February 3, 2020 – ManpowerGroup / (NYSE:MAN) posted full-year revenues of $20.9 billion, a decrease of five percent from $22 billion a year ago. The company posted fourth-quarter revenues of $5.2 billion, a decrease of four percent from the year earlier period. Financial results in the quarter were impacted by the stronger U.S. dollar relative to foreign currencies compared to the prior year period.
“We executed well in a slow growth global economy,” said Jonas Prising, chairman and CEO of ManpowerGroup. “Our fourth quarter performance reflects a challenging revenue environment in Europe, partially offset by growth in the Americas, Right Management and most markets within APME. While the global economy continues to face a high level of complex trade and geopolitical related risks, there are growth opportunities in this environment for our market leading services and workforce solutions offerings.”
The Milwaukee-based company recorded net earnings for the year of $465.7 million, or $7.72 per diluted share, compared to net earnings of $556.7 million, or $8.56 per diluted share in the prior year. The year to date period included special items and restructuring costs which increased earnings per share by four cents and discrete income tax benefits that increased earnings per share by 23 cents.
ManpowerGroup also reported net earnings of $2.33 per diluted share for the fourth quarter compared to $2.54 per diluted share in the prior year period. Net earnings in the quarter were $138.8 million compared to $158.3 million a year earlier.
ManpowerGroup also announced the launch of Talent Solutions, combining three of its current global offerings – RPO (Recruitment Process Outsourcing), TAPFIN MSP (Managed Service Provider) and Right Management – to provide innovative solutions and end-to-end, data-driven capabilities across the talent lifecycle.
Talent Solutions will provide seamless delivery, best-in-breed technology and extensive workforce insights across multiple countries at scale, from talent attraction and acquisition to upskilling, development and retention. This new combination of offerings will leverage industry expertise and an understanding of what talent wants to deliver new solutions that address organizations’ complex global workforce needs.
“Companies globally are reporting the highest talent shortages in a decade and now more than ever they need innovative, scalable solutions to find and develop the best talent to succeed,” said Mr. Prising. “That’s why we are pleased to be launching Talent Solutions today. This combination of global offerings – RPO, TAPFIN MSP and Right Management – means we will be even better positioned to deliver new solutions and create added value to serve our clients’ increasingly complex global workforce needs.”
Stefano Scabbio, regional president Southern Europe and brand leader for Talent Solutions said: “I’m excited about the evolution of our brand with the launch of Talent Solutions to better meet the unique needs of our clients. By leveraging ManpowerGroup’s consulting and analytics capabilities, we can provide clients with precisely what they want — expert offerings, integrated and data-driven workforce solutions, and seamless implementation across multiple countries.”
ManpowerGroup recently appointed former Molson Coors Brewing Co. veteran Michelle Nettles as chief people and culture officer. She will lead HR and culture across the organization’s 80 countries and territories and across its family of brands and functions – Manpower, Experis, Right Management and ManpowerGroup Solutions.
“Michelle is an impressive people leader with extensive experience in global HR and a proven track record in driving a diverse and inclusive culture across multiple countries,” said Mr. Prising. “Her vision of employees as consumers together with her passion to broaden and deepen people’s skills and drive strong leadership capability is a great fit for ManpowerGroup as we continue to digitize and transform our business. I’m pleased to welcome Michelle to the ManpowerGroup senior leadership team.”
For the first quarter, ManpowerGroup expects total revenue to be down two to four percent. “We anticipate diluted earnings per share in the first quarter will be between $1.33 and $1.41, which includes an estimated unfavorable currency impact of three cents,” said Mr. Prising.
Shares in ManpowerGroup were down 1.59 percent on Friday to $92.44. The company had a market cap of $5.54 billion, according to FT.com.
Contributed by Scott A. Scanlon, Editor-in-Chief; Dale M. Zupsansky, Managing Editor; and Stephen Sawicki, Managing Editor – Hunt Scanlon Media