Barrett Business Services, Inc. (BBSI) Earnings
Barrett Business Services, Inc. is expected to report next earnings on August 5, 2026 (in NaN days), with a consensus EPS estimate of $0.56. BBSI has beaten EPS estimates in 9 of its last 12 reported quarters (average surprise +20.0% over the last four).
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| May 6, 2026 | $-0.15 | $-0.13 | +13.3% | $307M | +0.1% |
| Feb 25, 2026 | $0.64 | $0.64 | +0.0% | $321M | +7.1% |
| Nov 5, 2025 | $0.81 | $0.79 | -2.5% | $319M | -1.4% |
| May 7, 2025 | $-0.13 | $-0.04 | +69.2% | $293M | +2.3% |
| Feb 26, 2025 | $0.62 | $0.63 | +1.6% | $305M | +3.8% |
| Jul 31, 2024 | $0.58 | $0.62 | +6.9% | $280M | +1.7% |
| May 1, 2024 | $-0.08 | $-0.01 | +87.5% | $266M | -1.4% |
| Feb 28, 2024 | $0.47 | $0.54 | +14.9% | $277M | -1.6% |
| Nov 1, 2023 | $0.60 | $0.67 | +11.7% | $273M | -2.8% |
| Aug 2, 2023 | $0.46 | $0.62 | +34.8% | $265M | -3.2% |
| May 3, 2023 | $0.01 | $0.03 | +211.5% | $255M | -2.1% |
| Mar 1, 2023 | $0.41 | $0.41 | +0.0% | $272M | -0.9% |
Source: company filings + earnings calendar. For informational purposes only — not investment advice.
Earnings call summary
Q1 FY2026 · May 6, 2026
AI summary of management’s prepared remarks and analyst Q&A. For informational purposes only — not investment advice.
Management highlights
- Added a learning management system, numerous third - party integrations, and invested in technology for the employee lifecycle from hire to retirement. Launched applicant tracking system, employee file cabinet, and performance management module. Beta clients were complimentary of the offerings. - Q1 results were in line with plan, outlook for remainder of the year reaffirmed. Focus on clients' needs, adding new clients, and having more products to sell. Regional performance had variations with some regions growing and others slower due to client workforce changes. Workers' comp pricing had a five - month trend of increase and WCIRB recommended further CA advisory rate increase. SG&A increased approximately 6% in Q1 due to timing of employee - related expenses.
Guidance
Reiterating full - year outlook: expects gross billings growth between 3% and 5% for the year, WSE growth between 2% and 4%, gross margin as a percentage of gross billings between 2.7% and 2.85%, and an effective annual tax rate normalized for the one - time tax charge between 26% and 27%.
Segment performance
Gross billings increased 3.5% to $2.16 billion in Q126 versus $2.09 billion in Q125. PEO gross billings grew 3.7% to $2.15 billion in the quarter, while staffing revenues declined 21% to $14 million. PEO worksite employees grew by 2%. Average billing per WSE per day increased 1.7%. Year-over-year PEO gross billings growth by region: Southern California grew by 2%, Northern California declined by 2%, Mountain grew by 6%, East Coast grew by 17%, Pacific Northwest grew by 1%, and asset light markets grew by 85%. Workers' compensation program recognized favorable prior year liability and premium adjustments of $1.1 million in Q126 compared to $3.8 million in Q125. Benefits costs were up 56% year over year.
Risks & headwinds
- Previous period of declining workers' compensation pricing led to margin compression in recent years. Payroll taxes typically result in lower margins in the first quarter. Macro - economic and geopolitical uncertainties pose challenges.
Analyst Q&A
Q: Chris Moore on workers' comp pricing
A: Pricing increased each month from December 2025 and there's a five - month trend of increased pricing, with the WCIRB recommending an additional 10% increase in California advisory rates for 2026.
Q: Jeff Martin on health care benefits
A: 60% of clients put onto benefits in Q1 were new to BBSI, and there's a higher conversion rate for benefits quotes compared to PEO.
Q: Vince Colicchio on new client pipeline
A: Pipeline is strong with focus on direct efforts and active referrals, working well with some national health insurance brokers but aiming for more with smaller ones.
Q: Mark Riddick on cash usage and client behaviors
A: Excess cash is distributed to shareholders, and client workforce reductions were broad - based across industries in California regions, with some regions showing growth and others shrinkage