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Mar 31

ManpowerGroup Q1 2025 Earnings Report

ManpowerGroup reported a sharp decline in earnings and revenue for Q1 2025, impacted by restructuring charges and weaker demand in key markets.

Key Takeaways

ManpowerGroup's Q1 2025 revenue declined to $4.1B with net income dropping significantly to $5.6M. Restructuring costs and tax legislation changes weighed heavily on results, although demand in Latin America and Asia Pacific remained solid.

Revenue declined 7% to $4.1B, with a 2% organic constant currency decrease.

Net income fell sharply to $5.6M from $39.7M a year earlier.

Adjusted EPS was $0.44 after excluding restructuring and tax impacts.

Good growth in Latin America and Asia Pacific, but Europe and North America faced continued challenges.

Total Revenue
$4.09B
Previous year: $4.4B
-7.1%
EPS
$0.44
Previous year: $0.94
-53.2%
Gross Profit Margin
17.1%
Gross Profit
$698M
Previous year: $764M
-8.6%
Cash and Equivalents
$395M
Previous year: $605M
-34.7%
Free Cash Flow
-$167M
Previous year: $104M
-260.2%
Total Assets
$8.04B
Previous year: $8.49B
-5.3%

ManpowerGroup

ManpowerGroup

ManpowerGroup Revenue by Geographic Location

Forward Guidance

ManpowerGroup expects Q2 diluted EPS between $0.65 and $0.75, factoring in a 3-cent currency benefit and a 46.5% effective tax rate.

Positive Outlook

  • Favorable currency impact expected in Q2 (+$0.03)
  • Solid staffing margins in most major markets
  • Cost base continues to adjust to market conditions
  • Stable demand in Latin America and Asia Pacific
  • SG&A costs reduced year-over-year with further restructuring

Challenges Ahead

  • Uncertainty in trade policy impacting demand outlook
  • Challenging conditions in Europe and North America
  • Restructuring and tax charges significantly impacted Q1 EPS
  • Foreign currency pressures compared to prior year
  • Weaker permanent recruitment activity

Revenue & Expenses

Visualization of income flow from segment revenue to net income