Results were largely in line with expectations, with the revenue decline attributable to the MRINetwork divestiture. The stock may trade flat to slightly positive given the in-line EPS and stable dividend. Monitor the next quarter for organic revenue trends excluding the divestiture impact.
Price Chart
Executive Summary
HireQuest reported Q1 2026 revenue of $6.5M, down 12.7% YoY, and GAAP diluted EPS of $0.11, in line with consensus. The revenue decline was partly driven by the divestiture of MRINetwork assets on January 1, 2026, which contributed ~$500K in franchise royalties and $74K in service revenue in the prior-year period. Adjusted net income per diluted share was flat at $0.13, and the company maintained its $0.06 quarterly dividend with no guidance provided.
Key Financial Metrics
Key Facts
- Total revenue of $6.5M decreased 12.7% YoY from $7.5M, partly due to the MRINetwork divestiture.
- GAAP diluted EPS of $0.11 was flat YoY and in line with consensus of $0.11.
- Adjusted net income per diluted share was $0.13, unchanged from Q1 2025.
- Adjusted EBITDA was $2.7M, down from $2.8M in the prior-year period.
- System-wide sales fell 13.4% to $102.6M; Q1 2025 included ~$16.0M from divested MRINetwork assets.
- Cash balance declined to $1.0M from $3.9M at year-end 2025; no debt on the line of credit.
- Company paid a $0.06 quarterly dividend on March 16, 2026, with intent to continue quarterly dividends.
- No forward guidance was provided in the release.
Financial Impact
Revenue decline of 12.7% YoY ($6.5M vs $7.5M); GAAP EPS flat at $0.11; adjusted EPS flat at $0.13.
Risk Factors
- Continued decline in system-wide sales (-13.4%) signals soft demand in the staffing industry.
- Cash burn from $3.9M to $1.0M in one quarter could pressure liquidity if the trend continues.
- No guidance provided limits forward visibility; any future miss could amplify downside.
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001437749-26-016423 |
| Document: hqi20260512c_8k.htm | 0001437749-26-016423 |
| Document: 0001437749-26-016423-index-headers.html | 0001437749-26-016423 |
| Document: 0001437749-26-016423-index.html | 0001437749-26-016423 |
| Document: 0001437749-26-016423.txt | 0001437749-26-016423 |
| 8-K Data (Synthetic) | 0001437749-26-016423 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Aug 10, 2026 11w ago | 8-K | $17.19 $15.94 | ▼ −7.27% | ▼ −6.21% | $17.19 (+0.00%) |
Aug 10, 2026 11w ago | Press Release | $17.19 $15.94 | ▼ −7.27% | ▼ −6.21% | $17.19 (+0.00%) |
May 12, 2026 24w ago | 8-K | $12.47 $14.18 | ▲ +13.71% | ▲ +14.33% | $17.19 (+37.85%) |
May 8, 2026 24w ago | 8-K | $11.66 $12.56 | ▲ +7.72% | ▲ +8.02% | $17.19 (+47.43%) |
Mar 30, 2026 30w ago | 8-K | $9.98 $11.47 | ▲ +14.93% | ▲ +5.51% | $17.19 (+72.24%) |
US Market Status
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