EX-99.1 2 a2q2025pressrelease.htm TRUEBLUE PRESS RELEASE Document

TRUEBLUE REPORTS SECOND QUARTER 2025 RESULTS

TACOMA, WASH. - Aug. 4, 2025 -- TrueBlue (NYSE:TBI) today announced its second quarter results for 2025.

Second Quarter 2025 Financial Highlights

•Revenue of $396 million, flat compared to the prior year period
◦$16 million of revenue from the January HSP acquisition
•Net loss of $0 million compared to net loss of $105 million in the prior year period
◦Prior year included $100 million in non-cash impairment and tax valuation charges
◦SG&A expense improved 7 percent to $90 million compared to $97 million in the prior year period
◦Adjusted EBITDA1 increased to $3 million compared to $1 million in the prior year period
•Cash of $22 million, debt of $54 million and $79 million of borrowing availability, for total liquidity of $101 million at period end
◦Reduced debt by $4 million and increased working capital by $14 million during the quarter

Commentary

“We are encouraged to see positive momentum with double-digit growth for our skilled businesses, overall signs of stabilization and a return to company-wide growth expected in the third quarter,” said Taryn Owen, President and CEO of TrueBlue. “As customers navigate today’s complex business landscape, our teams are focused on retaining and expanding existing relationships, winning new business, and delivering flexible, high-quality solutions tailored to our clients’ changing needs.”

Ms. Owen continued, “We continue to support our clients with excellent service, and advance our strategic priorities to capture market share, enhance operational efficiency, and maximize our long-term profitability. We are strengthening our position in skilled trades while building momentum in attractive markets like healthcare and energy, in addition to higher-value, professional roles. We are strategically investing in our innovative, proprietary technologies to address evolving user needs, while leveraging inherent strengths that drive competitive advantage and deliver long-term, profitable growth for shareholders. We are energized by the opportunities ahead as we maintain our strategic focus and unwavering commitment to deliver top-line growth and margin expansion.”

Results

Second quarter revenue was $396 million, flat compared to revenue of $396 million in the second quarter of 2024. Net loss per diluted share was $0.01 compared to net loss per diluted share of $3.45 in the prior year period. Adjusted net loss1 per diluted share was $0.07 compared to adjusted net loss per diluted share of $0.35 in the prior year period.

2025 Outlook

TrueBlue is providing certain forward-looking information to help investors form their estimates, which can be found in the quarterly earnings presentation filed today.

Management will discuss second quarter 2025 results on a webcast at 2:00 p.m. PT (5:00 p.m. ET), today, Monday, Aug. 4, 2025.

The quarterly earnings presentation and webcast can be accessed on the Investor Relations section of the TrueBlue website: investor.trueblue.com.

About TrueBlue

TrueBlue (NYSE: TBI) is transforming the way organizations connect with talent in an ever-changing world of work. As The People Company®, we put people first – connecting job seekers with meaningful opportunities while delivering smart, scalable workforce solutions for enterprises across industries and worldwide. Powered by innovative technology and decades of expertise, our brands – PeopleReady, PeopleScout, Staff Management |


SMX, Centerline, SIMOS, and Healthcare Staffing Professionals – offer flexible staffing, workforce management, and recruitment solutions that propel businesses and careers. Discover how we’re shaping the future of work at www.trueblue.com.

1 Refer to the financial statements accompanying this release for more information regarding non-GAAP terms.

Forward-looking statements and non-GAAP financial measures

This document contains forward-looking statements relating to our plans and expectations including, without limitation, statements regarding the future performance and operations of our business, expectations regarding stabilization in demand, and expected growth from our digital investments, all of which are subject to risks and uncertainties. Such statements are based on management’s expectations and assumptions as of the date of this release and involve many risks and uncertainties that could cause actual results to differ materially from those expressed or implied in our forward-looking statements including: (1) national and global economic conditions, which can be negatively impacted by factors such as rising interest rates, inflation, changes in government policies, political instability, epidemics and global trade uncertainty, (2) factors relating to any unsolicited offer (“Offer”) to purchase the shares of the Company, actions taken by the Company or its stockholders in respect to such an Offer, and the effects of such an Offer, or the completion or failure to complete an Offer on the Company’s business, or other developments involving such an Offer and the activist shareholders or others who disagree with the composition of the board, our strategy, or the way the Company is managed; (3) our ability to maintain profit margins, (4) our ability to attract and retain clients, (5) our ability to access sufficient capital to finance our operations, including our ability to comply with covenants contained in our revolving credit facility, (6) our ability to successfully execute on business strategies and further digitalize our business model, (7) our ability to attract sufficient qualified candidates and employees to meet the needs of our clients, (8) new laws, regulations, and government incentives that could affect our operations or financial results, (9) any reduction or change in tax credits we utilize, including the Work Opportunity Tax Credit, (10) our ability to successfully integrate acquired businesses, and (11) the timing and amount of common stock repurchases, if any, which will be determined at management’s discretion and depend upon several factors, including market and business conditions, the trading price of our common stock and the nature of other investment opportunities. Other information regarding factors that could affect our results is included in our Securities and Exchange Commission (SEC) filings, including the company’s most recent reports on Forms 10-K and 10-Q, copies of which may be obtained by visiting our website at www.trueblue.com under the Investor Relations section or the SEC’s website at www.sec.gov. We assume no obligation to update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise, except as required by law. Any other references to future financial estimates are included for informational purposes only and subject to risk factors discussed in our most recent filings with the SEC.
In addition, we use several non-GAAP financial measures when presenting our financial results in this document. Please refer to the reconciliations between our U.S. GAAP and non-GAAP financial measures in the appendix to this document and on our website at www.trueblue.com under the Investor Relations section for additional information on both current and historical periods. The presentation of these non-GAAP financial measures is used to enhance the understanding of certain aspects of our financial performance. It is not meant to be considered in isolation, superior to, or as a substitute for the directly comparable financial measures prepared in accordance with U.S. GAAP, and may not be comparable to similarly titled measures of other companies.

Contact

Investor Relations
InvestorRelations@trueblue.com


TRUEBLUE, INC.
SUMMARY CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
13 weeks ended
26 weeks ended
(in thousands, except per share data)Jun 29, 2025Jun 30, 2024Jun 29, 2025Jun 30, 2024
Revenue from services$396,299 $396,230 $766,553 $799,083 
Cost of services302,735 291,807 586,647 595,274 
Gross profit93,564 104,423 179,906 203,809 
Selling, general and administrative expense89,798 97,018 184,419 203,955 
Depreciation and amortization6,507 7,691 12,351 15,649 
Goodwill and intangible asset impairment charge200 59,674 200 59,674 
Loss from operations(2,941)(59,960)(17,064)(75,469)
Interest and other income (expense), net
2,903 1,741 3,096 3,340 
Loss before tax expense(38)(58,219)(13,968)(72,129)
Income tax expense122 46,491 540 34,279 
Net loss$(160)$(104,710)$(14,508)$(106,408)
Net loss per common share:
Basic$(0.01)$(3.45)$(0.49)$(3.46)
Diluted$(0.01)$(3.45)$(0.49)$(3.46)
Weighted average shares outstanding:
Basic29,856 30,349 29,777 30,725 
Diluted29,856 30,349 29,777 30,725 


TRUEBLUE, INC.
SUMMARY CONSOLIDATED BALANCE SHEETS
(Unaudited)
(in thousands)Jun 29, 2025Dec 29, 2024
ASSETS
Cash and cash equivalents$21,899 $22,536 
Accounts receivable, net225,744 214,704 
Other current assets39,211 39,853 
Total current assets286,854 277,093 
Property and equipment, net85,143 89,602 
Restricted cash, cash equivalents and investments
154,054 179,916 
Goodwill and intangible assets, net61,979 30,406 
Other assets, net84,754 98,359 
Total assets$672,784 $675,376 
LIABILITIES AND SHAREHOLDERS’ EQUITY
Accounts payable and other accrued expenses$37,085 $45,599 
Accrued wages and benefits60,942 61,380 
Current portion of workers’ compensation claims reserve28,296 34,729 
Other current liabilities21,733 18,417 
Total current liabilities148,056 160,125 
Workers’ compensation claims reserve, less current portion81,156 105,063 
Long-term debt, less current portion53,800 7,600 
Other long-term liabilities84,580 87,229 
Total liabilities367,592 360,017 
Shareholders’ equity305,192 315,359 
Total liabilities and shareholders’ equity$672,784 $675,376 


























TRUEBLUE, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
26 weeks ended
(in thousands)Jun 29, 2025Jun 30, 2024
Cash flows from operating activities:
Net loss$(14,508)$(106,408)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization (inclusive of depreciation included in cost of services)
14,312 15,649 
Goodwill and intangible asset impairment charge200 59,674 
Provision for credit losses435 630 
Stock-based compensation4,421 4,844 
Deferred income taxes(113)33,997 
Non-cash lease expense5,524 6,200 
Other operating activities(1,438)(3,118)
Changes in operating assets and liabilities:
Accounts receivable2,260 21,061 
Income taxes receivable and payable279 430 
Other assets8,592 8,246 
Accounts payable and other accrued expenses(10,199)(18,849)
Accrued wages and benefits(10,808)(14,753)
Workers’ compensation claims reserve(30,340)(18,537)
Operating lease liabilities(5,688)(6,139)
Other liabilities3,162 1,011 
Net cash used in operating activities
(33,909)(16,062)
Cash flows from investing activities:
Capital expenditures(8,936)(13,279)
Acquisition of business, net of cash acquired(30,140)— 
Proceeds from business divestiture, net— 2,928 
Payments for company-owned life insurance— (4,000)
Purchases of restricted held-to-maturity investments— (10,180)
Maturities of restricted held-to-maturity investments19,285 19,220 
Net cash used in investing activities
(19,791)(5,311)
Cash flows from financing activities:
Purchases and retirement of common stock— (16,986)
Net proceeds from employee stock purchase plans256 417 
Common stock repurchases for taxes upon vesting of restricted stock(942)(2,143)
Net change in revolving credit facility46,200 — 
Other(396)(1,807)
Net cash provided by (used in) financing activities
45,118 (20,519)
Effect of exchange rate changes on cash, cash equivalents and restricted cash and cash equivalents(70)(557)
Net change in cash, cash equivalents, and restricted cash and cash equivalents(8,652)(42,449)
Cash, cash equivalents and restricted cash and cash equivalents, beginning of period61,100 99,306 
Cash, cash equivalents and restricted cash and cash equivalents, end of period$52,448 $56,857 


TRUEBLUE, INC.
SEGMENT DATA
(Unaudited)

13 weeks ended
(in thousands)Jun 29, 2025Jun 30, 2024
Revenue from services:
PeopleReady$213,226 $223,409 
PeopleManagement133,895 131,751 
PeopleSolutions (1)
49,178 41,070 
Total company$396,299 $396,230 
Segment profit (2):
PeopleReady$1,530 $394 
PeopleManagement4,101 3,395 
PeopleSolutions
2,534 3,430 
Total segment profit8,165 7,219 
Corporate unallocated expense(5,520)(6,150)
Total company Adjusted EBITDA (3)
2,645 1,069 
Third-party processing fees for hiring tax credits (4)
60 (90)
Amortization of software as a service assets (5)
(1,036)(1,452)
Acquisition/integration costs(153)— 
Goodwill and intangible asset impairment charge(200)(59,674)
Workforce reduction costs (6)
(3,445)(1,500)
PeopleReady technology upgrade costs (7)
— (39)
COVID-19 government subsidies, net (8)
8,573 9,696 
Other adjustments, net (9)
(1,883)(279)
EBITDA (2)
4,561 (52,269)
Depreciation and amortization (10)
(7,502)(7,691)
Interest and other income (expense), net
2,903 1,741 
Loss before tax expense(38)(58,219)
Income tax expense(122)(46,491)
Net loss$(160)$(104,710)


(1)PeopleSolutions segment includes previously reported PeopleScout segment as well as Healthcare Staffing Professionals Inc. acquired on January 31, 2025.
(2)We evaluate performance based on segment revenue and segment profit. Segment profit includes revenue, related cost of services, and ongoing operating expenses directly attributable to the reportable segment. Segment profit (loss) excludes depreciation and amortization expense, unallocated corporate general and administrative expense, interest expense, other income, income taxes, and other adjustments not considered to be ongoing.
(3)See the Non-GAAP Financial Measures table on the next page for definitions of EBITDA and Adjusted EBITDA.
(4)These third-party processing fees are associated with generating hiring tax credits.
(5)Amortization of software as a service assets is reported in selling, general and administrative expense.
(6)Workforce reduction costs of $3.4 million for the 13 weeks ended June 29, 2025 were reported as $0.1 million in cost of services and $3.3 million in selling, general and administrative expense. Workforce reduction costs of $1.5 million for the 13 weeks ended June 30, 2024 were reported as $0.2 million in cost of services and $1.3 million in selling, general and administrative expense.
(7)Costs associated with upgrading legacy PeopleReady technology.
(8)COVID-19 government subsidies net of related fees. $3.2 million reported in cost of services and $5.4 million in selling, general and administrative expense for the 13 weeks ended June 29, 2025. For the 13 weeks ended June 30, 2024, $2.9 million reported in cost of services and $6.8 million in selling, general and administrative.
(9)Other adjustments for the 13 weeks ended June 29, 2025 include non-routine professional fees and other expenses.
(10)Includes software depreciation reported in cost of services.


TRUEBLUE, INC.
NON-GAAP FINANCIAL MEASURES AND NON-GAAP RECONCILIATIONS

In addition to financial measures presented in accordance with U.S. GAAP, we monitor certain non-GAAP key financial measures. The presentation of these non-GAAP financial measures is used to enhance the understanding of certain aspects of our financial performance. It is not meant to be considered in isolation, superior to, or as a substitute for the directly comparable financial measures prepared in accordance with U.S. GAAP, and may not be comparable to similarly titled measures of other companies.
Non-GAAP measureDefinitionPurpose of adjusted measures
Adjusted net loss and
Adjusted net loss per diluted share
Net loss and net loss per diluted share, excluding:
–amortization of intangibles,
–acquisition/integration costs,
–goodwill and intangible asset impairment charge,
–workforce reduction costs,
–PeopleReady technology upgrade costs,
–COVID-19 government subsidies, net,
–other adjustments, net, and
–tax effect of the adjustments and deferred tax asset valuation allowance.

–Enhances comparability on a consistent basis and provides investors with useful insight into the underlying trends of the business.
–Used by management to assess performance and effectiveness of our business strategies.
–Provides a measure, among others, used in the determination of incentive compensation for management.

EBITDA and
Adjusted EBITDA
EBITDA excludes from net loss:
–income tax expense,
–interest and other (income) expense, net, and
–depreciation and amortization.

Adjusted EBITDA further excludes:
–third-party processing fees for hiring tax credits,
–amortization of software as a service assets,
–acquisition/integration costs,
–goodwill and intangible asset impairment charge,
–workforce reduction costs,
–PeopleReady technology upgrade costs,
–COVID-19 government subsidies, net, and
–other adjustments, net.

–Enhances comparability on a consistent basis and provides investors with useful insight into the underlying trends of the business.
–Used by management to assess performance and effectiveness of our business strategies.
–Provides a measure, among others, used in the determination of incentive compensation for management.
Adjusted SG&A expense
Selling, general and administrative expense excluding:
–third-party processing fees for hiring tax credits,
–amortization of software as a service assets,
–acquisition/integration costs,
–workforce reduction costs,
–PeopleReady technology upgrade costs,
–COVID-19 government subsidies, net, and
–other adjustments, net.

–Enhances comparability on a consistent basis and provides investors with useful insight into the underlying trends of the business.


1.RECONCILIATION OF U.S. GAAP NET LOSS TO ADJUSTED NET LOSS AND ADJUSTED NET LOSS PER DILUTED SHARE
(Unaudited)
13 weeks ended
(in thousands, except for per share data)Jun 29, 2025Jun 30, 2024
Net loss$(160)$(104,710)
Amortization of intangible assets885 1,369 
Acquisition/integration costs153 — 
Goodwill and intangible asset impairment charge200 59,674 
Workforce reduction costs (1)
3,445 1,500 
PeopleReady technology upgrade costs (2)
— 39 
COVID-19 government subsidies, net (3)
(8,573)(9,696)
Other adjustments, net (4)
1,883 279 
Tax effect of adjustments and deferred tax asset valuation allowance (5)
— 40,855 
Adjusted net loss$(2,167)$(10,690)
Adjusted net loss per diluted share$(0.07)$(0.35)
Diluted weighted average shares outstanding29,856 30,349 
Margin / % of revenue:
Net loss
—%(26.4)%
Adjusted net income (loss)
(0.5)%(2.7)%
2.RECONCILIATION OF U.S. GAAP NET LOSS TO EBITDA AND ADJUSTED EBITDA
(Unaudited)
13 weeks ended
(in thousands)Jun 29, 2025Jun 30, 2024
Net loss$(160)$(104,710)
Income tax expense122 46,491 
Interest and other (income) expense, net
(2,903)(1,741)
Depreciation and amortization (6)
7,502 7,691 
EBITDA4,561 (52,269)
Third-party processing fees for hiring tax credits (7)
(60)90 
Amortization of software as a service assets (8)
1,036 1,452 
Acquisition/integration costs153 — 
Goodwill and intangible asset impairment charge200 59,674 
Workforce reduction costs (1)
3,445 1,500 
PeopleReady technology upgrade costs (2)
— 39 
COVID-19 government subsidies, net (3)
(8,573)(9,696)
Other adjustments, net (4)
1,883 279 
Adjusted EBITDA $2,645 $1,069 
Margin / % of revenue:
Net loss
—%(26.4)%
Adjusted EBITDA 0.7%0.3%


3.RECONCILIATION OF U.S. GAAP SELLING, GENERAL AND ADMINISTRATIVE EXPENSE TO ADJUSTED SG&A EXPENSE
(Unaudited)
13 weeks ended
(in thousands)Jun 29, 2025Jun 30, 2024
Selling, general and administrative expense$89,798 $97,018 
Third-party processing fees for hiring tax credits (7)
60 (90)
Amortization of software as a service assets (8)
(1,036)(1,452)
Acquisition/integration costs(153)— 
Workforce reduction costs (1)
(3,311)(1,329)
PeopleReady technology upgrade costs (2)
— (39)
COVID-19 government subsidies, net (3)
5,378 6,803 
Other adjustments, net (4)
(1,883)(279)
Adjusted SG&A expense$88,853 $100,632 
% of revenue:
Selling, general and administrative expense22.7%24.5%
Adjusted SG&A expense22.4%25.4%
(1)Workforce reduction costs of $3.4 million for the 13 weeks ended June 29, 2025 were reported as $0.1 million in cost of services and $3.3 million in selling, general and administrative expense. Workforce reduction costs of $1.5 million for the 13 weeks ended June 30, 2024 were reported as $0.2 million in cost of services and $1.3 million in selling, general and administrative expense.
(2)Costs associated with upgrading legacy PeopleReady technology.
(3)COVID-19 government subsidies net of related fees. $3.2 million reported in cost of services and $5.4 million in selling, general and administrative expense for the 13 weeks ended June 29, 2025. For the 13 weeks ended June 30, 2024, $2.9 million reported in cost of services and $6.8 million in selling, general and administrative.
(4)Other adjustments for the 13 weeks ended June 29, 2025 include non-routine professional fees and other expenses.
(5)The tax effect includes the application of our statutory rate of 26% to all taxable / deductible adjustments. For the 13 weeks ended June 30, 2024, the tax effect also included a valuation allowance of $55 million recorded against our deferred tax assets. For the 13 weeks ended June 29, 2025, there was no tax effect associated with the adjustments due to the valuation allowance recorded against our deferred tax assets.
(6)Includes software depreciation reported in cost of services.
(7)These third-party processing fees are associated with generating hiring tax credits.
(8)Amortization of software as a service assets is reported in selling, general and administrative expense.