Adecco Group (ADEN) Q1 2026 earnings summary

Executive summary

• Organic revenue grew 5.3% year-on-year, with market share gains of 365 basis points and improved profitability driven by cost discipline and execution.

• EBITDA/EBITA excluding one-offs rose 24% year-on-year, with margin expanding 20 basis points to 2.6%.

• Gross margin was 18.8%, down 40 basis points year-on-year due to FX and business mix.

• AI deployment accelerated, driving productivity gains, recruiter time savings, and operational efficiencies across a unified platform.

• All regions contributed to growth, led by Americas (+15%), APAC (+8%), and EMEA excl. France (+7%), while Akkodis and LHH revenues were each down 1%.

Financial highlights

• Revenues reached €5.7 billion, up 5.3% year-on-year on an organic, trading days adjusted basis.

• EBITA (excluding one-offs) was €148 million, with a 2.6% margin; net income attributable to shareholders increased 41% year-on-year to €69 million.

• Operating cash outflow was €178 million, reflecting working capital absorption and seasonality; free cash outflow was €200 million.

• Cash conversion ratio at 94% over the last 12 months; DSO at 53.3 days.

• Net debt/EBITDA ratio improved by 0.2x year-on-year to 2.7x, with strong liquidity and no financial covenants.

Outlook and guidance

• Positive volume momentum continues into Q2; gross margin expected to be marginally lower sequentially due to seasonality.

• SG&A expenses (excluding one-offs) to be marginally higher sequentially, reflecting investments to capture growth.

• Focus remains on market share gains, disciplined cost and capacity management, and profitable growth.