Call Start: 17:00 January 1, 0000 5:31 PM ET

Barrett Business Services, Inc. (NASDAQ:BBSI)
Q3 2024 Earnings Conference Call
November 06, 2024, 05:00 PM ET

Company Participants

Gary Kramer - President and Chief Executive Officer
Anthony Harris - Chief Financial Officer

Conference Call Participants

Jeff Martin - Roth Capital Partners
Chris Moore - CJS Securities
Vincent Colicchio - Barrington Research
Marc Riddick - Sidoti & Company

Operator

Good afternoon, everyone, and thank you for participating today's conference call to discuss BBSI's Financial Results for the Third Quarter ended September 30, 2024. Joining us today are BBSI's President and CEO, Mr. Gary Kramer and the company's CFO, Mr. Anthony Harris. Following their remarks, we'll open the call for your questions.

Before we go further, please take note of the company's safe harbor statement within the meaning of the Private Securities Litigation Reform Act of 1995. The statement provides important cautions regarding forward-looking statements. The company's remarks during today's conference call will include forward-looking statements. These statements, along with other information presented that does not reflect historical fact are subject to a number of risks and uncertainties. Actual results may differ materially from those implied by these forward-looking statements.

Please refer to the company's recent earnings release and to the company's quarterly and annual reports filed with the Securities and Exchange Commission. For more information about the risks and uncertainties that could cause actual results to differ from those expressed or implied by the forward-looking statements. I would like to remind everyone that this call will be available for replay through December 06, 2024, starting at 8:00 P.M. ET tonight. A webcast replay will also be available via the link provided in today's press release as well as available on the company's website at www.bbsi.com.

Now I would like to turn the call over to the President and Chief Executive Officer of BBSI, Mr. Gary Kramer. Sir, please go ahead.

Gary Kramer

Thank you. Good afternoon, everyone, and thank you for joining the call. I am pleased to report that we had a strong third quarter. Our financial results exceeded our expectations, and we have greater optimism in our full year results. We continue to execute our short- and long-term objectives and we added a record number of worksite employees from our controllable growth.

Moving to our financial results and worksite employees. During the quarter, our gross billings increased 9% over the prior year quarter, which is greater than expected. We continued to execute our various strategies to increase the top of the sales funnel and we achieved a record number of worksite employees from new client adds during the third quarter. Our client retention continues to trend well and is in line with our expectations. I'd like to attribute that to the work we do with our clients and the value our teams provide. The result of all these efforts or what I refer to as our controllable growth is that we added approximately 4,600 worksite employees year-over-year from net new clients.