Trueblue (TBI) Q4 2025 earnings summary

Executive summary

• Q4 revenue reached $418 million, up 8% year-over-year, with $14 million from the HSP acquisition and 5% organic growth.

• Net loss for Q4 was $32 million, impacted by an $18 million non-cash impairment charge related to the Chicago support center sublease; adjusted EBITDA was $2 million.

• SG&A expenses improved by 11% year-over-year due to disciplined cost management.

• Liquidity remained strong with $25 million in cash, $66 million in debt, and $68 million in borrowing availability.

• Strategic focus on restructuring, sales capability expansion, and technology upgrades, including AI-powered features, supported operational efficiency and market positioning.

Financial highlights

• Q4 2025 revenue: $418 million (+8%); FY 2025 revenue: $1,616 million (+3%).

• Q4 net loss: $32 million; FY 2025 net loss: $48 million, a significant improvement from the prior year's $126 million loss.

• Adjusted EBITDA for Q4: $2 million (down from $9 million prior year); FY 2025: $11.8 million (+5%).

• Gross margin declined to 21.5% from 26.6% year-over-year, mainly due to less favorable workers' compensation reserve adjustments and revenue mix shift.

• SG&A as a percentage of revenue improved to 21.2% from 24.5% year-over-year.

Outlook and guidance

• Q1 2026 revenue expected to grow 3%-9% year-over-year, including 1% inorganic growth from HSP, with gross margin projected to decline 310–350 bps year-over-year.

• SG&A expected to decrease 5% to 9% year-over-year, reflecting ongoing cost discipline.

• FY 2026 CapEx planned at $13M–$17M; minimal income tax expense expected.

• Management expects continued revenue growth and margin improvement, supported by digital investments and operational efficiency.

• Focus remains on operational efficiency, cost control, and capturing market share in growth verticals.