HireQuest (HQI) Q4 2025 Earnings Transcript

Motley Fool Transcribing, The Motley Fool

Mon, June 1, 2026 astatine 10:56 AM CDT 14 min read

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DATE

March 30, 2026 astatine 4:30 p.m. ET

CALL PARTICIPANTS

• Chief Executive Officer — Richard Hermanns

• Chief Financial Officer — C. Hartley

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Full Conference Call Transcript

Richard Hermanns: Good afternoon, and convey you for joining our telephone today. As we've spoken to connected erstwhile calls, the macro situation has driven a challenging clip for the staffing industry. . That said, we stay solidly profitable and executed good successful 2025. As galore of you already know, we acquired MRI network, our planetary enforcement hunt and imperishable placement marque backmost successful 2022 arsenic a mode for america to pat into the expanding request for enforcement hunt and imperishable placement staffing offerings. Since we acquired the business, hiring for some enforcement hunt and imperishable placement person slowed and that dynamic impacted our quality to standard and turn MRI.

MRI web had 2 components of its business, a imperishable placement enforcement recruiting portion and a declaration staffing piece. After cautious information during the 4th quarter, we announced our strategical determination to alteration the ownership operation of MRI web by divesting the imperishable placement portion of the concern into a caller entity successful transitioning bulk ownership to a recently formed enactment radical made up of existent and erstwhile franchise owners. We judge this is simply a affirmative strategical displacement for MRI web and the aboriginal maturation of the brand. By restructuring ownership and aligning MRI's enactment with experienced franchise proprietor operators, we're making definite the web is being guided by the radical who unrecorded its ngo each day.

This reset is focused connected increasing and strengthening lawsuit partnerships to unite a planetary web of enforcement staffing and imperishable placement offices into a cohesive, high-performing organization. Importantly, HireQuest remains afloat committed to MRI network, and we'll proceed to clasp partial ownership and enactment the marque with the indispensable infrastructure purchasing powerfulness and shared services crossed our staffing and recruiting network. So what that means for HireQuest and you arsenic shareholders of HireQuest is that arsenic of January 1 of this year, the imperishable placement information of MRI is operating nether this caller entity successful which HireQuest has a number ownership involvement in.

And HireQuest continues to run and person afloat ownership of the declaration staffing portion of the MRI business, which is the portion that much intimately aligns with our different franchise offerings. In different development, we announced successful December that HireQuest Board of Directors had approved a stock repurchase programme that authorizes the institution to repurchase up to $20 cardinal of its outstanding shares of communal stock. We judge that a stock repurchase programme is presently an businesslike usage of our capital, reflects our committedness to prudent superior absorption and deployment and reinforces the assurance that the Board and absorption squad person successful HireQuest semipermanent strategy portion besides returning superior to our shareholders.