Group 1 - The document does not contain any relevant information regarding company or industry insights [1]

Financial Performance - Revenues for Q3 2025 were $1,623 million, a 4% increase from $1,561 million in Q3 2024[12] - Gross profit decreased to $195 million in Q3 2025, down 15% from $229 million in Q3 2024[12] - Net loss for Q3 2025 was $20 million, compared to a net income of $3 million in Q3 2024, resulting in a diluted loss per share of $0.53[12] - Operating income for the nine months ended September 30, 2025, was $36 million, down 73% from $132 million in the same period of 2024[12] - Revenue for the three months ended September 30, 2025, was $1,623 million, a 4% increase from $1,561 million in 2024, while revenue for the nine months ended September 30, 2025, was $5,144 million, also a 4% increase from $4,968 million in 2024[36] - Net income for the nine months ended September 30, 2025, was $26 million, compared to $100 million in the same period of 2024[60] Cash Flow and Liquidity - Cash flows from operating activities showed a net cash used of $533 million for the nine months ended September 30, 2025, compared to $99 million for the same period in 2024[14] - The company reported a decrease in cash, cash equivalents, and restricted cash to $688 million at the end of Q3 2025, down from $748 million at the end of Q3 2024[14] - The company’s cash and cash equivalents totaled $440 million as of September 30, 2025, down from $1,055 million at December 31, 2024, primarily due to fluctuations in client payroll processing cycles[43] - Cash and cash equivalents increased to $1,039 million in Q3 2025 from $693 million in Q3 2024, representing a 50% increase[45] - The outstanding balance on the revolving credit facility was $369 million as of September 30, 2025, with an available borrowing capacity of $280 million[51] - The company had $1 million in outstanding letters of credit issued under the revolving credit facility as of September 30, 2025[51] Operating Expenses - Total operating expenses for Q3 2025 were $220 million, a slight decrease from $228 million in Q3 2024[12] - Payroll taxes, benefits, and workers' compensation costs increased to $1,428 million in Q3 2025, up from $1,332 million in Q3 2024[12] - The company reduced accrued workers' compensation costs by $20 million and $25 million for the nine months ended September 30, 2025 and 2024, respectively, due to changes in estimated losses related to prior periods[28] - Total accrued workers' compensation costs were $186 million as of September 30, 2025, down from $207 million in 2024, with a current portion of $79 million and a long-term portion of $107 million[29] Strategic Initiatives - The company is focused on enhancing service and technology offerings to meet new regulations and client expectations[10] - Strategic partnerships and joint solutions with Workday, Inc. are expected to provide anticipated benefits, although integration challenges remain[10] Financial Position - As of September 30, 2025, the company reported a cash surplus of $10 million above the required $9 million maintenance level, with total premiums owed to United at $26 million[25] - The company maintains an accumulated cash surplus in the health insurance plan of $9 million, which is reported as a long-term prepaid health insurance asset[25] - The total fair value of financial assets measured at fair value was $660 million as of September 30, 2025, down from $1,305 million at the end of 2024[47] - The carrying value of borrowings under the revolving credit facility approximates fair value and is classified as Level 2 in the fair value hierarchy[50] - The company was in compliance with all financial covenants under the Credit Agreement as of September 30, 2025[54] Shareholder Returns - The company declared and paid dividends totaling $68 million during the nine months ended September 30, 2025, compared to $67 million in 2024[58] - The company repurchased 45,000 shares under its stock repurchase program during the nine months ended September 30, 2025[56]

Financial Data and Key Metrics Changes - The average number of paid worksite employees increased by 1.2% year-over-year to 312,842 in Q3 2025 [3] - Adjusted EPS for the quarter was minus $0.20, and adjusted EBITDA was $10 million, both below forecasted ranges due to higher-than-expected benefits costs [4][10] - Gross profit per worksite employee decreased from $247 in Q3 2024 to $208 in Q3 2025, primarily due to increased benefits costs of $20 million [4][10] Business Line Data and Key Metrics Changes - New client sales results were encouraging, with a significant increase in accounts queued for first payroll, despite a slight decline in worksite employees from new clients compared to Q3 2024 [3] - Client retention remained strong at an average of 99% per month, consistent with prior year results [3] Market Data and Key Metrics Changes - The overall hiring environment was challenging, with net hiring within the client base being negative in Q3 2025, slightly weaker than Q3 2024 [4] - The health insurance industry reported an unexpected rise in healthcare costs and loss ratios, impacting Insperity significantly [6][15] Company Strategy and Development Direction - The company is focused on attracting and retaining the right clients at competitive prices to achieve sustainable profitability [7][8] - The rollout of the new HR Scale solution is expected to enhance Insperity's PEO offerings and drive growth, particularly in the mid-market segment [20][26] - A new agreement with UnitedHealthcare aims to reduce claim costs and mitigate risks, which is projected to positively impact margins [18][34] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the unexpected increase in healthcare claims costs and its impact on financial performance, indicating that this trend is expected to persist into 2026 [15][33] - The company is optimistic about a rebound in 2026, driven by strategic pricing adjustments and the rollout of HR Scale [17][37] Other Important Information - Operating expenses decreased by 4% year-over-year in Q3 2025, with significant reductions in salaries and G&A costs [8] - The company returned $22 million in cash dividends to shareholders in Q3 2025, with a total of $68 million year-to-date [9] Q&A Session Summary Question: Clarification on earnings shortfall recovery - Management indicated that the earnings shortfall primarily relates to benefits costs and expects to recover a majority of this in 2026 [38][39] Question: Impact of cost trends on new sales - Management expressed confidence that pricing changes would not significantly impact new sales, citing strong sales performance and high renewal rates [40][41] Question: Initial responses from the joint marketing pod for HR Scale - Positive feedback was received regarding the unique solution developed, with early pipeline filling ahead of expectations [42][43] Question: Adjustments to benefits repricing - Management confirmed ongoing adjustments to pricing based on healthcare trends, with expectations for higher pricing in 2026 [44][45] Question: Healthcare pricing expectations for next year - Management anticipates a low double-digit increase in benefit costs on an apples-to-apples basis for 2026 [44] Question: Managing lower profitability clients - Management indicated that the focus is on retaining profitable clients while managing out lower profitability ones [48] Question: Investment framework for HR Scale - Management clarified that ongoing operating expenses for HR Scale would be lower than previous estimates, with a focus on balancing investment across projects [55][57] Question: AI's impact on employment and business creation - Management noted that while AI's impact on employment is uncertain, it could lead to new business creation, providing a buffer against employment efficiency [59][60]

Financial Performance - Q3 2025 - Q3 average paid worksite employees increased by 1%[8] - Adjusted EBITDA decreased by 74%[11] - Adjusted EPS decreased by 151%[11] - Operating expenses decreased by 4% compared to Q3 2024[13] Financial Performance - YTD September 2025 - Average paid worksite employees increased by 1%[15] - Adjusted EBITDA decreased by 42%[18] - Adjusted EPS decreased by 54%[18] Balance Sheet and Cash Flow - Adjusted Cash was $120 million as of September 30, 2025[20] - Total Debt was $369 million as of September 30, 2025[20] - Adjusted EBITDA was $144 million YTD September 30, 2025[20] Q4 and FY 2025 Outlook - Q4 2025 Adjusted EBITDA is projected at $(25) million, a decrease of 209% year-over-year[22] - FY 2025 Adjusted EBITDA is projected between $119 million and $153 million, a decrease of 56% to 43% year-over-year[22] - FY 2025 Adjusted EPS is projected between $0.84 and $1.47, a decrease of 77% to 59% year-over-year[22]

Exhibit 99.1 Insperity Announces Third Quarter Results and New UnitedHealthcare Contract HOUSTON – November 3, 2025 – Insperity, Inc. (NYSE: NSP), a leading provider of human resources and business performance solutions for America's best businesses, today reported results for the third quarter ended September 30, 2025. Insperity will be hosting a conference call today at 5:00 p.m. ET to discuss these results, our updated 2025 outlook, and perspectives on expected 2026 key drivers of growth and profitabilit ...

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh. ...

Core Insights - Insperity reported a net loss of $20 million for Q3 2025, with diluted EPS at $(0.53), while adjusted EBITDA was $10 million and adjusted EPS was $(0.20) [5][7] - The company announced a multi-year contract extension with UnitedHealthcare, expected to provide significant cost reductions and improve financial outlook for 2026 [4][7] - Insperity's revenues for Q3 2025 increased by 4% year-over-year to $1.6 billion, driven by a 3% increase in revenue per worksite employee (WSEE) and a 1% increase in the average number of WSEEs [2][6] Financial Performance - Q3 2025 revenues reached $1.623 billion, up from $1.561 billion in Q3 2024, marking a 4% increase [7][22] - Gross profit decreased by 15% to $195 million in Q3 2025, primarily due to higher-than-expected benefits costs [3][22] - Operating expenses decreased by 4% to $220 million in Q3 2025 compared to $228 million in Q3 2024 [4][22] Year-to-Date Results - Year-to-date revenues increased by 4% to $5.1 billion, with an average of 309,327 WSEEs paid per month, also up by 1% [6][8] - Year-to-date net income was $26 million, with diluted EPS at $0.69 and adjusted EBITDA at $144 million [8][9] - The company returned $87 million to shareholders through share repurchases and cash dividends in the first nine months of 2025 [7][9] Strategic Developments - The rollout of HRScale, a strategic joint development offering with Workday, is expected to enhance Insperity's market position and drive future growth [2][4] - The new contract with UnitedHealthcare will reduce the pooling level for large claims to $500,000 starting January 1, 2026, which is anticipated to provide outstanding value for plan participants [4][7] Guidance and Outlook - Insperity provided updated guidance for 2025, projecting an average of 313,000 WSEEs paid in Q4 2025, with adjusted EPS expected to range from $(0.79) to $(0.16) [11][29] - The company anticipates a year-over-year decrease in adjusted EBITDA for Q4 2025, projecting a range of $(25) million to $9 million [11][29]

Core Viewpoint - Bragar Eagel & Squire, P.C. is investigating potential claims against Insperity, Inc. for possible violations of federal securities laws and unlawful business practices affecting stockholders [1][2]. Investigation Details - The investigation is focused on whether Insperity has engaged in unlawful business practices that may have led to financial losses for investors [2]. Financial Performance - On August 1, 2025, Insperity reported adjusted earnings per share of $0.26, which was a 70% decline year-over-year and missed analyst estimates [6]. - The company attributed its poor performance to higher-than-expected benefits costs, including rising pharmacy expenses and an increase in large insurance claims [6]. - Following the announcement, Insperity's stock price dropped by $14.51, or 24.35%, closing at $45.07 per share on the same day [6]. Next Steps for Investors - Investors who purchased Insperity shares and suffered losses are encouraged to contact Bragar Eagel & Squire for more information regarding their legal rights and potential claims [3]. About the Law Firm - Bragar Eagel & Squire, P.C. is a nationally recognized law firm that represents individual and institutional investors in various types of litigation across the United States [4].

Sep 26, 2025 12:00 PM Eastern Daylight Time Study Finds Insperity HR360 Delivered a Positive 3- year Return on Investment and Significant Qualitative Benefits Share The study found that the Insperity® HR360 solution delivered significant cost and time savings to a composite organization by providing strategic HR guidance, employee access to benefits, and HR-related compliance support. Forrester's TEI framework includes a robust methodology to evaluate the financial impact of a given technology or service of ...

Company Overview - Insperity, Inc. is a human resources and business solutions company that provides payroll, benefits, compliance, and talent management services to small and midsize businesses across the United States [3]. Allegations and Financial Impact - Edelson Lechtzin LLP is investigating potential violations of federal securities laws involving Insperity due to allegations of providing potentially misleading business information to the investing public [1]. - On August 1, 2025, Insperity disclosed a 70% year-over-year decline in earnings per share for the second quarter of 2025, attributing this decline to rising pharmacy expenses, increased benefit costs, and large insurance claims [4]. - Following the earnings announcement, Insperity's stock price fell by $14.51 per share, or 24.35%, closing at $45.07 per share on August 1, 2025 [4]. - The company also revised down its full-year earnings guidance for 2025 [4].