Insperity reported third quarter 2026 results that exceeded analyst expectations, with revenue reaching $1.65 billion and adjusted EPS totaling $0.22. The performance was driven by a successful margin recovery strategy where higher pricing and disciplined expense management effectively offset a slight contraction in the worksite employee base.
Key Highlights
- Margin recovery progress was evidenced by an 8% year-over-year increase in gross profit per worksite employee to $225.
- Average paid worksite employees (WSEEs) declined 2% to 307,265, a result slightly better than the 2.3% decline anticipated by analysts.
- Operating expenses decreased 5% to $209 million, primarily due to lower compensation-related costs following corporate staff reductions.
- Adjusted EBITDA surged 210% to $31 million as the company successfully navigated elevated benefit costs with a 4% increase in pricing per WSEE.