Download PDF

1. Company Snapshot

1.a. Company Description

Randstad N.V. provides solutions in the field of work and human resources (HR) services.It offers temporary staffing and permanent placement services for the light industrial, office and administrative, manufacturing and logistics, and other specialty areas, as well as payroll services.The company also offers on-site solutions for managing a client's workforce with specific skill sets and a fluctuating level of demand for the fast-moving consumer goods, automotive, life sciences, contact centers, manufacturing, and logistics, as well as the administrative and professional segments.


In addition, it recruits experienced staff for managerial and professional roles in a range of sectors and disciplines, including IT, engineering, finance, healthcare, HR, education, legal affairs, sales and marketing and communications.Further, the company provides managed services programs, recruitment process outsourcing, outplacement and career development, and online talent acquisition.It has operations in North America, France, the Netherlands, Germany, Belgium, Luxembourg, Italy, Iberia, other European countries, and internationally.


The company was formerly known as Randstad Holding NV and changed its name to Randstad N.V. in April 2018.Randstad N.V. was founded in 1960 and is headquartered in Diemen, the Netherlands.

Show Full description

1.b. Last Insights on RAND

Randstad N.V.'s recent performance was negatively impacted by soft earnings, which failed to impress shareholders. The company's earnings announcement revealed a less-than-expected profit, raising concerns among investors. With no major acquisitions or new product launches reported recently, the focus remains on the company's ability to address its profitability challenges. Additionally, no share buyback programs have been announced, which could have provided a positive boost to shareholder value. Randstad's ability to adapt to evolving business conditions will be crucial in regaining investor confidence.

1.c. Company Highlights

2. Randstad's Q2 2025: Uncertainty Clouds Growth Prospects

Randstad's Q2 2025 results showed revenues of EUR 5.8 billion and EBITDA of EUR 171 million, with a margin of 3.0%. The company's earnings per share (EPS) came in at EUR 0.48, missing estimates of EUR 0.623. Organic revenue declined by 2.3%, with a more pronounced return in seasonality. Gross profit and OpEx were aligned, allowing Randstad to protect relative profitability despite lower top-line growth.

Publication Date: Jul -27

📋 Highlights
  • Revenue and EBITDA Performance: - EUR5.8 billion in revenues and EUR171 million in EBITDA with a 3.0% margin.
  • Organic Revenue Decline: - Organic revenue dropped 2.3%, reflecting economic uncertainty and market challenges.
  • North America EBITA Margin: - EBITA margin improved to 4.1%, a 70 basis point increase year-over-year.
  • Digital Shifts Growth: - Over 700,000 shifts selected on digital marketplaces, a double-digit increase from Q1.
  • Free Cash Flow and Leverage: - Positive free cash flow of EUR82 million with a leverage ratio of 1.8x.

Financial Performance

The company's financial performance was impacted by geopolitical and economic uncertainty, with a mixed picture across markets. Growth was seen in Italy, Spain, APAC, and Latin America, but weakness in Northwest Europe. The EBITA margin for North America was 4.1%, up 70 basis points year-over-year. Free cash flow for the quarter was positive EUR 82 million, with a leverage ratio of 1.8%. According to management, "the exit rate in June improved, with growth rates broad-based across countries, averaging around 2%".

Segmental Performance

Randstad's specialization segments, such as RPO, continue to grow, with strong demand across markets. The company saw an 18% increase in placements per corporate staff member in North America, driven by the rollout of its digital platform. Over 700,000 shifts were directly selected by talent on digital marketplaces, a double-digit increase from Q1. The company is on track to deliver north of EUR 100 million net structural savings for 2025.

Outlook and Valuation

Looking ahead to Q3, Randstad expects a similar decline in gross margin, with modestly lower operating expenses. The company aims to focus on profitable growth, deliver better talent service models, and reduce indirect costs. At current prices, Randstad trades at a P/E Ratio of 66.56, a P/B Ratio of 1.96, and an EV/EBITDA of 12.23. The stock offers a Dividend Yield of 6.67% and a Free Cash Flow Yield of 8.58%. With a ROIC of 4.52% and ROE of 2.8%, the company's valuation appears to be reflecting its growth challenges.

3. NewsRoom

Card image cap

Randstad N.V. (AMS:RAND) Stock's On A Decline: Are Poor Fundamentals The Cause?

Nov -26

Source:

Card image cap

Rackspace Technology Appoints Lata Varghese and Phani Kishore Burre to Senior Leadership Roles Driving Cloud and AI Transformation

Nov -17

Source:

Card image cap

Record Number of UKG Innovation Award Winners Showcase the Power of AI-Led Workforce Transformation

Nov -05

Source:

Card image cap

Randstad's (AMS:RAND) Soft Earnings Are Actually Better Than They Appear

Oct -30

Source:

Card image cap

Randstad Report : Gen Z is ambitious, restless - and changing Canada's labour market

Oct -15

Source:

Card image cap

Societe Generale: shares & voting rights as of 31 August 2025

Sep -09

Source:

Card image cap

Vaisala Corporation: Share Repurchase 9.9.2025

Sep -09

Source:

Card image cap

Assessing Acciona (BME:ANA)'s Valuation After Recent Subtle Moves

Sep -09

Source:

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (2.80%)

6. Segments

Staffing

Expected Growth: 2.5%

Randstad N.V.'s staffing segment growth of 2.5% is driven by increasing demand for temporary and permanent staffing solutions, fueled by economic recovery and labor market tightness. Additionally, the company's strategic acquisitions, investments in digital transformation, and expansion into new markets have contributed to its growth momentum.

Inhouse

Expected Growth: 2.8%

Randstad N.V.'s in-house segment growth of 2.8% is driven by increasing demand for total talent solutions, expansion of existing client relationships, and strategic investments in digital transformation. Additionally, the company's focus on innovation, operational efficiency, and cost savings initiatives have contributed to this growth.

Professionals

Expected Growth: 3.2%

Randstad N.V.'s 3.2% growth is driven by increasing demand for temporary and permanent staffing, expansion into new markets, and strategic acquisitions. Additionally, the company's focus on digital transformation, innovation, and customer experience has improved operational efficiency and enhanced its competitive position.

Global Businesses

Expected Growth: 3.5%

Randstad N.V.'s 3.5% growth in global businesses is driven by increasing demand for staffing services, expansion into emerging markets, and strategic acquisitions. Additionally, the company's focus on digital transformation, innovation, and cost savings initiatives have contributed to its growth. Furthermore, the rise of the gig economy and changing workforce demographics have also fueled demand for Randstad's services.

7. Detailed Products

Temporary and Contract Staffing

Randstad provides temporary and contract staffing solutions to clients across various industries, offering flexible workforce management and talent acquisition services.

Permanent Placement

Randstad offers permanent placement services, connecting clients with top talent for direct-hire positions, ensuring a precise fit for the role and company culture.

Managed Services Programs (MSP)

Randstad's MSP solutions provide clients with a comprehensive, vendor-neutral approach to managing contingent labor, ensuring cost savings, efficiency, and compliance.

Recruitment Process Outsourcing (RPO)

Randstad's RPO solutions provide clients with a customized, end-to-end recruitment process, leveraging technology and expertise to attract, select, and hire top talent.

Outplacement Services

Randstad's outplacement services support organizations undergoing restructuring, providing career transition assistance to departing employees, ensuring a smooth transition and maintaining employer brand reputation.

HR Consulting

Randstad's HR consulting services offer strategic guidance on HR processes, talent management, and organizational development, helping clients optimize their HR function.

8. Randstad N.V.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Randstad N.V. operates in a highly competitive industry, and there are many substitutes available for its services. However, the company's strong brand reputation and global presence help to mitigate the threat of substitutes.

Bargaining Power Of Customers

Randstad N.V.'s customers have some bargaining power due to the availability of substitutes, but the company's strong relationships with its clients and its ability to provide customized solutions help to reduce this power.

Bargaining Power Of Suppliers

Randstad N.V. has a large pool of suppliers, which reduces the bargaining power of individual suppliers. However, the company's dependence on a few key suppliers for certain services increases their bargaining power.

Threat Of New Entrants

The threat of new entrants is high in the staffing industry, as it is relatively easy to start a new staffing firm. However, Randstad N.V.'s strong brand reputation, global presence, and established relationships with clients and suppliers create barriers to entry.

Intensity Of Rivalry

The staffing industry is highly competitive, with many players competing for market share. Randstad N.V. faces intense competition from other staffing firms, which drives down prices and increases the need for innovation and differentiation.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 20.13%
Debt Cost 8.46%
Equity Weight 79.87%
Equity Cost 10.29%
WACC 9.92%
Leverage 25.20%

11. Quality Control: Randstad N.V. passed 5 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Logista

A-Score: 7.4/10

Value: 7.0

Growth: 5.9

Quality: 5.8

Yield: 10.0

Momentum: 6.0

Volatility: 10.0

1-Year Total Return ->

View Full Report
Stock-Card
Strabag

A-Score: 6.6/10

Value: 8.1

Growth: 4.7

Quality: 6.2

Yield: 8.1

Momentum: 10.0

Volatility: 2.7

1-Year Total Return ->

View Full Report
Stock-Card
Wallenius Wilhelmsen

A-Score: 5.8/10

Value: 9.2

Growth: 8.2

Quality: 7.9

Yield: 6.2

Momentum: 1.0

Volatility: 2.3

1-Year Total Return ->

View Full Report
Stock-Card
Serco

A-Score: 5.6/10

Value: 4.6

Growth: 5.1

Quality: 3.0

Yield: 3.1

Momentum: 9.0

Volatility: 9.0

1-Year Total Return ->

View Full Report
Stock-Card
Randstad

A-Score: 4.7/10

Value: 5.4

Growth: 2.0

Quality: 3.1

Yield: 10.0

Momentum: 2.0

Volatility: 6.0

1-Year Total Return ->

View Full Report
Stock-Card
Adecco

A-Score: 4.4/10

Value: 7.0

Growth: 2.4

Quality: 2.7

Yield: 8.8

Momentum: 2.0

Volatility: 3.3

1-Year Total Return ->

View Full Report

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

32.1$

Current Price

32.1$

Potential

-0.00%

Expected Cash-Flows