Adecco Group (ADEN) Q1 2026 earnings summary

Executive summary

• Organic revenue grew 5.3% year-on-year in Q1 2026, with significant market share gains of 365 basis points and outperformance versus competitors.

• EBITDA/EBITA excluding one-offs rose 24% year-on-year on an organic constant currency basis, with margin expanding 20 basis points to 2.6%.

• Gross margin was healthy at 18.8%, despite a 40 basis point year-on-year decline due to FX and business mix.

• AI deployment and digital transformation accelerated, driving productivity gains, recruiter time savings, and operational efficiencies.

• All regions contributed to growth, led by Americas (+15%), APAC (+8%), and EMEA ex-France (+7%), with France returning to growth.

Financial highlights

• Q1 revenues reached €5.7 billion, up 5.3% year-on-year on an organic, trading days adjusted basis.

• EBITA/EBITDA margin excluding one-offs was 2.6%, up 20 basis points year-on-year.

• Net income attributable to shareholders increased 41% year-on-year to €69 million; basic EPS rose 40% to €0.41.

• Operating cash outflow was €178 million, with a cash conversion ratio of 94%.

• Net debt/EBITDA improved by 0.2x year-on-year to 2.7x, with a target of 1.5x or below by end-2027.

Outlook and guidance

• Positive volume momentum continues into Q2, with gross margin expected to be marginally lower sequentially due to seasonality and FX headwinds.

• SG&A expenses (excluding one-offs) expected to be marginally higher sequentially, reflecting selective investment and capacity management.

• Management remains focused on market share gains, cost discipline, and profitable growth.