Adecco Group Reports Positive Q3 2026 Results with Strong Revenue Growth and Enhanced Profitability

Adecco Group Q3 2026 Financial Overview

The Adecco Group recently unveiled its financial results for the third quarter of 2026, revealing significant accomplishments on several fronts. The highlights demonstrate a robust organic revenue growth of 3.7% year-over-year (YoY), alongside a continuing upward trajectory in flexible placements and a notable return to growth in permanent placements.

In terms of geographical performance, Adecco saw impressive growth across various regions: the Americas reported a staggering 9% increase, EMEA (excluding France) grew by 8%, and the Asia-Pacific (APAC) region experienced a healthy 5% rise. These results underscore the company's effective strategies in harnessing market opportunities and addressing client needs.

In addition to revenue metrics, Akkodis remained steady YoY, while LHH and Professional Recruitment Solutions noted modest increases of 1% and 6%, respectively. The company's gross margin for the quarter was 18.9%, showing a slight decline of 30 basis points (bps) YoY, yet an improvement of 30 bps quarter-over-quarter, driven largely by a favorable mix and consistent pricing strategies.

Earnings before interest, taxes, and amortization (EBITA) reached €213 million, excluding one-off expenses, marking a 10% increase from the previous year, which aligns with Adecco's aim for consistent profitability. The EBITA margin stood at 3.6%, reflecting a 20 bps YoY increase, largely a result of strong operating leverage combined with a notable productivity increase of 5% YoY.

An operating income of €180 million was recorded, showcasing a 14% YoY growth. Basic earnings per share (EPS) climbed by 23% YoY to €0.65, while adjusted EPS grew by 17%, reaching €0.79. Moreover, operating cash flow was reported at €213 million, a 6% increase from the prior year, contributing to a trailing twelve months (LTM) cash conversion rate of 84%.

On the balance sheet side, Adecco's efforts in deleveraging continued to yield results, with the net debt to EBITDA ratio decreasing to 2.5x, a reduction of 0.6x YoY and 0.2x quarter-over-quarter. The company remains on track to achieve its target of net debt/EBITDA of ≤ 1.5x by the end of 2027.

In his commentary on the results, Denis Machuel, CEO of Adecco Group, expressed optimism regarding the sustained growth trajectory and improvements in profitability stemming from operating leverage. He highlighted the encouraging developments in flexible placements, noting that permanent placements have also returned to a growth phase.

Machuel further elaborated on the steps being taken to simplify the organization and align leadership, which in turn aims to bolster growth and further enhance margins. The ongoing restructuring is set to deliver an additional €75 million in annual run-rate savings by Q3 2027, supplementing the €200 million achieved over the past three years.

The commitment to rigorous execution, maintaining close relationships with clients, and continued investment in technology—especially the integration of advanced AI solutions—remains a cornerstone of Adecco’s strategic vision.

The Q3 results reflect a company poised for future success, focused on capturing market demand and delivering value to its clients while ensuring steady growth and operational efficiency moving forward.