Korn Ferry (KFY)
Gross profit margin
| Apr 30, 2025 | Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit (ttm) | US$ in thousands | 717,987 | 664,692 | 608,660 | 1,054,275 | 1,512,832 | 2,014,157 | 2,519,896 | 2,560,997 | 2,596,909 | 2,632,110 | 2,658,306 | 2,606,828 | 2,512,319 | 2,360,910 | 2,167,167 | 1,971,591 | 1,738,017 | 1,625,652 | 1,654,823 | 1,709,260 |
| Revenue (ttm) | US$ in thousands | 2,761,086 | 2,741,182 | 2,741,517 | 2,772,004 | 2,795,505 | 2,833,706 | 2,843,678 | 2,866,950 | 2,863,836 | 2,852,715 | 2,850,826 | 2,758,505 | 2,643,455 | 2,473,846 | 2,266,770 | 2,061,161 | 1,819,946 | 1,711,528 | 1,761,627 | 1,828,015 |
| Gross profit margin | 26.00% | 24.25% | 22.20% | 38.03% | 54.12% | 71.08% | 88.61% | 89.33% | 90.68% | 92.27% | 93.25% | 94.50% | 95.04% | 95.43% | 95.61% | 95.65% | 95.50% | 94.98% | 93.94% | 93.50% |
April 30, 2025 calculation
Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $717,987K ÷ $2,761,086K
= 26.00%
The gross profit margin of Korn Ferry has exhibited notable fluctuations over the analyzed period, reflecting shifts in the company's cost structure and revenue composition. From July 31, 2020, through October 31, 2023, the gross profit margin remained relatively high, consistently exceeding 88%, and generally trending downward over time. During this interval, the margins ranged from a peak of 95.65% in July 2021 to approximately 88.61% in October 2023, indicating a gradual erosion in profitability at the gross profit level.
A substantial decline is observed starting in early 2024. Between January 31, 2024, and October 31, 2024, the gross profit margin plummeted from 71.08% to 22.20%, signaling a significant deterioration in gross profitability. This sharp decrease continued into 2025, with the margin at 24.25% as of January 31, 2025, and a slight recovery projected to 26.00% by April 30, 2025.
The pattern suggests that the company experienced periods of stable or high-margin operations until early 2024, after which there was a rapid decline, possibly due to increased costs, lower revenue quality, changes in service offerings, or adverse market conditions. The temporary resurgence in March and April 2025 indicates some stabilization or marginal improvement, but the gross profit margins remain markedly lower compared to the pre-2024 period. Overall, the data portray a trend from a strong gross profit margin above 93% pre-2020, declining to below 28% by early 2025, highlighting a significant contraction in gross profitability within this timeframe.
Peer comparison
Apr 30, 2025