TeamLease Services (TEAMLEASE) Q4 24/25 earnings summary

Executive summary

• FY25 consolidated revenue grew 20% year-over-year to ₹11,201 crore, with Q4 revenue down 2% sequentially due to BFSI headcount attrition.

• EBITDA for Q4FY25 rose 37% quarter-over-quarter to ₹48 crore, with margin improvement to 1.7%; PAT for Q4FY25 was ₹38 crore, up 34% year-over-year.

• Net profit for FY25 was ₹110 crore; free cash balance at year-end was ₹310 crore.

• Headcount declined by ~7,000 in Q4FY25 due to BFSI sector headwinds, but annual net addition was ~25,000.

• Board changes included retirement of three Independent Directors and resignation of a Non-Executive Director.

Financial highlights

• FY25 consolidated revenue reached ₹11,201 crore, a 20% increase over FY24; Q4 revenue was ₹2,868 crore, up 17-18% year-over-year.

• FY25 consolidated EBITDA was ₹138 crore, up 6% year-over-year; Q4 EBITDA margin at 1.7%.

• FY25 consolidated net profit was ₹110 crore, down 2% year-over-year; Q4 net profit was ₹38 crore.

• General Staffing revenue for Q4FY25 was ₹2,623 crore, Specialized Staffing ₹158 crore, and Other HR Services ₹77 crore.

• EPS for Q4FY25 was ₹21, compared to ₹17 in Q3FY25 and ₹16 in Q4FY24.

Outlook and guidance

• Management targets 20-25% annual profit growth in staffing, focusing on volume, operational efficiency, and value-added services.

• Profit growth is expected to align with revenue in FY26 as sectoral headwinds are absorbed.

• Strategic acquisitions in Singapore and HRTech are expected to bolster future performance and geographic expansion.

• EdTech projected to grow 20-25% in topline with 6-7% EBITDA margin next year.

• Specialized staffing to focus on profitability and skill-based demand, with cautious optimism for IT hiring in H1 FY26.