ManpowerGroup posts mixed second quarter results amid challenges from forex

ManpowerGroup (NYSE:MAN) reported a mixed second quarter report on Thursday, as it weathered challenging operating conditions in North America and Europe, a marginal decline in permanent recruitment levels, and “a slightly worse” foreign exchange hit on its earnings.

For the current quarter, the company guided earnings per share between $1.25 and $1.35, factoring in a 5 cent forex impact without any restructuring costs or Argentina-related non-cash currency translation losses. The street consensus for Q3 earnings per share is $1.27.

The employee agency company recorded a negative impact of 8 cents on its EPS in Q2 vs. the negative 7 cents previously estimated, and its quarterly revenue was down 7% to $4.5B, but largely in line with the average analyst expectation.

For the three months ended June 30, net earnings were $60.1M or $1.24 per share, compared to $65.2M or $1.29 per share last year.

On an adjusted basis, the Milwaukee, Wisconsin-based company earned $1.30 per share and beat estimates while taking into account a six-cent hit from run-off losses related to the Proservia Germany business.

Shares of the company were +1.7% in early trading session; stock is -6.6% so far this year as of Wednesday’s close.

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