Manpower Earnings: Muscles Past Analyst Estimates

Manpower Inc. (NYSE:MAN) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 4.96%.

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Manpower Inc. Earnings Cheat Sheet

Results: Net income decreased -16.19% to $53.3 million (68 cents per diluted share) in the quarter versus a net gain of $63.6 million in the year-earlier quarter.

Revenue: Decreased 5.18% to $5.2 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Manpower Inc. reported adjusted net income of 91 cents per share. By that measure, the company beat the mean analyst estimate of $0.77. It beat the average revenue estimate of $5.13 billion.

Quoting Management:

“We finished 2012 with a solid fourth quarter performance. Our team was able to achieve a modest revenue increase compared to the third quarter while pursuing strong price discipline and intense expense management. Our free cash flow was strong, aided by good collection activity. All offerings performed well, with ManpowerGroup Solutions and Right Management leading the way with revenue growing 7 percent in constant currency…

…We remain appropriately optimistic as we look into 2013. We are on guard for potential disruption in all markets, particularly Europe, but at this time we do not anticipate any dramatic negatives. Our first quarter is traditionally a seasonally challenging period and given the tepid demand environment, we are anticipating the first quarter of 2013 diluted earnings per share to be in the range of 40 cents to 48 cents before reorganization charges.”

Key Stats:

Revenue increased 0.54% from $5.17 billion in the previous quarter. Net income decreased 15.53% from $63.1 million in the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $0.41 and has not changed. For the current year, the average estimate has moved up from a profit of $2.82 to a profit of $2.84 over the last ninety days.

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(Company fundamentals provided by Xignite Financials.)