CBIZ, Inc. (CBZ) Bundle
An Overview of CBIZ, Inc. (CBZ)
General Summary of CBIZ, Inc. (CBZ)
CBIZ, Inc. (CBZ) has established itself as a prominent provider of professional business services, primarily focusing on financial services, benefits and insurance, and national practices. Founded in 1996, the company has expanded significantly through strategic acquisitions and organic growth, serving small and medium-sized businesses, governmental entities, and not-for-profit organizations across the United States and parts of Canada. As of 2024, CBIZ offers a diverse range of services, including accounting, tax, consulting, employee benefits, and insurance services.
As of 2024, CBIZ reported total sales of approximately $1.353 billion for the nine months ended September 30, 2024, reflecting a robust 7.1% increase from $1.264 billion for the same period in 2023. The company’s growth has been supported by its focus on enhancing service offerings and expanding into high-growth markets.
Company's Financial Performance in the Latest Financial Reports
CBIZ's financial performance for the nine months ended September 30, 2024, showcased a record-breaking revenue of $1,353.2 million, an increase of $89.5 million, or 7.1%, compared to $1,263.6 million in the same period of 2023. The same-unit revenue increased by approximately $58.7 million, or 4.6%. Revenue from newly acquired operations contributed $31.7 million, or 2.3%, of incremental revenue during this period.
Net income for the third quarter of 2024 was reported at $35.1 million, or $0.70 per diluted share, compared to $33.7 million, or $0.67 per diluted share, in the third quarter of 2023. For the nine months ended September 30, 2024, net income totaled $131.8 million, or $2.62 per diluted share, slightly down from $133.7 million, or $2.64 per diluted share, for the same period in 2023.
The following table summarizes CBIZ's revenue and operating expenses across its segments for the nine months ended September 30, 2024:
| Segment | Revenue (in thousands) | Operating Expenses (in thousands) | Gross Margin (in thousands) |
|---|---|---|---|
| Financial Services | $1,004,158 | $789,009 | $215,149 |
| Benefits and Insurance Services | $309,867 | $249,845 | $60,022 |
| National Practices | $39,168 | $35,062 | $4,106 |
| Corporate and Other | $0 | $34,908 | ($34,908) |
| Total | $1,353,193 | $1,108,824 | $244,369 |
Operating expenses increased by $81.7 million, or 8.0%, during the nine months ended September 30, 2024, primarily driven by higher personnel costs and direct expenses associated with the expansion of service offerings. The company’s focus on strategic acquisitions has also contributed to the increase in operating expenses as it continues to integrate new operations.
Introduction to CBIZ as a Leader in the Industry
CBIZ, Inc. stands out as one of the leading companies in the professional services industry. With a comprehensive suite of services and a commitment to enhancing client value, CBIZ continues to expand its market presence. The company’s strategic focus on integrating services and acquiring businesses in high-growth sectors positions it favorably for future growth. As of 2024, CBIZ’s dedication to providing tailored solutions to its clients has solidified its reputation as a trusted partner in navigating complex financial landscapes.
Investors and stakeholders are encouraged to explore further details about CBIZ's innovative strategies and operational excellence, which underpin its success in the competitive landscape of business services.
Mission Statement of CBIZ, Inc. (CBZ)
Mission Statement of CBIZ, Inc. (CBZ)
CBIZ, Inc. aims to provide high-quality professional services that help clients manage their finances and employees effectively. The mission statement emphasizes the importance of delivering exceptional value through integrated services tailored to the needs of small and medium-sized businesses, governmental entities, and not-for-profit organizations. This commitment underscores the company's long-term goals of growth and client satisfaction.
Core Component 1: Commitment to Clients
CBIZ's mission is rooted in a strong commitment to client service, focusing on understanding and meeting their unique needs. In the nine months ended September 30, 2024, CBIZ reported a revenue increase of $89.5 million, or 7.1%, totaling $1,353.2 million compared to $1,263.6 million for the same period in 2023. This growth highlights the effectiveness of their client-centric approach .
| Metrics | 2024 (9 months) | 2023 (9 months) | Change ($) | Change (%) |
|---|---|---|---|---|
| Total Revenue | $1,353.2 million | $1,263.6 million | $89.5 million | 7.1% |
| Same-Unit Revenue Growth | $58.7 million | - | 4.6% | - |
| Revenue from Acquisitions | $31.7 million | - | 2.3% | - |
Core Component 2: Integrated Services
Another vital aspect of CBIZ's mission is the provision of integrated services across three primary practice groups: Financial Services, Benefits and Insurance Services, and National Practices. For the nine months ending September 30, 2024, the Financial Services segment generated $1,004.2 million, representing 74.2% of total revenue, indicating a robust demand for these services .
| Practice Group | Total Revenue (2024) | % of Total Revenue |
|---|---|---|
| Financial Services | $1,004.2 million | 74.2% |
| Benefits and Insurance Services | $309.9 million | 22.9% |
| National Practices | $39.2 million | 2.9% |
Core Component 3: Strategic Growth and Innovation
CBIZ's mission statement also emphasizes strategic growth through acquisitions and innovation. In 2024, the company completed three acquisitions for a total of $22.5 million, enhancing its service offerings and market presence . The strategic use of capital is central to CBIZ's operational framework, allowing for continuous improvement and expansion in high-growth industries.
| Acquisition Metrics | 2024 |
|---|---|
| Number of Acquisitions | 3 |
| Total Cost of Acquisitions | $22.5 million |
| Repurchased Shares | 0.2 million |
Vision Statement of CBIZ, Inc. (CBZ)
Vision Statement Overview
The vision statement of CBIZ, Inc. (CBZ) as of 2024 emphasizes the company's commitment to being a leading provider of integrated business solutions. This vision reflects a focus on enhancing client success through innovative services and strategic growth.
Commitment to Client Success
CBIZ aims to empower its clients by providing tailored solutions that address their unique business challenges. This commitment is evident in the company's financial performance, which shows a 7.1% increase in revenue for the nine months ended September 30, 2024, reaching $1.353 billion, compared to $1.264 billion for the same period in 2023.
Innovative Services
The vision statement highlights the importance of innovation in service delivery. CBIZ continues to invest in technology and service enhancements, resulting in a 4.5% increase in same-unit revenue, equating to approximately $58.7 million for the nine months ended September 30, 2024. This growth is driven by the expansion of digital solutions and advisory services across its practice groups.
Strategic Growth and Market Expansion
CBIZ's vision includes strategic growth through acquisitions and market expansion. In 2024, the company completed three acquisitions for a total of $22.5 million, enhancing its service capabilities and market presence. The focus on high-growth industries is expected to further strengthen its competitive position.
Financial Stability and Performance
Financial stability is a crucial aspect of CBIZ's vision. The company reported a net income of $131.8 million, or $2.62 per diluted share, for the nine months ended September 30, 2024. This reflects a robust operating performance and effective cost management, with operating expenses as a percentage of revenue slightly decreasing to 78.6% from 79.1% in the prior year.
Commitment to Core Values
CBIZ's vision is underpinned by its core values, which include integrity, respect, and teamwork. These values guide the company's operations and client interactions, fostering a culture that prioritizes ethical practices and collaborative efforts. The emphasis on core values is reflected in the employee engagement metrics, which indicate a commitment to professional development and community involvement.
| Financial Metrics | 2024 (9 months) | 2023 (9 months) | Change (%) |
|---|---|---|---|
| Total Revenue | $1.353 billion | $1.264 billion | 7.1% |
| Net Income | $131.8 million | $133.7 million | -1.4% |
| Same-Unit Revenue Growth | $58.7 million | $41.7 million | 4.5% |
| Acquisition Spending | $22.5 million | N/A | N/A |
| Operating Expenses (% of Revenue) | 78.6% | 79.1% | -0.5% |
Future Outlook
Looking ahead, CBIZ is poised to leverage its vision to drive growth and enhance client value. The strategic initiatives and ongoing investments in service innovation are expected to position the company favorably in the competitive landscape of business solutions.
Core Values of CBIZ, Inc. (CBZ)
Integrity
Integrity is the cornerstone of CBIZ, Inc.'s operations, emphasizing ethical conduct and accountability in all business dealings.
In 2024, CBIZ has demonstrated its commitment to integrity through various initiatives, including robust compliance training for employees. In the nine months ended September 30, 2024, the company reported a net income of $131.8 million, reflecting a commitment to ethical financial practices. Additionally, CBIZ has implemented a whistleblower policy, encouraging employees to report unethical behavior without fear of retaliation.
Client Focus
Client focus drives CBIZ's mission to provide exceptional service and tailored solutions to meet client needs.
As of September 30, 2024, CBIZ's revenue from the Benefits and Insurance Services practice group increased by 4.6% to $309.9 million, indicating a strong alignment with client requirements. The company has also expanded its Financial Services offerings, contributing to a total revenue of $1.353 billion for the nine-month period, showcasing its dedication to understanding and responding to client needs.
Innovation
Innovation at CBIZ involves continuously improving services and leveraging technology to enhance client experiences.
In 2024, CBIZ invested significantly in technology upgrades, resulting in a $2.1 million increase in personnel costs due to hiring specialized staff for tech initiatives. The company reported a 6.9% revenue increase for the third quarter, driven by innovative solutions in its National Practices segment. This investment in innovation has allowed CBIZ to streamline operations and offer more efficient services to clients.
Collaboration
Collaboration fosters teamwork and collective problem-solving at CBIZ, enhancing service delivery.
CBIZ's organizational structure encourages collaboration across its three practice groups—Financial Services, Benefits and Insurance Services, and National Practices. The company reported a gross margin of $244.4 million for the nine months ended September 30, 2024, demonstrating the effectiveness of collaborative efforts. Furthermore, the recent acquisition of CompuData, Inc. illustrates CBIZ's strategy to enhance collaborative capabilities and service offerings.
Respect
Respect is fundamental to CBIZ’s culture, promoting inclusivity and valuing diverse perspectives.
As of 2024, CBIZ has implemented diversity and inclusion training programs, with 100% participation among employees in these initiatives. The company's commitment to respect is evident in its employee engagement scores, which have consistently improved, reflecting a positive workplace environment. With a total workforce of approximately 4,500 employees, CBIZ actively promotes respect through various employee resource groups.
| Core Value | Initiative | Impact |
|---|---|---|
| Integrity | Compliance training and whistleblower policy | Net income of $131.8 million for 2024 |
| Client Focus | Tailored solutions and service expansion | Revenue increase to $1.353 billion |
| Innovation | Technology investments and personnel hiring | 6.9% revenue growth in Q3 2024 |
| Collaboration | Cross-practice group teamwork | Gross margin of $244.4 million |
| Respect | Diversity and inclusion programs | Improved employee engagement scores |
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Resources:
- CBIZ, Inc. (CBZ) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of CBIZ, Inc. (CBZ)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View CBIZ, Inc. (CBZ)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.