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v3.20.2

Segments (Tables) | 12 Months Ended
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Apr. 30, 2020
Segment Reporting [Abstract] |
Financial Highlights by Operating Segment | Financial highlights by operating segment are as follows:
|  | Year Ended April 30, 2020 |
|  |  |  |  |  |  |  |  |  | Executive Search |  |  |  |  |  |  |  |  |  |  |  |  |
|  | Consulting |  |  | Digital |  |  | North America |  |  | EMEA |  |  | Asia Pacific |  |  | Latin America |  |  | Subtotal |  |  | RPO & Professional Search |  |  | Corporate |  |  | Consolidated |
|  | (in thousands) |
Fee revenue |  | $ | 543,095 |  |  | $ | 292,366 |  |  | $ | 434,624 |  |  | $ | 170,314 |  |  | $ | 98,132 |  |  | $ | 29,400 |  |  | $ | 732,470 |  |  | $ | 364,801 |  |  | $ | — |  |  | $ | 1,932,732 |
Total revenue |  | $ | 557,255 |  |  | $ | 294,261 |  |  | $ | 447,528 |  |  | $ | 172,978 |  |  | $ | 99,209 |  |  | $ | 29,493 |  |  | $ | 749,208 |  |  | $ | 376,606 |  |  | $ | — |  |  | $ | 1,977,330 |
Net income attributable to Korn Ferry |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | $ | 104,946 |
Net income attributable to noncontrolling interest |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 2,071 |
Other loss, net |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 2,879 |
Interest expense, net |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 22,184 |
Income tax provision |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 43,945 |
Operating income (loss) |  | $ | 17,695 |  |  | $ | 46,909 |  |  | $ | 113,080 |  |  | $ | 21,085 |  |  | $ | 17,914 |  |  | $ | 4,860 |  |  | $ | 156,939 |  |  | $ | 50,438 |  |  | $ | (95,956 | ) |  | $ | 176,025 |
Depreciation and amortization |  |  | 17,567 |  |  |  | 19,261 |  |  |  | 3,452 |  |  |  | 1,713 |  |  |  | 1,311 |  |  |  | 1,182 |  |  |  | 7,658 |  |  |  | 3,906 |  |  |  | 6,919 |  |  |  | 55,311 |
Other income (loss), net |  |  | 1,326 |  |  |  | 485 |  |  |  | (3,051 | ) |  |  | 139 |  |  |  | 11 |  |  |  | 51 |  |  |  | (2,850 | ) |  |  | 82 |  |  |  | (1,922 | ) |  |  | (2,879 | )
EBITDA |  |  | 36,588 |  |  |  | 66,655 |  |  |  | 113,481 |  |  |  | 22,937 |  |  |  | 19,236 |  |  |  | 6,093 |  |  |  | 161,747 |  |  |  | 54,426 |  |  |  | (90,959 | ) |  |  | 228,457 |
Integration/acquisition costs |  |  | — |  |  |  | 5,937 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 6,215 |  |  |  | 12,152 |
Restructuring charges, net |  |  | 24,504 |  |  |  | 10,481 |  |  |  | 7,244 |  |  |  | 6,347 |  |  |  | 3,649 |  |  |  | 309 |  |  |  | 17,549 |  |  |  | 5,742 |  |  |  | 283 |  |  |  | 58,559 |
Separation costs |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,783 |  |  |  | — |  |  |  | — |  |  |  | 1,783 |  |  |  | — |  |  |  | — |  |  |  | 1,783 |
Adjusted EBITDA |  | $ | 61,092 |  |  | $ | 83,073 |  |  | $ | 120,725 |  |  | $ | 31,067 |  |  | $ | 22,885 |  |  | $ | 6,402 |  |  | $ | 181,079 |  |  | $ | 60,168 |  |  | $ | (84,461 | ) |  | $ | 300,951 |
|  | Year Ended April 30, 2019 |
|  |  |  |  |  |  |  |  |  | Executive Search |  |  |  |  |  |  |  |  |  |  |  |  |
|  | Consulting |  |  | Digital |  |  | North America |  |  | EMEA |  |  | Asia Pacific |  |  | Latin America |  |  | Subtotal |  |  | RPO & Professional Search |  |  | Corporate |  |  | Consolidated |
|  | (in thousands) |
Fee revenue |  | $ | 568,321 |  |  | $ | 252,727 |  |  | $ | 455,826 |  |  | $ | 182,829 |  |  | $ | 104,291 |  |  | $ | 31,896 |  |  | $ | 774,842 |  |  | $ | 330,143 |  |  | $ | — |  |  | $ | 1,926,033 |
Total revenue |  | $ | 585,893 |  |  | $ | 252,727 |  |  | $ | 469,743 |  |  | $ | 186,131 |  |  | $ | 105,543 |  |  | $ | 31,960 |  |  | $ | 793,377 |  |  | $ | 341,865 |  |  | $ | — |  |  | $ | 1,973,862 |
Net income attributable to Korn Ferry |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | $ | 102,651 |
Net income attributable to noncontrolling interest |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 2,145 |
Other income, net |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (10,405 | )
Interest expense, net |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 16,891 |
Income tax provision |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 29,544 |
Operating (loss) income |  | $ | (34,115 | ) |  | $ | 39,732 |  |  | $ | 120,754 |  |  | $ | 29,974 |  |  | $ | 24,364 |  |  | $ | 3,998 |  |  | $ | 179,090 |  |  | $ | 50,884 |  |  | $ | (94,765 | ) |  | $ | 140,826 |
Depreciation and amortization |  |  | 16,172 |  |  |  | 12,885 |  |  |  | 3,890 |  |  |  | 1,254 |  |  |  | 1,428 |  |  |  | 410 |  |  |  | 6,982 |  |  |  | 3,255 |  |  |  | 7,195 |  |  |  | 46,489 |
Other income (loss), net |  |  | 2,203 |  |  |  | 995 |  |  |  | 6,699 |  |  |  | 432 |  |  |  | 281 |  |  |  | 322 |  |  |  | 7,734 |  |  |  | 268 |  |  |  | (795 | ) |  |  | 10,405 |
EBITDA |  |  | (15,740 | ) |  |  | 53,612 |  |  |  | 131,343 |  |  |  | 31,660 |  |  |  | 26,073 |  |  |  | 4,730 |  |  |  | 193,806 |  |  |  | 54,407 |  |  |  | (88,365 | ) |  |  | 197,720 |
Integration/acquisition costs |  |  | 5,304 |  |  |  | 1,255 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 187 |  |  |  | 6,746 |
Tradename write-offs |  |  | 76,967 |  |  |  | 29,588 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 106,555 |
Adjusted EBITDA |  | $ | 66,531 |  |  | $ | 84,455 |  |  | $ | 131,343 |  |  | $ | 31,660 |  |  | $ | 26,073 |  |  | $ | 4,730 |  |  | $ | 193,806 |  |  | $ | 54,407 |  |  | $ | (88,178 | ) |  | $ | 311,021 |
|  | Year Ended April 30, 2018 |
|  |  |  |  |  |  |  |  |  | Executive Search |  |  |  |  |  |  |  |  |  |  |  |  |
|  | Consulting |  |  | Digital |  |  | North America |  |  | EMEA |  |  | Asia Pacific |  |  | Latin America |  |  | Subtotal |  |  | RPO & Professional Search |  |  | Corporate |  |  | Consolidated |
|  | (in thousands) |
Fee revenue |  | $ | 540,529 |  |  | $ | 244,484 |  |  | $ | 408,098 |  |  | $ | 173,725 |  |  | $ | 96,595 |  |  | $ | 30,624 |  |  | $ | 709,042 |  |  | $ | 273,162 |  |  | $ | — |  |  | $ | 1,767,217 |
Total revenue |  | $ | 556,521 |  |  | $ | 244,484 |  |  | $ | 421,260 |  |  | $ | 177,234 |  |  | $ | 98,062 |  |  | $ | 30,717 |  |  | $ | 727,273 |  |  | $ | 291,241 |  |  | $ | — |  |  | $ | 1,819,519 |
Net income attributable to Korn Ferry |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | $ | 133,779 |
Net income attributable to noncontrolling interest |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 2,118 |
Other income, net |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (11,416 | )
Interest expense, net |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 13,832 |
Income tax provision |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 70,133 |
Operating income (loss) |  | $ | 22,408 |  |  | $ | 78,127 |  |  | $ | 100,397 |  |  | $ | 26,768 |  |  | $ | 18,425 |  |  | $ | 4,022 |  |  | $ | 149,612 |  |  | $ | 39,396 |  |  | $ | (81,097 | ) |  | $ | 208,446 |
Depreciation and amortization |  |  | 18,954 |  |  |  | 12,573 |  |  |  | 3,930 |  |  |  | 1,689 |  |  |  | 1,408 |  |  |  | 455 |  |  |  | 7,482 |  |  |  | 3,054 |  |  |  | 6,525 |  |  |  | 48,588 |
Other income, net |  |  | 2,127 |  |  |  | 374 |  |  |  | 1,142 |  |  |  | 168 |  |  |  | 373 |  |  |  | 181 |  |  |  | 1,864 |  |  |  | 152 |  |  |  | 6,899 |  |  |  | 11,416 |
EBITDA |  |  | 43,489 |  |  |  | 91,074 |  |  |  | 105,469 |  |  |  | 28,625 |  |  |  | 20,206 |  |  |  | 4,658 |  |  |  | 158,958 |  |  |  | 42,602 |  |  |  | (67,673 | ) |  |  | 268,450 |
Restructuring (recoveries) charges, net |  |  | (122 | ) |  |  | (119 | ) |  |  | — |  |  |  | — |  |  |  | 313 |  |  |  | — |  |  |  | 313 |  |  |  | 6 |  |  |  | — |  |  |  | 78 |
Integration/acquisition costs |  |  | 7,724 |  |  |  | 1,427 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 279 |  |  |  | 9,430 |
Adjusted EBITDA |  | $ | 51,091 |  |  | $ | 92,382 |  |  | $ | 105,469 |  |  | $ | 28,625 |  |  | $ | 20,519 |  |  | $ | 4,658 |  |  | $ | 159,271 |  |  | $ | 42,608 |  |  | $ | (67,394 | ) |  | $ | 277,958 |
Fee Revenue Classified by Country | Fee revenue classified by country in which the Company derives revenues are as follows:
|  | Year Ended April 30, |
|  | 2020 |  |  | 2019 |  |  | 2018 |
|  | (in thousands) |
U.S. |  | $ | 875,605 |  |  | $ | 859,969 |  |  | $ | 778,470 |
United Kingdom |  |  | 204,271 |  |  |  | 202,055 |  |  |  | 176,091 |
Other countries |  |  | 852,856 |  |  |  | 864,009 |  |  |  | 812,656 |
Total fee revenue |  | $ | 1,932,732 |  |  | $ | 1,926,033 |  |  | $ | 1,767,217 |
Long-Lived Assets, Excluding Financial Instruments and Tax Assets, Classified by Controlling Countries over Ten Percent | Long-lived assets, excluding financial instruments and tax assets, classified by location of the controlling statutory country are as follows:
|  | Year Ended April 30, |
|  | 2020 |  |  | 2019 |  |  | 2018 |
|  | (in thousands) |
U.S. (1) |  | $ | 169,928 |  |  | $ | 98,455 |  |  | $ | 80,424 |
United Kingdom |  |  | 35,739 |  |  |  | 6,466 |  |  |  | 7,792 |
Other countries |  |  | 132,138 |  |  |  | 26,584 |  |  |  | 31,685 |
Total long-lived assets |  | $ | 337,805 |  |  | $ | 131,505 |  |  | $ | 119,901 |
(1) | Includes Corporate long-lived assets

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