TBI · TrueBlue, Inc.

TrueBlue reported first quarter 2026 results with revenue of $399 million, reflecting 8% year-over-year growth and 7% organic growth excluding the $4 million contribution from the January 2025 HSP acquisition. Growth was driven by strong performance in skilled verticals, particularly energy within PeopleReady, which saw 19% revenue increase, alongside stabilizing broader demand trends. PeopleManagement revenue declined 6% due to lower on-site volumes, offset by commercial driving growth and $13 million in new annualized wins, while PeopleSolutions grew 2% with HSP's inorganic boost. Gross profit of $79 million yielded a 19.8% margin, down from 23.3% primarily due to non-recurring prior-year workers' compensation reserve benefits and business mix shifts toward lower-margin skilled energy work. SG&A expenses improved 8% to $87 million through disciplined cost management, contributing to Adjusted EBITDA of -$3 million, an improvement from -$4 million last year. Net loss widened to $20 million or -$0.66 per share from $14 million or -$0.48, driven by a $3.7 million non-cash goodwill impairment and higher operating losses. Balance sheet shows $24 million cash, $74 million debt, and $60 million total liquidity including $36 million unused borrowing base. CEO Taryn Owen highlighted progress on long-term growth strategy via enhanced sales model, technological efficiencies, and cost discipline. Q2 outlook projects revenue of $405-430 million, gross margin 21.1-21.5%, and SG&A $85-89 million, assuming continued market stabilization and skilled business growth, with full-year CapEx guidance of $11-15 million. Investor Roadshow Presentation (Exhibit 99.3) emphasizes market leadership in staffing/RPO, digital transformation, and capital priorities including debt reduction and share repurchases.