European Investor
30 Jan 2025, 17:49
ManpowerGroup reported its fourth-quarter 2024 results, highlighting a challenging market environment, particularly in North America and Europe, while Asia Pacific and Latin America saw stronger demand. The company posted revenues of $4.4 billion, a 5% decline year-over-year (3% on a constant currency basis), with a gross profit margin of 17.2%. Staffing margins remained stable despite a slight mix-related decrease, while permanent recruitment levels were largely unchanged across major markets.
Net earnings for the quarter were $22.5 million, translating to earnings per diluted share of $0.47, a significant improvement from the net loss of $84.5 million (-$1.73 per diluted share) reported in Q4 2023. The results included restructuring costs, pension settlements, and losses from the sale of the company’s Austria business, reducing EPS by $0.55. Excluding these charges, adjusted EPS stood at $1.02, reflecting a 27% decline in constant currency.
For the full year 2024, net earnings reached $145.1 million ($3.01 per diluted share), compared to $88.8 million ($1.76 per diluted share) in 2023. Adjusted full-year EPS was $4.55, down 21% in constant currency. Total revenues for 2024 declined 6% year-over-year to $17.9 billion (3% on a constant currency basis), with a negative foreign currency impact of $0.20 per share.
CEO Jonas Prising noted that while operating conditions remained tough, the company performed well in many markets, benefiting from its "Winning in the Market" strategy. ManpowerGroup also implemented cost-cutting measures, particularly in Europe, and advanced its global transformation initiatives. The company expects Q1 2025 diluted EPS between $0.47 and $0.57, factoring in a $0.06 negative currency impact and a 36% effective tax rate.
Segment results showed mixed performance:
- **Americas**: Revenue remained flat in the U.S. (+1%) and declined slightly in other regions (-2%).
- **Southern Europe**: France reported a 6.2% revenue drop, while Italy and other Southern European countries experienced slight growth.
- **Northern Europe**: Revenue dropped 15.9%, continuing its struggle.
- **Asia Pacific & Middle East (APME)**: Revenue declined 5.5%, though demand remained relatively strong.
The company generated $247 million in cash from operations in Q4, reducing Days Sales Outstanding by three days. It repurchased $34 million of its own stock during the quarter. Looking ahead, ManpowerGroup remains focused on operational efficiency, cost control, and strategic growth initiatives.
A conference call discussing these results was scheduled for January 30, 2025, with supporting materials available on the company’s investor relations website.
Net earnings for the quarter were $22.5 million, translating to earnings per diluted share of $0.47, a significant improvement from the net loss of $84.5 million (-$1.73 per diluted share) reported in Q4 2023. The results included restructuring costs, pension settlements, and losses from the sale of the company’s Austria business, reducing EPS by $0.55. Excluding these charges, adjusted EPS stood at $1.02, reflecting a 27% decline in constant currency.
For the full year 2024, net earnings reached $145.1 million ($3.01 per diluted share), compared to $88.8 million ($1.76 per diluted share) in 2023. Adjusted full-year EPS was $4.55, down 21% in constant currency. Total revenues for 2024 declined 6% year-over-year to $17.9 billion (3% on a constant currency basis), with a negative foreign currency impact of $0.20 per share.
CEO Jonas Prising noted that while operating conditions remained tough, the company performed well in many markets, benefiting from its "Winning in the Market" strategy. ManpowerGroup also implemented cost-cutting measures, particularly in Europe, and advanced its global transformation initiatives. The company expects Q1 2025 diluted EPS between $0.47 and $0.57, factoring in a $0.06 negative currency impact and a 36% effective tax rate.
Segment results showed mixed performance:
- **Americas**: Revenue remained flat in the U.S. (+1%) and declined slightly in other regions (-2%).
- **Southern Europe**: France reported a 6.2% revenue drop, while Italy and other Southern European countries experienced slight growth.
- **Northern Europe**: Revenue dropped 15.9%, continuing its struggle.
- **Asia Pacific & Middle East (APME)**: Revenue declined 5.5%, though demand remained relatively strong.
The company generated $247 million in cash from operations in Q4, reducing Days Sales Outstanding by three days. It repurchased $34 million of its own stock during the quarter. Looking ahead, ManpowerGroup remains focused on operational efficiency, cost control, and strategic growth initiatives.
A conference call discussing these results was scheduled for January 30, 2025, with supporting materials available on the company’s investor relations website.
