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View All NewsBarrett reports PEO service fees up in Q4 while staffing revenue falls
February 28, 2018
Fourth-quarter net revenue rose 10.7% at Barrett Business Services Inc. (NASD: BBSI), a Vancouver, Wash.-based provider of PEO and staffing services. PEO service fees rose 13.9%; however, staffing revenue fell 1.9%.
| (US$ thousands) | Q4 2017 | Q4 2016 | % change |
| Revenue | $244,726 | $221,098 | 10.7% |
| Gross margin | $48,950 | $43,337 | 13.0% |
| Gross margin percentage | 20.0% | 19.6% | |
| Net income | $10,486 | $8,047 | 30.3% |
Quote
“We delivered solid growth across all of our markets and added an additional 120 net new clients in the quarter for a total of 693 net new for the year,” said President and CEO Michael Elich.
Revenue by segment
| (US$ thousands) | Q4 2017 | Q4 2016 | % change |
| Professional employer service fees | $200,731 | $176,242 | 13.9% |
| Staffing services | $43,995 | $44,856 | -1.9% |
Full-year results
| (US$ thousands) | 2017 | 2016 | % change |
| Revenue | $920,432 | $840,586 | 9.5% |
| Gross margin | $158,531 | $145,536 | 8.9% |
| Gross margin percentage | 17.2% | 17.3% | |
| Net income | $25,170 | $18,799 | 33.9% |
Share price and market cap
Shares in Barrett Business Services rose 1.93% to $74.51 as of 9:52 a.m. Eastern time. The company had a market cap of $543.95 million.