1. Opening Hook
In a quarter where most CEOs cried about hiring freezes,TeamLeasequietly added 7,000 new heads — proving someone’s still hiring (even if it’s not IT). India’s staffing giant sounds cautiously cheerful, almost as if they’ve seen the worst and lived to tell the tale.With BFSI thawing, GCCs hiring, and apprentices getting formal recognition, TeamLease is finally seeing the job market’s heartbeat again. But before you think it’s a hiring party — margins are still sipping black coffee, not champagne.Keep reading — because this call had everything: cautious optimism, a PF refund flex, and government policy gossip that could change India’s apprenticeship game.
2. At a Glance
- Revenue up 5% QoQ:HR finally standing for “Healthy Recovery.”
- EBITDA up 24% QoQ:Cost cuts — not caffeine — fueled this energy spike.
- Headcount +11,000:Someone’s back to hiring humans again.
- PAT up 20% YoY:Profits walked in late but dressed sharply.
- DSO steady at 15 days:Clients paying faster — miracles happen.
- Cash balance ₹320 crore:Plenty of fuel for the next growth lap.
- Free cash flow intact:CFO smiling wider than HR recruiters.
3. Management’s Key Commentary
“We closed Q2 with a net addition of 7,000 headcount.”(Translation: India Inc. finally stopped ghosting us on hiring calls.😏)
“EBITDA grew 24%, driven by cost optimization.”(Also known as ‘we trimmed fat without firing HR’.)
“BFSI is stabilizing after RBI curbs.”(Banks realized you can’t sell loans without loan officers.)
“GCCs contribute 62% of specialized staffing revenue.”(Global Captive Centers — the new desi dream employers.)
“Apprenticeships are gaining policy momentum.”(Government finally found a law everyone actually likes.)
“General staffing EBITDA is flat, but fixed costs absorbed.”(Translation: We’re now officially running on treadmill efficiency.)
“Profit growth should outpace revenue growth.”(A classic CFO line, repeated since the dawn of earnings calls.🧮)
4. Numbers Decoded
| Metric | Q2 FY26 | Q1 FY26 | YoY Change | Commentary |
|---|---|---|---|---|
| Revenue | ₹ – (implied +5%) | — | +? | Hiring pulse returning |
| EBITDA | +24% QoQ | — | +25% YoY | Cost control hero |
| PAT | — | — | +20% YoY | Smooth climb |
| Headcount | +11,000 | — | — | New faces, same attrition risk |
| PAPM | Flat | — | Flat | Stability is the new growth |
| Free Cash | ₹320 Cr | — | — | CFO’s comfort blanket |
Decoded:EBITDA’s doing the heavy lifting while general staffing margins still crawl at 1%. Specialized staffing and apprenticeships are now the new profit engines, with GCCs playing savior.
5. Analyst Questions (with Translations)
Q:PAPM has been flat for years — any hope?A:We’re working on it.(Translation: Miracles take time, and clients don’t pay more unless forced.)
Q:Will HR-tech ever make profits?A:Two more quarters.(Translation: It’s the “next quarter” of corporate India — eternal and elusive.)
Q:Can margins double like your competitor’s?A:Unlikely, but we’ll improve.(Translation: We’ll copy what we can, brag about the rest.😅)
Q:Has the worst passed for all segments?A:Yes, bottom’s behind us.(Translation: Fingers crossed, unless RBI changes its mind again.)
Q:PF refunds done?A:Fully received, no reversals.(Translation: For once, a
