Toronto –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.”
“While overall business activity remains constructive and we continue to win new business, hiring demand moderated during the latter part of the quarter compared with the stronger market conditions experienced a year ago,” Beck continued. “Geopolitical and economic uncertainty, particularly in certain international markets, has contributed to a more cautious hiring environment. Even so, search activity remains healthy, and we continue to see opportunities across sectors and geographies.”
“We remain focused on execution with superior outcomes, supporting our clients through changing market conditions, recruiting high-performing partners who align with our culture, and continuing to build a platform that can deliver long-term value for clients and shareholders alike. The dividend increase reflects the Board’s confidence in the strength of our business, balance sheet and long-term strategy.”
The Board of Directors today also approved a 50% increase in the Company’s quarterly dividend, declaring a dividend of $0.015 per Common Share (one and one-half cents per Common Share), payable to holders of Common Shares of record on July 20, 2026, to be paid on September 14, 2026.
Click to read the full financial statement.
About Caldwell Partners
Caldwell Partners is a technology-powered talent acquisition firm specializing in recruitment at all levels. Through two distinct brands – Caldwell and IQTalent – the firm leverages the latest innovations in AI to offer an integrated spectrum of services delivered by teams with deep knowledge in their respective areas. Services include candidate research and sourcing through to full recruitment at the professional, executive and board levels, as well as a suite of talent strategy and assessment tools that can help clients hire the right people, then manage and inspire them to achieve maximum business results.
Caldwell Partners’ common shares are listed on The Toronto Stock Exchange (TSX: CWL) and trade on the OTCQX Market (OTCQX: CWLPF). Please visit our website at www.caldwell.com for further information.
Forward-Looking Statements
We are subject to many factors that could cause our actual results to differ materially from those contemplated by the relevant forward looking statement including, but not limited to our ability to attract and retain key personnel; exposure to departing partners taking our clients to another firm; the performance of the US, Canadian and international economies; technological advances that may significantly disrupt the labour market and weaken demand for human capital at a rapid rate; competition from other companies directly or indirectly engaged in talent acquisition; cybersecurity requirements, vulnerabilities, threats and attacks; damage to our brand reputation; foreign currency exchange rate fluctuations; our ability to align our cost structure to changes in our revenue; liability risk in the services we perform; potential legal liability from clients, employees and candidates for employment; reliance on software that we license from third parties; reliance on third-party contractors for talent acquisition support; the classification of third-party labour as contractors versus employee relationships; our ability to successfully recover from a disaster or other business continuity issues; adverse governmental and tax law rulings; successfully integrating or realizing the expected benefits from our acquisitions, adverse operating issues from acquired businesses; volatility of the market price and trading volume of our common shares, including its impact on our compensation plans; affiliation agreements that may fail to renew or affiliates that may be acquired; the impact on profitability from marketable securities valuation fluctuations; increasing dependence on third parties for the execution of critical functions; our ability to generate sufficient cash flow from operations to support our growth and fund any dividends; potential impairment of our acquired goodwill and intangible assets; our limited ability to access credit; risks related to deposit-taking institutions; and disruption as a result of actions of certain stockholders or potential acquirers of the Company.
For more information on the factors that could affect the outcome of forward-looking statements, refer to the “Risk Factors” section of our Annual Information Form and other public filings (copies of which may be obtained at www.sedar.com). These factors should be considered carefully, and the reader should not place undue reliance on forward-looking statements. Although any forward-looking statements are based on what management currently believes to be reasonable assumptions, we cannot assure readers that actual results, performance or achievements will be consistent with these forward-looking statements. Management’s assumptions may prove to be incorrect. Except as required by Canadian securities laws, we do not undertake to update any forward-looking statements, whether written or oral, that may be made from time to time by us or on our behalf; such statements speak only as of the date made. The forward-looking statements included herein are expressly qualified in their entirety by this cautionary language.
For further information, please contact:
Investors:
Shreya Lathia, Vice President and Chief Financial Officer
slathia@caldwell.com
+1 (416) 934-2241
Media:
Caroline Lomot, Vice President, Marketing & Communications
clomot@caldwell.com
+1 (516) 830-3535
