TrueBlue (NYSE:TBI) today announced its fourth quarter and
full-year results for 2024.
Fourth Quarter 2024 Financial Highlights
- Revenue of $386 million compared to $492 million in the prior
year period
- Fiscal fourth quarter for 2024 consisted of 13 weeks versus 14
weeks in the fiscal fourth quarter of 2023
- Revenue decreased 16 percent on a comparable 13-week basis
- Net loss of $12 million compared to net loss of $3 million in
the prior year period
- SG&A expense improved by 18 percent to $107 million
compared to $130 million in the prior year period
- Adjusted EBITDA1 increased to $9 million compared to $5 million
in the prior year period
- Cash of $23 million, debt of $8 million and $119 million of
borrowing availability at period end
- TrueBlue acquired Healthcare Staffing Professionals, Inc.
(HSP), a long-term temporary and permanent staffing solutions
provider in the healthcare end-market, for $42 million effective
January 31, 2025
Commentary
“2024 was a transformative year for TrueBlue as we made
significant progress executing on our strategic priorities and
positioning the company for strong growth and expanded
profitability when customer demand volumes return,” said Taryn
Owen, President and CEO of TrueBlue. “Our teams are doing
tremendous work as market conditions remain challenging and
customers seek improved market confidence before making significant
adjustments to their workforce strategies. We are staying highly
engaged with clients to address their immediate needs and ensuring
we are well-positioned to support future demand.”
“Looking forward, we remain committed to capturing market share
and enhancing our long-term profitability through clear strategic
priorities focused on top line growth and margin expansion,”
continued Ms. Owen. “These priorities include advancing our digital
transformation through an enhanced user experience, expanding in
high-growth end-markets and high-value roles, and optimizing our
business model to drive enhanced sales focus and accelerate growth.
We are already off to a strong start in 2025 with the accretive
acquisition of HSP and we are confident that our strategic
priorities, in combination with our many inherent strengths and
unique assets, will enable us to advance our mission to connect
people and work while delivering long-term shareholder value.”
Results
Fourth quarter revenue was $386 million, a decrease of 22
percent compared to revenue of $492 million in the fourth quarter
of 2023, or 16 percent on a comparable 13-week basis. Net loss per
diluted share was $0.40 compared to net loss per diluted share of
$0.08 in the prior year period. Adjusted net loss1 per diluted
share was $0.02 compared to adjusted net income per diluted share
of $0.08 in the prior year period.
Full-year revenue was $1.6 billion, a decrease of 18 percent
compared to revenue of $1.9 billion in 2023, or 17 percent on a
comparable 52-week basis. Net loss per diluted share was $4.17
compared to net loss per diluted share of $0.45 in the prior year
period. Adjusted net loss per diluted share was $0.46 compared to
adjusted net income per diluted share of $0.28 in the prior year
period.
2025 Outlook
TrueBlue is providing certain forward-looking information to
help investors form their estimates, which can be found in the
quarterly earnings presentation filed today.
Management will discuss fourth quarter 2024 results on a webcast
at 2:00 p.m. PT (5:00 p.m. ET), today, Wednesday, Feb. 19,
2025.
The quarterly earnings presentation and webcast can be accessed
on the Investor Relations section of the TrueBlue website:
investor.trueblue.com.
About TrueBlue
TrueBlue (NYSE: TBI) is a leading provider of specialized
workforce solutions that help clients achieve business growth and
improve productivity. Its PeopleReady segment offers on-demand,
industrial staffing; PeopleScout offers recruitment process
outsourcing (RPO) and managed service provider (MSP) solutions to a
wide variety of industries; PeopleManagement offers contingent,
on-site industrial staffing and commercial driver services; and
Healthcare Staffing Professionals offers long-term and permanent
staffing solutions primarily focused on healthcare positions. Learn
more at www.trueblue.com.
1
Refer to the financial statements
accompanying this release for more information regarding non-GAAP
terms.
Forward-looking statements and non-GAAP financial
measures
This document contains forward-looking statements relating to
our plans and expectations including, without limitation,
statements regarding the future performance and operations of our
business, expectations regarding stabilization in demand, and
expected growth from our digital investments, all of which are
subject to risks and uncertainties. Such statements are based on
management’s expectations and assumptions as of the date of this
release and involve many risks and uncertainties that could cause
actual results to differ materially from those expressed or implied
in our forward-looking statements including: (1) national and
global economic conditions, which can be negatively impacted by
factors such as rising interest rates, inflation, political
instability, epidemics and global trade uncertainty, (2) our
ability to maintain profit margins, (3) our ability to successfully
execute on business strategies and further digitalize our business
model, (4) our ability to attract sufficient qualified candidates
and employees to meet the needs of our clients, (5) our ability to
attract and retain clients, (6) our ability to access sufficient
capital to finance our operations, including our ability to comply
with covenants contained in our revolving credit facility, (7) new
laws, regulations, and government incentives that could affect our
operations or financial results, (8) any reduction or change in tax
credits we utilize, including the Work Opportunity Tax Credit, (9)
our ability to successfully integrate acquired businesses, and (10)
the timing and amount of common stock repurchases, if any, which
will be determined at management’s discretion and depend upon
several factors, including market and business conditions, the
trading price of our common stock and the nature of other
investment opportunities. Other information regarding factors that
could affect our results is included in our Securities and Exchange
Commission (SEC) filings, including the company’s most recent
reports on Forms 10-K and 10-Q, copies of which may be obtained by
visiting our website at www.trueblue.com under the Investor
Relations section or the SEC’s website at www.sec.gov. We assume no
obligation to update or revise any forward-looking statement,
whether as a result of new information, future events, or
otherwise, except as required by law. Any other references to
future financial estimates are included for informational purposes
only and subject to risk factors discussed in our most recent
filings with the SEC.
In addition, we use several non-GAAP financial measures when
presenting our financial results in this document. Please refer to
the reconciliations between our U.S. GAAP and non-GAAP financial
measures in the appendix to this document and on our website at
www.trueblue.com under the Investor Relations section for
additional information on both current and historical periods. The
presentation of these non-GAAP financial measures is used to
enhance the understanding of certain aspects of our financial
performance. It is not meant to be considered in isolation,
superior to, or as a substitute for the directly comparable
financial measures prepared in accordance with U.S. GAAP, and may
not be comparable to similarly titled measures of other
companies.
TRUEBLUE, INC.
SUMMARY CONSOLIDATED
STATEMENTS OF OPERATIONS
(Unaudited)
Q4 2024
Q4 2023
2024
2023
13 weeks ended
14 weeks ended (1)
52 weeks ended
53 weeks ended (1)
(in thousands, except per share
data)
Dec 29, 2024
Dec 31, 2023
Dec 29, 2024
Dec 31, 2023
Revenue from services
$
385,953
$
492,171
$
1,567,393
$
1,906,243
Cost of services
283,406
363,889
1,161,000
1,400,184
Gross profit
102,547
128,282
406,393
506,059
Selling, general and administrative
expense
106,942
129,961
410,870
494,603
Depreciation and amortization
6,008
6,946
28,624
25,821
Goodwill and intangible asset impairment
charge
—
—
59,674
9,485
Loss from operations
(10,403
)
(8,625
)
(92,775
)
(23,850
)
Interest and other income (expense),
net
390
1,223
4,251
3,205
Loss before tax expense
(benefit)
(10,013
)
(7,402
)
(88,524
)
(20,645
)
Income tax expense (benefit)
1,692
(4,851
)
37,224
(6,472
)
Net loss
$
(11,705
)
$
(2,551
)
$
(125,748
)
$
(14,173
)
Net loss per common share:
Basic
$
(0.40
)
$
(0.08
)
$
(4.17
)
$
(0.45
)
Diluted
$
(0.40
)
$
(0.08
)
$
(4.17
)
$
(0.45
)
Weighted average shares
outstanding:
Basic
29,561
31,079
30,177
31,317
Diluted
29,561
31,079
30,177
31,317
(1)
Our fiscal period ends on the Sunday
closest to the last day of December. In fiscal years consisting of
53 weeks, the final quarter consists of 14 weeks, while in fiscal
years consisting of 52 weeks, all quarters consist of 13 weeks.
TRUEBLUE, INC.
SUMMARY CONSOLIDATED BALANCE
SHEETS
(Unaudited)
(in thousands)
Dec 29, 2024
Dec 31, 2023
ASSETS
Cash and cash equivalents
$
22,536
$
61,885
Accounts receivable, net
214,704
252,538
Other current assets
39,853
40,570
Total current assets
277,093
354,993
Property and equipment, net
89,602
104,906
Restricted cash, cash equivalents and
investments
179,916
192,985
Goodwill and intangible assets, net
30,406
94,639
Other assets, net
98,359
151,860
Total assets
$
675,376
$
899,383
LIABILITIES AND SHAREHOLDERS’
EQUITY
Accounts payable and other accrued
expenses
$
45,599
$
56,401
Accrued wages and benefits
61,380
80,120
Current portion of workers’ compensation
claims reserve
34,729
44,866
Other current liabilities
18,417
22,712
Total current liabilities
160,125
204,099
Workers’ compensation claims reserve, less
current portion
105,063
151,649
Long-term debt, less current portion
7,600
—
Other long-term liabilities
87,229
85,762
Total liabilities
360,017
441,510
Shareholders’ equity
315,359
457,873
Total liabilities and shareholders’
equity
$
675,376
$
899,383
TRUEBLUE, INC.
CONSOLIDATED STATEMENTS OF
CASH FLOWS
(Unaudited)
52 weeks ended
53 weeks ended (1)
(in thousands)
Dec 29, 2024
Dec 31, 2023
Cash flows from operating
activities:
Net loss
$
(125,748
)
$
(14,173
)
Adjustments to reconcile net loss to
net cash (used in) provided by operating activities:
Depreciation and amortization (inclusive
of depreciation included in cost of services)
29,561
25,821
Goodwill and intangible asset impairment
charge
59,674
9,485
Provision for credit losses
2,321
4,972
Stock-based compensation
7,591
13,907
Deferred income taxes
34,060
(9,902
)
Non-cash lease expense
12,402
12,591
Other operating activities
(5,137
)
(3,831
)
Changes in operating assets and
liabilities:
Accounts receivable
35,731
56,761
Income taxes receivable and payable
3,196
(1,317
)
Other assets
22,766
31,366
Accounts payable and other accrued
expenses
(8,908
)
(19,210
)
Accrued wages and benefits
(19,147
)
(12,113
)
Workers’ compensation claims reserve
(56,723
)
(54,495
)
Operating lease liabilities
(12,324
)
(12,796
)
Other liabilities
3,627
7,688
Net cash (used in) provided by
operating activities
(17,058
)
34,754
Cash flows from investing
activities:
Capital expenditures
(24,151
)
(31,276
)
Proceeds from business divestiture,
net
3,099
—
Payments for company-owned life
insurance
(4,000
)
(2,347
)
Proceeds from company-owned life
insurance
—
1,662
Purchases of restricted held-to-maturity
investments
(11,242
)
(34,110
)
Maturities of restricted held-to-maturity
investments
33,841
33,749
Net cash used in investing
activities
(2,453
)
(32,322
)
Cash flows from financing
activities:
Purchases and retirement of common
stock
(21,293
)
(34,178
)
Net proceeds from employee stock purchase
plans
738
856
Common stock repurchases for taxes upon
vesting of restricted stock
(2,325
)
(4,161
)
Net change in revolving credit
facility
7,600
—
Other
(1,807
)
(100
)
Net cash used in financing
activities
(17,087
)
(37,583
)
Change in cash, cash equivalents and
restricted cash reclassified to assets held-for-sale
—
(300
)
Effect of exchange rate changes on cash,
cash equivalents and restricted cash and cash equivalents
(1,608
)
(874
)
Net change in cash, cash equivalents,
and restricted cash and cash equivalents
(38,206
)
(36,325
)
Cash, cash equivalents and restricted
cash and cash equivalents, beginning of period
99,306
135,631
Cash, cash equivalents and restricted
cash and cash equivalents, end of period
$
61,100
$
99,306
(1)
Our fiscal period ends on the Sunday
closest to the last day of December. In fiscal years consisting of
53 weeks, the final quarter consists of 14 weeks, while in fiscal
years consisting of 52 weeks, all quarters consist of 13 weeks.
TRUEBLUE, INC.
SEGMENT DATA
(Unaudited)
Q4 2024
Q4 2023
2024
2023
13 weeks ended
14 weeks ended (1)
52 weeks ended
53 weeks ended (1)
(in thousands)
Dec 29, 2024
Dec 31, 2023
Dec 29, 2024
Dec 31, 2023
Revenue from services:
PeopleReady
$
207,687
$
285,185
$
868,549
$
1,096,318
PeopleScout
32,528
47,204
156,643
229,334
PeopleManagement
145,738
159,782
542,201
580,591
Total company
$
385,953
$
492,171
$
1,567,393
$
1,906,243
Segment profit (2):
PeopleReady
$
7,404
$
7,920
$
5,783
$
26,606
PeopleScout
1,301
2,910
12,152
26,922
PeopleManagement
5,695
2,781
15,119
6,963
Total segment profit
14,400
13,611
33,054
60,491
Corporate unallocated expense
(5,501
)
(8,462
)
(21,887
)
(31,507
)
Total company Adjusted EBITDA
(3)
8,899
5,149
11,167
28,984
Third-party processing fees for hiring tax
credits (4)
(90
)
67
(240
)
(253
)
Amortization of software as a service
assets (5)
(1,752
)
(1,233
)
(6,162
)
(4,117
)
Goodwill and intangible asset impairment
charge
—
—
(59,674
)
(9,485
)
PeopleReady technology upgrade costs
(6)
(8,318
)
(440
)
(8,807
)
(1,342
)
COVID-19 government subsidies, net
—
—
9,652
(525
)
Executive leadership transition costs
—
(3,296
)
—
(5,788
)
Other adjustments, net (7)
(2,197
)
(1,926
)
(9,150
)
(5,503
)
EBITDA (3)
(3,458
)
(1,679
)
(63,214
)
1,971
Depreciation and amortization (8)
(6,945
)
(6,946
)
(29,561
)
(25,821
)
Interest and other income (expense),
net
390
1,223
4,251
3,205
Loss before tax (expense) benefit
(10,013
)
(7,402
)
(88,524
)
(20,645
)
Income tax (expense) benefit
(1,692
)
4,851
(37,224
)
6,472
Net loss
$
(11,705
)
$
(2,551
)
$
(125,748
)
$
(14,173
)
(1)
Our fiscal period ends on the Sunday
closest to the last day of December. In fiscal years consisting of
53 weeks, the final quarter consists of 14 weeks, while in fiscal
years consisting of 52 weeks, all quarters consist of 13 weeks.
(2)
We evaluate performance based on segment
revenue and segment profit. Segment profit includes revenue,
related cost of services, and ongoing operating expenses directly
attributable to the reportable segment. Segment profit excludes
depreciation and amortization expense, unallocated corporate
general and administrative expense, interest expense, other income,
income taxes, and other adjustments not considered to be
ongoing.
(3)
See the Non-GAAP Financial Measures table
on the next page for definitions of EBITDA and Adjusted EBITDA.
(4)
These third-party processing fees are
associated with generating hiring tax credits.
(5)
Amortization of software as a service
assets is reported in selling, general and administrative
expense.
(6)
Costs associated with upgrading legacy
PeopleReady technology.
(7)
Other adjustments for the 13 and 52 weeks
ended December 29, 2024 primarily include workforce reduction costs
of $0.9 million and $7.3 million, respectively. Other adjustments
for the 14 and 53 weeks ended December 31, 2023 primarily include
workforce reduction costs of $1.8 million and $5.1 million,
respectively.
(8)
Includes software depreciation reported in
cost of services.
TRUEBLUE, INC. NON-GAAP FINANCIAL
MEASURES AND NON-GAAP RECONCILIATIONS
In addition to financial measures presented in accordance with
U.S. GAAP, we monitor certain non-GAAP key financial measures. The
presentation of these non-GAAP financial measures is used to
enhance the understanding of certain aspects of our financial
performance. It is not meant to be considered in isolation,
superior to, or as a substitute for the directly comparable
financial measures prepared in accordance with U.S. GAAP, and may
not be comparable to similarly titled measures of other
companies.
Non-GAAP measure
Definition
Purpose of adjusted
measures
Adjusted net income (loss) and
Adjusted net income (loss) per diluted
share
Net loss and net loss per diluted share,
excluding:
– gain on divestiture,
– amortization of intangibles,
– goodwill and intangible asset impairment
charge,
– PeopleReady technology upgrade
costs,
– COVID-19 government subsidies, net,
– executive leadership transition
costs,
– other adjustments, net, and
– tax effect of the adjustments and
deferred tax asset valuation allowance.
– Enhances comparability on a consistent
basis and provides investors with useful insight into the
underlying trends of the business.
– Used by management to assess performance
and effectiveness of our business strategies.
– Provides a measure, among others, used
in the determination of incentive compensation for management.
EBITDA and
Adjusted EBITDA
EBITDA excludes from net loss:
– income tax expense (benefit),
– interest and other (income) expense,
net, and
– depreciation and amortization.
Adjusted EBITDA further excludes:
– third-party processing fees for hiring
tax credits,
– amortization of software as a service
assets,
– goodwill and intangible asset impairment
charge,
– PeopleReady technology upgrade
costs,
– COVID-19 government subsidies, net,
– executive leadership transition costs,
and
– other adjustments, net.
– Enhances comparability on a consistent
basis and provides investors with useful insight into the
underlying trends of the business.
– Used by management to assess performance
and effectiveness of our business strategies.
– Provides a measure, among others, used
in the determination of incentive compensation for management.
Adjusted SG&A expense
Selling, general and administrative
expense excluding:
– third-party processing fees for hiring
tax credits,
– amortization of software as a service
assets,
– PeopleReady technology upgrade
costs,
– COVID-19 government subsidies, net,
– executive leadership transition costs,
and
– other adjustments, net.
– Enhances comparability on a consistent
basis and provides investors with useful insight into the
underlying trends of the business.
1.
RECONCILIATION OF U.S. GAAP NET LOSS TO
ADJUSTED NET INCOME (LOSS) AND ADJUSTED NET INCOME (LOSS) PER
DILUTED SHARE
(Unaudited)
Q4 2024
Q4 2023
2024
2023
13 weeks ended
14 weeks ended (1)
52 weeks ended
53 weeks ended (1)
(in thousands, except for per share
data)
Dec 29, 2024
Dec 31, 2023
Dec 29, 2024
Dec 31, 2023
Net loss
$
(11,705
)
$
(2,551
)
$
(125,748
)
$
(14,173
)
Gain on divestiture
—
—
(716
)
—
Amortization of intangible assets
489
1,355
4,051
5,175
Goodwill and intangible asset impairment
charge
—
—
59,674
9,485
PeopleReady technology upgrade costs
(2)
8,318
440
8,807
1,342
COVID-19 government subsidies, net
—
—
(9,652
)
525
Executive leadership transition costs
—
3,296
—
5,788
Other adjustments, net (3)
2,197
1,926
9,150
5,503
Tax effect of adjustments and deferred tax
asset valuation allowance (4)
—
(1,824
)
40,540
(4,920
)
Adjusted net income (loss)
$
(701
)
$
2,642
$
(13,894
)
$
8,725
Adjusted net income (loss) per diluted
share
$
(0.02
)
$
0.08
$
(0.46
)
$
0.28
Diluted weighted average shares
outstanding
29,561
31,450
30,177
31,590
Margin / % of revenue:
Net loss
(3.0
)%
(0.5
)%
(8.0
)%
(0.7
)%
Adjusted net income (loss)
(0.2
)%
0.5
%
(0.9
)%
0.5
%
2.
RECONCILIATION OF U.S. GAAP NET LOSS TO EBITDA AND ADJUSTED
EBITDA
(Unaudited)
Q4 2024
Q4 2023
2024
2023
13 weeks ended
14 weeks ended (1)
52 weeks ended
53 weeks ended (1)
(in thousands)
Dec 29, 2024
Dec 31, 2023
Dec 29, 2024
Dec 31, 2023
Net loss
$
(11,705
)
$
(2,551
)
$
(125,748
)
$
(14,173
)
Income tax expense (benefit)
1,692
(4,851
)
37,224
(6,472
)
Interest and other (income) expense,
net
(390
)
(1,223
)
(4,251
)
(3,205
)
Depreciation and amortization (5)
6,945
6,946
29,561
25,821
EBITDA
(3,458
)
(1,679
)
(63,214
)
1,971
Third-party processing fees for hiring tax
credits (6)
90
(67
)
240
253
Amortization of software as a service
assets (7)
1,752
1,233
6,162
4,117
Goodwill and intangible asset impairment
charge
—
—
59,674
9,485
PeopleReady technology upgrade costs
(2)
8,318
440
8,807
1,342
COVID-19 government subsidies, net
—
—
(9,652
)
525
Executive leadership transition costs
—
3,296
—
5,788
Other adjustments, net (3)
2,197
1,926
9,150
5,503
Adjusted EBITDA
$
8,899
$
5,149
$
11,167
$
28,984
Margin / % of revenue:
Net loss
(3.0
)%
(0.5
)%
(8.0
)%
(0.7
)%
Adjusted EBITDA
2.3
%
1.0
%
0.7
%
1.5
%
3.
RECONCILIATION OF U.S. GAAP SELLING, GENERAL AND
ADMINISTRATIVE EXPENSE TO ADJUSTED SG&A EXPENSE
(Unaudited)
Q4 2024
Q4 2023
2024
2023
13 weeks ended
14 weeks ended (1)
52 weeks ended
53 weeks ended (1)
(in thousands)
Dec 29, 2024
Dec 31, 2023
Dec 29, 2024
Dec 31, 2023
Selling, general and administrative
expense
$
106,942
$
129,961
$
410,870
$
494,603
Third-party processing fees for hiring tax
credits (6)
(90
)
67
(240
)
(253
)
Amortization of software as a service
assets (7)
(1,752
)
(1,233
)
(6,162
)
(4,117
)
PeopleReady technology upgrade costs
(2)
(8,318
)
(440
)
(8,807
)
(1,342
)
COVID-19 government subsidies, net
—
—
6,759
(525
)
Executive leadership transition costs
—
(3,296
)
—
(5,788
)
Other adjustments, net (3)
(2,156
)
(1,246
)
(8,634
)
(3,620
)
Adjusted SG&A expense
$
94,626
$
123,813
$
393,786
$
478,958
% of revenue:
Selling, general and administrative
expense
27.7
%
26.4
%
26.2
%
25.9
%
Adjusted SG&A expense
24.5
%
25.2
%
25.1
%
25.1
%
(1)
Our fiscal period ends on the Sunday
closest to the last day of December. In fiscal years consisting of
53 weeks, the final quarter consists of 14 weeks, while in fiscal
years consisting of 52 weeks, all quarters consist of 13 weeks.
(2)
Costs associated with upgrading legacy
PeopleReady technology.
(3)
Other adjustments for the 13 and 52 weeks
ended December 29, 2024 primarily include workforce reduction costs
of $0.9 million and $7.3 million, respectively. Other adjustments
for the 14 and 53 weeks ended December 31, 2023 primarily include
workforce reduction costs of $1.8 million and $5.1 million,
respectively.
(4)
The tax effect includes the application of
our statutory rate of 26% to all taxable / deductible adjustments.
The tax effect for the 52 weeks ended December 29, 2024 includes
$55.3 million of valuation allowance recorded against our U.S.
federal, state and foreign deferred tax assets. For the 13 weeks
ended December 29, 2024, there was no tax effect associated with
the adjustments due to the valuation allowance recorded against our
deferred tax assets.
(5)
Includes software depreciation reported in
cost of services.
(6)
These third-party processing fees are
associated with generating hiring tax credits.
(7)
Amortization of software as a service
assets is reported in selling, general and administrative
expense.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20250219607988/en/
Investor Relations InvestorRelations@trueblue.com
TrueBlue (NYSE:TBI)
Graphique Historique de l'Action
De Jan 2025 à Fév 2025
TrueBlue (NYSE:TBI)
Graphique Historique de l'Action
De Fév 2024 à Fév 2025
