NYSE$NSP

Insperity Inc · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Insperity's Q3 2022 results reflected strong growth and profitability, driven by demand and execution.

Insperity reported a strong third quarter with a 19% increase in revenues and a 38% increase in adjusted EPS. The average number of worksite employees paid per month increased by 17.8%. The company is focused on achieving a strong start to 2023.

  • Q3 average number of WSEEs paid and revenues up 18% and 19%, respectively
  • Q3 net income and diluted EPS of $37.7 million and $0.98, respectively
  • Q3 adjusted EBITDA up 33% to $79.8 million and adjusted EPS up 38% to $1.23
  • Client retention remained strong, averaging 99% per month for the quarter

Headline financials

Total Revenue

$1.44B

Previous: $1.21B+19.0%
EPS (adj)

$1.23

Previous: $0.89+38.2%
Average Worksite Employees Paid

303.3K

Previous: 257.6K+17.8%
Capital Expenditures

-$16.4M

Previous: -$23.6M+30.3%
Free Cash Flow

$21.2M

Previous: $3.69M+474.6%
Net Income

$37.7M

Previous: $27.3M+38.0%
Operating Income

$52.6M

Previous: $39.6M+32.9%
Gross Profit

$245M

Previous: $198M+23.2%
Cash & Equivalents

$562M

Previous: $468M+20.1%
Total Assets

$1.78B

Previous: $1.73B+2.7%
Stock-Based Comp

$38.8M

No prior period

Revenue & EPS history

Insperity · Revenue · Quarterly

$1.44B

Q3 2022+19%vs Q3 2021
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Forward guidance

Insperity updated its guidance for 2022, including the fourth quarter of 2022.

Tailwinds

  • Q4 2022 Average WSEEs paid: 308,000—310,700
  • Q4 2022 Year-over-year increase: 14.5%—15.5%
  • Q4 2022 Adjusted EPS: $0.87—$0.98
  • Q4 2022 Year-over-year increase: 156%—188%
  • Q4 2022 Adjusted EBITDA (in millions): $62—$68

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2022

Historical avgQ3 2022

-1.2%

Avg return

Earnings day

-2.5%

Avg return

5 days after

-2.1%

Avg return

30 days after

50%

34 / 68 earnings

Positive

+17.6%

Q1 2016

Best reaction

-34.2%

Q3 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+4.4%-23.2%-7.8%
Q4 2025-10.9%-23.7%-40.0%
Q3 2025-18.0%-24.9%-20.3%
Q1 2025-14.5%-14.9%-17.1%
Q4 2024+16.2%+26.0%+26.0%
Q3 2024-7.3%-5.9%-2.8%
Q2 2024-6.9%-9.1%-8.5%
Q1 2024+0.2%-0.2%-8.0%
Q4 2023-14.8%-18.4%-10.7%
Q3 2023+7.8%+12.5%+17.9%
Q2 2023-18.1%-20.0%-13.9%
Q1 2023+1.6%+2.3%-8.0%
Q4 2022+5.6%+6.6%+6.1%
Q3 2022+12.6%+5.7%+10.6%
Q2 2022-0.8%-0.4%-0.7%
Q1 2022+9.6%+7.2%-0.5%
Q4 2021-17.0%-14.6%-21.5%
Q3 2021-1.4%-2.6%-9.8%
Q2 2021+1.4%+2.9%+11.6%
Q1 2021+0.4%+1.5%+1.4%
Q4 2020-9.3%-12.5%+6.7%
Q3 2020+11.0%+13.5%+13.5%
Q2 2020+3.9%+4.4%+4.1%
Q1 2020+12.6%+15.4%+22.3%
Q4 2019-17.1%-15.0%-41.9%
Q3 2019-34.2%-36.0%-28.1%
Q2 2019-26.4%-29.1%-33.7%
Q1 2019-2.4%-1.0%-7.8%
Q4 2018+12.1%+17.0%+11.4%
Q3 2018+1.2%+3.2%-8.9%
Q2 2018+7.0%+11.9%+26.0%
Q1 2018+7.7%+8.3%+19.9%
Q4 2017+7.5%+10.0%+20.5%
Q3 2017+8.4%+9.9%+20.7%
Q2 2017+11.0%+11.6%+6.4%
Q1 2017-4.7%-9.3%-17.4%
Q4 2016+15.5%+14.9%+22.7%
Q3 2016-13.6%-10.0%-5.5%
Q2 2016-12.8%-12.8%-16.5%
Q1 2016+17.6%
Q4 2015+12.6%
Q3 2015-7.1%
Q2 2015-6.0%
Q1 2015+11.9%
Q4 2014+8.1%
Q3 2014+4.0%
Q2 2014-4.5%
Q1 2014-1.1%
Q4 2013-15.7%
Q3 2013-8.7%
Q2 2013+1.3%
Q1 2013+0.5%
Q4 2012-16.1%
Q3 2012+7.1%
Q2 2012-8.6%
Q1 2012-7.9%
Q4 2011+3.7%
Q3 2011-1.8%
Q2 2011-6.4%
Q1 2010+6.4%
Q1 2011+1.7%
Q4 2008-2.3%
Q4 2010-2.3%
Q3 2009+6.4%
Q3 2010+6.4%
Q2 2010-3.2%
Q4 2009-3.2%
Q2 2009-3.2%

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