ManpowerGroup (MAN) Q3 2025 earnings summary

Executive summary

• Revenue returned to organic constant currency growth after 11 quarters of declines, driven by stabilization in North America and Europe and strong momentum in Latin America and APME.

• AI investments, especially the Sophie AI platform, are driving measurable commercial impact and improving win rates, particularly in enterprise client acquisition.

• Recognized as a leader in staffing and workforce solutions by Everest Group, highlighting technology and market leadership.

• Labor markets in Europe and North America remain cautious but show signs of stabilization, while APME and Latin America continue to grow.

• Cost containment, operational efficiency, and digital transformation remain top priorities, with significant progress in back office standardization and ongoing front office optimization.

Financial highlights

• Q3 2025 revenue was $4.63 billion, up 2.3% as reported, down 2% in constant currency, and up 1% organically in constant currency; system-wide revenue was $4.9 billion.

• Adjusted EBITDA was $96 million, down 22% year-over-year in constant currency; adjusted EBITDA margin was 2.1%.

• Adjusted EPS was $0.83, down 39% year-over-year in constant currency; reported EPS was $0.38.

• Gross profit margin was 16.6%, down 70 basis points year-over-year, driven by business mix shifts and lower permanent recruitment and outplacement activity.

• Free cash flow for Q3 was $45 million, with net earnings of $18 million and expectations for strong Q4 cash flow.

Outlook and guidance

• Q4 2025 EPS guidance is $0.78–$0.88, including a favorable $0.08 per share FX impact and a 46.5% effective tax rate.

• Constant currency revenue guidance for Q4 is between a 2% decrease and a 2% increase, with a flat trend at the midpoint.

• Gross profit margin guidance for Q4 is 16.4–16.6%; EBITDA margin projected to be flat year-over-year.

• Management expects a mixed business environment to persist, with employers remaining cautious and awaiting greater economic clarity before increasing workforce investments.