Jessica Loos

Jessica Loos asked for a characterization of customer conversations today compared to six months ago, particularly regarding stronger signs in the local business versus national accounts, and sought insights into the current pricing environment.

Answer

Taryn Owen, President and CEO, described customer sentiment as cautious due to ongoing uncertainties but noted encouragement from positive momentum and stabilization, especially in the On-Demand business, with new wins and customer expansions. Carl Schweihs, EVP and CFO, stated that pricing pressure continues, with pay rates up 3.8% and bill rates up 2.5% in Q4, resulting in a 40 basis points margin decline. He added that pay rates were largely in line with Q3, increasingly driven by role-specific skills, and the company remains disciplined in pricing.

Jessica Loos asked about the current customer sentiment and how conversations with clients compare to six months prior, especially given stronger signs in the local business. She also inquired about the current pricing environment and any notable trends.

Answer

Taryn Owen, President and CEO, TrueBlue Inc, stated that customer sentiment remains cautious due to ongoing uncertainties, but there are positive momentum and stabilization signs, particularly in the On-Demand business, with new wins and customer expansions. Carl Schweihs, EVP and CFO, TrueBlue Inc, described a continuing pricing pressure, with Q4 pay rates up 3.8% and bill rates up 2.5%, resulting in a 40 basis point margin decline. He noted pay rates are increasingly driven by role-specific skills rather than general labor shortages, and the company remains disciplined in pricing.