tbi-20260329

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended: March 29, 2026

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission File Number: 001-14543

____________________________________

TrueBlue, Inc.

(Exact name of registrant as specified in its charter)

______________________________________

Washington

91-1287341

(State of incorporation)

(I.R.S. employer identification no.)

1015 A Street, Tacoma, Washington 98402

(Address of principal executive offices) (Zip Code)

Registrant’s telephone number, including area code: (253) 383-9101

______________________________________

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common stock, no par value	TBI	New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer

☐

Accelerated filer

☒

Non-accelerated filer

☐

Smaller reporting company

☒

Emerging growth company

☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark if the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

As of April 26, 2026, there were 30,404,091 shares of the registrant’s common stock outstanding.

TrueBlue, Inc.

Table of Contents


		Page
PART I. FINANCIAL INFORMATION
Item 1.	Consolidated financial statements (unaudited)	3
	Consolidated Balance Sheets	3
	Consolidated Statements of Operations and Comprehensive Income (Loss)	4
	Consolidated Statements of Cash Flows	5
	Notes to consolidated financial statements	6
Item 2.	Management’s discussion and analysis of financial condition and results of operations	20
Item 3.	Quantitative and qualitative disclosures about market risk	30
Item 4.	Controls and procedures	30

PART II. OTHER INFORMATION
Item 1.	Legal proceedings	31
Item 1A.	Risk factors	31
Item 2.	Unregistered sales of equity securities and use of proceeds	31
Item 3.	Defaults upon senior securities	31
Item 4.	Mine safety disclosures	32
Item 5.	Other information	32
Item 6.	Index to exhibits	33

	Signatures	34

Page - 2


(in thousands, except par value and share count data)	March 29, 2026		December 28, 2025
ASSETS
Current assets:
Cash and cash equivalents	$	24,132	$	24,510
Accounts receivable, net of allowance of $2,566 and $2,190, respectively	246,343		241,233
Prepaid expenses and other current assets	29,952		30,987
Income tax receivable	869		879
Total current assets	301,296		297,609
Property and equipment, net	69,462		73,117
Restricted cash, cash equivalents and investments	129,229		136,588
Deferred income taxes, net	1,243		1,338
Goodwill	38,930		42,496
Intangible assets, net	17,432		18,095
Operating lease right-of-use assets, net	33,028		34,045
Workers’ compensation claims receivable, net	20,459		25,659
Other assets, net	9,589		9,720
Total assets	$	620,668	$	638,667
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable and other accrued expenses	$	39,811	$	36,111
Accrued wages and benefits	65,681		61,736
Income tax payable	1,045		1,038
Current portion of workers’ compensation claims reserve	22,931		24,193

Current operating lease liabilities	11,095		11,206
Other current liabilities	3,302		4,249
Total current liabilities	143,865		138,533
Workers’ compensation claims reserve, less current portion	65,170		72,551
Long-term debt	73,900		65,800

Long-term deferred compensation liabilities	35,438		39,531
Long-term operating lease liabilities	45,437		46,796

Other long-term liabilities	776		899
Total liabilities	364,586		364,110

Commitments and contingencies (Note 9)

Shareholders’ equity:
Preferred stock, $0.131 par value, 20,000,000 shares authorized; No shares issued and outstanding	—		—
Common stock, no par value, 100,000,000 shares authorized; 30,378,397 and 29,986,762 shares issued and outstanding	1		1
Accumulated other comprehensive loss	(21,686)		(21,647)
Retained earnings	277,767		296,203
Total shareholders’ equity	256,082		274,557
Total liabilities and shareholders’ equity	$	620,668	$	638,667


	Thirteen weeks ended
(in thousands, except per share data)	March 29, 2026		March 30, 2025
Revenue from services	$	398,566	$	370,254
Cost of services	319,547		283,912
Gross profit	79,019		86,342
Selling, general and administrative expense	87,299		94,621
Depreciation and amortization (exclusive of depreciation included in cost of services)	5,911		5,844
Goodwill impairment charge	3,656		—
Loss from operations	(17,847)		(14,123)


Interest and other income (expense), net	(1,372)		193
Loss before tax expense	(19,219)		(13,930)
Income tax expense	576		418
Net loss	$	(19,795)	$	(14,348)

Net loss per common share:
Basic	$	(0.66)	$	(0.48)
Diluted	$	(0.66)	$	(0.48)

Weighted average shares outstanding:
Basic	30,145		29,698
Diluted	30,145		29,698

Other comprehensive loss:
Foreign currency translation adjustment	$	(39)	$	(29)
Comprehensive loss	$	(19,834)	$	(14,377)


	Thirteen weeks ended
(in thousands)	March 29, 2026		March 30, 2025
Cash flows from operating activities:
Net loss	$	(19,795)	$	(14,348)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization (inclusive of depreciation included in cost of services)	6,867		6,810
Goodwill impairment charge	3,656		—
Provision for credit losses	1,074		250
Stock-based compensation	1,793		2,060
Deferred income taxes	195		—
Non-cash lease expense	2,613		2,753
Other operating activities	1,982		1,486
Changes in operating assets and liabilities:
Accounts receivable	(6,052)		9,133
Income taxes receivable and payable	—		373

Other assets	7,003		7,150
Accounts payable and other accrued expenses	4,002		(9,580)
Accrued wages and benefits	3,946		(5,418)

Workers’ compensation claims reserve	(8,643)		(16,865)
Operating lease liabilities	(3,034)		(3,035)
Other liabilities	(5,386)		(2,884)
Net cash used in operating activities	(9,779)		(22,115)
Cash flows from investing activities:
Capital expenditures	(2,829)		(4,680)
Acquisition of business, net of cash acquired	—		(30,044)





Purchases of restricted held-to-maturity investments	(7,718)		—
Sales and maturities of restricted held-to-maturity investments	13,768		10,756

Net cash provided by (used in) investing activities	3,221		(23,968)
Cash flows from financing activities:

Net proceeds from employee stock purchase plans	162		70
Common stock repurchases for taxes upon vesting of restricted stock	(597)		(895)
Net change in revolving credit facility	8,100		50,200


Other	(491)		(6)
Net cash provided by financing activities	7,174		49,369
Effect of exchange rate changes on cash, cash equivalents and restricted cash and cash equivalents	(323)		(230)
Net change in cash, cash equivalents and restricted cash and cash equivalents	293		3,056
Cash, cash equivalents and restricted cash and cash equivalents, beginning of period	44,020		61,100
Cash, cash equivalents and restricted cash and cash equivalents, end of period	$	44,313	$	64,156

Supplemental disclosure of cash flow information:
Cash paid during the period for:
Interest	$	1,563	$	355
Income taxes, net of refunds	$	378	$	116
Operating lease liabilities	$	3,751	$	3,593
Non-cash transactions:
Property and equipment purchased but not yet paid	$	553	$	1,305

Right-of-use assets obtained in exchange for new operating lease liabilities	$	1,830	$	1,454


(in thousands)	Purchase price allocation


Purchase price allocated as follows:
Cash and cash equivalents	$	5,042
Accounts receivable	13,877
Prepaid expenses, deposits and other current assets	216
Operating lease right-of-use assets	97
Intangible assets	14,950
Total assets acquired	34,182

Accounts payable and other accrued expenses	2,228
Accrued wages and benefits	10,369
Income tax payable	3,635

Operating lease liabilities	97
Total liabilities assumed	16,329

Net identifiable assets acquired	17,853
Goodwill (1)	17,338
Total cash consideration transferred	$	35,191


(in thousands, except percentages and estimated useful lives, in years)	Estimated fair value		Estimated useful life in years	Valuation method	Discount rate
Customer relationships	$	14,300	6	Multi-period excess earnings	17.0%
Trade names/trademarks	650		7	Relief from royalty	17.0%
Total acquired identifiable intangible assets	$	14,950


	March 29, 2026
(in thousands)	Total fair value		Quoted prices in active markets for identical assets (level 1)		Significant other observable inputs (level 2)		Significant unobservable inputs (level 3)
Cash and cash equivalents	$	24,132	$	24,132	$	—	$	—
Restricted cash and cash equivalents	20,181		20,181		—		—
Cash, cash equivalents and restricted cash and cash equivalents (1)	$	44,313	$	44,313	$	—	$	—

Municipal debt securities	$	5,797	$	—	$	5,797	$	—
Corporate debt securities	42,658		—		42,658		—
Agency mortgage-backed securities	4,594		—		4,594		—
U.S. government and agency securities	11,680		—		11,680		—
Restricted investments classified as held-to-maturity (2)	$	64,729	$	—	$	64,729	$	—


	December 28, 2025
(in thousands)	Total fair value		Quoted prices in active markets for identical assets (level 1)		Significant other observable inputs (level 2)		Significant unobservable inputs (level 3)
Cash and cash equivalents	$	24,510	$	24,510	$	—	$	—
Restricted cash and cash equivalents	19,510		19,510		—		—
Cash, cash equivalents and restricted cash and cash equivalents (1)	$	44,020	$	44,020	$	—	$	—

Municipal debt securities	$	7,836	$	—	$	7,836	$	—
Corporate debt securities	50,334		—		50,334		—
Agency mortgage-backed securities	4,873		—		4,873		—
U.S. government and agency securities	7,973		—		7,973		—
Restricted investments classified as held-to-maturity (2)	$	71,016	$	—	$	71,016	$	—


	March 29, 2026
(in thousands)	Amortized cost		Gross unrealized gains		Gross unrealized losses		Fair value
Municipal debt securities	$	5,799	$	—	$	(2)	$	5,797
Corporate debt securities	42,527		235		(104)		42,658
Agency mortgage-backed securities	4,564		30		—		4,594
U.S. government and agency securities	11,726		—		(46)		11,680
Total held-to-maturity investments	$	64,616	$	265	$	(152)	$	64,729


(in thousands)		PeopleReady		PeopleManagement		PeopleSolutions		Total company
Balance at	December 28, 2025
Goodwill before impairment		$	105,284	$	81,092	$	159,647	$	346,023
Accumulated impairment charge		(105,284)		(79,601)		(118,642)		(303,527)
Goodwill		—		1,491		41,005		42,496

Impairment charge		—		—		(3,656)		(3,656)

Foreign currency translation		—		—		90		90

Balance at	March 29, 2026
Goodwill before impairment		105,284		81,092		159,737		346,113
Accumulated impairment charge		(105,284)		(79,601)		(122,298)		(307,183)
Goodwill		$	—	$	1,491	$	37,439	$	38,930


Item 1.			CONSOLIDATED FINANCIAL STATEMENTS


NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)


NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)


NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)

SEC Form 10-Q filed by TrueBlue Inc.