Insperity

Insperity (NSP) Q4 2025 Earnings

Reported Feb 10, 2026 at 4:46 PM ET · SEC Source

Q4 25 EPS

$-0.60

MISS 28.89%

Est. $-0.47

Q4 25 Revenue

$1.67B

MISS 0.62%

Est. $1.68B

vs S&P Since Q4 25

+26.4%

BEATING MARKET

NSP +34.2% vs S&P +7.8%

Full Year 2025 Results

FY 25 EPS

$1.03

FY 25 Revenue

$6.81B

Market Reaction

Did NSP Beat Earnings? Q4 2025 Results

Insperity closed out fiscal 2025 on a sour note, posting a steeper-than-expected Q4 loss as relentless benefits cost pressures overwhelmed modest top-line growth. The professional employer organization reported adjusted EPS of -$0.60 for the quarter,… Read more Insperity closed out fiscal 2025 on a sour note, posting a steeper-than-expected Q4 loss as relentless benefits cost pressures overwhelmed modest top-line growth. The professional employer organization reported adjusted EPS of -$0.60 for the quarter, missing the consensus estimate of -$0.47 by 28.89%, while revenue of $1.67 billion edged 3.4% higher year over year but fell just short of the $1.68 billion Wall Street had anticipated. The core culprit was a sharp deterioration in gross profit, which tumbled 21% to $172.00 million as elevated inpatient, outpatient, and pharmacy cost trends, compounded by large-claim frequency, erased pricing gains from a 2% increase in revenue per worksite employee. Shares slipped roughly 7.6% following the report, reflecting investor frustration with the sustained benefits drag. Management is betting that restructured UnitedHealthcare contracts, tighter client selection, and new growth initiatives will drive a meaningful rebound, guiding full-year 2026 adjusted EPS of $1.69 to $2.72, representing a recovery of 64% to 164% above depressed 2025 levels.

Key Takeaways

  • Elevated benefits costs driven by inpatient, outpatient, and pharmacy trends and large claim frequency
  • 2% increase in revenue per WSEE per month from higher pricing
  • 1% growth in average paid WSEEs to 312,377 in Q4
  • 6% decrease in operating expenses to $218 million in Q4
  • Reduced Workday strategic partnership costs ($10M in Q4 2025 vs $19M in Q4 2024)
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NSP YoY Financials

Q4 2025 vs Q4 2024, source: SEC Filings

“We accomplished the key objective of our year-end transition with a step up in gross profit margin, which we believe positions the company for a significant recovery in profitability this year.”

— Paul J. Sarvadi, Q4 2025 Earnings Press Release