Slide 1: ManpowerGroup 2011 1st Quarter
ManpowerGroup 2011 1 st Quarter April 21, 2011
Slide 2: Forward-Looking Statement
ManpowerGroup 2011 1 st Quarter Results April 2011 Forward-Looking Statement This presentation includes forward-looking statements, including earnings projections which are subject to risks and uncertainties. Actual results might differ materially from those projected in the forward-looking statemen
Slide 3: Q1 Highlights: Consolidated Financial Highlights
ManpowerGroup 2011 1 st Quarter Results April 2011 N/A Operating Income $86M OP Margin 1.7% Revenue $5.1B Gross Margin 16.9% EPS $0.43 Q1 Highlights Throughout this presentation, the difference between reported variances and Constant Currency (CC) variances represents the impact of currency on our f
Slide 4: Consolidated Gross Margin Change
ManpowerGroup 2011 1 st Quarter Results April 2011 Consolidated Gross Margin Change
Slide 5: SG&A Expense Sequential Bridge - Q1 vs. Q4
ManpowerGroup 2011 1 st Quarter Results April 2011 SG&A Expense Sequential Bridge - Q1 vs. Q4 (in millions of USD)
Slide 6: Americas Segment Q1 Financial Highlights
ManpowerGroup 2011 1 st Quarter Results April 2011 (1) Included in these amounts is the US, which had revenue of $751M (+56%) and OUP of $9M. 42% CC Americas Segment (22% of Revenue) Q1 Financial Highlights 43% OUP Margin 1.9% 220 bps Revenue $1.1B OUP $22M Operating Unit Profit (OUP) is the measure
Slide 7: Americas - Q1 Revenue Growth YoY
ManpowerGroup 2011 1 st Quarter Results April 2011 Americas - Q1 Revenue Growth YoY Revenue Growth - CC Revenue Growth % of Segment Revenue 68% 11% 7% 14%
Slide 8: Southern Europe Segment
ManpowerGroup 2011 1 st Quarter Results April 2011 Southern Europe Segment (36% of Revenue) Q1 Financial Highlights OUP Margin 1.5% Revenue $1.8B OUP $27M 21% 22% CC 110 bps 344% 339% CC (1) Included in these amounts is France, which had revenue of $1.4B (+23% CC) and OUP of $12M. (1)
Slide 9: Southern Europe - Q1 Revenue Growth YoY
ManpowerGroup 2011 1 st Quarter Results April 2011 Southern Europe - Q1 Revenue Growth YoY Revenue Growth - CC Revenue Growth
Slide 10: Northern Europe Segment
ManpowerGroup 2011 1 st Quarter Results April 2011 Northern Europe Segment (28% of Revenue) Q1 Financial Highlights OUP Margin 2.9% Revenue $1.5B OUP $42M 19% 17% CC 130 bps 121% 112% CC
Slide 11: Northern Europe - Q1 Revenue Growth YoY
ManpowerGroup 2011 1 st Quarter Results April 2011 Northern Europe - Q1 Revenue Growth YoY Revenue Growth - CC Revenue Growth % of Segment Revenue 20% 18% 14% 13% 10% 18% 7%
Slide 12: APME Segment
ManpowerGroup 2011 1 st Quarter Results April 2011 APME Segment (12% of Revenue) Q1 Financial Highlights OUP Margin 2.7% Revenue $603M OUP $17M 21% 11% CC 20 bps 32% 21% CC
Slide 13: APME - Q1 Revenue Growth YoY
ManpowerGroup 2011 1 st Quarter Results April 2011 APME - Q1 Revenue Growth YoY Revenue Growth - CC Revenue Growth % of Segment Revenue 48% 28% 24%
Slide 14: Right Management Segment
ManpowerGroup 2011 1 st Quarter Results April 2011 74% 74% CC Right Management Segment (2% of Revenue) Q1 Financial Highlights OUP Margin 4.0% Revenue $82M OUP $3M 21% 23% CC 810 bps
Slide 15: Cash Flow Summary - Q1
ManpowerGroup 2011 1 st Quarter Results April 2011 Cash Flow Summary - Q1 Cash from Operations (160) (43) Capital Expenditures (11) (8) Free Cash Flow (171) (51) ($ in millions) Other Change in Cash (123) (71) Change in Debt Effect of Exchange Rate Changes (26)
Slide 16: Balance Sheet Highlights
ManpowerGroup 2011 1 st Quarter Results April 2011 Balance Sheet Highlights Total Debt ($ in millions) Total Debt to Total Capitalization Total Debt Net Debt
Slide 17: Credit Facilities as of March 31, 2011
ManpowerGroup 2011 1 st Quarter Results April 2011 (b) (b) Credit Facilities as of March 31, 2011 ($ in millions) (a) (a) This $400M agreement requires, as of March 31, 2011 that we comply with a Debt-to-EBITDA ratio of less than 4.50 to 1 and a fixed charge coverage ratio of greater than 1.25 to 1.
Slide 18: Second Quarter Outlook
ManpowerGroup 2011 1 st Quarter Results April 2011 Down 13-15% (Down 10-12% CC) Up 23-25% (Up 10-12% CC) Up 17-19% (Up 7-9% CC) Up 25-27% (Up 11-13% CC) Up 13-15% (Up 12-14% CC) Up 20-22% (Up 10-12% CC) Second Quarter Outlook Revenue Americas Southern Europe APME Right Management Total Gross Profit
Slide 19: The Human Age is Creating Complexity
ManpowerGroup 2011 1 st Quarter Results April 2011 The Human Age is Creating Complexity • There are new demands for: Ø Productivity Ø Innovation Ø Talent
Slide 20: The Human Age
ManpowerGroup 2011 1 st Quarter Results April 2011 The Human Age • Our Opportunity – ManpowerGroup is uniquely qualified to help our clients and candidates navigate this new complexity to win in the world of work with: • Our differentiated competitive position • Our trusted brand and strong values •
Slide 21: Core Staffing
ManpowerGroup 2011 1 st Quarter Results April 2011 Core Staffing On-Site Specialty Services Consulting Assessment Career Management Human Resource Services Talent Based Outsourcing Permanent Recruitment Sophistication of Offerings Increasing Exponentially Recruitment Process Outsourcing Talent Manag
Slide 22: We Are ManpowerGroup
ManpowerGroup 2011 1 st Quarter Results April 2011 We Are ManpowerGroup ManpowerGroup TM is the world leader in innovative workforce solutions. We leverage our global reach and local expertise of tens of thousands of people across more than 80 countries, making it possible for businesses to access t
Slide 23: Key Differentiators
ManpowerGroup 2011 1 st Quarter Results April 2011 Ù One Global Operating Model with Fixed & Flexible Components Ù Deep Vertical Expertise at the Global & Local Levels Ù Efficiencies Driven through a Research and Sourcing Center (RSC) Ù Consolidation of Existing Brands and Global Best Practices Key
Slide 24: Questions
Questions