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View All NewsBarrett’s PEO revenue rises in Q2, but temp staffing revenue falls
Barrett Business Services Inc. (NASD: BBSI) reported revenue rose 11.8% in the second quarter amid growth in client count and same-store sales growth that was partially offset by an 11.1% decline in staffing services revenue. Net professional employer organization revenue rose 18.7%.
The Vancouver, Wash.-based professional employer organization and staffing firm announced second-quarter earnings on Tuesday, but the earnings announcement included second quarter 2015 earnings on a restated basis. The company restated earnings from some previous quarters this year after it terminated its CFO.
| (US$ thousands) | Q2 2016 | Q2 2015 (restated) | % change |
| Net revenue | $203,417 | $181,959 | 11.8% |
| Gross margin | $42,253 | $36,478 | 15.8% |
| Gross margin percentage | 20.8% | 20.0% | |
| Net loss | $8,522 | $8,902 | -4.3% |
Quote
“We are seeing consistency in our performance, which we believe is the result of focused attention on our referral channels and the depth of our operational team,” President and CEO Michael Elich said.
Revenue by segment
| (US$ thousands) | Q2 2016 | Q2 2015 (restated) | % change |
| Professional employer service fees | $165,776 | $139,612 | 18.7% |
| Staffing services | $37,641 | $42,347 | -11.1% |
Share price and market cap
Barrett shares were down 1.2% in early afternoon trading to $43.66. The company had a market cap $314.44 million, according to Yahoo.