TriNet Group (TNET)
NYSE:TNET
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Earnings Data
Report Date
Jul 24, 2026After Close (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
0.96Last Year’s EPS
1.15Same Quarter Last Year
Based on 6 Analysts Ratings
Earnings Call Summary
Q1 2026
Earnings Call Date:Apr 30, 2026|
% Change Since:
|
Earnings Call Sentiment|Positive
The call presented a mix of significant operational and financial improvements alongside notable volume declines driven by prior repricing actions. Key positives included a 25% increase in adjusted EPS, a >4-point improvement in ICR to 84%, strong adjusted EBITDA and cash generation (free cash flow conversion up to 66%), doubling of ASO ARR, progress on AI-driven productivity (6% reduction in inbound contacts during tax season), and active capital return and M&A activity (Cocoon). Offsetting these were meaningful declines in revenue (-5% YoY), co‑employee and total WSE counts (-12% YoY), a 10% decline in professional services revenue, and near-term sales cadence pressure (longer time-to-close and March softness). Management reiterated full-year guidance and positioned the business to track to the top half of earnings guidance, noting the Q1 insurance favorability included a one-time prior-period benefit. Overall, the company emphasized that repricing actions and investments (AI, product, sales, Cocoon) are creating a foundation for stabilization and future sustainable growth, while acknowledging short-term headwinds from volumes and repricing.Company Guidance
Adjusted EPS Growth
Adjusted net income per diluted share of $2.48 in Q1, up 25% year-over-year, supported by disciplined pricing and expense management.
Insurance Performance and ICR Improvement
Insurance cost ratio (ICR) improved to 84% in Q1, a >4-point year-over-year improvement; insurance costs declined 9% YoY while insurance service revenue per average co‑employee WSE grew ~9.6% (reflecting repricing).
Strong Profitability and Cash Generation
Adjusted EBITDA of $186 million with a 15.2% adjusted EBITDA margin; GAAP EPS $1.90; net cash provided by operating activities $149 million and free cash flow $123 million.
Improved Free Cash Flow Conversion and Capital Return
Free cash flow conversion improved to 66% (from 49% prior year). Returned $71 million to shareholders in Q1 via ~1.3M share repurchases (~$58M) and dividends (Q1 dividend $0.275 and announced 5% increase to $0.29).
ASO Momentum
ASO ARR doubled year-over-year in Q1 and is on track to become a meaningful contributor to professional services revenue, with successful upsell and retention dynamics noted.
Go-to-Market and Broker Channel Strength
Broker RFPs grew nearly 12% YoY in Q1; most senior and productive sales reps increased by 10% YoY; ASCEND program graduated its first class (expected to represent >10% of sales focus this fall) and >100 trainees in pipeline by year-end.
Strategic Acquisition and Partnerships
Acquired Cocoon (leave-of-absence software) expected to integrate in ~6 months; acquisition is modestly dilutive to 2026 adjusted EPS and neutral to 2027, with primary benefits expected from improved NPS and PEO client retention. Announced partnerships for TriNet Global (Multiplier) and TriNet IT (Electric AI).
AI and Productivity Gains
Launched TriNet Assistant in March; AI handled demand during tax season and drove a 6% reduction in inbound contacts during peak period (Mar 31–Apr 16). Internally, ~30% of code and ~50% of test cases now AI-generated and moving into peer review, with AI applied to sales and client engagement workflows.
Guidance Reiterated and Trending Favorably
Reiterated full-year 2026 guidance (Revenue $4.75B–$4.9B; Professional services $625M–$645M; ICR 90.75%–89.25%; adjusted EBITDA margin 7.5%–8.7%; adjusted EPS $3.70–$4.70) and management states Q1 results put earnings tracking to the top half of the range.
TNET Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
TNET Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Apr 30, 2026 | $42.85 | $45.78 | +6.84% |
Feb 12, 2026 | $44.90 | $40.03 | -10.85% |
Oct 29, 2025 | $61.96 | $57.87 | -6.60% |
Jul 25, 2025 | $64.63 | $67.69 | +4.73% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does TriNet Group (TNET) report earnings?
TriNet Group (TNET) is schdueled to report earning on Jul 24, 2026, After Close (Confirmed).
What is TriNet Group (TNET) earnings time?
TriNet Group (TNET) earnings time is at Jul 24, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
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What companies are reporting earnings today?
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What is TNET EPS forecast?
TNET EPS forecast for the fiscal quarter 2026 (Q2) is 0.96.