Slide 1: Manpower Inc. 2005 4th Quarter Results
Manpower Inc. 2005 4 th Quarter Results January 27, 2006 This presentation includes forward-looking statements which are subject to risks and uncertainties. Actual results might differ materially from those projected in the forward-looking statements. Forward-looking statements can be identified by
Slide 2: Consolidated Financial Highlights
47% CC Consolidated Financial Highlights Consolidated Financial Highlights $4.1B Gross Margin Operating Profit $132M OP Margin EPS $ 1.01 8% CC 10 bps 30 bps 21% CC Throughout this presentation, the difference between reported variances and Constant Currency (CC) variances represents the impact of c
Slide 3: Consolidated Financial Highlights: Gross Profit Margin Change
18.69% 18.76% Consolidated Financial Highlights Consolidated Financial Highlights Gross Profit Margin Change Q4 2004 EMEA Staffing Non-recurring Items Permanent Recruitment Mix - Right Q4 2005 - + 0.15% - + 0.23%
Slide 4: United States Segment
Q4 Financial Highlights OUP Margin 110 bps $534M OUP $23M United States Segment United States Segment Operating Unit Profit (OUP) is the measure that we use to evaluate segment performance. OUP is equal to segment revenues less direct costs and branch and national headquarters operating costs.
Slide 5: France Segment
Q4 Financial Highlights 7% CC OUP Margin 50 bps $1.4B OUP $47M France Segment France Segment 6% CC
Slide 6: EMEA Segment
Q4 Financial Highlights 11% CC OUP Margin 80 bps $1.5B OUP $54M EMEA Segment EMEA Segment 43% CC
Slide 7: EMEA Segment Q4 Revenue Growth
5% 16% 8% 6% -13% 10% -7% -2% Other Holland Spain Germany Elan Italy UK - Manpower Nordics Revenue Growth - CC Revenue Growth % of Segment Q4 Revenue Growth YoY EMEA Segment EMEA Segment
Slide 8: Jefferson Wells Segment
Q4 Financial Highlights OUP Margin 820 bps $96M OUP $4M Jefferson Wells Segment Jefferson Wells Segment
Slide 9: Right Management Segment
Q4 Financial Highlights 5% CC OUP Margin 380 bps $97M OUP $3M Right Management Segment Right Management Segment N/A
Slide 10: Other Operations Segment
Q4 Financial Highlights 12% CC OUP Margin 150 bps $547M OUP $19M Other Operations Segment Other Operations Segment 91% CC
Slide 11: Other Operations Segment Revenue Growth
29% -5% 32% -4% -3% Other Australia/NZ Mexico Japan Revenue Growth - CC Revenue Growth Other Operations Segment Other Operations Segment % of Segment Q4 Revenue Growth YoY
Slide 12: Financial Highlights
Financial Highlights Financial Highlights
Slide 13: Balance Sheet Highlights
45% 39% 29% 22% 26% 26% 27% 538 416 370 231 391 324 280 Q1 Q2 Q3 Q4 1,000 Q1 Q2 Q3 Q4 Total Debt $ in millions Net Debt Total Debt Total Debt to Total Capitalization Percent Balance Sheet Highlights Balance Sheet Highlights
Slide 14: Cash Flow Summary – Full Year
(in millions) Cash from Operations $ $ Capital Expenditures (78) (68) Free Cash Flow Share Repurchases * (218) - Change in Debt (37) Other (17) (19) Change in Cash (77) $ $ Cash Flow Summary – Cash Flow Summary – Full Year Full Year * 5,300,000 shares
Slide 15: First Quarter Outlook
U.S. Up 5-7% France (Up 6-8% CC) EMEA Up 4-6% (Up 11-13% CC) Jefferson Wells Right Down 7-9% (Down 3-5% CC) Other Up 7-9% (Up 10-12% CC) Total Up 2-4% (Up 8-10% CC) Gross Profit Margin 18.1 - Operating Profit Margin 1.6 – Tax Rate EPS $.36 - $.39 (Negative $.03 Currency) First Quarter Outlook First
Slide 16: Questions
Manpower Inc. 2005 4 th Quarter Results January 27, 2006 Questions Questions