ManpowerGroup has released its results for the third quarter of 2019.
ManpowerGroup reported net earnings of $2.42 per diluted share for the three months ended 30th September 2019 compared to $2.43 per diluted share in the prior year period. Net earnings in the quarter were $146.1m compared to $158.0m a year earlier. Revenues for the third quarter were $5.2 billion, a 3% decline from the prior year period.
The current year quarter included a non-cash accounting gain related to the 10th July 2019 initial public offering on the Hong Kong Stock Exchange of our joint venture in Greater China, ManpowerGroup Greater China Limited (Greater China IPO). The Greater China IPO resulted in the deconsolidation of this business and the non-cash gain increased earnings per share by 50 cents.
Financial results in the quarter were also impacted by the stronger US dollar relative to foreign currencies compared to the prior year period. On a constant currency basis, revenues were flat. On a constant currency basis, net earnings per diluted share increased 3% and decreased 18%, excluding the impact of the gain from the Greater China IPO. Earnings per share in the quarter were negatively impacted 7 cents by changes in foreign currencies compared to the prior year.
Jonas Prising, ManpowerGroup chairman & CEO, said, "The global economic environment continues to be uncertain, leading to uneven market conditions as economic growth slows but labor markets remain tight and skills shortages high. This was evident in our third quarter results and despite headwinds in Europe, many of our markets achieved good profitable growth, with the US, the UK, Japan, Norway, Spain and Canada leading the way.
"We anticipate diluted earnings per share in the fourth quarter will be between $2.00 and $2.08, which includes an estimated unfavorable currency impact of 7 cents."
ManpowerGroup repurchased 610 thousand shares of common stock for $51 million during the quarter.
Net earnings for the nine months ended 30th September 2019 were $326.9m, or $5.40 per diluted share compared to net earnings of $398.4m, or $6.03 per diluted share in the prior year. The year to date period included special items and restructuring costs which increased earnings per share by 5 cents. The prior year to date period included restructuring costs which reduced earnings per share by 41 cents and discrete income tax benefits which increased earnings per share by 19 cents. Revenues for the nine-month period were $15.7 billion, a decrease of 6% from the prior year or a decrease of 1% in constant currency. Earnings per share for the nine-month period were negatively impacted 22 cents by changes in foreign currencies compared to the prior year, or 30 cents excluding the special items and restructuring costs. ManpowerGroup repurchased 1.8m shares of common stock for $152m during the nine months ended 30th September 2019.
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