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HireQuest, Inc. (HQI+2.29%) has submitted its Form 10-K filing for the fiscal year ended December 31, 2024.
The filing details a decrease in total revenue to $34.6 million from $37.9 million in 2023, attributed to a decline in system-wide sales, which fell 6.9% to $563.6 million.
Franchise royalties, the primary revenue source, decreased to $32.7 million from $35.8 million, driven by reduced system-wide sales across various business lines, including MRI, which experienced an 18.6% decline.
The company reported a goodwill and intangible asset impairment charge of $6.0 million related to the MRI acquisition, impacting income from operations, which fell to $4.4 million from $10.6 million in 2023.
Net income for the year was $3.7 million, down from $6.1 million in the previous year, with the decline largely due to the impairment charge.
HireQuest's balance sheet remains strong, with assets exceeding liabilities by over $64.8 million. Current assets totaled $49.2 million, including $42.3 million in accounts receivable.
The company maintains a revolving credit agreement with Bank of America, with $6.8 million outstanding and $33.4 million available for borrowing.
HireQuest continues to focus on its franchise model, operating approximately 425 franchisee-owned offices and one company-owned office as of December 31, 2024.
The company completed the acquisition of Ready Temporary Staffing in December 2024 for $1.4 million, expanding its presence in Colorado.
Despite challenges, HireQuest remains committed to its growth strategy, emphasizing strategic acquisitions and expanding its franchisee base.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the HireQuest, Inc. annual 10-K report dated March 27, 2025. To report an error, please email earnings@qz.com.