#Q3 Results #Switzerland #Zurich #Adecco Group #Market Share

Adecco Group Reports Impressive Third Quarter Results

In the latest announcement dated November 6, 2025, the Adecco Group reported a successful third quarter, showcasing a remarkable increase in market share and financial stability. Here are the key takeaways from their recent performance:

Significant Market Share Gains

The Adecco Group achieved a notable increase in market share, advancing by 375 basis points (bps) overall, while the Adecco brand itself saw a growth of 300 bps. Such figures indicate not only higher competitiveness within the industry but also trust and reliance from clients in their services.

Revenue Growth

The group reported revenues rising by 3.4% year-over-year and 3.0% quarter-over-quarter, underlining a steady growth trajectory despite variable market conditions. All Global Business Units (GBUs) demonstrated sequential improvements, affirming strong operational execution.

Performance by Business Units

The performance varied across specific business units:

• - Adecco: This GBU recorded a 4.5% increase in revenue compared to the previous year. In particular, Europe saw a resurgence, while America experienced a remarkable growth of 20% year-over-year and the Asia-Pacific (APAC) region followed with a 9% increase.
• - Akkodis: Conversely, this GBU faced a slight decline of 3% year-over-year, with household markets making progress, particularly in Germany.
• - LHH: This division enjoyed a strong performance with a 4% increase year-over-year, driven largely by Career Transition services, which grew by 9%, and Ezra services saw an impressive surge of 59%.

Healthy Margins and Operating Income

The gross margin stood at a healthy 19.2%, showing a marginal decline of 10 bps organically versus the previous year but showcasing a sequential improvement of 30 bps. This reflects the favorable mix of business and stable pricing. Moreover, EBITA margin reached 3.4%, excluding extraordinary items, representing a 10 bps improvement year-over-year, indicating operational leverage supported by an 8% enhancement in productivity.

Operating and Net Income

For the quarter, operating income reached 160 million euros, marking a 2% increase from the prior year. However, net income was reported at 89 million euros, slightly below the previous year by 2%. The basic earnings per share (EPS) was registered at 0.53 euros, whereas the adjusted EPS was noted at 0.67 euros.

Cash Flow and Debt Position

In terms of liquidity, the group reported a robust cash conversion rate of 110% over the last twelve months, reflecting strong operating cash flow of 200 million euros—an increase of 79 million euros year-on-year. The net debt to EBITDA ratio stood at -0.3x on a quarter-to-quarter basis, showcasing a decrease in net debt of 220 million euros compared to last year.

CEO's Remarks

Denis Machuel, the CEO of Adecco Group, remarked on the company’s sustained positive trajectory amid mixed market conditions. He emphasized the continued market share gains and healthy growth, attributing part of the success to the solid performance of Adecco in various regions. Machuel expressed satisfaction with the sequential improvement in Akkodis and highlighted the remarkable performance of LHH’s Career Transition services.

He also invited stakeholders to their upcoming Capital Markets Day in London on November 26, where more insights into the strategic development and value creation plans will be shared.

Conclusion

The Adecco Group’s third-quarter performance reflects its ongoing commitment to solid operational execution and market responsiveness. As it continues on this growth trajectory, its focus remains on optimizing margins and enhancing service delivery across all geographic markets.