ManpowerGroup (NYSE: MAN) reported Q4 2024 revenues of $4.4 billion, marking a 5% YoY decline (-3% in constant currency). The company recorded net earnings of $22.5 million, or $0.47 per diluted share, reversing a $84.5 million net loss in Q4 2023. Excluding restructuring and other charges, adjusted earnings per share stood at $1.02, reflecting a 27% decline in constant currency. The gross profit margin was 17.2%, with stable staffing margins despite a slight mix-related decrease. The company continued cost reduction efforts, mitigating some profit declines.
CEO Jonas Prising emphasized stable activity levels in North America and Europe, stronger demand in Asia Pacific and Latin America, and progress in global transformation initiatives. For Q1 2025, the company projects EPS of $0.47–$0.57, factoring in a 36% tax rate and a 6-cent currency impact.
Full-year 2024 revenues totaled $17.9 billion (-6% YoY, -3% in constant currency), with net earnings of $145.1 million ($3.01 per diluted share). Excluding restructuring and currency-related losses, adjusted EPS was $4.55, down 21% in constant currency.
- Revenues of $4.4 billion (-5% as reported, -3% constant currency)
- Regional trends largely unchanged as Europe and North America experienced a challenging environment while Asia Pacific and Latin America saw good demand
- Gross profit margin of 17.2%. Staffing margins remained solid with slight decrease from mix; permanent recruitment largely stable at lower levels across most major markets
- SG&A reductions partially offset gross profit declines during the quarter
- Strong cash provided by operating activities1 during the quarter with a three-day reduction in Days Sales Outstanding at year end; $34 million of common stock repurchased
MILWAUKEE,
Jan. 30, 2025 --
ManpowerGroup (NYSE: MAN) today reported net earnings of
$0.47 per diluted share for the three months ended
December 31, 2024 compared to net losses of
$1.73 per diluted share in the prior year period. Net earnings in the quarter were
$22.5 million compared to net losses of
$84.5 million a year earlier. Revenues for the fourth quarter were
$4.4 billion, a 5% decrease from the prior year period.
The current year quarter included restructuring costs, pension settlements and net losses from the sale of our
Austria business, which will be operated as a franchise going forward, which reduced earnings per share by
$0.55 in the fourth quarter. Excluding these charges, earnings per share was
$1.02 per diluted share in the quarter representing a decrease of 27% in constant currency.
2
Financial results in the quarter were also impacted by the U.S. dollar relative to foreign currencies compared to the prior year period.
3 On a constant currency basis, revenues decreased 3% compared to the prior year period.
Jonas Prising, ManpowerGroup Chair & CEO, said, "The operating conditions experienced across our regions came in largely as expected during the quarter with relatively stable activity at lower levels across
North America and
Europe and good demand elsewhere. We took additional cost actions during the quarter, primarily in some of our most challenged European markets. Looking back at full year 2024, although difficult market conditions weighed heavily on our financial results, we competed well in many markets as a result of our
Winning in the Market focus. We also made significant progress advancing our global transformation initiatives during 2024 and look forward to continuing our progress in 2025.
We anticipate diluted earnings per share in the first quarter will be between
$0.47 and
$0.57, which includes an estimated unfavorable currency impact of
6 cents and a 36% effective tax rate."
Net earnings for the year ended
December 31, 2024 were
$145.1 million, or net earnings of
$3.01 per diluted share compared to net earnings of
$88.8 million, or net earnings of
$1.76 per diluted share in the prior year, respectively. The full year period included restructuring costs, run-off losses related to the Proservia Germany business, pension settlements, and
Argentina hyperinflationary related non-cash currency translation losses which reduced earnings per share by
$1.54. Excluding the net impact of these charges, earnings per share for the year was
$4.55 per diluted share representing a decrease of 21% in constant currency.
4 Revenues for the year were
$17.9 billion, representing a decrease of 6% compared to the prior year or a decrease of 3% in constant currency. Earnings per share for the year were negatively impacted by
20 cents due to changes in foreign currencies compared to the prior year.
In conjunction with its fourth quarter earnings release, ManpowerGroup will broadcast its conference call live over the Internet on
January 30, 2025 at
7:30 a.m. central time (
8:30 a.m. eastern time). Prepared remarks for the conference call, webcast details, presentation and recordings are included within the Investor Relations section of manpowergroup.com.
Supplemental financial information referenced in the conference call can be found at
http://investor.manpowergroup.com/.
About ManpowerGroup
ManpowerGroup® (NYSE: MAN), the leading global workforce solutions company, helps organizations transform in a fast-changing world of work by sourcing, assessing, developing, and managing the talent that enables them to win. We develop innovative solutions for hundreds of thousands of organizations every year, providing them with skilled talent while finding meaningful, sustainable employment for millions of people across a wide range of industries and skills. Our expert family of brands – Manpower, Experis, and Talent Solutions – creates substantially more value for candidates and clients across more than 70 countries and territories and has done so for 75 years. We are recognized consistently for our diversity – as a best place to work for Women, Inclusion, Equality, and Disability, and in 2024 ManpowerGroup was named one of the World's Most Ethical Companies for the 15
th time – all confirming our position as the brand of choice for in-demand talent. For more information, visit
www.manpowergroup.com.
Forward-Looking Statements
This press release contains statements, including statements regarding global economic and geopolitical uncertainty, trends in labor demand and the future strengthening of such demand, financial outlook, the outlook for our business in regions in which we operate as well as key countries within those regions, and the Company's strategic initiatives and technology investments, including transformation programs and the positioning of future growth for our brands that are forward-looking in nature and, accordingly, are subject to risks and uncertainties regarding the Company's expected future results. The Company's actual results may differ materially from those described or contemplated in the forward-looking statements due to numerous factors. These factors include those found in the Company's reports filed with the SEC, including the information under the heading "Risk Factors" in its Annual Report on Form 10-K for the year ended
December 31, 2023, which information is incorporated herein by reference.
The Company assumes no obligation to update or revise any forward-looking statements. We reference certain non-GAAP financial measures, which we believe provide useful information for investors. We include a reconciliation of these measures, where appropriate, to GAAP on the Investor Relations section of our website at manpowergroup.com.
1 Cash provided by operating activities equaled
$247 million and, including capital expenditures, Free Cash Flow represented
$236 million in the quarter.
2 The prior year period included various adjustments which reduced earnings per share by
$3.18 which are also excluded when determining the year over year adjusted trend.
3 The fourth quarter earnings per share guidance estimated a negative
1 cent foreign currency impact and the actual impact was worse at a negative
4 cents.
4 The prior year period included various adjustments which reduced earnings per share by
$4.28 which are also excluded when determining the year over year adjusted trend.