Quarterly ResultMay 7, 2026, 07:42 AM
Kelly Q1 Revenue $1.0B, down 10.7%; Reports $5.1M Operating Loss
AI Summary
Kelly Services reported first-quarter 2026 revenue of $1.0 billion, a 10.7% decrease year-over-year, with an underlying revenue decline of approximately 3.3%. The company posted an operating loss of $5.1 million and adjusted EBITDA of $15.8 million, down 54.7%. Despite the declines, Kelly affirmed its expectation for improved year-over-year performance in revenue and adjusted EBITDA margin each successive quarter in 2026, anticipating a return to organic revenue growth and margin expansion in the second half. The board also declared a quarterly dividend of $0.075 per share.
Key Highlights
- Q1 2026 revenue was $1.0 billion, a 10.7% decrease year-over-year.
- Underlying revenue, excluding discrete impacts, declined approximately 3.3% year-over-year.
- Reported an operating loss of $5.1 million, compared to earnings of $10.8 million in Q1 2025.
- Adjusted EBITDA was $15.8 million, a 54.7% decrease from the prior year period.
- Diluted loss per share was $0.17, compared to earnings per share of $0.16 in Q1 2025.
- The board declared a quarterly dividend of $0.075 per share.
- Affirmed expectation for modest year-over-year revenue growth and adjusted EBITDA margin expansion in H2 2026.
- Adjusted SG&A declined 10.3% year-over-year, reflecting cost optimization efforts.
Price Impact
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