Total Intrinsic Value | $713 |
Range One [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Lower range | $0 |
Upper range | $9.13 |
Number of Awards | 0 |
Weighted Average Exercise Price | $0 |
Total Intrinsic Value | 0 |
Range Two [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Lower range | $9.13 |
Upper range | $14.45 |
Number of Awards | 57 |
Weighted Average Remaining Contractual Term | 1 year 6 months 22 days |
Weighted Average Exercise Price | $11.69 |
Total Intrinsic Value | $713 |
Stock_Incentive_Plans_Summary_1
Stock Incentive Plans - Summary of Restricted Stock Activity (Detail) (USD $) | 1 Months Ended | 12 Months Ended | ||
Share data in Thousands, except Per Share data, unless otherwise specified | Feb. 29, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Forfeited | -393 | |||
Outstanding as of Beginning, Value of RS Vested | $0 | $0 | $0 | |
Granted, Total Intrinsic Value of RS Vested | 0 | 0 | 0 | |
Forfeited, Total Intrinsic Value of RS Vested | 0 | 0 | 0 | |
Outstanding as of Ending, Value of RS Vested | 0 | 0 | 0 | |
Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Outstanding as of Beginning of year | 811 | 38 | 3,334 | |
Granted | 528 | 904 | 288 | |
Vested | -273 | -109 | -3,191 | |
Forfeited | -84 | -22 | -393 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | $18.38 | $15.43 | $16.37 | |
Outstanding as of Ending of year | 982 | 811 | 38 | |
Outstanding Beginning, Weighted Average Grant Date Fair Value | $16.89 | $12.11 | $14.30 | |
Granted, Weighted Average Grant Date Fair Value | $20.18 | $16.72 | $12.67 | |
Vested, Weighted Average Grant Date Fair Value | $17.37 | $14.15 | $14.15 | |
Outstanding Ending, Weighted Average Grant Date Fair Value | $18.55 | $16.89 | $12.11 | |
Vested, Total Intrinsic Value of RS Vested | $5,624,000 | $2,092,000 | $47,407,000 |
Stock_Incentive_Plans_Summary_2
Stock Incentive Plans - Summary of Restricted Stock Activity - Additional Information (Detail) | 1 Months Ended |
In Thousands, unless otherwise specified | Feb. 29, 2012 |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Forfeiture of PARS | 393 |
Organizational_Realignment_Add
Organizational Realignment - Additional Information (Detail) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Restructuring and Related Activity [Line Items] | |
Severance and termination-related expenses | $7.10 |
Unrecorded stock compensation expenses | 1.1 |
Selling, General and Administrative Expenses [Member] | |
Restructuring and Related Activity [Line Items] | |
Severance and termination-related expenses | $7.10 |
Commitments_and_Contingencies_1
Commitments and Contingencies - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Other Commitments [Line Items] | |||
Operating lease, rental expense | $5,600,000 | $5,300,000 | $5,200,000 |
Purchase commitment, total | 12,600,000 | ||
Commitments to be paid in 2015 | 7,600,000 | ||
Commitments to be paid in 2016 | 4,000,000 | ||
Commitments to be paid in 2017 | 1,000,000 | ||
Commitments to be paid in 2018 | 11,000 | ||
Commitments to be paid in 2019 | 0 | ||
Letter of credit outstanding, for workers compensation | 2,700,000 | ||
Letter of credit outstanding, for facility lease deposit | 500,000 | ||
Provision for litigation loss | 0 | ||
Tax audit cost | 0 | ||
Severance Payment Under Agreement Description | Certain of the agreements also provide for a severance payment of one to three times annual salary and one half to three times average annual bonus if such an agreement is terminated without good cause by the employer or for good reason by the employee. | ||
Employees under contract terminated by employer without good cause or change in control | 19,200,000 | ||
Employees under contract terminated by employer without good cause or in absence of change in control | $41,600,000 | ||
Minimum [Member] | |||
Other Commitments [Line Items] | |||
Tenure of expiration of lease | 30 days | ||
Period for providing minimum compensation salary and continuation of certain benefits to executives under employment agreements | 6 months | ||
Severance payment as a percentage of annual salary | 100.00% | ||
Severance payment as a percentage of annual bonus | 50.00% | ||
Maximum [Member] | |||
Other Commitments [Line Items] | |||
Tenure of expiration of lease | 90 days | ||
Period for providing minimum compensation salary and continuation of certain benefits to executives under employment agreements | 3 years | ||
Severance payment as a percentage of annual salary | 300.00% | ||
Severance payment as a percentage of annual bonus | 300.00% |
Commitments_and_Contingencies_2
Commitments and Contingencies - Summary of Future Minimum Lease Payments for Capital and Operating Lease (Detail) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Schedule Of Operating And Capital Leased Assets [Line Items] | |
Present value of payments, 2015 | $1,090 |
Present value of payments, 2016 | 429 |
Present value of payments, 2017 | 129 |
Present value of payments, 2018 | 4 |
Present value of payments, 2019 | 0 |
Present value of payments, Thereafter | 0 |
Present value of payments, Total | 1,652 |
Interest, 2015 | 51 |
Interest, 2016 | 41 |
Interest, 2017 | 13 |
Interest, 2018 | 2 |
Interest, 2019 | 0 |
Interest, Thereafter | 0 |
Interest, Total | 107 |
Capital lease payments, 2015 | 1,141 |
Capital lease payments, 2016 | 470 |
Capital lease payments, 2017 | 142 |
Capital lease payments, 2018 | 6 |
Capital lease payments, 2019 | 0 |
Capital lease payments, Thereafter | 0 |
Capital Lease Payments, Total | 1,759 |
Operating leases, 2015 | 6,348 |
Operating leases, 2016 | 5,498 |
Operating leases, 2017 | 3,601 |
Operating leases, 2018 | 1,634 |
Operating leases, 2019 | 716 |
Operating leases, Thereafter | 339 |
Operating leases, Total | 18,136 |
Total leases, 2015 | 7,489 |
Total leases, 2016 | 5,968 |
Total leases, 2017 | 3,743 |
Total leases, 2018 | 1,640 |
Total leases, 2019 | 716 |
Total leases, Thereafter | 339 |
Total leases, Total | 19,895 |
Furniture and Equipment [Member] | |
Schedule Of Operating And Capital Leased Assets [Line Items] | |
Operating leases, 2015 | 112 |
Operating leases, 2016 | 34 |
Operating leases, 2017 | 0 |
Operating leases, 2018 | 0 |
Operating leases, 2019 | 0 |
Operating leases, Thereafter | 0 |
Operating leases, Total | 146 |
Facilities [Member] | |
Schedule Of Operating And Capital Leased Assets [Line Items] | |
Operating leases, 2015 | 6,236 |
Operating leases, 2016 | 5,464 |
Operating leases, 2017 | 3,601 |
Operating leases, 2018 | 1,634 |
Operating leases, 2019 | 716 |
Operating leases, Thereafter | 339 |
Operating leases, Total | $17,990 |
Reportable_Segments_Operations
Reportable Segments - Operations of Segments (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Segment Reporting Information [Line Items] | |||||||||||
Net service revenues | $318,739 | $313,810 | $302,758 | $282,024 | $282,061 | $279,956 | $264,720 | $246,991 | $1,217,331 | $1,073,728 | $1,005,487 |
Gross profit | 98,378 | 98,291 | 94,386 | 83,526 | 89,371 | 91,055 | 86,595 | 77,355 | 374,581 | 344,376 | 320,586 |
Operating expenses | 326,624 | 333,447 | 386,944 | ||||||||
Loss from continuing operations, before income taxes | 47,957 | 10,929 | -66,358 | ||||||||
Flexible Billings [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net service revenues | 1,170,636 | 1,025,286 | 958,283 | ||||||||
Search Fees [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net service revenues | 46,695 | 48,442 | 47,204 | ||||||||
Technology [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net service revenues | 842,469 | 739,362 | 675,587 | ||||||||
Gross profit | 243,085 | 219,360 | 200,738 | ||||||||
Technology [Member] | Flexible Billings [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net service revenues | 823,311 | 720,179 | 655,062 | ||||||||
Technology [Member] | Search Fees [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net service revenues | 19,158 | 19,183 | 20,525 | ||||||||
Finance and Accounting [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net service revenues | 276,811 | 242,417 | 238,476 | ||||||||
Gross profit | 101,071 | 93,663 | 91,124 | ||||||||
Finance and Accounting [Member] | Flexible Billings [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net service revenues | 249,274 | 213,158 | 211,797 | ||||||||
Finance and Accounting [Member] | Search Fees [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net service revenues | 27,537 | 29,259 | 26,679 | ||||||||
Government Solutions [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net service revenues | 98,051 | 91,949 | 91,424 | ||||||||
Gross profit | 30,425 | 31,353 | 28,724 | ||||||||
Government Solutions [Member] | Flexible Billings [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net service revenues | 98,051 | 91,949 | 91,424 | ||||||||
Government Solutions [Member] | Search Fees [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net service revenues | $0 | $0 | $0 |
Quarterly_Financial_Data_Unaud2
Quarterly Financial Data (Unaudited) - Summary of Quarterly Financial Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Net service revenues | $318,739 | $313,810 | $302,758 | $282,024 | $282,061 | $279,956 | $264,720 | $246,991 | $1,217,331 | $1,073,728 | $1,005,487 |
Gross profit | 98,378 | 98,291 | 94,386 | 83,526 | 89,371 | 91,055 | 86,595 | 77,355 | 374,581 | 344,376 | 320,586 |
(Loss) income from continuing operations, net of income taxes | 9,061 | 7,995 | 7,953 | 4,389 | -9,714 | 7,636 | 5,443 | 1,929 | 29,398 | 5,294 | -42,131 |
Income (loss) from discontinued operations, net of income taxes | -116 | 57,023 | 2,750 | 1,860 | 1,480 | 1,343 | 1,505 | 1,165 | 61,517 | 5,493 | 28,428 |
Net income (loss) | $8,945 | $65,018 | $10,703 | $6,249 | ($8,234) | $8,979 | $6,948 | $3,094 | $90,915 | $10,787 | ($13,703) |
Earnings (loss) per share-basic | $0.30 | $2.07 | $0.33 | $0.19 | ($0.25) | $0.27 | $0.21 | $0.09 | $2.89 | $0.32 | ($0.38) |
Earnings (loss) per share-diluted | $0.30 | $2.06 | $0.33 | $0.19 | ($0.25) | $0.27 | $0.21 | $0.09 | $2.87 | $0.32 | ($0.38) |
Quarterly_Financial_Data_Unaud3
Quarterly Financial Data (Unaudited) - Additional Information (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2014 | Dec. 31, 2013 |
Quarterly Financial Information Disclosure [Abstract] | ||
Gain on sale of discontinued operations before income tax | $94.30 | |
Gain on sale of discontinued operations after income tax | 56.1 | |
Transaction costs | 11 | |
Employee Benefits and Share-based Compensation | 2.4 | |
Severance and termination-related expenses | 7.1 | |
Discretionary bonus | $3.60 |
Supplemental_Cash_Flow_Informa2
Supplemental Cash Flow Information - Details of Supplemental Cash Flow Information (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Cash paid during the period for: | |||
Income taxes, net | $52,565 | $14,789 | $14,456 |
Interest, net | 1,048 | 800 | 554 |
Non-Cash Transaction Information: | |||
Tax benefit from disqualifying dispositions of stock options and restricted stock | 128 | 15 | 36 |
Shares tendered in payment of exercise price of stock options and SARs | 84 | 0 | 161 |
Employee stock purchase plan | 699 | 613 | 647 |
Equipment acquired under capital leases | 313 | 1,929 | 672 |
Unsettled repurchases of common stock | 1,425 | 0 | 2,498 |
Contingent consideration for acquisition | $477 | $0 | $0 |
Schedule_II_Valuation_and_Qual1
Schedule II - Valuation and Qualifying Accounts and Reserves Supplemental Schedule (Detail) (Accounts Receivable Reserves [Member], USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Accounts Receivable Reserves [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Period | $2,028 | $2,153 | $2,457 |
Charged to Costs and Expenses (Recovery) | 530 | 382 | 1,249 |
Charged to Other Accounts | 31 | -54 | -70 |
Deductions | -549 | -453 | -1,483 |
Balance at End of Period | $2,040 | $2,028 | $2,153 |