Insperity

Insperity (NSP) Q1 2026 Earnings

Reported Apr 30, 2026 at 4:45 PM ET · SEC Source

Q1 26 EPS

$1.31

BEAT +6.18%

Est. $1.23

Q1 26 Revenue

$1.90B

BEAT +0.09%

Est. $1.89B

vs S&P Since Q1 26

+29.7%

BEATING MARKET

NSP +33.2% vs S&P +3.5%

Market Reaction

Did NSP Beat Earnings? Q1 2026 Results

Insperity posted a solid beat in Q1 2026, with adjusted EPS of $1.31 topping the $1.23 consensus by 6.18% as the professional employer organization made meaningful headway on a margin recovery effort that had weighed on results through much of 2025. … Read more Insperity posted a solid beat in Q1 2026, with adjusted EPS of $1.31 topping the $1.23 consensus by 6.18% as the professional employer organization made meaningful headway on a margin recovery effort that had weighed on results through much of 2025. Revenue of $1.90 billion edged past estimates and grew 1.7% year over year, driven by a 3% increase in revenue per worksite employee from higher pricing, even as average paid worksite employees slipped 1% to 303,049. The clearest catalyst for the bottom-line beat was better-than-expected benefit cost trends, combined with new contract terms with UnitedHealthcare and plan design changes, which helped gross profit recover from the steep 21% decline seen in Q4 2025. GAAP net income fell 35% to $33.00 million, reflecting $9.00 million in restructuring charges tied to a workforce realignment. CEO Paul Sarvadi's decision to purchase 100,000 shares in the open market shortly after the report added a note of insider confidence. Looking ahead, full-year 2026 adjusted EPS guidance of $1.60 to $2.60 signals continued, if gradual, recovery.

Key Takeaways

  • 3% increase in revenue per WSEE on higher pricing
  • Margin recovery from pricing and client renewal strategy, new UnitedHealthcare contract terms, and plan design changes
  • Slightly lower than expected claim cost trend
  • 5% reduction in adjusted operating expenses excluding restructuring charges
  • Reduction in Workday partnership costs from $13 million to $8 million year-over-year

NSP Forward Guidance & Outlook

For Q2 2026, the company guides average WSEEs paid of 302,500–304,500 (down 2.1% to 1.5% YoY), adjusted EPS of $0.02–$0.50, and adjusted EBITDA of $18–$46 million. For full year 2026, the company guides average WSEEs paid of 303,000–307,000 (down 2.3% to 1.0% YoY), adjusted EPS of $1.60–$2.60 (up 55%–152% YoY), and adjusted EBITDA of $170–$230 million (up 30%–76% YoY). The company expects continued margin recovery throughout 2026 and is working to reestablish growth momentum while capitalizing on AI-related opportunities for its HR services.

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NSP YoY Financials

Q1 2026 vs Q1 2025, source: SEC Filings

“We are pleased with our Q1 financial results, which reflect the effectiveness of our efforts to overcome margin pressure experienced in 2025. We are working to reestablish growth momentum over the balance of the year and to capitalize on the opportunity we see ahead in the evolving AI landscape for Insperity's strategic HR services, technology, and expertise.”

— Paul J. Sarvadi, Q1 2026 Earnings Press Release