Revenue Performance - Revenue from services in Q3 2025 decreased by 9.9% year-over-year to $935.0 million, with declines in ETM and SET segments, partially offset by growth in the Education segment [149]. - Year-to-date revenue from services increased by 1.9% to $3,201.7 million, driven mainly by the acquisition of MRP [155]. - The ETM segment experienced a revenue decline of 13.1% in Q3 2025, primarily due to a 16.4% decrease in staffing services [164]. - The SET segment's revenue decreased by 9.0% in Q3 2025, driven by lower demand from U.S. federal government contractors [165]. - Education segment revenue increased by 0.9% in Q3 2025, attributed to improved fill rates [166]. Profitability - Gross profit for Q3 2025 was $194.0 million, a decrease of 12.5%, resulting in a gross profit rate of 20.8%, down 60 basis points from the previous year [151]. - Gross profit for the Enterprise Talent Management (ETM) segment decreased by 15.4% to $96.7 million in Q3 2025, compared to $114.4 million in Q3 2024 [172]. - The Science, Engineering & Technology (SET) segment's gross profit decreased by 11.8% to $77.2 million in Q3 2025, influenced by changes in business mix and higher employee-related costs [174]. - The Education segment's gross profit increased by 2.0% to $20.1 million in Q3 2025, driven by higher revenue volume and lower employee-related costs [175]. - Consolidated total gross profit decreased by 12.5% to $194.0 million in Q3 2025, compared to $221.7 million in Q3 2024 [180]. - ETM reported a profit of $9.1 million in Q3 2025, a decrease of 48.9% from $18.0 million in Q3 2024 [186]. Expenses Management - Total SG&A expenses in Q3 2025 decreased by 11.2% to $194.4 million, reflecting effective expense management and integration efforts [152]. - In the first nine months of 2025, SG&A expenses increased by 4.4% to $627.4 million, largely due to the MRP acquisition [157]. - SG&A expenses for ETM decreased by 9.2% to $87.6 million in Q3 2025, attributed to lower employee-related costs [180]. - The SET segment's SG&A expenses decreased by 15.3% to $57.6 million in Q3 2025, also due to lower employee-related costs [181]. - The corporate expenses decreased by 28.3% to $12.1 million in Q3 2025, driven by lower employee-related costs and transaction costs [182]. Financial Position - Cash, cash equivalents, and restricted cash totaled $35.4 million at the end of Q3 2025, down from $45.6 million at year-end 2024 [196]. - The debt-to-total capital ratio was 9.1% at the end of Q3 2025, a decrease from 16.2% at year-end 2024, indicating improved capital structure [201]. - As of the end of Q3 2025, the company had $150.0 million available on its revolving credit facility and $89.0 million available on its securitization facility [207]. - The securitization facility had $118.4 million in long-term borrowings and $42.6 million in standby letters of credit related to workers' compensation [207]. - The company has additional unsecured, uncommitted short-term local credit facilities totaling $3.1 million, with no borrowings as of Q3 2025 [209]. - The company believes its cash flow from operations and available liquidity will be sufficient to meet anticipated cash requirements while maintaining normal operating liquidity [208]. Risk Management - The company entered into a $50.0 million 12-month interest rate swap and a $50.0 million 18-month interest rate swap, locking in fixed rates of 4.772% and 4.468% respectively [218]. - The company has not identified specific plans to repatriate a majority of its international cash balances as of Q3 2025 [206]. - The company continues to provide MSP, RPO, and Functional Service Provider solutions in the EMEA region following the sale of its EMEA staffing operations [206]. - The company monitors the credit ratings of its banking partners regularly, assessing the risk of banks not honoring commitments as insignificant [210]. - There have been no significant changes to the company's exposure management and procedures regarding market risk, foreign currency risk, and interest rate risk during Q3 2025 [216]. - The company is exposed to foreign currency risk primarily related to its foreign subsidiaries, with natural hedges against currency risks in normal operations [217].

Exhibit 99.1 Kelly Reports Third-Quarter 2025 Earnings TROY, Mich. (November 6, 2025) – Kelly (Nasdaq: KELYA, KELYB), a leading specialty talent solutions provider, today announced results for the third quarter of 2025. Chris Layden, chief executive officer, said, "As I step into this role at an important moment in Kelly's strategic journey, the operating environment is evolving, driven by a dynamic macroeconomic landscape, global and domestic policy shifts, a sluggish labor market, and the AI boom. While K ...

Revenue and Profitability - Revenue from services in Q2 2025 increased by 4.2% to $1,101.8 million, primarily driven by the acquisition of MRP[140] - Gross profit for Q2 2025 rose by 5.5% to $225.5 million, but decreased by 5.1% when excluding the impact of the acquisition[141] - Net earnings for Q2 2025 were $19.0 million, reflecting a significant increase of 314.7% compared to $4.6 million in Q2 2024[139] - Revenue from the Education segment grew by 5.6% in Q2 2025, reaching $265.3 million, supported by improved fill rates[152] - Revenue from talent solutions increased by 2.3% in Q2 2025, while permanent placement revenue decreased by 8.7%[140] - Revenue from services for the first six months of 2025 increased by 7.8% to $2,266.7 million, driven by the MRP acquisition[145] - Consolidated total gross profit increased by 5.5% to $225.5 million in Q2 2025, with a year-to-date increase of 10.2% to $462.0 million[161] Expenses and Margins - Total SG&A expenses increased by 8.2% to $207.3 million in Q2 2025, with a decrease of 2.2% when excluding the acquisition impact[142] - SG&A expenses increased by 8.8% to $194.8 million in Q2 2025, with a year-to-date increase of 13.4% to $407.7 million[169] - The gross profit rate for the first six months of 2025 increased by 50 basis points to 20.4%, primarily due to the MRP acquisition[146] - The gross profit rate for consolidated total increased by 0.3 percentage points to 20.5% in Q2 2025 compared to the prior year[161] Cash Flow and Liquidity - Cash, cash equivalents, and restricted cash totaled $24.5 million at the end of Q2 2025, down from $45.6 million at year-end 2024[187] - Net cash generated from operating activities was $119.3 million in the first six months of 2025, compared to $32.2 million in the same period of 2024[188] - The company believes its cash flow from operations and available liquidity will be sufficient to meet anticipated cash requirements[201] - The company continues to monitor liquidity and capital resources globally, utilizing cash pooling and intercompany loans to meet funding needs[197] Debt and Financing - The current ratio decreased to 1.5 at the end of Q2 2025 from 1.7 at year-end 2024[189] - The debt-to-total capital ratio improved to 5.5% at the end of Q2 2025 from 16.2% at year-end 2024[192] - The company entered into interest rate swaps locking in variable SOFR rates at fixed rates of 4.772% and 4.468% for portions of long-term borrowings[209] - As of the end of the second quarter of 2025, the company had $130.0 million available on its $150.0 million revolving credit facility and $153.1 million on its $250.0 million securitization facility[200] Acquisitions and Operations - The acquisition of MRP was finalized for a purchase price of $425.0 million, with an adjusted cash payment of $440.0 million due to estimated cash and working capital adjustments[199] - The integration of MRP's portfolio is progressing, with realignment of sales and recruiting teams completed in Q2 2025[132] - SET revenue from services increased due to the acquisition of MRP staffing and outcome-based solutions, while excluding the acquisition, revenue decreased by 7.8%[157] - Education revenue growth was driven by higher fill rates and bill rates, partially offset by weather-related school closures[158] Profitability by Segment - ETM reported a profit decrease of 28.5% to $11.1 million in Q2 2025, while SET profit increased by 2.1% to $19.3 million[176] Other Financial Information - The company has no material unrecorded commitments or guarantees associated with related parties or unconsolidated entities[194] - The company has additional unsecured, uncommitted short-term local credit facilities totaling $3.2 million, with no borrowings as of the second quarter-end 2025[202] - The company expects working capital requirements to increase with rising demand for its services[196] - The company has not identified plans to repatriate a majority of its international cash balances following the sale of its EMEA operations[197]

Q2 2025 Earnings Overview [Financial Highlights](index=1&type=section&id=Financial%20Highlights) Q2 2025 revenue grew 4.2% to **$1.1 billion** (organic decline 3.3%), with operating earnings up significantly and adjusted EBITDA margin contracting - The company's strategy in Q2 focused on driving growth in resilient markets like K-12 staffing (Education), telecom/engineering (SET), and payroll outsourcing (ETM), while managing resources in areas with slower hiring[3](index=3&type=chunk) Q2 2025 Key Financial Metrics (vs. Q2 2024) | Metric | Q2 2025 | Q2 2024 | Change | | :--- | :--- | :--- | :--- | | **Revenue** | $1.1 billion | $1.06 billion | +4.2% | | Organic Revenue | - | - | -3.3% | | **Operating Earnings** | $22.2 million | $12.2 million | +82.0% | | Adjusted Operating Earnings | $24.6 million | $28.1 million | -12.4% | | **Adjusted EBITDA** | $37.0 million | $40.5 million | -8.7% | | Adjusted EBITDA Margin | 3.4% | 3.8% | -40 bps | | **Diluted EPS** | $0.52 | $0.12 | +333.3% | | Adjusted Diluted EPS | $0.54 | $0.71 | -23.9% | H1 2025 Key Financial Metrics (vs. H1 2024) | Metric | H1 2025 | H1 2024 | Change | | :--- | :--- | :--- | :--- | | **Revenue** | $2.3 billion | $2.1 billion | +7.8% | | Organic Revenue | - | - | -1.6% | | **Operating Earnings** | $33.0 million | $39.0 million | -15.4% | | Adjusted Operating Earnings | $46.7 million | $51.2 million | -8.8% | | **Adjusted EBITDA** | $71.9 million | $73.8 million | -2.6% | | Adjusted EBITDA Margin | 3.2% | 3.5% | -30 bps | | **Diluted EPS** | $0.67 | $0.83 | -19.3% | | Adjusted Diluted EPS | $0.93 | $1.26 | -26.2% | - The company expects a year-over-year revenue decline of **5% to 7%** in Q3, driven by reduced demand from U.S. federal contractors and certain large customers, but anticipates an adjusted EBITDA margin expansion of **80 to 90 bps** in Q3[7](index=7&type=chunk) [Corporate Developments](index=2&type=section&id=Corporate%20Developments) The company declared a quarterly cash dividend of **$0.075 per share** and appointed Nick Zuhlke as the new VP, Controller, and Chief Accounting Officer - The Board of Directors declared a quarterly dividend of **$0.075 per share**, payable on September 3, 2025, to stockholders of record as of August 20, 2025[9](index=9&type=chunk) - Effective August 11, 2025, Nick Zuhlke is appointed as the new Vice President, Controller, and Chief Accounting Officer, succeeding the retiring Laura Lockhart[11](index=11&type=chunk) Consolidated Financial Statements [Consolidated Statements of Earnings](index=4&type=section&id=Consolidated%20Statements%20of%20Earnings) Q2 2025 revenue increased 4.2% to **$1.1 billion**, with net earnings surging to **$19.0 million**, while H1 net earnings decreased 18.3% to **$24.8 million** Q2 Statement of Earnings Highlights (in millions) | Account | Q2 2025 | Q2 2024 | % Change | | :--- | :--- | :--- | :--- | | Revenue from services | $1,101.8 | $1,057.5 | 4.2% | | Gross profit | $225.5 | $213.7 | 5.5% | | Earnings from operations | $22.2 | $12.2 | 81.0% | | Net earnings | $19.0 | $4.6 | 314.7% | | Diluted EPS | $0.52 | $0.12 | 333.3% | H1 Statement of Earnings Highlights (in millions) | Account | H1 2025 | H1 2024 | % Change | | :--- | :--- | :--- | :--- | | Revenue from services | $2,266.7 | $2,102.6 | 7.8% | | Gross profit | $462.0 | $419.4 | 10.2% | | Earnings from operations | $33.0 | $39.0 | -15.5% | | Net earnings | $24.8 | $30.4 | -18.3% | | Diluted EPS | $0.67 | $0.83 | -19.3% | [Consolidated Balance Sheets](index=8&type=section&id=Consolidated%20Balance%20Sheets) Total assets decreased to **$2.51 billion**, while long-term debt was significantly reduced to **$74.3 million**, improving the debt-to-capital ratio to **5.5%** Balance Sheet Summary (in millions) | Account | June 29, 2025 | Dec 29, 2024 | June 30, 2024 | | :--- | :--- | :--- | :--- | | Cash and equivalents | $18.0 | $39.0 | $38.2 | | Total current assets | $1,253.1 | $1,365.5 | $1,310.8 | | **Total Assets** | **$2,511.9** | **$2,632.3** | **$2,628.2** | | Total current liabilities | $826.7 | $826.5 | $812.3 | | Long-term debt | $74.3 | $239.4 | $210.4 | | **Total Liabilities** | **$1,245.8** | **$1,397.7** | **$1,348.3** | | **Total stockholders' equity** | **$1,266.1** | **$1,234.6** | **$1,279.9** | | Working Capital | $426.4 | $539.0 | $498.5 | | Debt-to-capital % | 5.5% | 16.2% | 14.1% | [Consolidated Statements of Cash Flows](index=10&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) H1 2025 net cash from operating activities significantly improved to **$119.3 million**, while financing activities used **$172.7 million** primarily for debt repayment H1 2025 Cash Flow Summary (in millions) | Cash Flow Category | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Net cash from operating activities | $119.3 | $32.2 | | Net cash from (used in) investing activities | $24.7 | $(353.1) | | Net cash used in (from) financing activities | $(172.7) | $201.6 | | **Net change in cash** | **$(21.1)** | **$(122.0)** | | Cash at end of period | $24.5 | $45.6 | - Year-to-date free cash flow was **$114.8 million**, a substantial increase from **$25.5 million** in the same period of 2024, driven by stronger operating cash flow[28](index=28&type=chunk)[42](index=42&type=chunk) Segment and Revenue Analysis [Segment Performance](index=6&type=section&id=Segment%20Performance) Q2 2025 saw strong revenue growth in SET (**19.4%**) and Education (**5.6%**), driven by acquisitions, while ETM revenue declined by **3.9%** [Enterprise Talent Management (ETM)](index=6&type=section&id=Enterprise%20Talent%20Management%20(ETM)) ETM revenue decreased by **3.9%** in Q2 and **1.0%** in H1 2025, with adjusted business unit profit falling **22.6%** in Q2 due to margin pressure ETM Segment Performance (in millions) | Metric | Q2 2025 | Q2 2024 | % Change | H1 2025 | H1 2024 | % Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Revenue | $520.2 | $541.2 | -3.9% | $1,054.2 | $1,065.3 | -1.0% | | Adjusted Business Unit Profit | $12.2 | $15.8 | -22.6% | $21.7 | $24.6 | -11.4% | [Science, Engineering & Technology (SET)](index=6&type=section&id=Science%2C%20Engineering%20%26%20Technology%20(SET)) SET revenue grew significantly by **19.4%** in Q2 and **28.6%** in H1 2025, primarily due to the MRP acquisition, with adjusted profit also increasing SET Segment Performance (in millions) | Metric | Q2 2025 | Q2 2024 | % Change | H1 2025 | H1 2024 | % Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Revenue | $317.3 | $265.7 | 19.4% | $639.7 | $497.3 | 28.6% | | Adjusted Business Unit Profit | $20.2 | $19.2 | 4.9% | $34.7 | $33.4 | 3.6% | [Education](index=6&type=section&id=Education) The Education segment continued steady growth, with revenue up **5.6%** in Q2 and **6.1%** in H1 2025, and adjusted business unit profit also increasing Education Segment Performance (in millions) | Metric | Q2 2025 | Q2 2024 | % Change | H1 2025 | H1 2024 | % Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Revenue | $265.3 | $251.1 | 5.6% | $574.3 | $541.0 | 6.1% | | Adjusted Business Unit Profit | $13.7 | $12.7 | 7.9% | $33.0 | $30.8 | 7.1% | [Revenue from Services by Service Type](index=11&type=section&id=Revenue%20from%20Services%20by%20Service%20Type) Q2 2025 Staffing Services remained the largest revenue source at **$733.0 million**, while Permanent Placement revenue showed strong growth of **38.3%** Q2 Revenue by Service Type (in millions) | Service Type | Q2 2025 | Q2 2024 | % Change | | :--- | :--- | :--- | :--- | | Staffing Services | $733.0 | $705.4 | +3.9% | | Outcome-based Services | $228.1 | $224.0 | +1.8% | | Talent Solutions | $126.9 | $117.9 | +7.6% | | Permanent Placement | $14.8 | $10.7 | +38.3% | H1 Revenue by Service Type (in millions) | Service Type | H1 2025 | H1 2024 | % Change | | :--- | :--- | :--- | :--- | | Staffing Services | $1,526.5 | $1,420.1 | +7.5% | | Outcome-based Services | $470.7 | $442.2 | +6.4% | | Talent Solutions | $244.7 | $222.6 | +9.9% | | Permanent Placement | $26.3 | $18.7 | +40.6% | Reconciliation of Non-GAAP Measures [Reconciliation of Earnings and EPS](index=13&type=section&id=Reconciliation%20of%20Earnings%20and%20EPS) GAAP net earnings for Q2 2025 of **$19.0 million** were adjusted to **$19.8 million**, with adjusted diluted EPS at **$0.54**, reflecting exclusions for non-core items Q2 Reconciliation of Earnings from Operations (in millions) | Description | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | **As reported (GAAP)** | **$22.2** | **$12.2** | | Integration and realignment costs | $6.1 | - | | Transaction costs | $0.1 | $1.6 | | (Gain) loss on sale of EMEA staffing | $(4.0) | $10.0 | | Other adjustments | $0.2 | $15.3 | | **Adjusted earnings from operations** | **$24.6** | **$28.1** | Q2 Reconciliation of Diluted EPS | Description | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | **As reported (GAAP)** | **$0.52** | **$0.12** | | Adjustments (net of tax) | $0.02 | $0.59 | | **Adjusted net earnings per share** | **$0.54** | **$0.71** | [Reconciliation of Adjusted EBITDA](index=15&type=section&id=Reconciliation%20of%20Adjusted%20EBITDA) Q2 2025 Adjusted EBITDA decreased to **$37.0 million** (margin **3.4%**), and H1 Adjusted EBITDA was **$71.9 million**, with reconciliation starting from GAAP net earnings Reconciliation to Adjusted EBITDA (in millions) | Description | Q2 2025 | Q2 2024 | H1 2025 | H1 2024 | | :--- | :--- | :--- | :--- | :--- | | Net earnings (GAAP) | $19.0 | $4.6 | $24.8 | $30.4 | | Adjustments (Taxes, D&A, etc.) | $15.7 | $12.2 | $33.4 | $24.6 | | EBITDA | $34.7 | $16.8 | $58.2 | $55.0 | | Other specific adjustments | $2.3 | $23.7 | $13.7 | $18.8 | | **Adjusted EBITDA** | **$37.0** | **$40.5** | **$71.9** | **$73.8** | | **Adjusted EBITDA Margin** | **3.4%** | **3.8%** | **3.2%** | **3.5%** | [Explanation of Non-GAAP Adjustments](index=17&type=section&id=Explanation%20of%20Non-GAAP%20Adjustments) Non-GAAP adjustments enhance comparability by excluding non-core items, including 2025 integration and executive transition costs, and 2024 restructuring and asset impairment charges - **Integration and Realignment Costs (2025):** Totaled **$16.8 million** year-to-date, related to integrating MRP and other acquisitions, including IT charges, severance, and other fees[47](index=47&type=chunk) - **Transaction Costs (2024/2025):** Costs related to the sale of EMEA staffing operations and, in 2024, **$7.9 million** related to the MRP acquisition[47](index=47&type=chunk) - **Executive Transition Costs (2025):** Non-recurring expenses associated with the CEO transition[48](index=48&type=chunk) - **Restructuring Charges (2024):** Costs from a transformation initiative started in 2023 to streamline the operating model, including severance and execution costs[51](index=51&type=chunk) - **Asset Impairment Charge (2024):** A charge for right-of-use assets related to the leased headquarters facility due to changes in building utilization[52](index=52&type=chunk)

Revenue and Profitability - Revenue from services in Q1 2025 increased by 11.5% to $1,164.9 million compared to $1,045.1 million in Q1 2024, primarily driven by the acquisition of MRP[131] - Gross profit rose by 15.0% to $236.5 million, with a gross profit rate of 20.3%, an increase of 60 basis points from the previous year[131][133] - Net earnings for Q1 2025 were $5.8 million, a decrease of 77.7% from $25.8 million in Q1 2024[131] - The Science, Engineering & Technology segment saw a revenue increase of 39.2% to $322.4 million, driven by the MRP acquisition[138] - The Education segment's revenue increased by 6.6% to $309.0 million, reflecting improved demand despite weather-related school closures[138][141] Expenses and Costs - Total SG&A expenses increased by 18.5% to $225.7 million, largely due to the MRP acquisition, with integration and realignment costs of $10.7 million included[134] - Cash used for financing activities increased to $39.5 million in Q1 2025 from $4.7 million in Q1 2024, driven by net repayments of $34.8 million on credit facilities[165] Cash Flow and Working Capital - Cash, cash equivalents, and restricted cash totaled $34.5 million at the end of Q1 2025, down from $45.6 million at year-end 2024[161] - Net cash generated from operating activities was $23.9 million in Q1 2025, a significant improvement compared to a cash usage of $25.5 million in Q1 2024[162] - Trade accounts receivable reached $1.3 billion at the end of Q1 2025, with global Days Sales Outstanding (DSO) at 61 days, up from 59 days at year-end 2024[162] - The working capital position was $528.1 million at the end of Q1 2025, reflecting a decrease of $10.9 million from year-end 2024[163] - Cash generated from investing activities was $3.2 million in Q1 2025, a decline from $72.1 million in Q1 2024, primarily due to the sale of EMEA staffing operations in the previous year[164] Strategic Initiatives - The company is focused on integrating MRP's technology stack to modernize operations and enhance efficiency across its segments[123] - Strategic actions taken in Q1 2025 reflect the company's commitment to long-term profitability and resource alignment with customer demand[124] - The company completed the acquisition of MRP for $425.0 million, with an adjusted cash payment of $440.0 million[174] Financial Position and Ratios - The debt-to-total capital ratio improved to 14.2% at the end of Q1 2025, down from 16.2% at year-end 2024[166] - The company expects to meet cash requirements through operations, available cash, and credit facilities, including a $250.0 million accordion feature[170] - As of Q1 2025, the company had $120.0 million available on its $150.0 million revolving credit facility[175] Performance Metrics - EBITDA margin and other non-GAAP measures are used to assess cash flow generation and overall operating performance, with EBITDA being a key focus for the company[127] - Days sales outstanding (DSO) is calculated to reflect the average number of days sales remain unpaid, impacting cash flow management[128]

Revenue Performance - Q1 2025 revenue was $1.16 billion, an increase of 11.5% year-over-year, primarily due to the acquisition of Motion Recruitment Partners, LLC[5] - Organic revenue growth was 0.2%, with a 6.3% increase in the Education segment, while there was a 0.8% decline due to reduced demand for U.S. federal government contractors[6] - Total revenue from services for Q1 2025 was $1,164.9 million, representing an 11.5% increase from $1,045.1 million in Q1 2024[24] - Revenue from the Americas region increased to $1,139.9 million in Q1 2025, up 11.4% from $1,022.8 million in Q1 2024[25] - The Science, Engineering & Technology segment saw a revenue increase of 39.2% to $322.4 million, with a gross profit of $82.3 million[16] - The Education segment reported a revenue increase of 6.6% to $309.0 million, with a gross profit of $46.2 million[16] Earnings and Profitability - Q1 adjusted EBITDA was $34.9 million, up 4.8% year-over-year, with an adjusted EBITDA margin of 3.0%, a decrease of 20 basis points[5] - Q1 operating earnings were $10.8 million, down 59.8% from $26.8 million in Q1 2024; adjusted earnings were $22.1 million compared to $23.1 million in the prior year[6] - Earnings per share for Q1 2025 was $0.16, a decline from $0.70 in Q1 2024; adjusted earnings per share were $0.39 compared to $0.56 in the same quarter last year[6] - Adjusted earnings from operations for Q1 2025 were $22.1 million, slightly down from $23.1 million in Q1 2024[27] - Net earnings for Q1 2025 decreased to $5.8 million from $25.8 million in Q1 2024, a decline of 77.5%[20] - Adjusted net earnings for Q1 2025 were $14.3 million, down 29.6% from $20.3 million in Q1 2024[29] Cash Flow and Liquidity - Cash and equivalents at the end of Q1 2025 were $34.5 million, down from $208.9 million at the end of Q1 2024[20] - The company reported a net cash from operating activities of $23.9 million in Q1 2025, compared to a negative $25.5 million in Q1 2024[32] - The company experienced a net cash used in financing activities of $39.5 million in Q1 2025, compared to $4.7 million in Q1 2024[20] - Free cash flow for Q1 2025 was $21.4 million, a significant improvement from a negative $29.2 million in Q1 2024[32] - The current ratio for Q1 2025 was 1.6, compared to 1.8 in Q1 2024, indicating a decline in liquidity[18] Assets and Capital Structure - Total current assets decreased to $1,351.0 million in Q1 2025 from $1,436.8 million in Q1 2024, a decline of 6.0%[18] - The company reported a working capital of $528.1 million, down from $639.3 million in the previous year, a decrease of 17.4%[18] - Long-term debt increased to $204.6 million in Q1 2025 from $0 in Q1 2024, reflecting a significant change in capital structure[18] Future Outlook - The company expects year-over-year revenue growth of 6.0% to 7.0% in Q2 2025, with anticipated adjusted EBITDA margin decline of 20 to 30 basis points[5] - The company remains focused on efficiency and effectiveness to navigate the evolving macroeconomic environment and capitalize on future demand rebounds[3] Costs and Expenditures - Integration and realignment costs in Q1 2025 totaled $10.7 million, reflecting ongoing initiatives to integrate acquisitions[37] - The company incurred $0.4 million in transaction costs in Q1 2025, compared to $5.6 million in Q1 2024[31] - Capital expenditures in Q1 2025 were $2.5 million, a decrease from $3.7 million in Q1 2024[32]

Core Insights - Illinois schools are experiencing a significant teacher shortage, with 90% of districts struggling to fill vacancies [2][3] - Kelly Education has filled 5.2 million substitute educator positions during the 2023–24 school year, demonstrating its commitment to supporting educational institutions [2] - The company is launching the Kelly Education Learning Pathways™, a tiered professional learning platform aimed at enhancing the skills of substitute teachers [1][3] Company Initiatives - The Learning Pathways platform offers three levels of training: Essential, Enhanced, and Exemplary, designed to prepare substitute educators effectively [1][3] - The curriculum focuses on key areas such as classroom management, instructional strategies, and student engagement practices to ensure a positive learning environment [7][8] - Additional courses and modules will be available for purchase, allowing educators to further develop their skills [4] Benefits for Schools - The platform provides a customizable, outcome-led curriculum that aids in improving recruitment and retention of substitute teachers [8] - School and district leaders can access a dashboard for performance monitoring and training completion, which helps track return on investment [8] - By implementing effective substitute teacher training, districts can achieve significant time and cost savings while enhancing educational quality [4]

Core Insights - Kelly Education is expanding its commitment to substitute teacher development in Virginia with the launch of the Kelly Education Learning Pathways™ platform, which aims to equip substitute educators with essential skills and confidence for classroom success [1][2][3] - The platform offers three levels of training: Essential, Enhanced, and Exemplary, designed to create a more effective substitute teaching workforce [1][2] - During the 2023–24 school year, Kelly Education filled 5.2 million substitute educator positions, showcasing its dedication to supporting schools and students nationwide [2] Training and Curriculum - Virginia law mandates that substitute teachers receive orientation and training, which Kelly Education's Learning Pathways will fulfill, leveraging over 26 years of expertise [3] - The curriculum focuses on key areas such as classroom management, instructional strategies, and student engagement practices to enhance the quality of substitute teaching [7] - Additional courses and modules will be available for purchase, allowing educators to refine their skills further [4] Benefits for School Districts - The Learning Pathways platform provides a customizable curriculum aimed at improving recruitment and retention of substitute teachers, making districts more attractive to educators [8] - School and district leaders can benefit from a data-driven learning platform that includes performance monitoring and reporting to track training completion and return on investment [8] - By enhancing substitute teacher training, districts can achieve significant time and cost savings while improving the overall quality and stability of education [4]

Core Insights - Kelly Education is expanding its commitment to substitute teacher development in Kentucky through the launch of the Kelly Education Learning Pathways™ platform, aimed at enhancing the skills and confidence of substitute educators [1][2][3] Group 1: Program Details - The Learning Pathways platform offers three levels of training for substitute teachers: Essential, Enhanced, and Exemplary, designed to create a more effective substitute teaching workforce [1][2] - The program includes a comprehensive online training curriculum that focuses on educational continuity, connection, and safety, with interactive experiences and up-to-date content [3][4] Group 2: Market Context - In the 2023-2024 school year, 13% of teacher vacancies in Kentucky remained unfilled, highlighting the critical demand for qualified educators [2] - Kelly Education filled 5.2 million substitute educator positions during the same school year, demonstrating its commitment to supporting schools nationwide [2] Group 3: Additional Features - The Learning Pathways platform allows for additional courses and modules to be purchased, enabling educators to refine their skills according to evolving school needs [4][7] - The platform provides school leaders with a customizable curriculum, performance monitoring dashboards, and accredited certificates to track training completion and return on investment [6][7]

Core Viewpoint - Kelly Services, Inc. will participate in the Sidoti Virtual Investor Conference on March 19, 2025, highlighting its role as a leading global specialty talent solutions provider [1][2]. Company Overview - Kelly Services, Inc. has been a pioneer in the staffing industry since 1946, connecting over 400,000 people with work annually through a global network of suppliers and partners [3]. - The company reported a revenue of $4.3 billion in 2024, indicating its significant presence in various industries including science, engineering, technology, education, manufacturing, retail, finance, and energy [3]. Leadership Participation - Key executives including Peter Quigley (CEO), Troy Anderson (CFO), and Scott Thomas (Head of Investor Relations) will engage in one-on-one meetings during the conference [2].