Adecco Group Inc.

Latest Results (17.05.2026):

Adecco Group Inc. — Q1 2026: The group delivered a strong start to 2026 with accelerating organic revenue growth, significant market-share gains and improved profitability. Reported revenues were EUR 5,658m (reported +2% yoy; organic +5.3% TDA), EBITA excluding one‑offs was EUR 148m (+24% organic CC) and net income attributable to shareholders was EUR 69m (+41% CC), while working‑capital seasonality drove a negative operating cash flow.

Top-line and market share

Revenues: EUR 5,658m reported (+2% yoy); organic growth +5.3% on a trading‑days adjusted basis. The Group gained +365 bps of market share overall (Adecco GBU +210 bps vs. key competitors).

Profitability

EBITA (ex‑one‑offs) was EUR 148m, up 24% organically (12% reported), delivering an EBITA margin of 2.6% (+20 bps yoy ex‑one‑offs). Operating income was EUR 127m (+28% CC) and net income attributable to shareholders was EUR 69m (+41% CC).

EPS and adjustments

Basic EPS was EUR 0.41 (+40% CC). Adjusted EPS (ex‑amortization, one‑offs and tax effects) was EUR 0.50 (+6% yoy). One‑off costs in Q1 amounted to EUR 7m.

Margins, productivity and mix

Gross profit was EUR 1,063m with a gross margin of 18.8% (≈‑40 bps organic CC). Productivity (direct contribution per selling FTE) rose +4% and the drop‑down ratio (DDR) exceeded 100%, indicating efficient conversion of gross profit into EBITA.

Global Business Unit performance

Adecco GBU led growth: +7% organic TDA (Adecco Group noted Adecco revenues +7% yoy), with all regions up — Americas +15%, APAC +8%, EMEA ex‑France +7%. Akkodis was slightly down (-1% organic) and LHH was about flat (-1% organic) but delivered strong margin expansion.

Cash flow and balance sheet

Operating cash flow was an outflow of EUR 178m (seasonal; working capital absorption from stronger revenues). Free cash flow was ‑EUR 200m. LTM cash conversion remained strong at 94%. Net debt at quarter end was EUR 2,543m and Net Debt/EBITDA (ex‑one‑offs) improved to 2.7x (‑0.2x vs. prior year).

Costs, headcount and working capital

SG&A (ex‑one‑offs) was EUR 935m, flat on an organic CC basis and improved to 16.5% of revenues (‑100 bps). Average company‑based FTEs were 33,569 (‑2% organic). DSO was 53.3 days.

Tax and other P&L items

Effective tax rate was 38.9% in Q1 (no material discrete tax benefits this quarter). Interest expense was EUR 15m and proportionate FESCO JV income was EUR 20m.

Outlook and operational notes

Management reports continued positive volume momentum into the quarter. For Q2 it expects gross margin to be marginally lower sequentially (seasonality) and SG&A (ex‑one‑offs) to be marginally higher. The group highlighted further AI deployments improving fill rates and time‑to‑fill.