Filing Flows › Kelly Services (KELYA) › Q1 2025
Kelly Services (KELYA) Q1 2025 earnings results (first quarter 2025)
10-Q filed May 8, 2025
Kelly Services (KELYA) reported revenue of $1.2B for the first quarter 2025 (Q1 2025), +11% from a year earlier and -2% from the quarter before. Operating margin was 0.9%, net earnings $5.8M (0.5% of revenue).
Kelly Services, Q1 2025: revenue $1.2B (+12% year over year), operating margin 0.9%, net earnings $5.8M, operating cash flow $23.9M. The chart follows the revenue to costs, profit and cash.
| Q1 2025 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $1.2B | -2% | +11% |
| Gross profit | $236M | -2% | +15% |
| Operating profit | $10.8M | — | -60% |
| Net earnings | $5.8M | — | -78% |
| Operating cash flow | $23.9M | +59% | — |
| Free cash flow | $21.4M | +65% | — |
What changed
Revenue was $1.2B in Q1 2025, up 11% year over year and down 2% from the previous quarter. Enterprise Talent Management was the largest line at 46% of revenue. Science, Engineering & Technology added $0.09B year over year (up 39%), 76% of the total change.
Gross margin was 20.3%, up 0.6 points from a year earlier. Operating profit was $0.01B, a 0.9% margin (down 1.6 points year over year). Operating profit fell $0.02B even though revenue rose $0.12B versus a year earlier, so costs grew faster than sales. Operating expenses grew 26% against revenue growth of 11%. Net earnings were $0.01B, down 78% year over year. The effective tax rate was 23.7%.
Operating cash flow was $0.02B, 412% of net earnings. Non-cash charges added back $0.01B of depreciation and amortization and $3.7M of share-based compensation. Working capital and other items added $3.4M. Capital expenditures of $2.5M left free cash flow of $0.02B.
Questions
What was Kelly Services' revenue in the first quarter 2025?
Kelly Services (KELYA) reported revenue of $1.2B for the first quarter 2025 (Q1 2025), +11% from a year earlier and -2% from the quarter before.
Was Kelly Services profitable in the first quarter 2025?
Operating profit was $10.8M (0.9% of revenue) and net earnings $5.8M.
Source: Kelly Services 10-Q on SEC EDGAR.