TeamLease (NSE: TEAMLEASE) reported a 22% YoY increase in EBITDA for Q3FY26. Revenue grew by 4% YoY. The general staffing segment saw headcount decline due to insourcing by a BFSI client. A one-time impact of ₹5.68cr due to New Labour Codes was recorded. The company received an Income Tax refund of ₹106.1 crore. Management anticipates BFSI headcount loss will be absorbed by Q1FY27.
Financial Performance
TeamLease Services Limited announced its Q3FY26 results, showcasing a 22% year-over-year increase in EBITDA. Operating revenue reached ₹3,013.0 Crores, a 3% YoY increase. However, the company recorded a net headcount decline of 7% for Q3FY26.
Key financial highlights include:
- EBITDA: ₹42.5 crore, up 22% YoY
- PBT: ₹49.1 crore, up 72% YoY
- PAT: ₹42.5 crore, up 50% YoY
Segmental Performance
While revenue from General Staffing increased, it experienced a headcount decline due to insourcing from a major BFSI client. Specialized Staffing has increased its customer base to 100+ clients and now garners 65% of its revenue from the GCC segment.
Key Developments
During the quarter, TeamLease recognized an expense of ₹5.68 Crores as an exceptional item due to the impact of the New Labour Codes.
The company also received an Income Tax refund of ₹106.1 crore for AY 2024-25, resulting in a net-free cash of ₹430 crore.
TeamLease completed the acquisition of the remaining 10% stake in TSR Darashaw HR Services Private Limited, making it a wholly-owned subsidiary.
Strategic Outlook
Management expects the headcount loss in BFSI to be fully absorbed by Q1FY27. They plan to continue focusing on digitization, cost optimization, and new logo acquisitions, particularly within the GCC sector, to drive future growth.
Source: BSE
