INSPERITY (NSP) Company Report

Insperity (NSP) reported Q3 2025 adjusted EPS of minus $0.20 and adjusted EBITDA of $10 million, which fell below forecasted ranges primarily due to higher-than-expected benefits costs.
The company updated its full-year 2025 guidance, forecasting adjusted EPS between $0.84 and $1.47 and adjusted EBITDA between $119 million and $153 million, with Q4 2025 adjusted EPS projected at minus $0.79 to minus $0.16.
To address elevated healthcare claim costs, NSP has implemented higher pricing targets and extended its contract with UnitedHealthcare through 2028, which is expected to significantly reduce claim costs and lower the pooling level to $500,000 in 2026.
The rollout of the new HR Scale solution, a joint offering with Workday, is underway with beta clients expected to go live in March 2026, anticipated to be a significant growth catalyst for worksite employees and revenue.
Insperity expects a significant profitability rebound in 2026, aiming to recover a majority of the earnings shortfall experienced in 2025.

Nov 3, 2025, 10:00 PM

Transcript

Insperity Reports Q3 2025 Earnings Decline and Provides FY 2025 Outlook

NSP

Earnings

Guidance Update

Profit Warning

Insperity reported a significant decline in Q3 2025 Adjusted EBITDA to $10 million and Adjusted EPS to $(0.20), primarily due to higher-than-expected benefits costs driven by elevated inpatient, outpatient, and pharmacy trends, and increased frequency of large claim activity.
The company's FY 2025 Adjusted EPS outlook is $0.84 - $1.47 and Adjusted EBITDA outlook is $119 - $153 million, reflecting a substantial year-over-year decrease largely due to the increased annual benefits cost trend.
Management is implementing actions to drive profitability recovery in 2026, including renegotiating health insurance contracts, adjusting client pricing, and modifying claims pooling levels, in response to the unexpected step up in benefits costs experienced in 2025.
Insperity launched HRScale, a strategic joint offering with Workday, in Q3 2025, which is expected to be a new catalyst for future growth, alongside strong Q3 sales performance for its flagship HR360 service.
The company returned $87 million to shareholders through dividends and share repurchases during the first nine months of 2025.

Nov 3, 2025, 10:00 PM

Presentation

Insperity Announces Q3 2025 Results, UnitedHealthcare Contract Extension, and Updated 2025 Guidance

NSP

Earnings

Guidance Update

Product Launch

Insperity reported a net loss of $20 million and diluted EPS of $(0.53) for Q3 2025, with revenues increasing 4% year-over-year to $1.6 billion. Adjusted EBITDA was $10 million and adjusted EPS was $(0.20) for the quarter.
The company announced the extension of its UnitedHealthcare contract through 2028, which is expected to provide significant cost savings and reduce the pooling level for large claims to $500,000 starting January 1, 2026.
Insperity updated its 2025 guidance, projecting full-year adjusted EPS between $0.84 and $1.47 and adjusted EBITDA between $119 million and $153 million.
Insperity is also rolling out HRScale, a strategic joint solution with Workday, which is expected to serve as a catalyst for future growth.

Nov 3, 2025, 9:45 PM

8-K

Insperity Reports Q3 Results, New UnitedHealthcare Contract, and Updates 2025 Guidance

NSP

Earnings

Guidance Update

New Projects/Investments

Insperity reported a net loss of $20 million and diluted EPS of $(0.53) for Q3 2025, with revenues increasing 4% year-over-year to $1.6 billion.
The company extended its contract with UnitedHealthcare through 2028, which is expected to provide significant cost reductions and lower risk starting January 1, 2026, and is rolling out its new HRScale product.
Insperity updated its Full Year 2025 Adjusted EPS guidance to $0.84 - $1.47 and Adjusted EBITDA guidance to $119 million - $153 million.
Year-to-date 2025, the company returned $87 million to shareholders, including $19 million for share repurchases and $68 million in cash dividends.

Nov 3, 2025, 9:30 PM

Press Release

Insperity under investigation by law firm following Q2 2025 financial results

NSP

Legal Proceedings

Profit Warning

Guidance Update

Bragar Eagel & Squire, P.C. is investigating Insperity, Inc. (NYSE:NSP) on behalf of its stockholders for potential violations of federal securities laws and/or unlawful business practices.
This investigation follows Insperity's Q2 2025 financial results, announced on August 1, 2025, where the company reported adjusted earnings per share of only $0.26, missing analyst estimates and representing a 70% year-over-year decline.
Insperity attributed these results to higher-than-expected benefits costs, specifically rising pharmacy expenses and an increased frequency of large insurance claims, and consequently lowered its full-year earnings forecast.
On this news, Insperity's stock price fell $14.51 per share, or 24.35%, to close at $45.07 per share on August 1, 2025.
Investors who suffered losses are encouraged to contact Bragar Eagel & Squire, P.C. to discuss their legal rights.

Aug 31, 2025, 12:49 PM

Press Release

Insperity, Inc. Grants Special Performance-Based Equity Awards to Top Executives

NSP

Executive Compensation

New Projects/Investments

On July 1, 2025, Insperity, Inc. granted special performance-based equity awards in the form of Performance Stock Units (PSUs) to Chairman and CEO Paul J. Sarvadi and President and COO A. Steve Arizpe.
These awards are designed to incentivize and retain the executives, aligning their compensation with long-term stockholder value creation and guiding the company's growth, particularly with the new Workday joint solution.
The PSUs vest at the end of a five-year period and are tied to rigorous stock price targets.
For any PSUs to be earned, Insperity's 30-day average closing stock price must reach at least $105 within the five-year performance period, with the maximum award achieved if the price reaches $225 per share.
Mr. Sarvadi can earn a maximum of 400,000 PSUs, and Mr. Arizpe can earn a maximum of 100,000 PSUs.

Jul 1, 2025, 12:00 AM

8-K

Insperity Amends Incentive Plan Ahead of Annual Meeting

NSP

Proxy Vote Outcomes

Executive Compensation

Plan Amendment: The First Amendment to the Incentive Plan increases the available shares for awards by 620,000 shares and revises vesting terms for employee and director awards, including a one-year minimum vesting period with defined exceptions.
Shareholder Vote: At the 2025 Annual Meeting held on May 20, 2025, stockholders approved the amendment along with proposals on director elections and executive compensation advisory matters.

May 27, 2025, 12:00 AM

8-K

Insperity Inc Reports Q1 2025 Financial Results & Earnings Update

NSP

Earnings

Guidance Update

New Projects/Investments

Share Buyback

Dividends

Revenue increased 3% to $1.9 billion, driven by a 1% rise in average paid worksite employees to 306,023 in Q1 2025 .
Adjusted EPS of $1.57 and adjusted EBITDA of $102M (down from $142M) were reported, affected by higher benefits costs and full-quarter investment in the Workday partnership .
Net income reached $51M with diluted EPS of $1.35, reflecting operational performance pressures .
Revised guidance now forecasts worksite employee growth between 0.5% and 3% and adjusted EPS from $2.23 to $3.28, with additional forward-looking guidance for Q2 and FY 2025 .
A 0.7% year-over-year increase in paid worksite employees was noted despite macroeconomic uncertainty and delays in new client initiations .
The company returned $42M to shareholders through a repurchase of 224,000 shares at $19M and $23M in cash dividends .
Maintained a strong balance sheet with Adjusted Cash of $124M and working capital of $188M as of March 31, 2025 .

Apr 29, 2025, 12:31 PM

Transcript Presentation 8-K

Earnings Transcripts

Quarterly earnings call transcripts for INSPERITY.

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