ManpowerGroup Sees 7% Revenue Decrease

By Tamara Parker • Thursday, April 18 15:21 • Permanent Link

ManpowerGroup, a global workforce solutions company, has reported its 1st quarter 2024 results, showcasing a challenging environment in North America and Europe, with solid demand in Latin America and the Asia-Pacific region. The company reported revenues of $4.4 billion, reflecting a 7% decrease from the prior year period, with a 5% constant currency decrease.

The gross profit margin was reported at 17.3% as adjusted, with staffing margins remaining strong. However, the company experienced a 39% decrease in constant currency earnings per share, from $1.51 to $0.94 per diluted share.

ManpowerGroup's management of selling, general, and administrative expenses (SG&A) was notable, with a 6% decrease as reported and a 5% constant currency decrease year-over-year. Additionally, the company repurchased $50 million of common stock during the quarter and demonstrated strong cash flow.

The impact of the U.S. dollar relative to foreign currencies compared to the prior year period was a factor in the financial results, with revenues decreasing 5% on a constant currency basis.

Looking ahead, ManpowerGroup anticipates diluted earnings per share in the second quarter to be between $1.24 and $1.34, with an estimated unfavorable currency impact of 7 cents, excluding unfavorable operating losses for the run-off Proservia Germany business estimated at 8 cents.

Despite the challenges, ManpowerGroup continues to prioritize the execution of its strategic initiatives and aims to accelerate sales activities to drive profitable growth when demand trends strengthen.

The company will be broadcasting its conference call live over the internet and has provided access to supplemental financial information on its website.

ManpowerGroup, which has been recognized consistently for diversity and ethical practices, operates in over 70 countries and territories, providing workforce solutions for organizations and employment opportunities for millions of people across various industries and skills. Today the company's shares have moved 6.7% to a price of $74.77. For more information, read the company's full 8-K submission here.

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