Kelly Services reports 1Q profit, expects 2011 profit

TROY (AP) -- Temporary worker staffing agency Kelly Services Inc. said Wednesday that it posted a first-quarter profit in contrast to a loss a year ago as the economy continues to improve. Kelly provides temporary workers to companies in a wide array of industries. CEO Carl Camden said in a statement that the company continues "to see evidence of a solid, sustainable economic recovery." He also said Kelly's revenue growth for the quarter confirms that it is on track for a profitable year. Kelly Services reported net income of $26.1 million last year. Camden also said that employers will remain cautious about hiring more workers until full confidence in the economy is restored, which favors the temporary staffing industry. "We intend to capitalize on the opportunities presented," he said The Troy company also said it's heading for a profitable year in 2011, but it gave no specific outlook. Kelly Services reported net income of $1.1 million, or 3 cents per share, for the quarter ended April 3, compared with a net loss of $2 million, or 6 cents per share, a year ago. Revenue was up 18.5 percent to $1.34 billion from $1.13 million. Excluding $4 million in restructuring charges, the company said it earned $5.1 million, or 14 cents per share, for the period. Analysts polled by FactSet expected adjusted earnings of 14 cents per share on lower revenue of $1.29 billion. Its shares rose 14 cents to $19.73 in morning trading Wednesday. Published: Fri, May 13, 2011