Kelly Services (NASDAQ:KELYA) Announces Quarterly Earnings Results, Beats Estimates By $0.19 EPS

Kelly Services (NASDAQ:KELYA) posted its earnings results on Thursday. The business services provider reported $0.37 earnings per share for the quarter, beating the consensus estimate of $0.18 by $0.19, FiscalAI reports. The company had revenue of $1.04 billion for the quarter, compared to analyst estimates of $1.01 billion. Kelly Services had a positive return on equity of 2.69% and a negative net margin of 6.73%.During the same quarter in the prior year, the company earned $0.52 earnings per share.

Kelly Services Trading Down 2.8%

Shares of NASDAQ KELYA traded down $0.43 during midday trading on Friday, reaching $15.19. 341,588 shares of the stock were exchanged, compared to its average volume of 357,639. The stock has a 50 day moving average price of $13.37 and a 200-day moving average price of $10.94. The company has a current ratio of 1.50, a quick ratio of 1.59 and a debt-to-equity ratio of 0.08. The company has a market capitalization of $526.64 million, a P/E ratio of -1.94, a P/E/G ratio of 1.15 and a beta of 0.83. Kelly Services has a 52-week low of $7.98 and a 52-week high of $17.75.

Kelly Services Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, September 2nd. Stockholders of record on Wednesday, August 19th will be issued a dividend of $0.075 per share. The ex-dividend date is Wednesday, August 19th. This represents a $0.30 dividend on an annualized basis and a dividend yield of 2.0%. Kelly Services’s payout ratio is -3.95%.

Analyst Upgrades and Downgrades

Several equities research analysts recently commented on KELYA shares. Weiss Ratings lowered shares of Kelly Services from a “sell (d)” rating to a “sell (d-)” rating in a research report on Monday, May 11th. Zacks Research upgraded shares of Kelly Services from a “strong sell” rating to a “hold” rating in a report on Monday, April 20th. Finally, Barrington Research restated an “outperform” rating on shares of Kelly Services in a research report on Monday, June 29th. Two investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus target price of $15.00.

Insider Activity

In related news, EVP Vanessa Peterson Williams sold 29,999 shares of the firm’s stock in a transaction that occurred on Thursday, May 14th. The shares were sold at an average price of $9.78, for a total transaction of $293,390.22. Following the sale, the executive vice president owned 82,355 shares in the company, valued at approximately $805,431.90. This trade represents a 26.70% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders own 5.40% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the business. Quarry LP grew its position in shares of Kelly Services by 173.2% in the third quarter. Quarry LP now owns 1,970 shares of the business services provider’s stock valued at $26,000 after purchasing an additional 1,249 shares during the period. CANADA LIFE ASSURANCE Co purchased a new position in Kelly Services during the fourth quarter worth about $30,000. Tower Research Capital LLC TRC boosted its stake in Kelly Services by 83.5% in the 2nd quarter. Tower Research Capital LLC TRC now owns 4,324 shares of the business services provider’s stock worth $51,000 after buying an additional 1,967 shares during the last quarter. Meeder Asset Management Inc. purchased a new stake in Kelly Services in the 4th quarter valued at about $42,000. Finally, State of Wyoming purchased a new stake in Kelly Services in the 2nd quarter valued at about $116,000. Hedge funds and other institutional investors own 76.34% of the company’s stock.

Key Stories Impacting Kelly Services

Here are the key news stories impacting Kelly Services this week:

• Positive Sentiment: Second-quarter results exceeded expectations. Kelly reported adjusted earnings of $0.37 per share, above analyst estimates ranging from $0.18 to $0.24, while revenue of $1.04 billion surpassed the $1.01 billion consensus. The earnings beat provides a positive catalyst for the stock. Kelly Services Q2 Earnings and Revenues Beat Estimates
• Positive Sentiment: Kelly maintained its quarterly dividend. Shareholders of record on August 19 will receive $0.075 per share on September 2, equivalent to $0.30 annually and a yield of approximately 1.9%. The dividend supports the stock’s income appeal.
• Neutral Sentiment: Management issued third-quarter revenue guidance of $916.3 million to $935.0 million. The midpoint of approximately $925.7 million is close to, but slightly below, the $929.3 million analyst consensus, suggesting broadly stable expectations but limited near-term upside from revenue growth.
• Negative Sentiment: Profitability weakened compared with last year. Second-quarter EPS declined from $0.52 in the prior-year period to $0.37, despite the estimate beat. Kelly also continued to report a negative net margin, which may be weighing on investor sentiment and offsetting the headline earnings surprise. Kelly Reports Second-Quarter 2026 Earnings

About Kelly Services

Kelly Services, Inc is a global workforce solutions provider specializing in talent acquisition and staffing services across a wide range of industries. The company offers temporary staffing, permanent placement, outsourcing solutions, and consulting services to help organizations address their workforce needs. Its service offerings are designed to support clients in areas such as administrative support, information technology, engineering, science, education, healthcare, and industrial sectors.

Founded in 1946 by William Russell Kelly, Kelly Services has grown from a small local staffing firm into an international organization.