|By Business Wire||
|March 21, 2014 04:32 PM EDT||
The Hackett Group, Inc. (Nasdaq:HCKT), a global strategic advisory, business transformation and technology consulting firm, today announced that it would be taking a one-time $3.6 million charge in order to reduce staff and exit facilities in non core markets as part of a comprehensive plan to respond to structural market changes and deliver profitable growth in the region. The Company had made several leadership and sales related changes as it exited 2013 but wanted to be proactive in its desire to increase its investment to build its Enterprise Performance Management capabilities which have been a big part of its recent growth in North America.
"Today, we announced our actions which we believe better position our European organization to recapture its historic profitability," stated Ted A. Fernandez, Chairman & CEO of The Hackett Group, Inc. "Although these decisions are always difficult, we felt it was important to affect these changes so that we could invest in areas where we are having success in the U.S. and that we would like to aggressively grow in Europe."
Excluding this one-time charge, the Company's previously provided revenue guidance for the first quarter of 2014 of $53.0 to $55.0 million and proforma diluted earnings per share of $0.06 to $0.08, remains unchanged.
About The Hackett Group
The Hackett Group, Inc. (NASDAQ: HCKT), a global strategic business advisory and business transformation and technology consulting firm, is a leader in best practice advisory, benchmarking, and transformation consulting services including enterprise performance management and business intelligence, strategy and operations, working capital management, shared services and globalization advice. Utilizing best practices and implementation insights from more than 10,000 benchmarking engagements, executives use The Hackett Group's empirically-based approach to quickly define and implement initiatives to enable world-class performance. Through its REL group, The Hackett Group offers working capital solutions focused on delivering significant cash flow improvements. Through its Archstone Consulting group, The Hackett Group offers Strategy & Operations consulting services in the Consumer and Industrial Products, Pharmaceutical, Manufacturing and Financial Services industry sectors. Through its Hackett ERP Solutions group, The Hackett Group offers business application consulting and application management services that help maximize returns on IT investments. The Hackett Group has completed benchmark studies with over 3,500 major corporations and government agencies, including 97% of the Dow Jones Industrials, 83% of the Fortune 100, 87% of the DAX 30 and 48% of the FTSE 100.
More information on The Hackett Group is available: by phone at (770) 225-7300; by e-mail at [email protected].
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and involve known and unknown risks, uncertainties and other factors that may cause The Hackett Group's actual results, performance or achievements to be materially different from the results, performance or achievements expressed or implied by the forward-looking statements. Factors that impact such forward-looking statements include, among others, the ability of our products, services, or offerings mentioned in this release to deliver the desired effect, our ability to effectively integrate acquisitions into our operations, our ability to retain existing business, our ability to attract additional business, our ability to effectively market and sell our product offerings and other services, the timing of projects and the potential for contract cancellations by our customers, changes in expectations regarding the business consulting and information technology industries, our ability to attract and retain skilled employees, possible changes in collections of accounts receivable due to the bankruptcy or financial difficulties of our customers, risks of competition, price and margin trends, foreign currency fluctuations, changes in general economic conditions and interest rates, our ability to obtain debt financing through additional borrowings under an amendment to our existing credit facility as well as other risks detailed in our Company's Annual Report on Form 10-K for the most recent fiscal year filed with the Securities and Exchange Commission. We undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.