Business
BBSI Reports Fourth Quarter and Full Year 2019 Financial Results
- Full Year Net Income up 27% to a Record $48.3 Million, or $6.27 per Diluted Share - VANCOUVER, Wash., Feb. 25, 2020 (GLOBE NEWSWIRE) -- Barrett Business
About this update from Barrett Business Services, Inc.
[{"type":"text","content":" - Full Year Net Income up 27% to a Record $48.3 Million, or $6.27 per Diluted Share -\n VANCOUVER, Wash., Feb. 25, 2020 (GLOBE NEWSWIRE) -- Barrett Business Services, Inc. (“BBSI” or the “Company”) (NASDAQ: BBSI), a leading provider of business management solutions, reported financial results for the fourth quarter and full year ended December 31, 2019. Fourth Quarter 2019 Financial Summary vs. Year-Ago Quarter Net revenues increased 3% to $245.2 million versus $237.8 million.Gross billings up 5% to $1.59 billion.Net income of $11.7 million versus $16.9 million.Diluted earnings per share of $1.51 versus $2.21. Full Year 2019 Financial Summary vs. 2018 Net revenues increased to $942.3 million versus $940.7 million.Gross billings up 5% to $5.97 billion.Net income up 27% to $48.3 million.Diluted earnings per share up 26% to $6.27. “We had a strong quarter, culminating in a record year of earnings,” said BBSI President and CEO Mike Elich. “While topline growth remains softer than historical levels, we continue to see strength in our client additions. As I look at 2020, our foundation is strong. We have invested in our infrastructure over the years and are now positioned to complement our high touch model with enhanced technology solutions.” Fourth Quarter 2019 Financial Results Net revenues in the fourth quarter of 2019 increased 3% to $245.2 million compared to $237.8 million in the fourth quarter of 2018. Total gross billings in the fourth quarter increased 5% to $1.59 billion compared to $1.52 billion in the same year-ago quarter (see “Key Performance Metrics and Non-GAAP Financial Measures” below). The increase was primarily due to the continued build in the Company’s PEO client count and same-customer sales growth, which was partially offset by a decrease in staffing revenue. Non-GAAP gross workers’ compensation expense as a percent of gross billings was 4.2% in the fourth quarter and benefited from lower frictional costs and a favorable one-time adjustment of prior accident year liability of $3.1 million. This compares to 4.8% in the fourth quarter of 2018. Net income for the fourth quarter of 2019 decreased to $11.7 million, or $1.51 per diluted share, compared to $16.9 million, or $2.21 per diluted share, in the year-ago quarter. Net income in the fourth quarter of 2019 reflected an effective tax rate of 24%, up from 13% in...