Resources Connection reported Q2 revenue of $117.7 million with adjusted EBITDA of $4.0 million and a GAAP net loss of $12.7 million due to CEO-transition and restructuring charges. New CEO Roger Carlisle is focusing on cost alignment, refining on-demand services, and scaling consulting to meet evolving client needs.

The company ended the quarter with $89.8 million cash and no debt, expecting Q3 revenue of $105–110 million. They are executing cost actions, including a 5% reduction in force, while retaining $79 million capacity under their buyback program. The company is adapting to client needs around AI and automation.

CEO Carlisle emphasized adapting to evolving client needs driven by AI and automation. The company is aligning its cost structure with revenue levels, refocusing on-demand offerings, and scaling consulting services. They are working to understand how clients’ AI strategies affect demand and implementing AI tools internally to improve support functions.

In Q2, Resources Connection reported revenue near guidance, improved cost control, and one-time charges related to CEO transition. Consolidated revenue fell 18.4% YoY, with soft on-demand and consulting revenues. Gross margin was 37.1%, below outlook, but SG&A expense was more favorable, leading to adjusted EBITDA of $4.0 million.

Read more at Yahoo Finance: Resources Connection Q2 Earnings Call Highlights