Filing Flows › Barrett Business Services (BBSI) › Q3 2025
Barrett Business Services (BBSI) Q3 2025 earnings results (third quarter 2025)
10-Q filed Nov 6, 2025
Barrett Business Services (BBSI) reported revenue of $319M for the third quarter 2025 (Q3 2025), +8% from a year earlier and +4% from the quarter before. Operating margin was 7.8%, net earnings $20.6M (6.5% of revenue).
Barrett Business Services, Q3 2025: revenue $319M (+8% year over year), operating margin 7.8%, net earnings $20.6M, operating cash flow $38.4M. The chart follows the revenue to costs, profit and cash.
| Q3 2025 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $319M | +4% | +8% |
| Gross profit | $76.8M | +5% | +3% |
| Operating profit | $24.8M | +8% | +6% |
| Net earnings | $20.6M | +12% | +5% |
| Operating cash flow | $38.4M | — | — |
| Free cash flow | $34.1M | — | — |
What changed
Revenue was $318.9M in Q3 2025, up 8% year over year and up 4% from the previous quarter. Professional Employer Services was the largest line at 94% of revenue. Professional Employer Services added $26.9M year over year (up 10%), 109% of the total change. Staffing Services declined 10%.
Gross margin was 24.1%, down 1.2 points from a year earlier. Operating profit was $24.8M, a 7.8% margin (down 0.2 points year over year). Of the extra revenue versus a year earlier, 5% reached operating profit, below the 8% margin then. Operating expenses grew 2% against revenue growth of 8%. The fastest-growing cost line was Other operating costs (+10%). Net earnings were $20.6M, up 5% year over year. The effective tax rate was 22.9%.
Operating cash flow was $38.4M, 186% of net earnings. Non-cash charges added back $2.1M of depreciation and amortization and $2.9M of share-based compensation. Working capital and other items added $12.8M. Capital expenditures of $4.4M left free cash flow of $34.1M.
Questions
What was Barrett Business Services' revenue in the third quarter 2025?
Barrett Business Services (BBSI) reported revenue of $319M for the third quarter 2025 (Q3 2025), +8% from a year earlier and +4% from the quarter before.
Was Barrett Business Services profitable in the third quarter 2025?
Operating profit was $24.8M (7.8% of revenue) and net earnings $20.6M.