Slide 1: ManpowerGroup Second Quarter Results
July 18, 2024 ManpowerGroup Second Quarter Results
Slide 2: Forward-Looking Statement
FORWARD-LOOKING STATEMENT This presentation contains statements, including statements regarding economic and geopolitical uncertainty, trends in labor demand and the future strengthening of such demand, financial outlook, demand for specific skills within key industries, predictions about the impact
Slide 3: Consolidated Financial Highlights
ManpowerGroup 2024 Second Quarter Results Consolidated Financial Highlights (1) As Reported As Adjusted Q2 Financial Highlights -7% -7% -3% CC -3% CC Revenue $4.5B -3% OCC -3% OCC -40 bps -40 bps Gross Margin 17.4% (2) -6% -14% EBITA $109M -1% CC -9% CC ($112M as adjusted) (2) EBITA Margin 2.4% 0 bp
Slide 4: EPS Bridge – Q2 vs. Guidance Midpoint
ManpowerGroup 2024 Second Quarter Results EPS Bridge – Q2 vs. Guidance Midpoint (1) (1) Detail of items included on slide 3. ManpowerGroup | Second Quarter 2024 Results July 2024 | 4
Slide 5: Business Line Revenue Q2 2024
ManpowerGroup 2024 Second Quarter Results Business Line Revenue Q2 2024(1) 5% 0% -2% -5% -7% -7% -8% -9% -10% -10% -15% MANPOWER EXPERIS TALENT SOLUTIONS vs. 2023 reported % vs. 2023 organic CC % Manpower posted a modest organic CC revenue rate of Talent Solutions revenue trend was driven by RPO dec
Slide 6: Consolidated Gross Margin Change
ManpowerGroup 2024 Second Quarter Results Consolidated Gross Margin Change ManpowerGroup | Second Quarter 2024 Results July 2024 | 6
Slide 7: Business Line Gross Profit – Q2 2024
ManpowerGroup 2024 Second Quarter Results Business Line Gross Profit – Q2 2024(1) █ Manpower █ Experis █ Talent Solutions █ ManpowerGroup – Total (1) Business line classifications can vary by entity and are subject to change as service requirements change. Shown excluding run-off Proservia Germany.
Slide 8: SG&A Expense Bridge – Q2 YoY
ManpowerGroup 2024 Second Quarter Results SG&A Expense Bridge – Q2 YoY (in millions of USD) (15.5% CC) (15.0% CC) (15.0% CC) ManpowerGroup | Second Quarter 2024 Results July 2024 | 8
Slide 9: Americas Segment
ManpowerGroup 2024 Second Quarter Results Americas Segment (24% of Revenue) (1) As Reported Q2 Financial Highlights -3% Revenue $1.1B 5% CC 4% 11% CC OUP $45M +30 bps OUP Margin 4.2% (1) Prior year period includes restructuring costs. As adjusted to exclude these costs, OUP Margin change was +20 bps
Slide 10: Americas – Q2 Revenue Trend YoY
ManpowerGroup 2024 Second Quarter Results Americas – Q2 Revenue Trend YoY ManpowerGroup | Second Quarter 2024 Results July 2024 | 10
Slide 11: Southern Europe Segment
ManpowerGroup 2024 Second Quarter Results Southern Europe Segment (46% of Revenue) (1) As Reported Q2 Financial Highlights -6% Revenue $2.1B -4% CC -10% -9% CC OUP $83M -20 bps OUP Margin 4.0% (1) Prior year period includes restructuring costs. As adjusted to exclude these costs, OUP Margin change w
Slide 12: Southern Europe – Q2 Revenue Trend YoY
ManpowerGroup 2024 Second Quarter Results Southern Europe – Q2 Revenue Trend YoY ManpowerGroup | Second Quarter 2024 Results July 2024 | 12
Slide 13: Northern Europe Segment
ManpowerGroup 2024 Second Quarter Results Northern Europe Segment (18% of Revenue) (1) As Reported As Adjusted Q2 Financial Highlights -12% -12% Revenue $837M -12% CC -12% CC OUP -$2M (2) (2) NM NM (2) (2) NM NM ($1M as adjusted) OUP Margin -0.3% 70 bps 30 bps (0.1% as adjusted) (1) Current period e
Slide 14: Northern Europe – Q2 Revenue Trend YoY
ManpowerGroup 2024 Second Quarter Results Northern Europe – Q2 Revenue Trend YoY ManpowerGroup | Second Quarter 2024 Results July 2024 | 14
Slide 15: APME Segment
ManpowerGroup 2024 Second Quarter Results APME Segment (12% of Revenue) As Reported Q2 Financial Highlights -10% -2% CC Revenue $541M -1% OCC -2% 8% CC OUP $25M 9% OCC +30 bps OUP Margin 4.6% ManpowerGroup | Second Quarter 2024 Results July 2024 | 15
Slide 16: APME – Q2 Revenue Trend YoY
ManpowerGroup 2024 Second Quarter Results APME – Q2 Revenue Trend YoY ManpowerGroup | Second Quarter 2024 Results July 2024 | 16
Slide 17: Cash Flow Summary
ManpowerGroup 2024 Second Quarter Results Cash Flow Summary ManpowerGroup | Second Quarter 2024 Results July 2024 | 17
Slide 18: Balance Sheet Highlights
ManpowerGroup 2024 Second Quarter Results Balance Sheet Highlights Total Debt (in millions of USD) Total Debt Net Debt Net (Cash) Total Debt to Total Capitalization ManpowerGroup | Second Quarter 2024 Results July 2024 | 18
Slide 19: Third Quarter 2024 Outlook
ManpowerGroup 2024 Second Quarter Results Third Quarter 2024 Outlook Revenue Total Down 2-6% (Flat / Down 4% CC) Americas Down 2-6% (Up 1-5% CC) Southern Down 1-5% (Flat / Down 4% CC) Europe Northern Down 5-9% (Down 6-10% CC) Europe Down 3-7% (Down 1 / Up 3% CC) (Up 4% / Flat APME OCC) Gross Profit
Slide 20: Key Take Aways
ManpowerGroup 2024 Second Quarter Results Key Take Aways Operating environment largely remained unchanged in Europe and North America, while APME and Latin America continued to see solid demand. Gross profit margin reflects solid staffing margin trends while permanent recruitment activity softened d
Slide 21: Appendix
Appendix ManpowerGroup | Second Quarter 2024 Results July 2024 | 21
Slide 22: Industry Vertical Composition Based on Revenues – Q2 2024
ManpowerGroup 2024 Second Quarter Results Industry Vertical Composition Based on Revenues – Q2 2024 Industry vertical composition has been updated to align with our Global Sales Verticals based on client segmentation. ManpowerGroup | Second Quarter 2024 Results July 2024 | 22
Slide 23: Debt and Credit Facilities – June 30, 2024
ManpowerGroup 2024 Second Quarter Results Debt and Credit Facilities – June 30, 2024 (in millions of USD) (2) Interest Maturity Total Remaining Rate Date Outstanding Available Euro Notes - €500M 1.809% Jun 2026 534 - (4) Euro Notes - €400M 3.514% Jun 2027 426 - (1)(2) Revolving Credit Agreement 6.46