Group 1: Earnings Performance - ManpowerGroup reported quarterly earnings of $0.78 per share, exceeding the Zacks Consensus Estimate of $0.69 per share, but down from $1.3 per share a year ago, representing an earnings surprise of +13.04% [1] - The company posted revenues of $4.52 billion for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 3.78%, with year-ago revenues also at $4.52 billion [2] - Over the last four quarters, Manpower has surpassed consensus EPS estimates three times and topped consensus revenue estimates three times [2] Group 2: Stock Performance and Outlook - Manpower shares have declined approximately 25.3% since the beginning of the year, contrasting with the S&P 500's gain of 6.5% [3] - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The current consensus EPS estimate for the upcoming quarter is $0.76 on revenues of $4.36 billion, and for the current fiscal year, it is $2.66 on revenues of $17.28 billion [7] Group 3: Industry Context - The Staffing Firms industry, to which Manpower belongs, is currently ranked in the bottom 27% of over 250 Zacks industries, indicating potential challenges for stock performance [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5] - Another company in the same industry, Insperity, Inc., is expected to report quarterly earnings of $0.41 per share, reflecting a year-over-year decline of -52.3% [9]

Financial Data and Key Metrics Changes - System-wide revenue for the quarter was $4.9 billion, with reported revenue at $4.5 billion, down 3% year over year in constant currency [9][12] - Reported EBITDA for the quarter was $72 million, while adjusted EBITDA was $89 million, representing a decrease of 25% in constant currency year over year [9][10] - Adjusted earnings per share decreased 43% year over year in constant currency, with reported losses per share at $1.44 and adjusted EPS at $0.78 [10][14] Business Line Data and Key Metrics Changes - On an organic constant currency basis, the Manpower brand had growth of 1%, while the Experis brand declined by 9% and the Talent Solutions brand grew by 1% [14][15] - The Manpower brand comprised 62% of gross profit, with the Experis brand at 22% and Talent Solutions at 16% [16] - Consolidated gross profit decreased by 5% on an organic constant currency basis year over year, with the Manpower brand reporting flat organic constant currency gross profit year over year [16][17] Market Data and Key Metrics Changes - Revenue in the Americas segment was $1.1 billion, representing a 2% year-over-year increase on a constant currency basis [19] - Revenue in Southern Europe was $2.1 billion, reflecting a 2% decrease in organic constant currency [23] - Revenue in Northern Europe was $794 million, representing a 10% decline in constant currency [26] Company Strategy and Development Direction - The company is focused on market share gains by targeting faster-growing industry verticals and leveraging AI for sales targeting [42][43] - The strategy includes moving certain businesses to franchise models to enhance local market growth [46] - The company continues to invest in digital transformation and AI capabilities to support evolving client needs and drive productivity [35][38] Management's Comments on Operating Environment and Future Outlook - Management noted a stabilization in the U.S. and parts of Europe, with a cautious outlook in Northern Europe due to economic and geopolitical headwinds [9][60] - The company anticipates ongoing stability in most markets and forecasts earnings per share for Q3 to be in the range of $0.77 to $0.87 [32] - Management highlighted the potential for improved market conditions in Northern Europe if economic uncertainties subside [60][62] Other Important Information - The company received multiple accolades, including being named Forbes America's number one temp staffing firm and recognized for sustainability [39] - Free cash flow represented an outflow of $7 million compared to an outflow of $150 million in the prior year, with expectations for strong free cash flow in the second half of the year [30] Q&A Session Summary Question: Market share gains strategy - The company is targeting faster-growing industry verticals and using AI to enhance sales targeting, resulting in improved revenue performance [42][43] Question: Franchise model expansion - The company is exploring additional markets for the franchise model to enhance local growth and brand deployment [46] Question: U.S. trends and organic growth outlook - The U.S. business saw a 3% decline overall, but the Manpower brand grew by 9%, indicating strong market performance [48][49] Question: Northern Europe revenue trends - Management indicated that Northern Europe is facing challenges due to economic conditions, but expects improvements as the economic environment stabilizes [60][62] Question: Impact of defense spending on industrial sectors - The company anticipates that increased defense and infrastructure spending in Europe will positively impact broader economic conditions and manufacturing sectors [95][96]

Financial Data and Key Metrics Changes - System-wide revenue for the quarter was $4.9 billion, with reported revenue at $4.5 billion, down 3% year over year in constant currency [6][10] - Reported EBITDA for the quarter was $72 million, while adjusted EBITDA was $89 million, representing a decrease of 25% in constant currency year over year [6][11] - Adjusted earnings per share decreased 43% year over year in constant currency, with reported losses per share at $1.44 and adjusted EPS at $0.78 [7][12] Business Line Data and Key Metrics Changes - The Manpower brand had growth of 1% year over year in organic constant currency, while the Experis brand declined by 9% [12][14] - Talent Solutions brand experienced growth of 1%, with the MSP business recording strong revenue increases compared to the prior year [12][14] - Consolidated gross profit decreased by 5% on an organic constant currency basis year over year, with the Manpower brand comprising 62% of gross profit [14][15] Market Data and Key Metrics Changes - Revenue in the Americas segment was $1.1 billion, representing a 2% year-over-year increase in constant currency [17] - Southern Europe revenue was $2.1 billion, reflecting a 2% decrease in organic constant currency [21] - Revenue in Northern Europe was $794 million, representing a 10% decline in constant currency [23][24] - Asia Pacific Middle East segment revenues increased by 8% in organic constant currency, with Japan growing by 7% [25][26] Company Strategy and Development Direction - The company is focused on market share gains, utilizing AI to enhance sales targeting and identify high-revenue leads [40][41] - There is an ongoing strategy to transition certain businesses to a franchise model to better serve local markets [43][44] - The company continues to invest in digital transformation and AI capabilities to support evolving client needs and drive productivity [34][36] Management's Comments on Operating Environment and Future Outlook - Management noted that while macroeconomic conditions remain challenging, there are signs of stabilization in the US and parts of Europe [6][30] - The company anticipates ongoing stability in most markets, with a forecast for third-quarter earnings per share in the range of $0.77 to $0.87 [30][31] - Management highlighted the importance of geopolitical factors and economic conditions in Northern Europe, which are impacting performance [56][58] Other Important Information - Free cash flow represented an outflow of $7 million compared to an outflow of $150 million in the prior year [28] - The company ended the quarter with cash of $290 million and total debt of $1.29 billion, with net debt levels peaking at June 30 [29][30] - The company received multiple accolades, including being named Forbes America's number one temp staffing firm [37] Q&A Session Summary Question: Who is the company gaining market share from and what is the strategy? - The company is targeting faster-growing industry verticals using data to identify growth opportunities and deploying AI to enhance sales targeting [40][41] Question: Are there plans to move more businesses to a franchise model? - The company is continuously evaluating markets for potential franchise opportunities to better serve clients [43][44] Question: What are the underlying organic growth trends in the US? - The US business saw a decline of 3% for the quarter, with the Manpower brand performing strongly at a 9% increase [46][47] Question: What is the outlook for Northern Europe? - Northern Europe is facing economic challenges, but management believes demand will eventually return as geopolitical uncertainties subside [56][58] Question: How is the company addressing cost structures in Northern Europe? - The company has taken significant restructuring actions to align costs with current demand and is preparing for future growth [58][60] Question: What is the impact of defense spending in Europe? - Increased defense and infrastructure spending in Europe is expected to positively impact the broader economy and manufacturing sectors [90][92] Question: How is the company positioned for reshoring in the US? - Clients are increasingly considering expanding manufacturing in the US, which could benefit the company's operations [94][96]

Financial Performance - Revenue reached $4.5 billion, with system-wide revenue at $4.9 billion[5] - Gross margin was 16.9%[5] - EBITA was $72 million, or $89 million as adjusted[5] - EPS was -$1.44, or -$0.78 as adjusted[5] Segment Performance - Americas revenue was $1.1 billion with OUP at $36 million and OUP margin at 3.4%[22] - Southern Europe revenue was $2.1 billion with OUP at $73 million and OUP margin at 3.4%[25] - Northern Europe revenue was $794 million with OUP at -$9 million and OUP margin at -1.1%[28] - APME revenue was $525 million with OUP at $26 million and OUP margin at 5.0%[31] Business Line Performance - Manpower organic CC revenue increased slightly from the Q1 trend of -2% year over year[12] - Experis organic CC revenue trend declined further from the Q1 trend of -5% year over year[12] - Talent Solutions organic CC revenues increased from the Q1 trend of -2% year over year[13] Outlook - Third quarter 2025 revenue is expected to be flat to up 4% (down 4% to flat CC)[40] - EPS is projected to be $0.77 to $0.87, including a favorable $0.03 currency impact[40] Debt - Total debt outstanding was $1.286 billion as of June 30, 2025[47]

[ManpowerGroup Q2 2025 Earnings Release](index=1&type=section&id=ManpowerGroup%20Q2%202025%20Earnings%20Release) This section provides an overview of ManpowerGroup's second quarter 2025 financial performance, including key highlights and the CEO's strategic commentary [Financial Highlights](index=1&type=section&id=Financial%20Highlights) ManpowerGroup reported a net loss of **$67.1 million** for Q2 2025, driven by a **$2.22 per share** negative impact from non-cash goodwill impairment and restructuring costs, with revenues flat at **$4.5 billion** | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Revenues | $4.5 billion | $4.5 billion | | Net (Loss) Earnings | ($67.1 million) | $60.1 million | | Net (Loss) Earnings Per Share (Basic) | ($1.44) | $1.25 | - Q2 2025 results included significant charges, notably an **$89 million** non-cash goodwill and intangible asset impairment charge on Swiss and UK businesses, restructuring costs, and losses from business sales, which collectively reduced earnings per share by **$2.22**[3](index=3&type=chunk)[4](index=4&type=chunk)[5](index=5&type=chunk) - Excluding special charges, adjusted diluted EPS for Q2 was **$0.78**, representing a **43% decrease** in constant currency from the prior year[3](index=3&type=chunk) | Metric | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Revenues | $8.6 billion | $8.9 billion | | Net (Loss) Earnings | ($61.5 million) | $99.8 million | | Net (Loss) Earnings Per Share (Basic) | ($1.32) | $2.07 | [CEO Commentary and Outlook](index=2&type=section&id=CEO%20Commentary%20and%20Outlook) CEO Jonas Prising highlighted progress in the 'Diversify, Digitize and Innovate' strategy, noting mixed global demand with signs of stabilization in the U.S. and parts of Europe, and projecting Q3 diluted EPS between **$0.77** and **$0.87** - The company is executing its 'Diversify, Digitize and Innovate' plan, focusing on becoming a strategic workforce partner and accelerating AI adoption[7](index=7&type=chunk) - Market demand is mixed, but signs of stabilization are emerging in the US and parts of Europe, as the company focuses on market share gains and cost base adjustments[7](index=7&type=chunk) - ManpowerGroup anticipates Q3 2025 diluted earnings per share to be in the range of **$0.77** to **$0.87**, including an estimated favorable currency impact of **3 cents** and a high effective tax rate of **48.0%**[7](index=7&type=chunk) [Consolidated Financial Statements](index=4&type=section&id=Consolidated%20Financial%20Statements) This section presents ManpowerGroup's detailed consolidated financial statements, including income statement, segment performance, balance sheet, and cash flow statement, along with company information and forward-looking statements [Company Information and Forward-Looking Statements](index=3&type=section&id=Company%20Information%20and%20Forward-Looking%20Statements) This section provides a corporate overview of ManpowerGroup as a leading global workforce solutions company and includes a standard forward-looking statements disclaimer, cautioning that actual results may differ from projections due to various risks and uncertainties - ManpowerGroup is a global workforce solutions company that develops and delivers innovative solutions through its brands: Manpower, Experis, and Talent Solutions[12](index=12&type=chunk) - The press release contains forward-looking statements regarding economic trends, financial outlook, and strategic initiatives, which are subject to risks and uncertainties detailed in the company's SEC filings, such as the Form 10-K[13](index=13&type=chunk) [Results of Operations (Income Statement)](index=4&type=section&id=Results%20of%20Operations%20(Income%20Statement)) For Q2 2025, ManpowerGroup's revenues were flat at **$4.5 billion**, but an **$88.7 million** impairment charge resulted in an operating loss of **$25.3 million** and a net loss of **$67.1 million**, with six-month revenues declining **3.5%** to **$8.6 billion** | Three Months Ended June 30 | 2025 (in millions) | 2024 (in millions) | % Change | | :--- | :--- | :--- | :--- | | Revenues from services | $4,519.3 | $4,520.7 | 0.0% | | Gross profit | $763.7 | $785.9 | -2.8% | | Operating (loss) profit | $(25.3) | $101.1 | -125.0% | | Net (loss) earnings | $(67.1) | $60.1 | -211.6% | | Six Months Ended June 30 | 2025 (in millions) | 2024 (in millions) | % Change | | :--- | :--- | :--- | :--- | | Revenues from services | $8,609.6 | $8,924.0 | -3.5% | | Gross profit | $1,462.0 | $1,549.6 | -5.7% | | Operating profit | $2.9 | $167.0 | -98.3% | | Net (loss) earnings | $(61.5) | $99.8 | -161.6% | - A significant non-cash impairment charge of **$88.7 million** related to goodwill in Switzerland and the United Kingdom was recorded in Q2 2025, primarily driving the operating and net losses for both the three and six-month periods[16](index=16&type=chunk)[22](index=22&type=chunk) [Operating Unit Results (Segment Performance)](index=5&type=section&id=Operating%20Unit%20Results%20(Segment%20Performance)) Q2 2025 segment performance was mixed, with Southern Europe revenue growth of **2.4%** driven by Italy, while Americas remained flat, and Northern Europe and APME experienced revenue declines of **5.1%** and **3.0%** respectively, with Northern Europe recording an operating loss of **$9.0 million** | Q2 2025 Revenue by Segment | Revenue (in millions) | % Change (Reported) | % Change (Constant Currency) | | :--- | :--- | :--- | :--- | | Americas | $1,060.0 | -0.4% | +2.0% | | Southern Europe | $2,149.3 | +2.4% | -2.8% | | Northern Europe | $794.4 | -5.1% | -10.4% | | APME | $525.3 | -3.0% | -8.0% | | Q2 2025 Operating Profit by Segment | OUP (in millions) | % Change (Reported) | | :--- | :--- | :--- | | Americas | $36.1 | -19.9% | | Southern Europe | $73.3 | -11.9% | | Northern Europe | $(9.0) | -279.7% | | APME | $26.4 | +5.0% | - Effective January 1, 2025, the company realigned its segment reporting to include the Morocco business within Other Southern Europe, with all prior period results recast to conform to this new presentation[18](index=18&type=chunk)[24](index=24&type=chunk) [Consolidated Balance Sheet](index=8&type=section&id=Consolidated%20Balance%20Sheet) As of June 30, 2025, ManpowerGroup's total assets increased to **$8.51 billion**, while cash and cash equivalents decreased to **$289.8 million**, and short-term borrowings significantly increased to **$815.4 million**, leading to a decrease in total shareholders' equity to **$1.99 billion** | Balance Sheet Highlights (in millions) | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $289.8 | $509.4 | | Total current assets | $5,143.1 | $4,970.3 | | Total assets | $8,505.3 | $8,201.0 | | Short-term borrowings and current maturities of long-term debt | $815.4 | $23.4 | | Total liabilities | $6,510.1 | $6,074.1 | | Total shareholders' equity | $1,995.2 | $2,126.9 | - Goodwill decreased slightly to **$1.55 billion**, while intangible assets, net, decreased to **$445.1 million** from **$486.1 million**, reflecting impairment and amortization[28](index=28&type=chunk) [Consolidated Statement of Cash Flows](index=9&type=section&id=Consolidated%20Statement%20of%20Cash%20Flows) For the six months ended June 30, 2025, the company experienced a net cash outflow, with cash and cash equivalents decreasing by **$219.6 million**, primarily due to **$342.8 million** cash used in operating activities, partially offset by **$124.0 million** cash provided by financing activities | Six Months Ended June 30 (in millions) | 2025 | 2024 | | :--- | :--- | :--- | | Cash used in operating activities | $(342.8) | $(21.9) | | Cash used in investing activities | $(34.0) | $(21.6) | | Cash provided by (used in) financing activities | $124.0 | $(38.6) | | Change in cash and cash equivalents | $(219.6) | $(112.4) | - The net loss of **$61.5 million** and a **$209.6 million** use of cash from accounts payable were major contributors to the negative operating cash flow, despite a non-cash impairment add-back of **$88.7 million**[30](index=30&type=chunk) - Financing activities included net proceeds from debt of **$203.1 million** (**$67.1 million** short-term + **$136.0 million** revolving), which funded **$38.2 million** in stock repurchases and **$33.3 million** in dividends[30](index=30&type=chunk)

Core Insights - ManpowerGroup reported a net loss of $67.1 million or $1.44 per basic share for Q2 2025, a significant decline from net earnings of $60.1 million or $1.24 per diluted share in the same period last year [1][2] - Revenues for the second quarter remained flat at $4.5 billion, but decreased by 3% on a constant currency basis [1][7] - The company faced a non-cash goodwill and intangible asset impairment charge of $89 million, restructuring costs, and losses from the sale of businesses, which collectively reduced earnings per share by $2.22 [2][8] Financial Performance - For the six months ended June 30, 2025, net losses were $61.5 million or $1.32 per basic share, compared to net earnings of $99.8 million or $2.05 per diluted share in the prior year [3][18] - Excluding impairment and restructuring charges, adjusted earnings per share for the six-month period was $1.22, reflecting a 47% decrease in constant currency [3][10] - Total revenues for the six-month period were $8.6 billion, a decrease of 4% compared to the previous year [3][18] Operational Insights - The company is focusing on diversifying, digitizing, and innovating to enhance its role as a strategic workforce partner amid mixed demand across global markets [3][5] - Positive signs of stabilization are noted in the U.S. and parts of Europe, although demand remains volatile due to economic and geopolitical factors [3][5] - The gross profit margin for Q2 2025 was 16.9%, slightly down from the previous quarter, influenced by changes in business mix [7][12] Segment Performance - The Americas region saw a slight revenue decline of 0.4%, with the U.S. specifically down by 3.3% [14][21] - Southern Europe reported a 2.4% increase in revenues, driven by growth in Italy, while Northern Europe experienced a 10.7% decline [14][21] - The Manpower and Talent Solutions brands returned to revenue growth, while Experis faced declines due to sluggish professional staffing demand [7][12] Future Outlook - The company anticipates diluted earnings per share for Q3 2025 to be between $0.77 and $0.87, factoring in a favorable currency impact [3][5] - Ongoing investments in digital capabilities and AI adoption are expected to position the company for future growth and enhanced client value [3][5]

Wall Street analysts expect ManpowerGroup (MAN) to post quarterly earnings of $0.69 per share in its upcoming report, which indicates a year-over-year decline of 46.9%. Revenues are expected to be $4.35 billion, down 3.7% from the year-ago quarter. With that in mind, let's delve into the average projections of some Manpower metrics that are commonly tracked and projected by analysts on Wall Street. It is projected by analysts that the 'Revenues from Services- Americas' will reach $1.03 billion. The estimate ...

Company Announcement - ManpowerGroup plans to release its 2nd quarter earnings results before the market opens on July 17, 2025 [1] - Management will discuss the results in a live webcast at 7:30 a.m. Central Time on the same day [1] - The webcast will be available for replay starting at 10:30 a.m. Central Time on July 17, 2025, and will remain accessible for 30 days [2] Company Overview - ManpowerGroup is a leading global workforce solutions company that helps organizations transform in a rapidly changing work environment [3] - The company provides innovative solutions for hundreds of thousands of organizations annually, focusing on sourcing, assessing, developing, and managing talent [3] - ManpowerGroup operates under several brands, including Manpower, Experis, and Talent Solutions, and has a presence in over 70 countries and territories [3] - The company has been recognized for its commitment to diversity and was named one of the World's Most Ethical Companies in 2025 for the 16th time [3]

Core Insights - ManpowerGroup Talent Solutions has been recognized as a Leader in Recruitment Process Outsourcing (RPO) for the 15th consecutive year by Everest Group in its 2025 PEAK Matrix® Assessment, highlighting the company's sustained investments in AI technologies and data-driven insights [1][2][4] Group 1: Leadership and Recognition - The achievement of 15 consecutive years of global leadership reflects the exceptional talent and dedication of the ManpowerGroup Talent Solutions team [2] - The PEAK Matrix Assessment evaluates RPO providers across seven dimensions, and Talent Solutions was recognized for its expanded capabilities that deliver measurable client value [2][3] Group 2: Technological Advancements - The PowerSuite™ platform incorporates generative and agentic AI innovations, enhancing hiring processes and providing real-time labor market insights [4] - The proprietary AI ecosystem, Sophie™, powers AI-driven capabilities that improve recruiter efficiency and deliver actionable insights [4] Group 3: Service Flexibility and Total Talent Capabilities - PowerSuite's modularized approach allows flexible deployment of services, enabling clients to scale solutions based on specific needs [5] - Deep contingent workforce management capabilities through TAPFIN support integrated total talent programs [6] Group 4: Consulting and Advisory Services - Expanded strategic workforce planning and skills advisory services, including partnerships for workforce transformation through Green Academies in various countries [7] Group 5: Industry Expertise - ManpowerGroup Talent Solutions is recognized for its expertise across multiple industries, including Manufacturing, BFSI, Hi-tech, Energy, Defense, and Telecom, with specialized solutions for Retail & Consumer Goods and Business & Professional Services [8] Group 6: Overall Value Proposition - The combination of cutting-edge technology and human expertise allows for customized solutions that drive business impact, addressing clients' needs for rapid scaling and specialized industry expertise [9]

Core Insights - The global Net Employment Outlook (NEO) for Q3 2025 stands at +24%, indicating stable hiring intentions despite trade uncertainties [2][4][8] - Companies investing in technology, AI, and automation show the most optimistic hiring plans, highlighting a connection between innovation and workforce confidence [1][4][8] Global Hiring Trends - 40% of employers plan to increase hiring, 42% will maintain current staff levels, 16% anticipate cuts, and 2% are uncertain about their hiring plans [1][8] - Asia Pacific leads with a hiring outlook of 29%, followed by the Americas at 27%, and Europe and the Middle East at 19% [6][8][10] Impact of Trade Uncertainty - 89% of companies report that trade uncertainty has influenced their hiring decisions, with many still planning for steady hiring in Q3 [3][8] - The trade situation has caused some companies to pause or slow their hiring plans, but overall hiring outlooks have stabilized [4][8] Sector-Specific Insights - The Information Technology sector has the strongest hiring outlook at 36%, followed by Financials & Real Estate at 28%, and Industrials & Materials at 26% [8] - Companies heavily investing in technology report more optimistic hiring plans compared to those not planning such investments [8] Regional Highlights - The United Arab Emirates tops global hiring intentions at 48%, followed by India at 42% and Costa Rica at 41% [9][17] - Argentina has the weakest global outlook at 3%, while countries like Israel and Sweden show significant year-over-year improvements [9][17]