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Sep 30, 2021

TriNet Q3 2021 Earnings Report

TriNet's financial performance reflected a strong customer base and commitment to providing the best possible HR experience.

Key Takeaways

TriNet Group, Inc. announced strong financial results for Q3 2021, with total revenues increasing by 18% to $1.1 billion and professional service revenues increasing by 24% to $156 million. Net income was $77 million, or $1.16 per diluted share, while Adjusted Net Income was $87 million, or $1.31 per diluted share.

Total revenues increased 18% to $1.1 billion compared to the same period last year.

Professional service revenues increased 24% to $156 million compared to the same period last year.

Net income was $77 million, or $1.16 per diluted share, compared to net income of $33 million, or $0.48 per diluted share, in the same period last year.

Adjusted Net Income was $87 million, or $1.31 per diluted share, compared to Adjusted Net Income of $39 million, or $0.56 per diluted share, in the same period last year.

Total Revenue
$297M
Previous year: $216M
+37.5%
EPS
$1.31
Previous year: $0.56
+133.9%
Total WSEs
351.27K
Previous year: 321K
+9.4%
Average WSEs
347.5K
Previous year: 317.74K
+9.4%
Gross Profit
$236M
Previous year: $148M
+59.5%
Cash and Equivalents
$525M
Previous year: $563M
-6.7%
Free Cash Flow
$162M
Previous year: $81M
+100.0%
Total Assets
$3.07B
Previous year: $2.87B
+7.0%

TriNet

TriNet

TriNet Revenue by Segment

Forward Guidance

TriNet provided its fourth quarter and full-year 2021 guidance.

Positive Outlook

  • Total Revenues Q4 2021 Low: 12%
  • Total Revenues Q4 2021 High: 14%
  • Total Revenues Full Year 2021 Low: 11%
  • Total Revenues Full Year 2021 High: 12%
  • Professional Service Revenues Q4 2021 Low: 16%

Challenges Ahead

  • Professional Service Revenues Q4 2021 High: 20%
  • Professional Service Revenues Full Year 2021 Low: 15%
  • Professional Service Revenues Full Year 2021 High: 16%
  • Insurance Cost Ratio Full Year 2021 Low: 87.0 %
  • Insurance Cost Ratio Full Year 2021 High: 86.5 %

Revenue & Expenses

Visualization of income flow from segment revenue to net income