ManpowerGroup Shares Fall Following Mixed Third-Quarter Results and CEO Succession Plan
Shares of ManpowerGroup Inc. (NYSE:MAN) dropped sharply on Thursday following the release of mixed third-quarter financial results and a leadership transition announcement. The staffing firm posted adjusted earnings per share of $1.01, matching Wall Street expectations, while quarterly revenue reached $4.840 billion, slightly missing analyst projections of $4.856 billion. Free cash flow for the period shifted to an outflow of $17 million compared to positive cash flow a year prior.
Despite the top-line shortfall, organic revenue grew 6% on a constant-currency, days-adjusted basis, led by a 9% organic increase in the United States. Adjusted EBITDA rose 14% year over year to $107 million, supported by ongoing operational discipline. To drive future growth and operational efficiency, the company is advancing its artificial intelligence strategy and remains on target to achieve $200 million in recurring annual cost savings by 2028.
Looking ahead, the company selected President and Chief Strategy Officer Becky Frankiewicz to take over as chief executive officer on Jan. 1, 2027, as current CEO Jonas Prising transitions to executive chair. For the fourth quarter, management expects constant-currency revenue growth between 3% and 7%, alongside GAAP earnings per share of $1.03 to $1.13, which exceeds current market estimates.
Key points
- ManpowerGroup Inc. (NYSE:MAN) reported third-quarter adjusted earnings of $1.01 per share, matching analyst expectations.
- Quarterly revenue reached $4.840 billion, narrowly missing consensus estimates of $4.856 billion.
- Becky Frankiewicz was named as the incoming CEO and board member, with her term beginning on Jan. 1, 2027.
- Fourth-quarter GAAP earnings per share are projected at $1.03 to $1.13, surpassing consensus estimates.
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What were ManpowerGroup's Q3 earnings results?
ManpowerGroup reported adjusted earnings per share of $1.01, matching analyst expectations. Revenue came in at $4.840 billion, slightly missing estimates of $4.856 billion.
Who is the new CEO of ManpowerGroup?
Becky Frankiewicz will become CEO and join the board on Jan. 1, 2027. Current Chairman and CEO Jonas Prising will transition to executive chair.
What is ManpowerGroup's outlook for the fourth quarter?
ManpowerGroup expects fourth-quarter constant-currency revenue growth of 3% to 7% and GAAP earnings per share between $1.03 and $1.13, above consensus estimates.