TeamLease Delivers Strong Q4: Revenue Surges, Profit Climbs Amid Sector Shifts

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TeamLease Services Ltd. has posted a robust performance for the fourth quarter, signaling resilience and adaptability in India’s evolving staffing landscape.

Key Highlights:

Revenue Growth:
Consolidated revenue from operations for Q4 soared to ₹28.58 billion, marking a nearly 20% year-on-year increase. This growth was primarily fueled by the company’s general staffing business, which now contributes about 92% of total revenues and saw a 21% jump, driven by strong hiring in FMCG, retail, e-commerce, and telecom sectors.

Profitability:
Net profit for the quarter reached ₹349.6 million, reflecting a 14.8% rise over the same period last year. The company’s earnings per share (EPS) also improved by 7.4% year-on-year, underscoring operational efficiency.

Business Segments:
While general staffing thrived, specialized IT staffing faced headwinds due to ongoing softness in the IT sector, with revenue growth slowing to 4.7%. The company cited continued challenges in IT hiring, mirroring broader industry trends.

Operational Highlights:
TeamLease expanded its workforce by roughly 10,000 during the quarter and added 110 new clients, demonstrating strong market traction. The HR services segment posted a 36% revenue rise, while degree apprenticeship programs benefited from government initiatives.

Market Response:
Shares of TeamLease surged up to 8% post-results, reflecting investor confidence in the company’s growth trajectory and sector leadership.

With a stable outlook and strategic focus on diversification, TeamLease remains well-positioned to navigate industry shifts and capitalize on emerging opportunities.

Source: Business Standard, Times of India, StockGro