10-K · February 26, 2026
Barrett Business Services (BBSI) delivered modest top-line growth with fourth-quarter revenue of $321.1M (up ~5% vs. $305M in 2024Q4) while operating and gross margins compressed (Q4 gross margin 21.3%, operating margin…
Earnings analysis · 10-Q
BBSI earnings analysis
Filed May 6, 2026 · Our reading of the company's report
The latest report
BBSI's Q1 2026 financial results revealed a year-over-year revenue increase of 4.9%, totaling $307.0 million. However, this fell significantly short of consensus expectations, resulting in a substantial net loss of…
Read full summary
BBSI's Q1 2026 financial results revealed a year-over-year revenue increase of 4.9%, totaling $307.0 million. However, this fell significantly short of consensus expectations, resulting in a substantial net loss of $14.8 million, or $(0.59) per share. Management remains optimistic about future growth despite recent operational challenges, reaffirming full-year growth guidance.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $-0.59
What stood out
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Revenue Up 4.9% YoY
BBSI reported revenue of $307.0 million in Q1 2026, a $14.4 million increase from Q1 2025.
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PEO Services Revenue Increased 6.6%
PEO services revenue grew by $18.1 million year-over-year, contributing to overall revenue growth.
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Gross Margin Percentage Slight Decline
Gross margin for Q1 2026 was 14.1%, down from 14.6% in Q1 2025.
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Non-GAAP Loss Improved
Excluding non-recurring tax adjustments, the non-GAAP net loss was $3.2 million, or $(0.13) per share.
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Significant Cash Burn
Operating cash flow was a negative $22.1 million, compared to positive cash flow of $5.2 million in Q1 2025.
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Trust Account Balance Increased
The trust account balance grew to $189.5 million, up from $175.3 million at year-end 2025.
What to watch
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Substantial Reporting Net Loss
Q1 2026 net loss increased to $14.8 million from a loss of $1.0 million in Q1 2025.
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High Tax Charge Impacting Earnings
Recorded a tax-effected charge of $11.6 million related to disallowed wage tax credits.
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Liquidity Decline Noted
The cash balance decreased by $41.8 million in Q1 2026 compared to the previous quarter.
Management's outlook
Management reaffirmed 2026 gross billings growth guidance of 3% to 5%, with average WSE growth expected to be 2% to 4%.
Earlier filings 4
10-Q · November 6, 2025
Barrett Business Services reported Q3 2025 revenue of $318,949,000 and diluted EPS of $0.79, up versus Q3 2024. Revenue and EPS increased modestly year-over-year, while gross and operating margins were roughly flat to…
10-Q · May 8, 2025
Barrett Business Services reported Q1 revenue of $292,566,000, up $26,784,000 (10.1%) versus Q1 2024. Gross margin dollars rose to $42,624,000 but gross margin percent ticked down to 14.6%; the company recorded a net…
10-Q · August 1, 2024
Barrett Business Services reported Q2 total revenue of $279,651,000 and diluted EPS of $0.62 for the three months ended June 30, 2024. Revenue increased year-over-year driven by Professional Employer Services, while…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.