Randstad reported fourth-quarter 2025 results largely meeting expectations on adjusted EBITA, but revealed softer organic growth and a steeper-than-expected gross margin decline. The Dutch staffing giant saw a 2.1% drop in organic growth, falling short of the 1.4% consensus estimate and worse than the 1.2% decline in the previous quarter. Gross margin contracted 40 basis points year-over-year to 18.4%, missing company guidance and aligning with the 18.4% consensus figure. Adjusted EBITA rose 4% to €191 million, slightly above the €189 million estimate, while SG&A expenses fell 7% year-over-year, or 4% organically, representing 15.1% of sales. Free cash flow surged 145% year-over-year to €213 million, with net debt at €1.006 billion and a leverage ratio of 1.3x. Q1 guidance projected January organic growth at -0.4% and a sequential stability in gross margin at 18.4%, but the company also flagged a 90 basis point year-over-year decline in gross margin for the quarter, potentially triggering a mid-single-digit cut to consensus adjusted EBITA. This softer outlook contrasts with the strong free cash flow performance, highlighting near-term margin pressures despite solid liquidity.