What factors drove the changes in Insperity's revenue and profit?

What guidance did Insperity's management provide for the next earnings period?

What is the market's earnings forecast for Insperity next quarter?

What is the revenue and EPS growth rate for Insperity year over year?

What is Insperity's latest dividend and current dividend yield?

What were the key takeaways from Insperity’s earnings call?

What does Insperity do and what are its main business segments?

What is Insperity's gross profit margin?

- **Healthcare Cost Crisis**: 9.1% YoY benefits cost trend driven by AI and utilization, requiring $20M in adjustments and 3% operating expense cuts.
- **UHC Contract Win**: 2% cost savings and reduced risk pooling to $500K, supporting 2026 margin recovery.
- **HRScale Breakthrough**: Q3 booked sales up 45% YoY, with largest account sale tied to HRScale interest. Expected to launch Q1 2026 with beta clients.
- **2026 Outlook**: Projected recovery of 2025 shortfall via pricing, UHC savings, and HRScale growth, despite macro SMB hiring challenges.

**【CFO Financial Commentary】**
- **Q3 2025 Financial Results**: Adjusted EPS was -$0.20, and adjusted EBITDA was $10 million, below forecasts due to $20 million in higher-than-expected benefits costs. Benefits cost trend was 9.1% YoY, driven by increased outpatient/inpatient utilization, pharmacy costs, and AI-driven upcoding.
- **2025 Outlook**: Full-year adjusted EPS expected in $0.84–$1.47 range, with benefits cost trend at 9% YoY. Q4 adjusted EBITDA forecasted at -$25M to $9M, with operating expenses down 3% YoY.
- **Capital Allocation**: $22M in dividends and $19M in share repurchases YTD, with $120M cash on hand.

**【CEO Strategic Initiatives】**
- **Healthcare Cost Mitigation**: New 3-year UHC contract reduces claims risk (pooling level cut to $500K) and projects 2% cost savings. Pricing adjustments for new/renewing clients to offset 9%+ trend.
- **HRScale Launch**: Beta clients go-live in Q1 2026, with booked sales success (45% Q3 YoY growth, largest account sale in history). Complementary pricing with HR360 to target mid-market clients.
- **3-Year Growth Plan**: Aims to return to double-digit unit growth and 20%+ EBITDA growth via HRScale, AI-driven efficiency (e.g., Compass tool), and cost control.

**【Q&A Highlights】**
- **Earnings Recovery**: 2026 expected to recover majority of 2025 shortfall via UHC savings, pricing, and HRScale. Client retention stable at 99% despite higher pricing.
- **HRScale Pricing**: Initial discounts for beta clients, but still higher than HR360. Long-term pricing supported by unique value proposition.
- **AI Impact**: Short-term focus on AI tools for client retention; long-term potential for SMB job creation offsets efficiency risks.

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