$NSP

INSPERITY, INC.

CIK:0001000753|SEC Filings

CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Income Statement [Abstract]
Revenues	$ 1,686	$ 1,658	$ 3,581	$ 3,521
Payroll taxes, benefits and workers’ compensation costs	1,469	1,435	3,062	2,988
Gross profit	217	223	519	533
Salaries, wages and payroll taxes	115	129	255	271
Stock-based compensation	13	20	26	31
Commissions	10	10	20	21
Advertising	14	11	25	18
General and administrative expenses	49	49	104	109
Depreciation and amortization	10	11	21	22
Total operating expenses	211	230	451	472
Operating income (loss)	6	(7)	68	61
Other income (expense):
Interest income	5	7	12	17
Interest expense	(6)	(6)	(12)	(12)
Income (loss) before income tax (benefit) expense	5	(6)	68	66
Income tax (benefit) expense	1	(1)	31	20
Net income (loss)	$ 4	$ (5)	$ 37	$ 46
Basic net income per share of common stock (in dollars per share)	$ 0.10	$ (0.14)	$ 0.98	$ 1.22
Diluted net income per share of common stock (in dollars per share)	$ 0.10	$ (0.14)	$ 0.97	$ 1.22

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Cash Provided by (Used in) Operating Activity, Including Discontinued Operation [Abstract]
Net income	$ 37	$ 46
Adjustments to reconcile net income to net cash used in operating activities:
Depreciation and amortization	21	22
Stock-based compensation	26	31
Deferred income taxes	27	12
Adjustment to Reconcile Net Income to Cash Provided by (Used in) Operating Activity, Noncash Item [Abstract]
Accounts receivable	(52)	(14)
Prepaid insurance and related assets	(51)	(16)
Other current assets	(13)	1
Other assets and ROU assets	0	(6)
Accounts payable	4	(4)
Payroll taxes and other payroll deductions payable	(10)	(535)
Accrued worksite employee payroll costs	(4)	(14)
Accrued health insurance costs	31	38
Accrued workers’ compensation costs	0	(14)
Accrued corporate payroll, commissions and other accrued liabilities	(38)	(40)
Income taxes payable/receivable	3	(29)
Total adjustments	(56)	(568)
Net cash used in operating activities	(19)	(522)
Marketable securities:
Purchases	(10)	(10)
Proceeds from maturities	6	12
Proceeds from dispositions	22	0
Proceeds from Sale of Property, Plant, and Equipment [Abstract]
Property and equipment purchases	(13)	(13)
Net cash provided by (used in) investing activities	5	(11)
Cash flows from financing activities:
Purchase of treasury stock	(4)	(19)
Dividends paid	(46)	(45)
Proceeds from Lines of Credit	50	0
Client funds liability and other	(21)	(14)
Net cash used in financing activities	(21)	(78)
Net decrease in cash, cash equivalents, restricted cash, funds held for clients, and deposits – workers’ compensation	(35)	(611)
Cash, cash equivalents, restricted cash, funds held for clients, and deposits - workers’ compensation beginning of period	945	1,344
Cash, cash equivalents, restricted cash, funds held for clients, and deposits - workers’ compensation end of period	910	733
Supplemental cash flow information:
ROU assets obtained in exchange for lease obligations	$ 3	$ 10

CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Millions	Jun. 30, 2026	Dec. 31, 2025
Assets
Cash and cash equivalents	$ 619	$ 642
Restricted cash	81	82
Marketable securities	0	18
Accounts receivable, net	878	826
Prepaid insurance and related assets	57	6
Income taxes receivable	26	29
Funds held for clients and other current assets	106	119
Total current assets	1,767	1,722
Property and equipment, net of accumulated depreciation	170	177
Right-of-use (“ROU”) leased assets	57	63
Prepaid health insurance	9	9
Deposits – health insurance	8	8
Deposits workers compensation	160	148
Goodwill and other intangible assets, net	13	13
Deferred income taxes, net	0	22
Other assets	50	41
Total assets	2,234	2,203
Current liabilities:
Accounts payable	10	6
Payroll taxes and other payroll deductions payable	534	544
Accrued worksite employee payroll cost	760	764
Accrued health insurance costs	61	30
Accrued workers’ compensation costs	83	84
Accrued corporate payroll and commissions	54	78
Client funds liability and other accrued liabilities	85	114
Total current liabilities	1,587	1,620
Noncurrent liabilities:
Accrued workers’ compensation costs, net of current	103	102
Long-term debt	419	369
Operating lease liabilities, net of current	59	66
Deferred Income Tax Liabilities, Net	5	0
Total noncurrent liabilities	586	537
Commitments and contingencies
Stockholders’ equity:
Common stock	1	1
Additional paid-in capital	255	257
Treasury stock, at cost	(824)	(850)
Retained earnings	629	638
Total stockholders’ equity	61	46
Total liabilities and stockholders’ equity	$ 2,234	$ 2,203