Franchised staffing services HireQuest beats Q3 revenue estimates

Hirequest

06/11/2025 21:56

Overview

HireQuest Q3 revenue declines 9.8% yr/yr but beats analyst expectations

Adjusted EBITDA for Q3 beats estimates, reflecting disciplined expense management

Net income for Q3 rises to $2.3 mln, reversing a loss from last year

Outlook

HireQuest focuses on expanding geographic footprint and leveraging business model

Company sees improvement in temporary and day labor staffing despite macroeconomic uncertainty

Result Drivers

FRANCHISE MODEL STRENGTH - Despite a challenging hiring environment, HireQuest's franchise model supported profitability, according to CEO Rick Hermanns

TEMPORARY STAFFING RESILIENCE - Temporary and day labor staffing showed bright spots amid macroeconomic uncertainty

WORKERS COMPENSATION BENEFIT - Significant reduction in workers' compensation expenses contributed to improved net income

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$8.50 mln
$8.11 mln (2 Analysts)
Q3 Adjusted EBITDA
Beat
$4.70 mln
$3.80 mln (2 Analysts)

Analyst Coverage

The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

The average consensus recommendation for the employment services peer group is "buy."

Wall Street's median 12-month price target for Hirequest Inc is $14.00, about 38.2% above its November 5 closing price of $8.65

The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 19 three months ago

Press Release: ID:nACSkxr4Sa

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)