| Metric | Value ($ M) | Q1 FY26 |
|---|---|---|
| Revenue | 1.0K | 10.7% |
| Total Income | 1.0K | 10.7% |
| Expenditure | 1.0K | 9.4% |
| PBT | -6.70 | 188.2% |
| Net Profit | -5.90 | 201.7% |
| OPM | -0.49% | 1.42pp |
| NPM | -0.57% | 1.06pp |
| EPS | -0.17 | 206.3% |
Kelly Reports Q1 2026 Revenue $1.0 Billion, Down 10.7% Y-o-Y
07 May 2026 · 7 May, 5:12 pm
Summary
Kelly Services announced its first-quarter 2026 results, reporting revenue of $1.0 billion, a 10.7% decrease compared to the corresponding quarter of 2025. The underlying revenue decline, excluding discrete impacts, was approximately 3.3%. The company reported an operating loss of $5.1 million, but adjusted earnings were $4.1 million. Kelly anticipates improved year-over-year performance for revenue and adjusted EBITDA margin each successive quarter in 2026, with a return to organic revenue growth and adjusted EBITDA margin expansion in the second half of the year.
Key Highlights
- 1
Kelly Services reported Q1 2026 revenue of $1.0 billion, a decrease of 10.7% compared to Q1 2025.
- 2
Underlying revenue, excluding discrete items, decreased by approximately 3.3% year-over-year.
- 3
The company's Q1 operating loss was $5.1 million, but adjusted earnings were $4.1 million.
- 4
Q1 adjusted EBITDA was $15.8 million, with an adjusted EBITDA margin of 1.5%.
- 5
Adjusted SG&A expenses declined by 10.3% in Q1, marking the third consecutive quarter of approximately 10% or more reduction.
- 6
The company reaffirms its expectation of improved year-over-year performance for revenue and adjusted EBITDA margin each successive quarter in 2026.
- 7
Kelly anticipates a return to organic revenue growth and adjusted EBITDA margin expansion in the second half of 2026.
Management Comments
Chris Layden
In the first quarter, Kelly’s disciplined execution against our growth and efficiency priorities continued to stabilize the business. Revenue exceeded our expectations and adjusted EBITDA was in line with our outlook, driven by sequential improvement in ETM and pockets of growth in SET. With our technology modernization and go-to-market initiatives on track and our pipeline continuing to gain momentum, we remain confident in our ability to deliver revenue growth and margin expansion in the second half of the year.”
Informational and educational content only. Not investment advice.