DHI Group Reports Third Quarter Financial Results; Raises Full Year Profitability Guidance While Reaffirming Revenue Target
CENTENNIAL, Colo.--( BUSINESS WIRE)--Today, DHI Group, Inc. (NYSE: DHX) (“DHI” or the “Company”) announced its financial results for the third quarter ended September 30, 2025.
Third Quarter 2025 Financial Highlights Compared to the Third Quarter 2024 (1)
(1)
See definition of bookings and see "Notes Regarding the Use of Non-GAAP Financial Measures" related to Adjusted EBITDA, Adjusted EBITDA Margin, Non-GAAP Earnings Per Share, and Free Cash Flow, later in this press release.
Commenting on the results, Art Zeile, President and CEO of DHI Group, said:
“ClearanceJobs again demonstrated the strength of its market position, growing revenue year over year despite ongoing government uncertainty, while Dice significantly improved its profitability as we continued streamlining operations and began transitioning customers to our modern self-service platform. Together, our brands generated increased free cash flow, maintained healthy margins, and continued strengthening the foundation for long-term growth. With AI-driven demand reshaping the tech hiring landscape and defense spending poised to increase significantly as a result of the recently passed $1.1 trillion U.S. defense budget, DHI is well-positioned to capitalize on these secular growth trends and deliver sustained value to our customers and shareholders.”
Commenting on 2025 full-year guidance, Greg Schippers, CFO of DHI Group, commented:
“We remain confident in the long term growth prospects of our two tech-focused brands, and specifically ClearanceJobs in the near term, as a result of increased global defense spending and strong customer demand for cleared tech professionals. While we do not anticipate DHI total bookings growth to resume until the broader tech hiring environment stabilizes, we are reiterating our full-year revenue guidance of $126 to $128 million, with fourth-quarter revenue expected to be in the range of $29.5 to $31.5 million. As a result of our improved Dice margins, we are raising our full-year Adjusted EBITDA margin guidance to 27%, reflecting our cost management and operational efficiency.”
Conference Call Information
Art Zeile, President and Chief Executive Officer, and Greg Schippers, Chief Financial Officer, will host a conference call today, November 10, 2025, at 5:00 p.m. Eastern Time to discuss the Company’s financial results and recent developments.
The call can be accessed by dialing 844-890-1790 (in the U.S.) or 412-380-7407 (outside the U.S.). Please ask to be placed into the DHI Group, Inc. call. A live webcast of the call will simultaneously be available through the Investor Relations section of the Company’s website, https://www.dhigroupinc.com, and will be available for replay after the call ends.
About DHI Group, Inc.
DHI Group, Inc (NYSE: DHX) is a provider of AI-powered career marketplaces that focus on technology roles. DHI’s two brands, ClearanceJobs and Dice, enable recruiters and hiring managers to efficiently search for and connect with highly skilled technology professionals based on the skills requested. The Company’s patented algorithm manages over 100,000 unique technology skills. Additionally, our marketplaces allow tech professionals to find their ideal next career opportunity, with relevant advice and personalized insights. Learn more at www.dhigroupinc.com.
Forward-Looking Statements
This press release and oral statements made from time to time by our representatives contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. You should not place undue reliance on those statements because they are subject to numerous uncertainties and factors relating to our operations and business environment, all of which are difficult to predict and many of which are beyond our control. Forward-looking statements include, without limitation, information concerning our possible or assumed future financial condition, liquidity and results of operations, including expectations (financial or otherwise), our strategy, plans, objectives, and intentions, growth potential, and statements regarding our financial outlook. These statements often include words such as “may,” “will,” “should,” “believe,” “expect,” “anticipate,” “intend,” “plan,” “estimate,” "target" or similar expressions. These statements are based on assumptions that we have made in light of our experience in the industry as well as our perceptions of historical trends, current conditions, expected future developments and other factors we believe are appropriate under the circumstances. Although we believe that these forward-looking statements are based on reasonable assumptions, you should be aware that many factors could affect our actual financial results or results of operations and could cause actual results to differ materially from those in the forward-looking statements. These factors include, but are not limited to, our ability to execute our tech-focused strategy, a write-off of all or a part of our goodwill and intangible assets, backlog not accurately representing future revenue, competition from existing and future competitors in the highly competitive markets in which we operate, failure to adapt our business model to keep pace with rapid changes in the recruiting and career services business and the development of new products and services, macroeconomic conditions, including government shutdowns, the impact of initiatives to restructuring or streamlining government agencies, such as DOGE, the risk that AI models will reduce demand for technology professionals in the workforce, failure to maintain and develop our reputation and brand recognition, failure to increase or maintain the number of customers who purchase recruitment packages, failure to attract qualified professionals to our websites or grow the number of qualified professionals who use our websites, inability to successfully integrate future acquisitions or identify and consummate future acquisitions, misappropriation or misuse of our intellectual property, claims against us for intellectual property infringement or failure to enforce our ownership of intellectual property, failure to attract and retain users who create and post original content on our web properties, taxation risks in various jurisdictions and the potential for unfavorable decisions related to tax assessments, taxation risks impacting our liability or past sales, and ability to make future sales, downturns in our customers' businesses, our indebtedness and our ability to borrow funds under our revolving credit facility or refinance our indebtedness, restrictions on our current and future operations under such indebtedness, development and use of artificial intelligence, failure to timely and efficiently scale, adapt and maintain our technology and infrastructure, capacity constraints, system failures or breaches of network security, usefulness of our candidate profiles to our customers, decreases in our user engagement, changes in search engines’ methodologies, failure to halt operations of third-party websites aggregating our data, reliance on third-party hosting facilities, our compliance with laws and regulations, U.S. and foreign government regulation of the Internet and taxation, failure to attract or retain key executives and personnel, our ability to navigate the cyclicality or downturns of the U.S. and worldwide economies, litigation related to infringement or other claims regarding our services or content, our ability to defend ownership of our intellectual property, global climate change, compliance with the continued listing standards of the New York Stock Exchange, volatility in our stock price, differences between estimates of financial projections and future results, failure to maintain controls over financial reporting, results of operations fluctuating on a quarterly and annual basis, our Section 382 Rights Plan may have an anti-takeover effect, and anti-takeover provisions in our governing documents may make changes to management difficult, and disruption resulting from unsolicited offers to purchase the company. These factors and others are discussed in more detail in the Company’s filings with the Securities and Exchange Commission, all of which are available on the Investors page of our website at www.dhigroupinc.com, including the Company’s most recently filed reports on Form 10-K and Form 10-Q and subsequent filings under the headings “Risk Factors,” “Forward-Looking Statements” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” You should keep in mind that any forward-looking statement made by the Company or its representatives herein, or elsewhere, speaks only as of the date on which it is made. New risks and uncertainties come up from time to time, and it is impossible to predict these events or how they may affect us. We have no obligation to update any forward-looking statements after the date hereof, except as required by applicable federal securities laws.
Notes Regarding the Use of Non-GAAP Financial Measures
The Company has provided certain non-GAAP financial information as additional information for its operating results. These measures are not in accordance with, or alternatives to, measures in accordance with generally accepted accounting principles in the United States (“GAAP”) and may be different from similarly titled non-GAAP measures reported by other companies. The Company believes that its presentation of non-GAAP measures, such as Adjusted EBITDA, Adjusted EBITDA Margin, Free Cash Flow, and non-GAAP Earnings Per Share provides useful information to management and investors regarding certain financial and business trends relating to the Company's financial condition and results of operations. In addition, the Company’s management uses these measures for reviewing the financial results of the Company and for budgeting and planning purposes. Non-GAAP results exclude the impact of items that management believes affect the comparability or underlying business trends in our condensed consolidated financial statements in the periods presented. The non-GAAP measures apply to consolidated results or other measures as shown within this document. The Company has provided required reconciliations to the most comparable GAAP measures elsewhere in the document.
Non-GAAP Earnings Per Share
Non-GAAP Earnings Per Share is a non-GAAP performance measure that management believes is useful to investors and management in understanding our ongoing operations and in the analysis of operating trends. Non-GAAP Earnings Per Share is computed as diluted earnings per share plus or minus the impacts of certain non-cash and other items, including non-cash stock-based compensation, impairments, costs related to reorganizing the Company, including severance and related costs, gains or losses on investments, restructuring charges, and discrete tax items.
Non-GAAP Earnings Per Share is not a measurement of our financial performance under GAAP and should not be considered as an alternative to diluted earnings per share, net income, or any other performance measures derived in accordance with GAAP as a measure of our profitability.
Free Cash Flow
We define free cash flow as net cash provided by operating activities minus fixed asset purchases. We believe free cash flow is an important non-GAAP measure for investors as it provides useful cash flow information regarding our ability to service, incur or pay down indebtedness or repurchase our common stock. Management uses free cash flow as a measure to reflect cash available to service our debt as well as to fund our expenditures. A limitation of using free cash flow versus the GAAP measure of net cash provided by operating activities is that free cash flow does not represent the total increase or decrease in the cash balance from operations for the period since it includes cash used for fixed asset purchases during the period.
Adjusted EBITDA and Adjusted EBITDA Margin
Adjusted EBITDA and Adjusted EBITDA Margin are non-GAAP measures used by management to measure operating performance. Management uses Adjusted EBITDA and Adjusted EBITDA Margin as performance measures for internal monitoring and planning, including preparation of annual budgets, analyzing investment decisions and evaluating profitability and performance comparisons between us and our competitors. The Company also uses these measures to calculate amounts of performance-based compensation under the senior management incentive bonus program. Adjusted EBITDA represents net income plus (to the extent deducted in calculating such net income) interest expense, income tax expense, depreciation and amortization, and items such as non-cash stock-based compensation, certain write-offs in connection with indebtedness, impairment charges with respect to long-lived assets, expenses incurred in connection with an equity offering or any other offering of securities by the Company, extraordinary or non-recurring non-cash expenses or losses, losses from equity method investments, transaction costs in connection with the credit agreement, deferred revenue written off in connection with acquisition purchase accounting adjustments, write-off of non-cash stock-based compensation expense, severance and retention costs related to dispositions and reorganizations of the Company, impairment of investment and goodwill, restructuring charges and losses related to legal claims and fees that are unusual in nature or infrequent, minus (to the extent included in calculating such net income) non-cash income or gains, including income from equity method investments, interest income, business interruption insurance proceeds, and gains related to legal claims that are unusual in nature or infrequent.
Adjusted EBITDA Margin is computed as Adjusted EBITDA divided by revenue.
We also consider Adjusted EBITDA and Adjusted EBITDA Margin, as defined above, to be important indicators to investors because they provide information related to our ability to provide cash flows to meet future debt service, capital expenditures, working capital requirements, and to fund future growth. We present Adjusted EBITDA and Adjusted EBITDA Margin as supplemental performance measures because we believe that these measures provide our board of directors, management and investors with additional information to measure our performance, provide comparisons from period to period by excluding potential differences caused by variations in capital structures (affecting interest expense) and tax positions (such as the impact on periods or companies of changes in effective tax rates or net operating losses), and to estimate our value.
We understand that although Adjusted EBITDA and Adjusted EBITDA Margin are frequently used by securities analysts, lenders and others in their evaluation of companies, Adjusted EBITDA and Adjusted EBITDA Margin have limitations as analytical tools, and you should not consider them in isolation, or as a substitute for analysis of our liquidity or results as reported under GAAP. Some limitations are:
To compensate for these limitations, management evaluates our liquidity by considering the economic effect of excluded expense items independently, as well as in connection with its analysis of cash flows from operations and through the use of other financial measures, such as capital expenditure budget variances, investment spending levels and return on capital analysis.
Adjusted EBITDA and Adjusted EBITDA Margin are not measurements of our financial performance under GAAP and should not be considered as an alternative to revenue, operating income, net income, net income margin, cash provided by operating activities, or any other performance measures derived in accordance with GAAP as a measure of our profitability or liquidity.
DHI GROUP, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(in thousands, except per share amounts)
For the three months ended September 30,
For the nine months ended September 30,
2025
2024
2025
2024
Revenue
$
32,123
$
35,283
$
96,451
$
107,141
Operating expenses:
Cost of revenue
4,589
5,068
15,069
15,145
Product development
2,877
4,776
9,857
14,303
Sales and marketing
9,082
11,585
30,751
36,302
General and administrative
6,974
7,574
20,688
22,097
Depreciation
3,362
4,542
11,107
13,584
Amortization
126
—
126
—
Restructuring
—
1,111
6,486
1,111
Impairment of intangible assets
9,600
—
9,600
—
Impairment of goodwill
—
—
7,800
—
Total operating expenses
36,610
34,656
111,484
102,542
Operating income (loss)
(4,487
)
627
(15,033
)
4,599
Income from equity method investment
60
23
87
325
Impairment of investment
—
—
—
(400
)
Interest expense and other
(614
)
(755
)
(1,893
)
(2,546
)
Income (loss) before income taxes
(5,041
)
(105
)
(16,839
)
1,978
Income tax expense (benefit)
(772
)
95
(1,978
)
2,747
Net loss
$
(4,269
)
$
(200
)
$
(14,861
)
$
(769
)
Basic loss per share
$
(0.10
)
$
—
$
(0.33
)
$
(0.02
)
Diluted loss per share
$
(0.10
)
$
—
$
(0.33
)
$
(0.02
)
Weighted-average basic shares outstanding
44,823
44,873
45,224
44,550
Weighted-average diluted shares outstanding
44,823
44,873
45,224
44,550
DHI GROUP, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(in thousands)
Three Months Ended September 30,
Nine Months Ended September 30,
2025
2024
2025
2024
Cash flows from (used in) operating activities:
Net loss
$
(4,269
)
$
(200
)
$
(14,861
)
$
(769
)
Adjustments to reconcile net loss to net cash flows from (used in) operating activities:
Depreciation
3,362
4,542
11,107
13,584
Amortization
126
—
126
—
Deferred income taxes
(789
)
(400
)
(1,187
)
(350
)
Amortization of deferred financing costs
37
37
109
109
Stock-based compensation
1,284
1,814
3,911
6,118
Income from equity method investment
(60
)
(23
)
(87
)
(325
)
Impairment of investment
—
—
—
400
Impairment of intangible assets
9,600
—
9,600
—
Impairment of goodwill
—
—
7,800
—
Change in accrual for unrecognized tax benefits
23
61
(309
)
174
Changes in operating assets and liabilities:
Accounts receivable
1,631
2,617
6,018
2,572
Prepaid expenses and other assets
(142
)
(92
)
726
489
Capitalized contract costs
623
—
598
(714
)
Accounts payable and accrued expenses
(635
)
2,440
(3,048
)
(1,808
)
Income taxes receivable/payable
27
43
(1,699
)
(96
)
Deferred revenue
(5,877
)
(5,355
)
(4,475
)
(3,058
)
Other, net
(178
)
42
(452
)
350
Net cash flows from operating activities
4,763
5,526
13,877
16,676
Cash flows used in investing activities:
Payments for acquisition
(1,400
)
—
(1,400
)
—
Purchases of fixed assets
(1,593
)
(3,233
)
(5,778
)
(11,146
)
Net cash flows used in investing activities
(2,993
)
(3,233
)
(7,178
)
(11,146
)
Cash flows from (used in) financing activities:
Payments on long-term debt
—
(3,000
)
(8,000
)
(19,000
)
Proceeds from long-term debt
—
—
6,000
13,000
Payments under stock repurchase plan
(2,082
)
—
(4,517
)
—
Purchase of treasury stock related to vested restricted and performance stock units
(174
)
(175
)
(1,669
)
(1,808
)
Proceeds from issuance of common stock through ESPP
—
—
81
145
Net cash flows used in financing activities
(2,256
)
(3,175
)
(8,105
)
(7,663
)
Net change in cash for the period
(486
)
(882
)
(1,406
)
(2,133
)
Cash, beginning of period
2,782
2,955
3,702
4,206
Cash, end of period
$
2,296
$
2,073
$
2,296
$
2,073
DHI GROUP, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
(in thousands)
ASSETS
September 30, 2025
December 31, 2024
Current assets
Cash
$
2,296
$
3,702
Accounts receivable, net
16,102
22,120
Income taxes receivable
1,937
238
Prepaid and other current assets
3,590
3,593
Total current assets
23,925
29,653
Fixed assets, net
14,918
20,390
Capitalized contract costs
6,867
7,465
Operating lease right-of-use assets
5,772
6,518
Investments
1,922
1,827
Acquired intangible assets
15,674
23,800
Goodwill
120,612
128,100
Other assets
2,786
3,618
Total assets
$
192,476
$
221,371
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities
Accounts payable and accrued expenses
$
13,474
$
16,154
Deferred revenue
40,714
44,934
Operating lease liabilities
1,732
1,625
Total current liabilities
55,920
62,713
Deferred revenue
268
522
Operating lease liabilities
7,757
8,995
Long-term debt
30,000
32,000
Deferred income taxes
182
1,369
Accrual for unrecognized tax benefits
751
1,060
Other long-term liabilities
321
387
Total liabilities
95,199
107,046
Total stockholders’ equity
97,277
114,325
Total liabilities and stockholders’ equity
$
192,476
$
221,371
Supplemental Information and Non-GAAP Reconciliations
On the pages that follow, we have provided certain supplemental information that we believe will assist the reader in assessing our business operations and performance, including certain non-GAAP financial information and required reconciliations to the most directly comparable GAAP measure. A statement of operations and statement of cash flows for the three and nine month periods ended September 30, 2025 and 2024 and balance sheets as of September 30, 2025 and December 31, 2024 are provided elsewhere in this press release.
DHI GROUP, INC.
NON-GAAP & SUPPLEMENTAL DATA
(Unaudited)
(in thousands, except per share and customer data)
Revenue
Q3 2025
Q3 2024
$ Change
% Change
ClearanceJobs
$
13,937
$
13,842
$
95
1
%
Dice
18,186
21,441
(3,255
)
(15
)%
Total Revenue 1
$
32,123
$
35,283
$
(3,160
)
(9
)%
Net loss 2
$
(4,269
)
$
(200
)
$
(4,069
)
n.m.
Net loss margin 3
(13
)%
(1
)%
n.m.
n.m.
Diluted loss per share 2
$
(0.10
)
$
—
$
(0.10
)
—
%
Non-GAAP earnings per share 5
$
0.09
$
0.05
$
0.04
80
%
Adjusted EBITDA 5
$
10,273
$
8,619
$
1,654
19
%
Adjusted EBITDA margin 3 5
32
%
24
%
n.m.
n.m.
Revenue
YTD 2025
YTD 2024
$ Change
% Change
ClearanceJobs
$
40,940
$
40,375
$
565
1
%
Dice
55,511
66,766
(11,255
)
(17
)%
Total Revenue 1
$
96,451
$
107,141
$
(10,690
)
(10
)%
Net loss 4
$
(14,861
)
$
(769
)
$
(14,092
)
n.m.
Net loss margin 3
(15
)%
(1
)%
n.m.
n.m.
Diluted loss per share 4
$
(0.33
)
$
(0.02
)
$
(0.31
)
n.m.
Non-GAAP earnings per share 5
$
0.21
$
0.17
$
0.04
24
%
Adjusted EBITDA 5
$
25,748
$
26,160
$
(412
)
(2
)%
Adjusted EBITDA margin 3 5
27
%
24
%
n.m.
n.m.
(1) We had previously disclosed that career events were recorded within Dice. Career events have been reclassified between ClearanceJobs and Dice based on the nature of the event for all periods presented.
(2) For the three months ended September 30, 2025, net loss and diluted loss per share includes the net negative impact of non-cash stock-based compensation, impairments, and severance, professional fees, and related costs of $11.3 million ($8.5 million net of tax), resulting in a net negative impact of $8.5 million, or $0.19 per diluted share. For the three months ended September 30, 2024, net loss and diluted loss per share includes the net negative impact of non-cash stock-based compensation, restructuring, and severance and related costs of $3.5 million ($2.6 million net of tax) and discrete tax items of $0.1 million, resulting in a net negative impact of $2.7 million, or $0.05 per diluted share.
(3) Net loss margin and Adjusted EBITDA Margin are calculated by dividing the respective measure by that period's revenue.
(4) For the nine months ended September 30, 2025, net loss and diluted loss per share includes the net negative impact of non-cash stock-based compensation, restructuring, impairments, and severance, professional fees, and related costs of $29.5 million ($24.1 million net of tax) and discrete tax items of $0.2 million, resulting in a net negative impact of $24.3 million, or $0.54 per diluted share. For the nine months ended September 30, 2024, net loss and diluted loss per share includes the net negative impact of non-cash stock-based compensation, restructuring, impairments, gain on investment, and severance and related costs of $8.1 million ($6.1 million net of tax) and discrete tax items of $2.3 million, resulting in a net negative impact of $8.4 million, or $0.19 per diluted share.
(5) See "Notes Regarding the Use of Non-GAAP Financial Measures" elsewhere in this press release.
Bookings 1
Q3 2025
Q3 2024
$ Change
% Change
ClearanceJobs
$
11,967
$
12,801
$
(834
)
(7
)%
Dice
13,417
16,081
(2,664
)
(17
)%
Total Bookings 2
$
25,384
$
28,882
$
(3,498
)
(12
)%
YTD 2025
YTD 2024
$ Change
% Change
ClearanceJobs
$
40,353
$
41,312
$
(959
)
(2
)%
Dice
54,276
66,333
(12,057
)
(18
)%
Total Bookings 2
$
94,629
$
107,645
$
(13,016
)
(12
)%
(1) Bookings represent the value of all contractually committed services in which the contract start date is during the period and will be recognized as revenue within 12 months of the contract start date. For contracts that extend beyond 12 months, the value of those contracts beyond 12 months is recognized as bookings on each annual anniversary of each contract start date valued as the amount of revenue that will be recognized within 12 months of the respective anniversary date.
(2) We had previously disclosed that career events were recorded within Dice. Career events have been reclassified between ClearanceJobs and Dice based on the nature of the event for all periods presented.
Average Annual Revenue per Recruitment Package Customer 1
Q3 2025
Q3 2024
$ Change
% Change
ClearanceJobs
$
26,601
$
24,762
$
1,839
7
%
Dice
$
15,727
$
16,330
$
(603
)
(4
)%
YTD 2025
YTD 2024
$ Change
% Change
ClearanceJobs
$
26,144
$
24,029
$
2,115
9
%
Dice
$
15,848
$
16,207
$
(359
)
(2
)%
(1) Calculated by dividing recruitment package customer revenue by the daily average count of recruitment package customers during each month, adjusted to reflect a 30-day month. The simple average of each month is used to derive the amount for each period and then annualized to reflect 12 months.
Renewal Rates
Renewal Rate on Revenue (1):
Q3 2025
Q3 2024
YTD 2025
YTD 2024
ClearanceJobs
85
%
91
%
89
%
95
%
Dice
69
%
74
%
71
%
79
%
Renewal Rate on Count (2):
ClearanceJobs
76
%
78
%
77
%
79
%
Dice
68
%
69
%
68
%
72
%
(1) Represents the annual contract value renewed for all recruitment package contracts up for renewal in the period.
(2) Represents the total number of recruitment package contracts that renewed relative to the total number of recruitment package contracts up for renewal in the period.
Retention Rates 1
Q3 2025
Q3 2024
YTD 2025
YTD 2024
ClearanceJobs
106
%
109
%
105
%
112
%
Dice
92
%
96
%
95
%
99
%
(1) For customers that renewed their annual recruitment packages during the period, the retention rate represents the annual contract value renewed, relative to the previous annual contract value.
Recruitment Package Customers
September 30, 2025
September 30, 2024
Change
% Change
ClearanceJobs
1,822
1,982
(160
)
(8
)%
Dice
4,239
4,868
(629
)
(13
)%
Deferred Revenue and Backlog 1
September 30, 2025
December 31, 2024
$ Change
% Change
September 30, 2024
$ Change
% Change
Deferred Revenue
$
40,982
$
45,456
$
(4,474
)
(10
)%
$
46,913
$
(5,931
)
(13
)%
Contractual commitments not invoiced
53,289
59,294
(6,005
)
(10
)%
56,595
(3,306
)
(6
)%
Backlog
$
94,271
$
104,750
$
(10,479
)
(10
)%
$
103,508
$
(9,237
)
(9
)%
(1) Backlog consists of deferred revenue plus customer contractual commitments not invoiced representing the value of future services to be rendered under committed contracts.
Non-GAAP Earnings Per Share
Q3 2025
Q3 2024
YTD 2025
YTD 2024
Reconciliation of Diluted Loss Per Share to Non-GAAP Earnings per Share:
Diluted loss per share
$
(0.10
)
$
—
$
(0.33
)
$
(0.02
)
Non-cash stock-based compensation (1)
$
0.03
0.04
0.08
0.14
Non-cash stock-based compensation, tax impact (2)
(0.01
)
(0.01
)
(0.02
)
(0.03
)
Impairments (1)
0.21
—
0.38
0.01
Impairments, tax impact (2)
(0.05
)
—
(0.05
)
—
Severance, professional fees and related costs (1)
0.01
0.01
0.04
0.02
Severance, professional fees and related costs, tax impact (2)
—
—
(0.01
)
—
Gain on investments (1)
—
—
—
(0.01
)
Restructuring (1)
—
0.02
0.14
0.03
Restructuring, tax impact (2)
—
(0.01
)
(0.04
)
(0.01
)
Discrete tax items (3)
—
—
—
0.05
Other (4)
—
—
0.02
(0.01
)
Non-GAAP earnings per share
$
0.09
$
0.05
$
0.21
$
0.17
Weighted average shares outstanding used in computing diluted earnings (loss) per share
44,823
44,873
45,224
44,550
Weighted average shares outstanding used in computing non-GAAP earnings per share
46,024
45,289
45,830
44,983
(1) Non-GAAP adjustment is presented on a gross basis, which excludes the impact of income taxes.
(2) The Company utilized a federal rate plus a net state rate that excluded the impact of share-based compensation awards and other discrete items to calculate its non-GAAP blended statutory income tax rate of 25% for all periods presented. The non-GAAP rate has been applied to compute the tax impact of non-GAAP adjustments.
(3) Discrete tax items resulted from the tax impacts of share-based compensation awards and state taxes related to research and development expenditures during the nine months ended September 30, 2024.
(4) Adjusts, as applicable, for the share impact of common stock equivalents, where dilutive, and for the impacts of rounding.
Free Cash Flow 1
Q3 2025
Q3 2024
$ Change
% Change
Reconciliation of Cash provided by operating activities to Free Cash Flow:
Cash provided by operating activities
$
4,763
$
5,526
$
(763
)
(14
)%
Less:
Capitalized development costs 2
1,507
3,107
(1,600
)
(51
)%
Other fixed asset purchases
86
126
(40
)
(32
)%
Total fixed asset purchases
1,593
3,233
(1,640
)
(51
)%
Free Cash Flow
$
3,170
$
2,293
$
877
38
%
YTD 2025
YTD 2024
$ Change
% Change
Cash provided by operating activities
$
13,877
$
16,676
$
(2,799
)
(17
)%
Less:
Capitalized development costs 2
5,375
9,751
(4,376
)
(45
)%
Other fixed asset purchases
403
1,395
(992
)
(71
)%
Total fixed asset purchases
5,778
11,146
(5,368
)
(48
)%
Free Cash Flow
$
8,099
$
5,530
$
2,569
46
%
(1) See "Notes Regarding the Use of Non-GAAP Financial Measures" elsewhere in this press release.
(2) Capitalized development costs consists of capitalized software costs and website development costs.
Adjusted EBITDA Reconciliations
Q3 2025
Q3 2024
YTD 2025
YTD 2024
Reconciliation of Net Income (Loss) to Adjusted EBITDA:
Net loss
$
(4,269
)
$
(200
)
$
(14,861
)
$
(769
)
Interest expense
614
755
1,893
2,546
Income tax expense (benefit)
(772
)
95
(1,978
)
2,747
Depreciation
3,362
4,542
11,107
13,584
Amortization
126
—
126
—
Non-cash stock based compensation
1,284
1,814
3,883
6,118
Income from equity method investment
(60
)
(23
)
(87
)
(325
)
Impairment of intangible assets
9,600
—
9,600
—
Impairment of goodwill
—
—
7,800
—
Impairment of investment
—
—
—
400
Severance, professional fees and related costs
388
525
1,779
748
Restructuring
—
1,111
6,486
1,111
Adjusted EBITDA
$
10,273
$
8,619
$
25,748
$
26,160
Reconciliation of Cash Flows from Operating Activities to Adjusted EBITDA:
Net cash flows from operating activities
$
4,763
$
5,526
$
13,877
$
16,676
Interest expense
614
755
1,893
2,546
Amortization of deferred financing costs
(37
)
(37
)
(109
)
(109
)
Income tax expense (benefit)
(772
)
95
(1,978
)
2,747
Deferred income taxes
789
400
1,187
350
Change in accrual for unrecognized tax benefits
(23
)
(61
)
309
(174
)
Change in accounts receivable
(1,631
)
(2,617
)
(6,018
)
(2,572
)
Change in deferred revenue
5,877
5,355
4,475
3,058
Severance, professional fees and related costs
388
525
1,779
748
Restructuring
—
1,111
6,486
1,111
Changes in working capital and other
305
(2,433
)
3,847
1,779
Adjusted EBITDA
$
10,273
$
8,619
$
25,748
$
26,160
For the three months ended September 30, 2025
Reconciliation of Income (loss) before income taxes to Adjusted EBITDA:
ClearanceJobs
Dice
Corporate
Total
Income (loss) before income taxes
$
4,970
$
(6,334
)
$
(3,677
)
$
(5,041
)
Interest expense
—
—
614
614
Depreciation
669
2,693
—
3,362
Amortization
126
—
—
126
Non-cash stock based compensation
162
299
823
1,284
Income from equity method investment
—
—
(60
)
(60
)
Impairment of intangible assets
—
9,600
—
9,600
Severance, professional fees and related costs
20
(37
)
405
388
Adjusted EBITDA
5,947
6,221
(1,895
)
10,273
Reconciliation of Adjusted EBITDA Margin:
Revenue
$
13,937
$
18,186
$
—
$
32,123
Income (loss) before income taxes
$
4,970
$
(6,334
)
$
(3,677
)
$
(5,041
)
Income (loss) before income taxes margin (1)
36
%
(35
)%
n.m.
(16
)%
Adjusted EBITDA
$
5,947
$
6,221
$
(1,895
)
$
10,273
Adjusted EBITDA margin (1)
43
%
34
%
n.m.
32
%
For the three months ended September 30, 2024
Reconciliation of Income (loss) before income taxes to Adjusted EBITDA:
ClearanceJobs
Dice
Corporate
Total
Income (loss) before income taxes
$
5,343
$
(500
)
$
(4,948
)
$
(105
)
Interest expense
—
—
755
755
Depreciation
665
3,877
—
4,542
Non-cash stock based compensation
336
625
853
1,814
Income from equity method investment
—
—
(23
)
(23
)
Severance, professional fees and related costs
(6
)
(14
)
545
525
Restructuring
—
—
1,111
1,111
Adjusted EBITDA
6,338
3,988
(1,707
)
8,619
Reconciliation of Adjusted EBITDA Margin:
Revenue
$
13,842
$
21,441
$
—
$
35,283
Income (loss) before income taxes
$
5,343
$
(500
)
$
(4,948
)
$
(105
)
Income (loss) before income taxes margin (1)
39
%
(2
)%
n.m.
—
%
Adjusted EBITDA
$
6,338
$
3,988
$
(1,707
)
$
8,619
Adjusted EBITDA margin (1)
46
%
19
%
n.m.
24
%
(1) Income (Loss) Before Income Taxes Margin and Adjusted EBITDA Margin are calculated by dividing the respective measure by that period's revenue.
For the nine months ended September 30, 2025
Reconciliation of Income (loss) before income taxes to Adjusted EBITDA:
ClearanceJobs
Dice
Corporate
Total
Income (loss) before income taxes
$
14,095
$
(17,626
)
$
(13,308
)
$
(16,839
)
Interest expense
—
—
1,893
1,893
Depreciation
2,245
8,862
—
11,107
Amortization
126
—
—
126
Non-cash stock based compensation
582
1,290
2,011
3,883
Income from equity method investment
—
—
(87
)
(87
)
Impairment of intangible assets
—
9,600
—
9,600
Impairment of goodwill
—
7,800
—
7,800
Severance, professional fees and related costs
304
48
1,427
1,779
Restructuring
372
3,844
2,270
6,486
Adjusted EBITDA
17,724
13,818
(5,794
)
25,748
Reconciliation of Adjusted EBITDA Margin:
Revenue
$
40,940
$
55,511
$
—
$
96,451
Income (loss) before income taxes
$
14,095
$
(17,626
)
$
(13,308
)
$
(16,839
)
Income (loss) before income taxes margin (1)
34
%
(32
)%
n.m.
(17
)%
Adjusted EBITDA
$
17,724
$
13,818
$
(5,794
)
$
25,748
Adjusted EBITDA margin (1)
43
%
25
%
n.m.
27
%
For the nine months ended September 30, 2024
Reconciliation of Income (loss) before income taxes to Adjusted EBITDA:
ClearanceJobs
Dice
Corporate
Total
Income (loss) before income taxes
$
14,646
$
143
$
(12,811
)
$
1,978
Interest expense
—
—
2,546
2,546
Depreciation
1,989
11,595
—
13,584
Non-cash stock based compensation
1,135
2,107
2,876
6,118
Income from equity method investment
—
—
(325
)
(325
)
Impairment of investment
—
—
400
400
Severance, professional fees and related costs
(16
)
(34
)
798
748
Restructuring
—
—
1,111
1,111
Adjusted EBITDA
17,754
13,811
(5,405
)
26,160
Reconciliation of Adjusted EBITDA Margin:
Revenue
$
40,375
$
66,766
$
—
$
107,141
Income (loss) before income taxes
$
14,646
$
143
$
(12,811
)
$
1,978
Income (loss) before income taxes margin (1)
36
%
—
%
n.m.
2
%
Adjusted EBITDA
$
17,754
$
13,811
$
(5,405
)
$
26,160
Adjusted EBITDA margin (1)
44
%
21
%
n.m.
24
%
(1) Income (Loss) Before Income Taxes Margin and Adjusted EBITDA Margin are calculated by dividing the respective measure by that period's revenue.
A reconciliation of Adjusted EBITDA Margin for the three and nine months ended September 30, 2025 and 2024 follows (in thousands):
Three Months Ended September 30,
Nine Months Ended September 30,
2025
2024
2025
2024
Revenue
$
32,123
$
35,283
$
96,451
$
107,141
Net income (loss)
$
(4,269
)
$
(200
)
$
(14,861
)
$
(769
)
Net income (loss) margin (1)
(13
)%
(1
)%
(15
)%
(1
)%
Adjusted EBITDA
$
10,273
$
8,619
$
25,748
$
26,160
Adjusted EBITDA Margin (1)
32
%
24
%
27
%
24
%
(1) Net income (loss) margin and Adjusted EBITDA Margin are calculated by dividing the respective measure by that period's revenue.
Guidance
Earlier in this press release, the Company provided guidance for Adjusted EBITDA margin, which is a non-GAAP financial measure. We are unable to reconcile expected Adjusted EBITDA margin to its nearest GAAP measure without unreasonable efforts because we are unable to predict with a reasonable degree of certainty the actual impact of items such as non-cash stock-based compensation, impairments, income tax expense, gains or losses from equity method investments, severance, professional fees and related costs, and restructuring charges. By their very nature, these items are difficult to anticipate with precision because they are generally associated with unexpected and unplanned events that impact our company and its financial results. Therefore, we are unable to provide a reconciliation of this non-GAAP financial measure without unreasonable efforts.