Kelly Services shares fall on lower-than-expected 2Q results

Date : 07/22/2008 @ 11:00AM
Source : TFN
Stock : Kelly Services Inc (KELYA)
Quote : 16.35  -0.58 (-3.43%) @ 5:01PM
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Kelly Services shares fall on lower-than-expected 2Q results

        BOSTON (Thomson Financial) - Shares of Kelly Services Inc. plunged Tuesday
after the staffing services provider said second-quarter earnings from
continuing operations fell to $10.4 million, or 30 cents a share, from $15.3
million, or 42 cents a share, in the year-ago period.
    Results for the latest quarter include 7 cents a share cost of the U.K.
restructuring and 7 cents a share benefit related to the temporary change in the
French payroll tax law.
    The mean estimate of analysts polled by Thomson Reuters was for
second-quarter profit of 39 cents a share.
    Revenue for the Phoenix-based company rose 3% to $1.45 billion. Analysts, on
average, had estimated revenue of $1.46 billion.
    "Given this economic uncertainty continuing to cloud the outlook for our
industry, we have elected not to provide quarterly earnings guidance," the
company said.
    Shares of Kelly Services fell 13.2% to $16.98 on volume of 107,466 shares.
The issue's 30-day average volume is about 240,000 shares.

Casey Logan
cl/vj

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