Revenue growth remains in a state of persistent contraction, with the most recent quarterly performance showing a -10.3% year-over-year decline and a negative operating margin of -1.6%.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Sales/Revenue | 155.27M | 159.57M | 185.24M | 191.49M | 206.28M | 194.6M | 176.9M | 217.58M | 284.63M | 383.91M | 404.41M | 495.3M | 553.68M | 559.61M | 767.71M | 850.76M | 860.53M | 860.14M | 1.08B | 1.16B | 1.18B | 1.13B | 1.03B | 944.58M | 908.78M | 917.93M | 960.77M | 829.8M | 748.5M | 638.3M | 665.9M |
| Revenue Growth % | -14.38% | -13.86% | -3.26% | -7.17% | 6% | 10% | -18.7% | -23.56% | -25.86% | -5.07% | -18.35% | -10.54% | -1.06% | -27.11% | -9.76% | -1.13% | 0.04% | -20.56% | -6.88% | -1.84% | 4.38% | 10.14% | 9.09% | 3.94% | -1% | -4.46% | 15.78% | 10.86% | 17.26% | -4.14% | 24.96% |
| Cost of Goods Sold | 111.99M | 49.9M | 56.64M | 59.57M | 65.7M | 50.26M | 49.29M | 75.9M | 100.25M | 109.09M | 117.13M | 143.32M | 166.96M | 161.6M | 282.74M | 326.36M | 323.22M | 312.23M | 398.7M | 871.47M | 874.09M | 825.57M | 361.3M | 351.4M | 649.54M | 649.55M | 336M | 305.9M | 284M | 242.6M | 237.7M |
| COGS % of Revenue | - | 31.27% | 30.58% | 31.11% | 31.85% | 25.83% | 27.86% | 34.88% | 35.22% | 28.42% | 28.96% | 28.94% | 30.15% | 28.88% | 36.83% | 38.36% | 37.56% | 36.3% | 36.82% | 74.94% | 73.78% | 72.74% | 35.06% | 37.2% | 71.47% | 70.76% | 34.97% | 36.86% | 37.94% | 38.01% | 35.7% |
| Gross Profit | 43.28M | 109.67M | 128.6M | 131.92M | 140.58M | 144.33M | 127.61M | 141.68M | 184.38M | 274.82M | 287.29M | 351.98M | 386.72M | 398.01M | 484.97M | 524.41M | 537.31M | 547.91M | 684.12M | 291.42M | 310.6M | 309.43M | 669.16M | 593.17M | 259.24M | 268.38M | 624.77M | 523.9M | 464.5M | 395.7M | 428.2M |
| Gross Margin % | 27.87% | 68.73% | 69.42% | 68.89% | 68.15% | 74.17% | 72.14% | 65.12% | 64.78% | 71.58% | 71.04% | 71.06% | 69.85% | 71.12% | 63.17% | 61.64% | 62.44% | 63.7% | 63.18% | 25.06% | 26.22% | 27.26% | 64.94% | 62.8% | 28.53% | 29.24% | 65.03% | 63.14% | 62.06% | 61.99% | 64.3% |
| Gross Profit Growth % | - | -14.72% | -2.52% | -6.16% | -2.6% | 13.1% | -9.93% | -23.16% | -32.91% | -4.34% | -18.38% | -8.98% | -2.84% | -17.93% | -7.52% | -2.4% | -1.94% | -19.91% | 134.76% | -6.18% | 0.38% | -53.76% | 12.81% | 128.81% | -3.4% | -57.04% | 19.25% | 12.79% | 17.39% | -7.59% | 23.33% |
| Operating Expenses | 42.66M | 107.5M | 126.5M | 128.56M | 125.47M | 136.69M | 138.19M | 163.28M | 205.52M | 281.17M | 304.4M | 329.61M | 345.95M | 352.6M | 417.97M | 449M | 446.26M | 465.48M | 965.5M | 126.49M | 124.55M | 119.41M | 503.87M | 446.68M | 108.95M | 128.75M | 486.55M | 405.6M | 362.6M | 318.6M | 328M |
| OpEx % of Revenue | - | 67.37% | 68.29% | 67.14% | 60.83% | 70.24% | 78.12% | 75.05% | 72.21% | 73.24% | 75.27% | 66.55% | 62.48% | 63.01% | 54.44% | 52.78% | 51.86% | 54.12% | 89.17% | 10.88% | 10.51% | 10.52% | 48.9% | 47.29% | 11.99% | 14.03% | 50.64% | 48.88% | 48.44% | 49.91% | 49.26% |
| Selling, General & Admin | 62.65M | 103.03M | 116.55M | 118.64M | 122.74M | 127.78M | 125.2M | 146.15M | 198.07M | 270.66M | 292.05M | 315.37M | 331.04M | 336.86M | 397.55M | 427.79M | 422.83M | 435.51M | 81.66M | 89.79M | 90.52M | 88.07M | 475.1M | 416.65M | 76.22M | 79.83M | 442.39M | 370.4M | 333M | 295.4M | 296.9M |
| SG&A % of Revenue | - | 64.57% | 62.92% | 61.96% | 59.5% | 65.66% | 70.77% | 67.17% | 69.59% | 70.5% | 72.21% | 63.67% | 59.79% | 60.2% | 51.78% | 50.28% | 49.14% | 50.63% | 7.54% | 7.72% | 7.64% | 7.76% | 46.11% | 44.11% | 8.39% | 8.7% | 46.05% | 44.64% | 44.49% | 46.28% | 44.59% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 0 | 4.47M | 9.96M | 9.92M | 2.73M | 8.92M | 12.99M | 17.14M | -3.93M | -6.06M | -9.91M | -1.01M | -897K | -46K | -2.86M | 19.95M | 23.43M | 29.98M | 36.38M | 36.7M | 34.03M | 31.34M | 28.77M | 30.03M | 32.73M | 48.92M | 44.16M | 35.2M | 29.6M | 23.2M | 31.1M |
| Operating Income | 613K | 2.17M | 2.09M | 3.36M | 15.11M | 7.64M | -10.58M | -21.61M | -26.03M | -40.87M | -55.78M | -187.57M | 40.76M | 42.66M | -89.94M | 75.41M | 91.05M | 82.43M | 117.32M | 164.93M | 186.05M | 190.01M | 165.29M | 146.49M | 150.29M | 139.63M | 138.22M | 118.3M | 101.9M | 77.1M | 100.2M |
| Operating Margin % | 0.39% | 1.36% | 1.13% | 1.75% | 7.32% | 3.93% | -5.98% | -9.93% | -9.15% | -10.64% | -13.79% | -37.87% | 7.36% | 7.62% | -11.72% | 8.86% | 10.58% | 9.58% | 10.83% | 14.18% | 15.7% | 16.74% | 16.04% | 15.51% | 16.54% | 15.21% | 14.39% | 14.26% | 13.61% | 12.08% | 15.05% |
| Operating Income Growth % | - | 3.58% | -37.69% | -77.77% | 97.76% | 172.23% | 51.05% | 17.01% | 36.29% | 26.74% | 70.26% | -560.17% | -4.45% | 147.43% | -219.27% | -17.18% | 10.46% | -29.74% | -28.87% | -11.35% | -2.08% | 14.95% | 12.84% | -2.53% | 7.63% | 1.02% | 16.84% | 16.09% | 32.17% | -23.05% | 35.22% |
| EBITDA | 5.1M | 6.64M | 6.48M | 7.6M | 17.84M | 10.2M | -6.96M | -16.27M | -18.58M | -30.36M | -43.43M | -173.33M | 55.68M | 58.4M | -69.52M | 96.62M | 114.48M | 112.41M | 153.7M | 201.63M | 220.08M | 221.52M | 194.16M | 176.62M | 183.12M | 188.76M | 182.38M | 153.5M | 131.5M | 100.3M | 131.3M |
| EBITDA Margin % | 3.29% | 4.16% | 3.5% | 3.97% | 8.65% | 5.24% | -3.94% | -7.48% | -6.53% | -7.91% | -10.74% | -34.99% | 10.06% | 10.44% | -9.06% | 11.36% | 13.3% | 13.07% | 14.19% | 17.34% | 18.58% | 19.52% | 18.84% | 18.7% | 20.15% | 20.56% | 18.98% | 18.5% | 17.57% | 15.71% | 19.72% |
| EBITDA Growth % | -16.05% | 2.5% | -14.72% | -57.41% | 74.89% | 246.5% | 57.2% | 12.47% | 38.79% | 30.1% | 74.94% | -411.29% | -4.65% | 184% | -171.95% | -15.6% | 1.84% | -26.86% | -23.77% | -8.38% | -0.65% | 14.09% | 9.93% | -3.55% | -2.99% | 3.49% | 18.82% | 16.73% | 31.11% | -23.61% | 30% |
| D&A (Non-Cash Add-back) | 4.49M | 4.47M | 4.38M | 4.24M | 2.73M | 2.56M | 3.62M | 5.34M | 7.45M | 10.51M | 12.35M | 14.24M | 14.92M | 15.74M | 20.42M | 21.21M | 23.43M | 29.98M | 36.38M | 36.7M | 34.03M | 31.51M | 28.87M | 30.13M | 32.83M | 49.13M | 44.16M | 35.2M | 29.6M | 23.2M | 31.1M |
| EBIT | 762K | 2.17M | 7.66M | 9.05M | 19.75M | 17.16M | -17.14M | -9.81M | -21.15M | -46.93M | -15.17M | -213.41M | 25.29M | 45.41M | -92.71M | 77.16M | 89.15M | 80.09M | 115.77M | 164.13M | 186.05M | 188.44M | 163.99M | 146.49M | 150.29M | 139.63M | 138.22M | 118.25M | 101.95M | 77.1M | 61.9M |
| Net Interest Income | -264K | 0 | -187K | 135K | -438K | -903K | -1.16M | -1.26M | -1.55M | -4.83M | -3.45M | -5.02M | -2.81M | -3M | -3.48M | -2.94M | -2.62M | -7.97M | -13.82M | -12.45M | 231K | 197K | 341K | 168K | 274K | 498K | 2.06M | 0 | 0 | 0 | 0 |
| Interest Income | 0 | 0 | 0 | 135K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 275K | 105K | 91K | 249K | 200K | 182K | 378K | 539K | 231K | 197K | 341K | 168K | 274K | 498K | 2.06M | 0 | 0 | 0 | 0 |
| Interest Expense | 264K | 0 | 187K | 0 | 438K | 903K | 1.16M | 1.26M | 1.55M | 4.83M | 3.45M | 4.76M | 2.83M | 3.1M | 3.57M | 3.18M | 2.82M | 8.15M | 14.2M | 12.99M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -2.01M | -3.18M | -40.03M | -5.28M | 4.21M | 8.62M | -7.73M | -2.9M | 25.47M | -10.89M | -15.31M | -30.85M | -3.46M | -3.04M | -158.96M | -1.43M | -4.73M | -10.49M | -15.75M | -13.79M | -6.8M | -3.53M | -2.33M | -2.58M | -2.94M | -7.19M | -1.36M | 4.5M | 14.3M | -2M | -24.9M |
| Pretax Income | -1.4M | -1.01M | -37.93M | -1.92M | 19.31M | 16.26M | -18.31M | -24.51M | -562K | -51.75M | -69.15M | -202.84M | 37.31M | 39.62M | -96.29M | 73.97M | 86.33M | 71.94M | 101.57M | 151.14M | 179.25M | 186.48M | 162.97M | 143.91M | 147.35M | 132.44M | 136.86M | 122.8M | 116.2M | 75.1M | 75.3M |
| Pretax Margin % | -0.9% | -0.63% | -20.48% | -1% | 9.36% | 8.36% | -10.35% | -11.27% | -0.2% | -13.48% | -17.1% | -40.95% | 6.74% | 7.08% | -12.54% | 8.69% | 10.03% | 8.36% | 9.38% | 13% | 15.13% | 16.43% | 15.82% | 15.23% | 16.21% | 14.43% | 14.24% | 14.8% | 15.52% | 11.77% | 11.31% |
| Income Tax | -352K | -197K | -7.64M | -349K | -17.46M | 1.29M | -16.61M | 1.75M | -18.11M | -9.89M | 20.63M | -31.91M | 13.31M | 15.18M | -23.18M | 29.77M | 32.72M | 24.23M | 38.83M | 58.5M | 67.46M | 72.02M | 65.4M | 56.54M | 56.6M | 52.75M | 54.97M | 49.9M | 47.8M | 30.8M | 34.7M |
| Effective Tax Rate % | 25.16% | 19.54% | 20.13% | 18.19% | -90.42% | 7.92% | 90.75% | -7.15% | 3222.78% | 19.12% | -29.83% | 15.73% | 35.69% | 38.31% | 24.08% | 40.25% | 37.91% | 33.68% | 38.23% | 38.7% | 37.63% | 38.62% | 40.13% | 39.29% | 38.42% | 39.83% | 40.17% | 40.64% | 41.14% | 41.01% | 46.08% |
| Net Income | -1.05M | -811K | -30.3M | -1.57M | 36.78M | 14.97M | -1.69M | -26.26M | 17.55M | -41.86M | -130.94M | -170.93M | 23.99M | 13.37M | -83.35M | 44.2M | 53.6M | 47.72M | 62.74M | 92.64M | 111.79M | 114.46M | 97.57M | 87.36M | 90.75M | 79.68M | 81.89M | 72.9M | 68.4M | 335.8M | 40.6M |
| Net Margin % | -0.67% | -0.51% | -16.36% | -0.82% | 17.83% | 7.69% | -0.96% | -12.07% | 6.17% | -10.9% | -32.38% | -34.51% | 4.33% | 2.39% | -10.86% | 5.2% | 6.23% | 5.55% | 5.79% | 7.97% | 9.44% | 10.08% | 9.47% | 9.25% | 9.99% | 8.68% | 8.52% | 8.79% | 9.14% | 52.61% | 6.1% |
| Net Income Growth % | 96.57% | 97.32% | -1829.75% | -104.27% | 145.65% | 983.77% | 93.55% | -249.65% | 141.93% | 68.03% | 23.4% | -812.47% | 79.44% | 116.04% | -288.59% | -17.55% | 12.34% | -23.95% | -32.27% | -17.13% | -2.33% | 17.31% | 11.68% | -3.73% | 13.88% | -2.69% | 12.33% | 6.58% | -79.63% | 727.09% | 19.41% |
| Net Income (Continuing) | -1.05M | -811K | -30.3M | -1.57M | 36.78M | 14.97M | -1.69M | -26.26M | 17.55M | -41.86M | -89.78M | -181.07M | 13.75M | 24.44M | -73.1M | 42.06M | 55.19M | 47.72M | 62.74M | 92.64M | 111.79M | 114.46M | 97.57M | 87.36M | 90.75M | 79.68M | 81.89M | 72.9M | 68.4M | 44.3M | 23.1M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 10.14M | 10.24M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -0.14 | -0.11 | -4.15 | -0.21 | 4.75 | 1.76 | -0.34 | -4.18 | 2.80 | -6.76 | -21.30 | -27.73 | 3.80 | 2.10 | -13.25 | 7.00 | 8.40 | 7.50 | 9.80 | 12.60 | 13.90 | 13.40 | 11.10 | 9.70 | 9.60 | 8.20 | 7.87 | 6.73 | 6.00 | 29.08 | 3.54 |
| EPS Growth % | 96.67% | 97.35% | -1876.19% | -104.42% | 169.89% | 617.65% | 91.87% | -249.29% | 141.42% | 68.26% | 23.19% | -829.74% | 80.95% | 115.85% | -289.29% | -16.67% | 12% | -23.47% | -22.22% | -9.35% | 3.73% | 20.72% | 14.43% | 1.04% | 17.07% | 4.19% | 16.94% | 12.17% | -79.37% | 721.47% | 0% |
| EPS (Basic) | - | -0.11 | -4.15 | -0.21 | 4.98 | 1.85 | -0.34 | -4.18 | 2.81 | -6.76 | -21.30 | -27.73 | 3.80 | 2.10 | -13.25 | 7.00 | 8.40 | 7.50 | 9.80 | 12.80 | 14.10 | 13.70 | 11.30 | 9.90 | 9.80 | 8.40 | 8.07 | 6.93 | 6.27 | 30.28 | 3.74 |
| Diluted Shares Outstanding | 7.42M | 7.39M | 7.29M | 7.31M | 7.4M | 7.21M | 6.47M | 6.28M | 6.27M | 6.19M | 6.15M | 6.16M | 6.27M | 6.28M | 6.29M | 6.36M | 6.41M | 6.39M | 6.41M | 7.37M | 8.06M | 8.54M | 8.78M | 9M | 9.49M | 9.72M | 10.45M | 10.82M | 11.41M | 11.55M | 11.48M |
| Basic Shares Outstanding | 7.42M | 7.39M | 7.29M | 7.31M | 7.1M | 6.8M | 6.47M | 6.28M | 6.24M | 6.19M | 6.15M | 6.16M | 6.24M | 6.25M | 6.29M | 6.32M | 6.36M | 6.36M | 6.39M | 7.25M | 7.9M | 8.37M | 8.62M | 8.85M | 9.26M | 9.48M | 10.13M | 10.49M | 10.91M | 11.09M | 10.87M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | 89.55% | 120.58% | - | 46.09% | 35.71% | 40.06% | 30.44% | 21.91% | 16.91% | 14.59% | 14.14% | 12.16% | 10.08% | 9.49% | 8.23% | 7.68% | 6.43% | 0.89% | 5.91% |
Persistent Revenue Attrition
As indicated by the most recent quarterly filings, Harte Hanks has experienced a sustained revenue decline, with the latest period showing a -10.3% year-over-year contraction, further exacerbating the downward trend observed across the previous ten quarters where revenue consistently failed to achieve positive growth metrics.
The consistent erosion of the top line suggests that the company is struggling to replace legacy contract losses with new business wins in its core marketing and fulfillment segments. This persistent contraction warrants investigation into whether the firm's value proposition is losing relevance in an increasingly digital-first advertising landscape.
According to historical income statement data, gross margins have exhibited extreme volatility, swinging from a low of 13.5% in 2026Q1 to nearly 70% in prior periods, which suggests significant inconsistency in the underlying cost of service delivery and potential shifts in revenue mix.
The dramatic fluctuations in gross margin imply that the company's cost structure is highly sensitive to project-based revenue recognition and potential pass-through cost accounting. Investors should monitor whether these margin swings reflect structural inefficiencies or merely the lumpy nature of the firm's project-based marketing engagements.
Based on reported financial figures, the company's operating margin has frequently dipped into negative territory, reaching -1.6% in 2026Q1, which demonstrates a failure to achieve the necessary operating leverage to scale profitability despite the company's efforts to manage its fixed-cost base.
The inability to maintain positive operating income suggests that SG&A expenses are disproportionately high relative to the shrinking gross profit pool. This lack of operating leverage indicates that the current business model may be fundamentally over-scaled for its current revenue volume.
As highlighted by the recent -0.51% net margin, the company faces significant headwinds, with short-sellers likely focusing on the inability to achieve consistent bottom-line profitability despite the absence of significant R&D spending and a relatively clean balance sheet with minimal debt obligations.
The persistent net losses suggest that the company's turnaround efforts have yet to translate into sustainable earnings power. Without a clear path to revenue stabilization, the current cost structure appears to be a primary inhibitor to achieving long-term shareholder value.
Quick answers to the most common questions about buying HHS stock.
For fiscal year 2025, Harte Hanks, Inc. (HHS) reported total revenue of $159.6M. This represents a 76.0% decline compared to $665.9M in 1996.
Harte Hanks, Inc. (HHS) reported a net loss of $0.8M for the fiscal year ending 2025.
Harte Hanks, Inc. (HHS) reported an operating income of $2.2M, resulting in an operating profit margin of 1.4%. This margin reflects the operational efficiency of the business before interest and taxes.
Harte Hanks, Inc. (HHS) generated $109.7M in gross profit for the year, representing a gross profit margin of 68.7%. This demonstrates the company's core pricing power and production efficiency.