Insperity, Inc. (NSP) SEC Filings & Earnings Calls

Healthcare cost inflation

“The cost of group health insurance and related employee benefits increased $25 per WSEE per month and increased 5.2% on a cost per covered employee basis in Q2 2026 as compared to Q2 2025.” · word for word

Workers' compensation cost spike

“Workers' compensation costs increased 35%, or $8 per WSEE per month, in Q2 2026 compared to Q2 2025 and has been impacted, in part, by elevated health care cost trends.” · word for word

Client attrition from pricing actions

“The number of WSEEs paid from new client sales and client retention decreased due in part to our margin recovery efforts” · word for word

Declining worksite employee count signals weak demand for HR outsourcing services, potentially due to macroeconomic headwinds or competitive pressures.

“Average paid WSEEs down 1% YoY in Q2 and full-year guidance implies further decline.”

Benefits cost inflation pressuring gross margins; benefits costs per covered employee up 5% YoY.

“Benefits costs per covered employee increased 5% over Q2 2025.” · word for word

High debt levels: $420 million outstanding under credit facility at June 30, 2026, with $50 million borrowed in Q2 for working capital.

“Outstanding borrowings of $420 million under credit facility at June 30, 2026.”

Healthcare cost inflation

“The cost of group health insurance and related employee benefits increased $28 per WSEE per month and increased 5.2% on a cost per covered employee basis in Q1 2026 as compared to Q1 2025.” · word for word

Workers' compensation cost increase

“Workers’ compensation costs increased 30%, or $7 per WSEE per month, in Q1 2026 compared to Q1 2025.” · word for word

Client attrition from margin recovery

“Average number of WSEEs paid per month decreased 1%, which was partially impacted by our margin recovery efforts.” · word for word

Margin pressure from benefits cost inflation; benefits cost per covered employee +5%.

“Benefits costs per covered employee increased 5% over Q1 2025.” · word for word

Restructuring charges of $9 million related to workforce realignment.

“Operating expenses included $9 million in restructuring charges primarily related to severance.”

Outstanding borrowings of $370 million under credit facility.

“Outstanding borrowings of $370 million under our credit facility.” · word for word

Workday Partnership Execution Risk

“Most of the investment associated with these development efforts were reflected as expenses, resulting in adjusted EBITDA of $131 million, which is lower compared to the prior year.” · word for word

Insider Pledge Risk

“Mr. Sarvadi had 250,000 shares of our common stock pledged, which represented approximately 17.0% of the shares of our common stock Mr. Sarvadi beneficially owned.” · word for word

Healthcare Cost Inflation

“The cost of group health insurance and related employee benefits increased $61 per WSEE per month, or 9.2% on a cost per covered employee basis.” · word for word

Insufficient Pricing Power

“Gross profit per WSEE paid per month reflected, in part, a 3% pricing increase offset by a 6% increase in direct costs per WSEE.” · word for word

Profitability Deterioration

“Net income (loss) ... decreased 108% to $(7) million. Adjusted EBITDA decreased 51% to $131 million.”

Liquidity Tightening

“At December 31, 2025, we had working capital of $102 million compared to $155 million at December 31, 2024.” · word for word

Elevated benefits costs (inpatient, outpatient, pharmacy, large claims) pressuring gross profit.

“elevated benefits costs were driven by inpatient, outpatient, and pharmacy trends, as well as frequency of large claim activity” · word for word

Restructuring plan with $9M charge; 4% reduction in non-sales positions.

“internal reorganization; elimination of approximately 4% of our non-sales positions; one-time charges of approximately $9 million”

Higher leverage covenant may indicate increased risk appetite or operational challenges

“Maximum leverage ratio increased from 3.00x to 3.75x.”

Healthcare cost inflation

“The cost of group health insurance and related employee benefits increased $60 per WSEE per month and increased 9.1% on a cost per covered employee basis driven by elevated inpatient, outpatient and pharmacy trends and frequency of large claim activity in Q3 2025 as compared to Q3 2024.” · word for word

Workers' compensation cost increase

“Workers' compensation costs increased 15%, or $3 per WSEE per month, in Q3 2025 compared to Q3 2024.” · word for word

Elevated healthcare costs driven by inpatient, outpatient, and pharmacy trends; large claim frequency.

“Higher Q3 2025 healthcare costs were driven by elevated inpatient, outpatient and pharmacy trends and frequency of large claim activity.” · word for word

Q4 guidance implies significant year-over-year decline in profitability.

“Adjusted EPS $(0.79) — $(0.16)... Year-over-year decrease (77)% — (59)%” · word for word