TeamLease Services Limited stands as one of India's premier human resource services companies, providing comprehensive workforce solutions across diverse industries since its incorporation in 2000. The company is primarily focused on providing a gamut of HR services that include staffing services, temporary recruitment, permanent recruitment, payroll process outsourcing, regulatory compliance services, vocational training/education and assessments, technology-led specialized academic services, and end-to-end hiring technology-driven services.
The stock symbol of TeamLease Services is NSE: TEAMLEASE on the NSE and BSE: 539658 on the BSE, with an ISIN of INE985S01024. The company currently has a market cap of ₹3,338 crore as of the latest available data and belongs to the Industrials sector, specifically within the Employment Services sub-sector.
TeamLease Services operates through three primary segments: General Staffing and Allied Services, Specialised Staffing Services, and Other HR Services.
- General Staffing and Allied Services: This segment comprises staffing operations, temporary recruitment, payroll processing, and the National Employability Through Apprenticeship Program (NETAP).
- Specialised Staffing Services: This segment focuses on information technology (IT) staffing and telecom staffing operations.
- Other HR Services: This encompasses a broader range of HR solutions.
The company has established itself as a significant player in the employment services sector, with a comprehensive approach to bridging the gap between education, employment, and employability. Founded in 2000, it was converted into a public limited company in 2015. Currently, TeamLease Services covers an extensive client base of 1,400, an impressive 11,000 headcount in its direct employment, and an apprenticeship program with 16,000 enrolments.
- Net Profit: Rose 27.22% to ₹34.96 crore in the quarter ended March 2025, compared to ₹27.48 crore in the same quarter last year (March 2024).
- Sales: Increased 17.51% to ₹2,857.92 crore in the quarter ended March 2025, compared to ₹2,431.97 crore in the quarter ended March 2024.
- Net Profit: Declined 3.02% to ₹108.76 crore in the year ended March 2025, compared to ₹112.15 crore in the previous year ended March 2024.
- Sales: Grew 19.68% to ₹11,155.87 crore in the year ended March 2025, compared to ₹9,321.53 crore in the previous year ended March 2024.
- Revenue Growth: The company experienced approximately a 20% revenue growth in FY25.
- Operating Margins: Operating profit margins witnessed a slight fall, standing at 1.4% in FY24 compared to 1.5% in FY23. Net profit margins declined from 1.4% in FY23 to 1.2% in FY24.
- Current Valuation Ratios: The PE ratio is 33.8 and the PB ratio is 3.62, as of May 19, 2025.
- Headcount: Jumped 16% Year-on-Year to 3,50,240 in Q2 FY25, demonstrating robust expansion in general staffing services. Ashok Reddy, Managing Director of TeamLease Services, stated, "We have crossed 3.5 lac billable headcount in our Employment cluster owing to strong growth across sectors."
- Degree Apprenticeship Revenue: Increased 7% Year-on-Year to ₹45,270 crore in Q2 FY25, driven by net growth in trainee headcount, particularly in the automobile and ITES sectors.
- Specialised Staffing Revenue: Declined 20% Year-on-Year to ₹6,670 crore during the quarter. The company attributes this to continued headwinds in the IT industry impacting growth in this segment.
The company is actively investing in a HireTech platform, which is expected to go live in FY26. This platform aims to significantly reduce hiring costs in a phased manner, representing TeamLease's commitment to enhancing operational efficiency and service delivery capabilities through technological advancements.
While headcount additions have been robust in general staffing, the challenges in specialized staffing have prompted a strategic pivot towards operational efficiency and concentrated investments in HR technology. The demand for AI-skilled professionals is rising, and TeamLease is preparing to meet these evolving market needs, despite a cautious IT hiring landscape.
The company has a promoter holding of 31.6%, indicating significant management ownership and commitment. In the last three months, mutual fund holding has increased by 10.85%, while foreign institutional holding has decreased by the same percentage, reflecting mixed institutional sentiment.
As of May 19, 2025, the 52-week high stock price of TeamLease Services was ₹3,700.00, and the 52-week low was ₹1,641.20, indicating significant volatility over the past year. The stock is trading at 3.68 times its book value. Although the company is reporting consistent profits, it is currently not paying out dividends.
The credit card business segment has experienced significant growth deceleration, influenced by regulatory shifts and cautious lending practices. While there has been consistent growth in Global Capability Centers (GCC) clients, net positive headcount growth remains dependent on the recovery in the IT services sector. GCC clients now account for 61% of the total specialized Staffing revenue.
TeamLease Services continues to focus on leveraging its strong position in the employment services sector while navigating industry challenges through strategic investments in technology and operational efficiency improvements.
