TORONTO, ON / ACCESS Newswire / July 9, 2026 / Talent acquisition firm The Caldwell Partners International Inc. (TSX:CWL)(OTCQX:CWLPF) today issued its financial results for the third quarter of fiscal 2026, ended May 31, 2026 and announced a 50% increase in its quarterly dividend. All references to quarters or years are for the fiscal periods unless otherwise noted and all currency amounts are in Canadian dollars.
Financial Highlights (in $000s except per share amounts)
Three Months Ended | Nine Months Ended | |||||||||||||||
05.31.26 | 05.31.25 | 05.31.26 | 05.31.25 | |||||||||||||
Professional fees - Caldwell | 26,343 | 25,010 | 77,039 | 63,589 | ||||||||||||
Professional fees - IQTalent1 | 2,269 | 2,727 | 7,692 | 8,290 | ||||||||||||
Consolidated professional fees | 28,612 | 27,737 | 84,731 | 71,879 | ||||||||||||
Direct expense reimbursements | 209 | 194 | 668 | 570 | ||||||||||||
Revenues | 28,821 | 27,931 | 85,399 | 72,449 | ||||||||||||
Cost of sales | 21,724 | 21,402 | 65,897 | 56,532 | ||||||||||||
Reimbursed direct expenses | 209 | 194 | 668 | 570 | ||||||||||||
Gross profit | 6,888 | 6,335 | 18,834 | 15,347 | ||||||||||||
Selling, general and administrative expenses2 | 4,412 | 4,375 | 14,731 | 14,017 | ||||||||||||
Other expense3 | - | 112 | - | 112 | ||||||||||||
Operating profit | 2,476 | 1,848 | 4,103 | 1,218 | ||||||||||||
Finance expenses (income) | (94 | ) | 725 | 125 | (115 | ) | ||||||||||
Earnings before tax | 2,570 | 1,123 | 3,978 | 1,333 | ||||||||||||
Income tax expense | 991 | 282 | 1,794 | 238 | ||||||||||||
Net earnings after tax | 1,579 | 841 | 2,184 | 1,095 | ||||||||||||
Basic earnings per share | $ | 0.054 | $ | 0.028 | $ | 0.074 | $ | 0.037 |
Professional fees of IQTalent are presented net of elimination of intercompany revenue.
Selling, general and administrative expenses include a benefit of $55 related to share-based compensation as a result of share price decrease in the current quarter, compared to a benefit of $315 in the same quarter last year. For the nine months ended May 31, 2026, selling, general and administrative expenses include an expense of $325 related to share-based compensation as a result of share price increase, compared to a benefit of $284 in the same period last year.
Other expense of $112 in fiscal 2025 primarily reflects separation costs of $275 related to management staff reductions at IQTalent and a net loss of $324 associated with the sublease of the Caldwell's Toronto office space. These expenses were partially offset by Caldwell's $487 benefit from the Employee Retention Tax Credit (ERTC), established by the U.S. government under the CARES Act.
"Our third quarter results reflect continued growth in consolidated revenue and improved profitability," said Chris Beck, chief executive officer. "Professional fees increased 3% year over year to $28.6 million, while operating profit increased 34% to $2.5 million and net earnings rose to $1.6 million. For the first nine months of fiscal 2026, professional fees increased 18% and operating profit more than tripled, reflecting the strength of our client relationships, the quality of our team and continued discipline in managing our cost structure."