BARRETT BUSINESS SERVICES INC (BBSI) Form 8-K — Aug 5, 2026
BBSI reported second quarter 2026 results on August 5, 2026, with revenues up 4% to $319.3 million and gross billings up 3% to $2.29 billion, but net income fell to $12.9 million, or $0.52 per diluted share, from $18.5 million, or $0.70, a year earlier. Margin compression drove the earnings decline: gross margin fell to 2.8% of gross billings from 3.3%, as workers' compensation expense rose to 2.5% of billings and favorable prior-year claim adjustments slowed to $2.0 million from $8.8 million. Average worksite employee growth also decelerated to 0.5% from 8.0% a year ago, with management citing continued softness in client hiring as the primary growth headwind.
Key figures
- Eps
- $0.52 diluted (vs $0.70 year-ago)
- Revenue
- $319.3 million
- Guidance
- 2026 gross billings growth of 3%-4%; average WSE growth of 2%-3%; gross margin as percent of gross billings of 2.70%-2.75%; effective annual tax rate of 26%-27% excluding one-time prior-year tax credit charge
- Net Income
- $12.9 million (vs $18.5 million year-ago)
- Revenue Yoy
- 4%
- Total Assets
- $711.3 million
- Cash Position
- $67.9 million unrestricted cash and investments (vs $91.9 million at March 31, 2026)
- Q2 buyback
- $15.0 million (486,811 shares at average $30.92)
- Peo clients
- more than 8,200
- Dividend dates
- payable September 4, 2026; record date August 21, 2026
- Average wses q2
- 139,712, up 0.5% year-over-year
- H1 gaap net loss
- -$1.9 million (-$0.08 per diluted share)
- Buyback remaining
- $40.3 million remaining under $100 million program
- Dividends paid q2
- $1.9 million
- Gross billings q2
- $2.29 billion, up 3% year-over-year
- Dividend per share
- $0.08 quarterly cash dividend
- Ytd capital returned
- more than $39 million
- H1 non gaap net income
- $9.6 million ($0.39 per diluted share)
- Q1 prior year tax charge
- $11.6 million tax-effected charge for disallowed wage-based tax credits
- Weighted avg diluted shares q2
- 24.7 million
- Gross margin pct of billings q2
- 2.8% vs 3.3% year-ago
- Workers comp pct of billings q2
- 2.5% vs 2.1% year-ago
- Favorable prior year adjustments q2
- $2.0 million vs $8.8 million year-ago
Price after filing
Close on the filing date to close N calendar days later (from $40.08). Historical, not a forecast.
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