TeamLease Q3 Results: Shares rise as profit climbs 47%; specialised staffing revenue up 30%

TeamLease Services Ltd, one of India’s largest staffing companies, announced its Q3FY26 results on Wednesday, reporting a mixed performance marked by lower profit but improved operating metrics.

Net profit

rose 46.8% year-on-year to ₹41.7 crore, supported by margin expansion and operating leverage, even as revenue grew a modest 3% to ₹3,013 crore.

EBITDA increased 22% to ₹42.4 crore, up from ₹34.8 crore a year ago, leading to a margin expansion to 1.4% from 1.2%.

Operationally, TeamLease added 107 new logos during the quarter. In General Staffing, 22 new logos were added, with over 55% under the variable model, while 20% of gross associates hired were first-time job seekers.

Specialised Staffing continued to perform well, with revenue growing 30% year-on-year, supported by strong traction from global capability centres (GCCs), which contributed over 65% of segment revenue.

The company saw a reduction of around 27,000 associates during the quarter, largely due to insourcing by BFSI clients, impacting both General Staffing and the Degree Apprenticeship segments. Headcount in General Staffing declined 7% sequentially, while Degree Apprenticeship was similarly affected by BFSI-led insourcing.

During the quarter, the company received an income tax refund of ₹106.1 crore for AY 2024–25, including interest of ₹10.1 crore, taking net free cash to ₹430 crore.

Commenting on the performance, Executive Vice Chairman Ashok Reddy said the company’s focus on digitisation and cost optimisation continues to drive operating leverage, adding that the full impact of BFSI headcount losses is expected to be absorbed by Q1FY27.

Following the earnings announcement, shares of TeamLease Services surged to an intraday high of ₹1,594.80., up over 8%. As of 3:16 pm, the stock was trading 1,479.20, up 3.7% on NSE.