TriNet Group, Inc. (TNET) 2026 Q1 法說會逐字稿

Good day, and welcome to the TriNet Group, Inc. first-quarter 2026 earnings conference call. (Operator Instructions) Please note, this event is being recorded. I would now like to turn the conference over to Alex Bauer, Head of Investor Relations. Please go ahead.

各位好，歡迎參加 TriNet Group, Inc. 2026 年第一季財報電話會議。（接線員指示）請注意，本活動將被錄音。現在我想把會議交給投資人關係主管 Alex Bauer。請開始。

Thank you, and good afternoon, everyone. Joining me today are Irving Tan, WD's Chief Executive Officer; and Kris Sennesael, WD's Chief Financial Officer. Before we begin, please note that today's discussion will contain forward-looking statements based on management's current assumptions and expectations which are subject to various risks and uncertainties.

謝謝，各位下午好。今天與我一同出席的有 Irving Tan，WD 的執行長；以及 Kris Sennesael，WD 的財務長。在開始之前，請注意今天的討論將包含以前瞻性陳述為主的內容，係基於管理層目前的假設與預期，並可能受到各種風險與不確定性影響。

(technical difficulty)

（技術問題）

Good morning, everybody. Sorry for the technical snafu. My name is Alex Bauer. I'm Head of TriNet's Investor Relations. Thank you for joining us, and welcome to TriNet's first quarter conference call and webcast. I am joined today by our President and CEO, Mike Simonds; and our CFO, Mala Murthy.

各位早安。很抱歉剛才的技術小插曲。我是 Alex Bauer，TriNet 投資人關係主管。感謝各位加入，歡迎參加 TriNet 第一季電話會議與網路直播。今天與我一同出席的有我們的總裁暨執行長 Mike Simonds，以及財務長 Mala Murthy。

Before we begin, I would like to preview this morning's call. First, I will pass the call to Mike for his comments regarding our first quarter performance. Mala will then review our Q1 financial performance in greater detail, we comment on our 2026 financial guidance and outlook.

在開始之前，我先預告今天上午的議程。首先我會把電話交給 Mike，請他就第一季表現發表評論。接著 Mala 將更詳細地回顧我們第一季的財務表現，並就我們 2026 年的財務指引與展望進行說明。

Please note that today's discussion will include our 2026 full year financial outlook and other statements that are not historical in nature, are predictive in nature or depend upon or refer to future events or conditions such as our expectations, estimates, predictions, strategies, beliefs or other statements that might be considered forward-looking. These forward-looking statements are based on management's current expectations and assumptions and are inherently subject to risks, uncertainties and changes in circumstances that are difficult to predict and that may cause actual results to differ materially from statements being made today or in the future.

請注意，今天的討論將包含我們 2026 年全年財務展望，以及其他非歷史性陳述；這些陳述具有預測性，或取決於／提及未來事件或狀況，例如我們的預期、估計、預測、策略、信念或其他可能被視為前瞻性陳述的內容。這些前瞻性陳述係基於管理層目前的預期與假設，本質上受到難以預測的風險、不確定性與情勢變化影響，可能導致實際結果與今日或未來所作陳述出現重大差異。

Except as may be required by law, we do not undertake to update any of these statements in light of new information, future events or otherwise. We encourage you to review our most recent public filings with the SEC, including our 10-K and 10-Q filings for a more detailed discussion of the risks, uncertainties and changes in circumstances that may affect our future results or the market price of our stock.

除非法律另有要求，我們不承諾因新資訊、未來事件或其他原因而更新任何上述陳述。我們鼓勵各位查閱我們最近向美國證券交易委員會（SEC）提交的公開文件，包括 10-K 與 10-Q，以更詳細了解可能影響我們未來業績或股價的風險、不確定性與情勢變化。

In addition, our discussion today will include non-GAAP financial measures, including our forward-looking guidance for adjusted EBITDA margin and adjusted net income per diluted share. For reconciliations of our non-GAAP financial measures to our GAAP financial results, Please see our earnings release, 10-Q filings or our 10-K filing, which are available on our website or through the SEC website. Please also note that going forward, these filings may be released up to 48 hours after our earnings release.

此外，今天的討論將包含非 GAAP 財務衡量指標，包括我們對調整後 EBITDA 利潤率與稀釋後每股調整後淨利的前瞻性指引。關於非 GAAP 財務衡量指標與 GAAP 財務結果之間的調節，請參閱我們的財報新聞稿、10-Q 或 10-K 文件；上述資料可於我們網站或 SEC 網站取得。另請注意，未來這些申報文件可能會在我們發布財報新聞稿後最晚 48 小時內才公布。

With that, I will turn the call over to Mike. Mike?

接下來，我把電話交給 Mike。Mike？

Thank you, Alex, and good morning, everyone. I'm pleased with our start to 2026. In the first quarter, the TriNet team kept our clients as our first priority, navigating a volatile business and geopolitical environment. For today's call, I'll start with our first quarter performance, then highlight the actions we're taking to drive growth; and finally, discuss the potential impacts of AI, a widely discussed subject during the quarter. Our strong first quarter adjusted earnings per share up 25% over prior year reflect our disciplined approach to both repricing health fees and managing our expenses.

謝謝你，Alex，各位早安。我對我們 2026 年的開局感到滿意。第一季，TriNet 團隊以客戶為第一優先，在波動的商業與地緣政治環境中前行。今天的電話會議，我將先談第一季表現，接著重點說明我們為推動成長所採取的行動；最後，討論 AI 的潛在影響——這是本季廣泛討論的主題。我們第一季強勁的調整後每股盈餘較去年同期成長 25%，反映出我們在健康費率重新定價與費用管理上的紀律。

Health fee repricing over the last year created a headwind for new sales and retention, including our January 2026 renewal, where attrition was about 2 points worse than prior year. Our pricing addressed both heightened medical cost trend and a cohort of underpriced business.

過去一年健康費率的重新定價，對新銷售與留存造成逆風，包括我們 2026 年 1 月的續約，流失率約比去年同期差了 2 個百分點。我們的定價同時因應醫療成本趨勢上升，以及一批過去定價偏低的業務組合。

With our January renewals complete, all cohorts within our customer base are now priced in line with more historical practices. And despite the impact of our January repricing, we expect overall 2026 retention to be better than full year 2025. We're already seeing a tangible improvement here in the second quarter where attrition due to health pricing has already declined by 30%, a trend we expect to continue throughout 2026.

隨著 1 月續約完成，我們客戶基礎中的所有客群（cohorts）目前的定價都已與較為歷史性的做法一致。儘管 1 月重新定價帶來影響，我們預期 2026 年整體留存率將優於 2025 年全年。我們已在第二季看到明顯改善：因健康定價導致的流失已下降 30%，且我們預期此趨勢將在 2026 年持續。

New sales grew modestly year-over-year in the first quarter. The increasingly volatile business environment pressured March close rates. For sales opportunities in the post proposal stage, we saw the time to close extend by about 15%. However, given pipeline visibility, our pricing position relative to the market and several sales initiatives that are coming online which I'll talk about in just a minute. We expect a solid full year sales growth for 2026.

第一季新銷售年增幅度小幅成長。日益波動的商業環境壓抑了 3 月的成交率。對於處於提案後期階段的銷售機會，我們看到成交所需時間延長約 15%。然而，考量到管線能見度、我們相對市場的定價定位，以及即將上線的多項銷售計畫（我稍後會談到），我們預期 2026 年全年銷售成長將相當穩健。

On insurance, performance improved as we benefited from stable health cost trends and disciplined pricing resulting in an 84% insurance cost ratio. A feature of our model is our ability to quickly respond to changes in insurance outcomes. We responded quickly to rising cost trends, and we'll do so again if and when trends moderate. We remain disciplined on expenses, aligning the business to its current scale, automating processes and advancing our talent optimization strategy. As a result, we delivered strong earnings and profitability in Q1 and we believe earnings are now tracking to the top half of our annual guidance.

在保險方面，受惠於穩定的健康成本趨勢與有紀律的定價，我們的表現有所改善，保險成本比率為 84%。我們模式的一項特點，是能快速回應保險結果的變化。我們已迅速因應成本趨勢上升；若未來趨勢趨緩，我們也會在適當時機再次調整。我們在費用上維持紀律，使業務規模與現況相匹配、推動流程自動化並推進人才最佳化策略。因此，我們在第一季交出強勁的獲利與盈利能力，並且我們認為目前的獲利走勢正朝向全年指引的上半區間。

Our strong operating performance enables us to invest further in our products and services through acquisition, partnerships and internal build efforts, we're extending our value prop on issues our clients care about. These new capabilities, in combination with our investment in sales capacity, represent important steps in our return to sustainable growth.

我們強勁的營運表現，使我們能透過併購、合作夥伴關係與內部建置，進一步投資於產品與服務，並在客戶關注的議題上延伸我們的價值主張。這些新能力，加上我們對銷售產能的投資，是我們重返可持續成長的重要步驟。

During the quarter, we completed the acquisition of Cocoon, an industry-leading employee leave management application aligned with our compliance-first approach. Cocoon should integrate seamlessly into our platform and address a significant customer pain point. With an automated leave of absence solution, we expect improved NPS scoring and increased retention along with further competitive differentiation in our PEO and ASO offerings. Next, we announced partnerships powering TriNet Global and TriNet IT.

本季我們完成對 Cocoon 的收購；Cocoon 是業界領先的員工請假管理應用程式，與我們「合規優先」的做法一致。Cocoon 應可無縫整合至我們的平台，並解決一項重要的客戶痛點。透過自動化的請假（leave of absence）解決方案，我們預期可提升 NPS 評分並提高留存率，同時在我們的 PEO 與 ASO 方案上進一步形成競爭差異化。接著，我們宣布了為 TriNet Global 與 TriNet IT 提供支援的合作夥伴關係。

TriNet Global powered through our partnership with multiplier delivers global workforce visibility, compliance build workflows and localized support, enabling our clients to expand internationally with confidence. TriNet IT powered through our partnership with electric AI, embeds device and asset management into HR workflows, reducing IT effort, lowering costs and improving security. We remain on track to deliver our new benefit bundles, simplifying the buying process and aligning the right set of plans with client needs.

TriNet Global 透過與 multiplier 的合作，提供全球人力可視性、合規建置工作流程與在地化支援，使客戶能更有信心地拓展國際業務。TriNet IT 透過與 electric AI 的合作，將裝置與資產管理嵌入人資工作流程，降低 IT 投入、降低成本並提升安全性。我們也持續按計畫推出新的福利組合（benefit bundles），以簡化購買流程，並讓合適的方案組合更貼近客戶需求。

As benefit bundles are released during the second quarter, we expect to benefit from their impact during the fall selling season. Alongside these investments in our offering, we continue to invest in our go-to-market capacity. Our broker strategy is increasingly driving deal flow and sales opportunities. Broker RFPs grew by nearly 12% year-over-year in Q1, and we're seeing Q2 broker RFPs accelerate off that number. We improved our broker experience with automated trusted adviser status and enhanced renewal access.

隨著福利組合在第二季期間陸續推出，我們預期在秋季銷售旺季將受惠於其帶來的影響。除上述產品投資外，我們也持續投資於市場進入（go-to-market）能力。我們的經紀人（broker）策略正日益帶動案源與銷售機會。第一季經紀人 RFP（提案邀請）年增近 12%，而我們也看到第二季的經紀人 RFP 在此基礎上加速成長。我們透過自動化的「受信任顧問」身分認定以及強化續約存取，改善了經紀人使用體驗。

In addition, we grew our most senior and productive sales reps by 10% year-over-year in Q1. Our ASCEND program graduates its first class, which will represent over 10% of our sales focus this fall. And with more than 100 trainees in the pipeline by year-end, we believe we can sustainably grow our sales force in 2027, both in terms of number and in terms of quality. In summary, we're improving our product, services and go-to-market capabilities. We've brought health fees in line with risk and increase the accuracy of our pricing processes going forward. As a result, we expect improved conversion rates on new business and higher retention rates in the client base.

此外，我們在第一季將最資深且生產力最高的業務代表人數年增 10%。我們的 ASCEND 計畫也迎來首屆結業學員，預計在今年秋季將占我們銷售重點的 10% 以上。且在年底前管線中將有超過 100 名受訓人員，我們相信 2027 年能在數量與品質兩方面，持續擴大我們的銷售團隊。總結而言，我們正在提升產品、服務與市場進入能力。我們已使健康費率與風險相匹配，並在未來提高定價流程的準確性。因此，我們預期新業務的轉換率將改善，且客戶基礎的留存率將提高。

We're moving quickly on numerous fronts, which is a testament to my colleagues across the company. Increasingly, their efforts are being enabled by investments in AI, which brings me to the last topic I wanted to touch on before turning things over to Mala. We certainly understand that AI is an important topic for all of our stakeholders, and we see AI's impact across two dimensions. First, its impact on TriNet's operation sales service model and second, the external impacts on our client base and industry.

我們在多個面向快速推進，這證明了公司各部門同仁的努力。這些努力也日益受惠於我們在 AI 上的投資，這也帶到我在交棒給 Mala 之前想談的最後一個主題。我們確實理解 AI 對所有利害關係人而言都是重要議題，而我們看到 AI 的影響可從兩個面向來看：第一，對 TriNet 營運、銷售與服務模式的影響；第二，對我們客戶基礎與產業的外部影響。

Starting internally, this March, we launched TriNet Assistant, an AI tool giving our customers and colleagues access to our HR expertise whenever and wherever needed. Already TriNet Assistant is proving its impact. We just navigated tax season. Historically a period that sees a significant spike in inbound volume. Between March 31 and April 16, inbound volumes typically increase on average by 12%.

先從內部開始：今年 3 月，我們推出 TriNet Assistant，這是一項 AI 工具，讓客戶與同仁能在任何時間、任何地點取得我們的人資專業支援。TriNet Assistant 已經展現其影響力。我們剛度過報稅季——歷來這段期間來電／來訊量會顯著攀升。從 3 月 31 日到 4 月 16 日，進線量通常平均增加 12%。

TriNet Assistant successfully handled much of that demand driving a 6% reduction in inbound contacts through the busy period, delivering timely, accurate responses and improving overall service productivity. TriNet assistant will continue to evolve, broaden and become more effective with increased utilization.

TriNet Assistant 在繁忙期間成功承接了相當多的需求，將來電聯絡量降低了 6%，提供即時且準確的回覆，並提升整體服務生產力。隨著使用率提高，TriNet assistant 將持續演進、擴展並變得更有效。

Similar examples of AI have emerged in our product development processes where 30% of code and 50% of our test cases are now AI generated and moving directly into peer review for production deployment. Sales agents are supporting our prospecting, quoting and closing processes. AI is supporting our colleagues on client engagements, capturing notes, suggesting answers and automating correspondence.

在我們的產品開發流程中也出現了類似的 AI 應用案例：目前 30% 的程式碼與 50% 的測試案例已由 AI 生成，並直接進入同儕審查以進行正式上線部署。銷售人員正支援我們的開發客戶、報價與成交流程。AI 也在客戶專案互動中支援同仁，協助記錄重點、建議回覆並自動化往來通信。

As we have talked about on this call for the past few years, TriNet has operated with excellent client-facing technology, but many manual processes behind the scenes. The runway for AI to drive real improvement in client outcomes and efficiency is substantial, and we're excited about the capacity it creates for our colleagues to focus on what matters most, working directly with our clients. The ability to apply judgment, build relationships, manage risk is where my colleagues stand out and where I believe the resilience of our business model lies.

正如我們過去幾年在本次電話會議中所談到的，TriNet 在面向客戶的技術方面表現優異，但在幕後仍有許多手動流程。AI 推動客戶成果與效率實質改善的空間相當可觀；我們也對其為同仁創造的能力感到振奮，讓大家能把重心放在最重要的事上——直接與客戶合作。能夠運用判斷力、建立關係並管理風險，正是我們同仁的突出之處，也是我認為我們商業模式韌性所在。

During the first quarter, there's been robust discussion about the long-term threats of AI. TriNet sits at the intersection of employers, employees and government where AI supports rather than replaces the human responsibilities we take on behalf of our customers, things like handling payroll, human resources, insurance, taxes, compliance and more. Our customers aren't just buying software or knowledge. They're transferring risk and liability to TriNet.

第一季期間，市場對 AI 的長期威脅有許多熱烈討論。TriNet 位於雇主、員工與政府的交會點；在這裡，AI 是用來支援而非取代我們代表客戶承擔的人類責任，例如處理薪資、人力資源、保險、稅務、法規遵循等。我們的客戶不只是購買軟體或知識，而是把風險與法律責任轉移給 TriNet。

Further, they're buying real and human expertise to step in at high stakes moments, ensuring employees get paid when problems occur that health care coverage is there when needed and having someone in their corner when regulators inquire. As for AI's impact on SMBs, it's early and still very uncertain. We believe SMBs will be impacted differently across the various industry verticals. In verticals where AI adoption is highest, such as technology, client hiring has not changed materially over the past two years, suggesting AI is creating as much opportunity as it's replacing.

此外，他們也在購買真實且有人性的專業能力，以便在高風險時刻介入：在問題發生時確保員工能領到薪資、在需要時確保醫療保險保障到位，以及在監管機關詢問時有人站在他們這一邊。至於 AI 對中小企業（SMB）的影響，目前仍處於早期且高度不確定。我們認為 SMB 在不同產業垂直領域受到的影響會不同。在 AI 採用率最高的垂直領域（例如科技業）中，過去兩年客戶的招募並未出現實質變化，顯示 AI 創造的機會與其取代的工作可能同樣多。

There also seems to be a growing correlation between AI adoption and faster new business formation as small businesses do what they always do, move quickly to innovate and take advantage of new opportunities. Rest assured that TriNet will be there to capture our share of this market. So in summary, AI is undoubtedly driving change, but given our business model, we see AI as a positive opportunity to serve more SMBs and serve them better.

此外，AI 採用與更快速的新創企業成立之間似乎呈現日益增強的關聯性，因為小型企業一如既往地快速行動、創新並把握新機會。請放心，TriNet 將會在那裡，掌握我們在此市場中的份額。總結而言，AI 無疑正在推動變革，但基於我們的商業模式，我們將 AI 視為一項正向機會，能服務更多 SMB，並把服務做得更好。

Overall, we are off to a strong start, successfully navigating a difficult operating and business environment. Pricing is normalizing, expenses are managed and we're trending toward the favorable end of our 2026 financial guidance. We see significant AI opportunities across our operations and product and we are pursuing them. There's more work ahead but momentum is building, and we look forward to updating you as the year progresses.

整體而言，我們開局強勁，成功在艱難的營運與商業環境中前行。定價正回歸常態、費用受到控管，我們的走勢正朝向 2026 年財務指引較有利的一端。我們在營運與產品方面看見顯著的 AI 機會，並正積極推進。前方仍有更多工作要做，但動能正在累積；我們也期待在今年進展過程中向各位更新。

With that, I'll pass the call to Mala. Mala?

接下來，我把電話交給 Mala。Mala？

Thank you, Mike. While the macro environment in the first quarter was uneven, TriNet's solid financial results were driven by disciplined pricing, better-than-expected insurance performance and strong execution. Over multiple cycles, we repriced our health fees in a disciplined and measured way. The impact on new sales and retention was considerable. I'm pleased to say that our trend plus price increases concluded with our January 1 renewal, and our retention outlook is improving.

謝謝你，Mike。儘管第一季的總體環境起伏不定，TriNet 仍憑藉嚴謹的定價紀律、優於預期的保險表現與強勁的執行力，交出穩健的財務成果。歷經多個週期，我們以有紀律且審慎的方式重新調整健康保險費率。這對新銷售與留存帶來了顯著影響。我很高興地表示，我們的趨勢加價已在 1 月 1 日續約時告一段落，而我們的留存展望正在改善。

Furthermore, in the first quarter, we saw health costs materialize lower than forecast, which, when combined with our disciplined pricing, drove improved ICR performance. Our discipline extended to expense management. We made difficult decisions in the quarter, which resulted in meaningful run rate cost savings. Expenses are increasingly aligned with the scale of our business, and capital has been made available for investment and for shareholders. As our acquisition of Cocoon shows, we have capital available for acquisitions, supportive of our product and services.

此外，第一季我們看到健康成本實際發生額低於預測；結合我們嚴謹的定價，帶動 ICR 表現改善。我們的紀律也延伸到費用管理。我們在本季做出艱難決策，帶來可觀的經常性成本節省。費用正愈來愈與我們的業務規模相匹配，並釋出資本用於投資及回饋股東。正如我們收購 Cocoon 所示，我們具備可用於併購的資本，以支持我們的產品與服務。

With that, let's dive into our fourth quarter financial performance in 2026. Total revenues were $1.2 billion, declining 5% year-over-year in the first quarter as expected. Total revenues in the quarter were supported by insurance and professional service revenue pricing, which were offset by declining WSE volumes. We finished the quarter with approximately 299,000 total WSEs, down 12% year-over-year.

接下來，讓我們深入說明 2026 年第四季的財務表現。總營收為 12 億美元，第一季如預期年減 5%。本季總營收受到保險與專業服務營收定價的支撐，但被 WSE 量下滑所抵銷。我們在本季末的 WSE 總數約為 299,000 人，年減 12%。

As a reminder, total WSEs include platform users or those users who are accessing our platform as well as co-employee WSEs or those users receiving the full benefit of our PO services. We ended the first quarter with approximately 273,000 total co-employed WSEs, down 12%, largely due to the cumulative impact of our repricing actions. Retention improved in February and March as we expected. Our full year retention forecast remains on track. We see year-over-year improvements beginning in Q2 and lasting through Q4, supported by more normal health pricing distribution beginning with our April 1 renewal, a trend we expect to continue through the year.

提醒一下，WSE 總數包含平台使用者（即存取我們平台的使用者），以及共同雇用（co-employee）WSE（即享有我們 PO 服務完整權益的使用者）。第一季末共同雇用 WSE 總數約為 273,000 人，年減 12%，主要是我們累積調價行動的影響。2 月與 3 月的留存如我們預期有所改善。我們對全年留存的預測仍在軌道上。我們預期自第二季起至第四季將出現年對年改善，並由 4 月 1 日續約開始更正常的健康保險定價分布所支撐；我們預期此趨勢將延續全年。

Regarding customer hiring in the first quarter, (inaudible) was slightly negative, better than our forecast. Professional Services revenue in the first quarter was $189 million, declining 10%, in line with our forecast. The largest impact to professional service revenue was from lower coemployed WSEs, which was offset partially by low single-digit pricing.

就第一季客戶招募而言，（聽不清）略為負值，但優於我們的預測。第一季專業服務營收為 1.89 億美元，年減 10%，符合我們的預測。專業服務營收受影響最大的是共同雇用 WSE 較少，但部分被低個位數的定價所抵銷。

We saw continued strength from our ASO business. ASO ARR has doubled year-over-year, remaining on track to become a meaningful contributor to professional service revenue growth. We were also pleased with our success in upselling PO2 ASO customers and retaining PO customers in our ASO. As we expand ASO we expect this upsell and retention dynamic to increase in importance.

我們的 ASO 業務持續展現強勁動能。ASO ARR 年對年已翻倍，仍按計畫成為推動專業服務營收成長的重要貢獻來源。我們也對成功向 PO2 ASO 客戶加值銷售，以及在 ASO 中留住 PO 客戶的成果感到滿意。隨著我們擴展 ASO，我們預期這種加值銷售與留存的動態將變得更為重要。

And finally, the headwind from the change in reporting methodology for state tax-related revenue in one state, was offset by difficult to predict normal changes in other states. As a result, we no longer expect this to be a headwind to our 2026 professional service revenue. Interest revenue in the first quarter was $14 million, a decline of 22% versus the prior year and in line with our forecast. The expected reduction of cash balances with certain tax credits drove the decline.

最後，某一州因州稅相關收入的申報方法變更所帶來的不利因素，被其他州難以預測但屬正常的變動所抵銷。因此，我們不再預期這會成為 2026 年專業服務營收的不利因素。第一季利息收入為 1,400 萬美元，較去年下降 22%，並符合我們的預測。由於部分稅額抵減使現金餘額預期下降，導致利息收入下滑。

Turning to Insurance. Insurance Services revenue declined 4% in the first quarter, primarily driven by lower overall WSEs offset by pricing. When divided by average co-employee WSEs, insurance service revenue grew 9.6%, reflecting our repricing efforts.

接著談保險。第一季保險服務營收年減 4%，主要因整體 WSE 較少，部分被定價所抵銷。若以平均共同雇用 WSE 計算，保險服務營收成長 9.6%，反映我們的重新定價努力。

Insurance costs in the first quarter declined by 9% year-over-year. And when divided by average co-employed WSEs, grew just 3.7%. As a result, our first quarter insurance cost ratio came in at 84% and over 4 points year-over-year improvement.

第一季保險成本年對年下降 9%。若以平均共同雇用 WSE 計算，僅成長 3.7%。因此，我們第一季保險成本比率為 84%，年對年改善超過 4 個百分點。

Half of our 4-point improvement was expected and the result of our repricing efforts. The other half of the improvement was attributable to favorable development from 2025. So our results were a little better than expected, but one quarter does not make a trend. We passed the prior year favorability into our full year outlook, and we are encouraged by the general direction of our ICR. In the first quarter, operating expenses, which exclude insurance costs and interest expense, grew by 6% year-over-year.

這 4 個百分點改善的一半在預期之內，來自我們的重新定價努力；另一半則歸因於 2025 年的有利發展。因此，我們的結果略優於預期，但單一季度不代表趨勢。我們已將前一年度的有利因素納入全年展望，並對 ICR 的整體走向感到鼓舞。第一季營業費用（不含保險成本與利息費用）年對年成長 6%。

Operating expenses were impacted by a $14 million restructuring charge as we rightsize the business for its current size and executed our ongoing talent optimization and automation strategy, including AI implementation. For the first quarter, GAAP earnings per diluted share were $1.90 and adjusted net income per diluted share was $2.48. Our earnings were supported by strong cash generation. During the first quarter, we generated $186 million in adjusted EBITDA, representing an adjusted EBITDA margin of 15.2%.

營業費用受到 1,400 萬美元重整費用影響，因我們依目前規模調整業務，並執行持續的人才優化與自動化策略（包括導入 AI）。第一季 GAAP 稀釋後每股盈餘為 1.90 美元，調整後稀釋後每股淨利為 2.48 美元。我們的獲利受到強勁現金創造的支撐。第一季我們產生 1.86 億美元的調整後 EBITDA，調整後 EBITDA 利潤率為 15.2%。

We generated $149 million in net cash provided by operating activities and $123 million in free cash flow. Free cash flow benefited from the 2025 tax law changes and timing of cash tax payments. Our capital priorities remain investing in our business for growth. M&A and returning capital to shareholders via share repurchases and dividends.

我們產生營運活動提供的淨現金 1.49 億美元，以及自由現金流 1.23 億美元。自由現金流受惠於 2025 年稅法變更及現金稅款支付時點。我們的資本配置優先順序仍是：投資業務以促進成長、進行併購，以及透過庫藏股回購與股利向股東返還資本。

The first quarter saw us leverage our strong cash generation and deliver on all three. We returned $71 million to shareholders across share repurchases and dividends. We repurchased approximately 1.3 million shares for $58 million and we paid a $0.275 dividend in the quarter. Furthermore, we announced a 5% dividend increase to $0.29 per share. We also leveraged our cash generation to acquire Cocoon.

第一季我們運用強勁的現金創造能力，並在三項目標上全數達成。我們透過庫藏股回購與股利，合計向股東回饋7,100萬美元。我們以5,800萬美元回購約130萬股，並於本季發放每股0.275美元股利。此外，我們宣布將股利提高5%至每股0.29美元。我們也運用現金創造能力完成對 Cocoon 的收購。

Cocoon is an industry-leading leave of absence software suite, which addresses a key TriNet customer pain point.

Cocoon 是業界領先的請假管理（leave of absence）軟體套件，可解決 TriNet 客戶的一項關鍵痛點。

From a financial perspective, Cocoon as a stand-alone product is expected to be modestly dilutive to 2026 adjusted earnings per diluted share and neutral to 2027 adjusted earnings per share. The primary benefit of the Cocoon acquisition will come from increased PEO client retention. Product integration is expected to be completed in six months with TriNet reaping the full benefit in 2027 from an improved customer experience and more efficient workflow.

從財務角度來看，若以獨立產品衡量，Cocoon 預期將對 2026 年調整後稀釋後每股盈餘造成小幅稀釋，並對 2027 年調整後每股盈餘影響中性。收購 Cocoon 的主要效益將來自 PEO 客戶留存率的提升。產品整合預計在六個月內完成，TriNet 將於 2027 年因客戶體驗改善與工作流程更有效率而獲得完整效益。

Turning to our 2026 outlook. We are reiterating our full year guidance. Revenue is performing in line with our forecast and our stronger than forecast Q1 insurance performance has had the effect of shifting our full year earnings expectations to the top half of our guidance range, assuming no significant uncontrollable event.

接著談我們對 2026 年的展望。我們重申全年指引。營收表現符合我們的預測，而第一季保險表現優於預期，使我們在假設沒有重大不可控事件的情況下，將全年獲利預期推向指引區間的上半部。

For 2026, we continue to expect total revenues to be in the range of $4.75 billion to $4.9 billion. Our professional services revenue guidance remains in the range of approximately $625 million to $645 million, and our ICR remains in the range of 90.75% to 89.25%. As I discussed earlier, Q1 IPR outperformed our plan by about 2 points as a result of prior period positive developments from 2025. We do not expect to receive more benefit from the prior year. We believe it is prudent to maintain our full year range, and we acknowledge that our full year ICR is tracking to the lower half of our guidance range.

對於 2026 年，我們仍預期總營收將落在 47.5 億至 49 億美元之間。我們的專業服務營收指引仍約為 6.25 億至 6.45 億美元，而 ICR 仍在 90.75% 至 89.25% 的區間。如我先前所述，第一季 IPR 因 2025 年前期正向發展而較計畫高出約 2 個百分點。我們不預期會再從前一年獲得更多利益。我們認為維持全年區間是審慎之舉，同時也承認我們全年 ICR 目前的走勢落在指引區間的下半部。

Our adjusted EBITDA margin stays in the range of 7.5% to 8.7% and GAAP earnings per diluted share are in the range of $2.15 to $3.05 and adjusted earnings per diluted share in the range of $3.70 to $4.70. In conclusion, I'm encouraged by our first quarter results. We remain disciplined with our pricing and completed our repricing efforts. Health costs came in lower than forecast in the quarter. and our strong first quarter has us tracking to the top half of our full year earnings guidance.

我們的調整後 EBITDA 利潤率維持在 7.5% 至 8.7% 的區間；GAAP 稀釋後每股盈餘介於 2.15 至 3.05 美元；調整後稀釋後每股盈餘介於 3.70 至 4.70 美元。總結來說，我對第一季的結果感到鼓舞。我們在定價上維持紀律，並完成重新定價工作。本季健康成本低於預測，而強勁的第一季表現使我們全年獲利指引的追蹤落在上半部。

Finally, the macroeconomic environment does remain volatile, but we are optimistic on our future and remain prudent with our investment in that future. With that, I will pass the call to the operator for Q&A. Operator?

最後，總體經濟環境仍然波動，但我們對未來保持樂觀，並在對未來的投資上維持審慎。接下來我把電話交給接線員進行問答。接線員？

(Operator Instructions)

（接線員指示）

Jared Levine, TD Cowen.

Jared Levine，TD Cowen。

To start, I wanted to double-click on the demand environment in terms of some of those sales cycles being impacted in the month of March, was there any kind of broad flavor in terms of industry vertical, more global clients or clients with significant customer concentrations in the Middle East in terms of that demand impact? Or was it fairly broad-based there?

首先，我想更深入了解需求環境，特別是 3 月份有些銷售週期受到影響的部分。就需求受影響而言，是否在產業別、較全球化的客戶，或是在中東地區有顯著客戶集中度的客戶方面，有任何較普遍的特徵？還是影響相當廣泛？

Jared, it's Mike. Yes, fairly broad-based. We saw a little bit more as you move upmarket. Those tend to be a little bit elongated anyway, but that's where it was more sensitive. And again, it was good strong start to the quarter slowed or got extended towards the end of the quarter.

Jared，我是 Mike。是的，影響相當廣泛。我們看到在往中大型客戶（upmarket）移動時稍微更明顯一些。那些案子的週期本來就傾向較長，但那裡的敏感度更高。同樣地，本季一開始表現強勁，但到季末時放緩或被延後。

And we're just going to kind of keep watching it here in the second quarter. But there's a lot -- as we look at the pipeline, the demand is strong. It may just be a bit of the decisiveness part.

我們在第二季會持續觀察。不過就我們看管線而言，需求仍然強勁；可能只是決策速度稍微慢一些。

Got it. And then I wanted to also touch on Taco here. So I guess, Mike, I guess, part one here. Can you discuss the revenue opportunity you see here, whether that's cross-sells with a separate SKU or overall platform pricing increases in the model. Can you just double-click in terms of that revenue contribution for FY '26 here?

了解。接著我也想談一下 Taco。Mike，我想先問第一部分：能否談談你們看到的營收機會？例如以獨立 SKU 進行交叉銷售，或是在模型中透過整體平台提價。能否更深入說明 2026 會計年度在營收貢獻方面的情況？

Yes, absolutely. And just I would start by saying welcome to the Cocoon team that is likely listening in this morning. We are delighted to have a very talented group of colleagues join us in a really industry-leading product. We went out commercially and decided Cocoon would be the right fit for us and the discussion led to this strategic outcome.

是的，當然可以。我先說，歡迎今天早上可能正在收聽電話會議的 Cocoon 團隊加入。我們很高興有一群非常有才華的同仁加入，並帶來一款真正業界領先的產品。我們在商業面進行評估後，認為 Cocoon 非常適合我們，而討論也促成了這項策略性結果。

The primary benefit, as Mala had in her prepared remarks, is really about delivering better outcomes on these to our PEO clients first. And so teams are very heads down on integrating that into our client base. We know it's a significant opportunity in terms of improving our Net Promoter Score and ultimately, our retention. We've, as many on the phone would know, has just become increasingly complicated given a distributed workforce and a pretty active regulatory environment at the state and local level.

主要效益，如 Mala 在事先準備的講稿中提到的，首先是為我們的 PEO 客戶帶來更好的成果。因此團隊正全力投入把它整合到我們的客戶基礎中。我們知道這在提升淨推薦值（NPS）以及最終留存方面是個重大機會。正如許多與會者所知，隨著分散式勞動力以及州與地方層級相當活躍的監管環境，請假管理變得愈來愈複雜。

So excited about this as another nice investment in our strategy around driving up NPS and retention. We will, on the heels of that be putting it into our ASO offering as a managed service as well. It's a high-demand service. So I do think it's going to be additive to what's already some pretty heady growth that we're seeing on the ASO side. And maybe Mala, I'll turn it to you on revenue.

因此我們對此感到興奮，這也是我們策略中另一項不錯的投資，用以提升 NPS 與留存。在此之後，我們也會把它以託管服務的形式導入我們的 ASO 方案。這是一項高需求服務，所以我確實認為它會為我們 ASO 端目前已相當強勁的成長再添動能。至於營收部分，Mala，我把問題交給你。

Yes. Jared, I wouldn't go into further details on that. Just suffice it to say that the revenue contribution to this year is very, very modest. What we are more focused on, as Mike alluded to in his comments is really how do we integrate this product into our overall offering. And we are really looking forward to see the impact of that in improving our NPS and therefore, retention and really hope to capture that in terms of our revenue tailwind as we move into 2027 and beyond.

好的。Jared，我不會再進一步提供細節。只要說明今年的營收貢獻非常、非常有限即可。我們更聚焦的是，如 Mike 所提到的，如何把這項產品整合進我們的整體方案。我們非常期待它能改善我們的 NPS，進而提升留存，並希望在 2027 年及之後，將其轉化為營收上的順風。

Tobey Sommer, Truist.

Tobey Sommer，Truist。

This is Tyler Barishaw on for Tobey. Just going back to the Cocoon. Was this an opportunistic acquisition? And should we -- or should we expect TriNet to look to do more M&A throughout the year?

我是代替 Tobey 的 Tyler Barishaw。回到 Cocoon 的問題：這次收購是機會型收購嗎？以及我們是否應該預期 TriNet 在今年會進行更多併購？

Tyler, thanks for the question. Yes, I would say -- we started with -- we knew this is something that our clients really wanted. And so we were out more from a commercial partnership opportunity that led to -- yes, I would describe it as a strategic opportunity for us. I would say, though, stepping back into the broader part of your question, we feel very fortunate to have such a strong franchise and such a cash-generative business that gives us a lot of flexibility. And our priority is to invest organically in our teams and in our technology to drive growth.

Tyler，謝謝你的問題。是的，我會說——我們一開始就知道這是客戶非常想要的東西。因此我們原本是從商業合作夥伴的機會出發，進而促成——是的，我會把它描述為對我們而言的策略性機會。不過退一步回到你問題更廣的部分，我們很幸運擁有如此強大的事業基礎與高現金創造的業務，讓我們有很大的彈性。而我們的優先順序是對團隊與技術進行有機投資，以推動成長。

But inorganic is a lever that we can pull as well. And I'd sort of think of it across three pretty simple buckets. The first is capabilities and Cocoon falls into that. And there may be future opportunities. The SaaS market right now is a little bit depressed and there's some potentially some good opportunities there.

但非有機成長也是我們可以運用的槓桿。我會把它大致分成三個相當簡單的類別。第一是能力（capabilities），Cocoon 就屬於這一類，未來也可能還有機會。當前 SaaS 市場有些低迷，可能存在一些不錯的機會。

I think of those on the relative small size like we've seen here with Cocoon. And then it's about scale and capability in first the PEO and then our small but growing ASO business. And is there an opportunity to bring in some scale there that also maybe matches up with a vertical or a geography where they've got strength and we've got a relative soft spot. So primary focus is organic investment in growth. But yes, where there are opportunities, we'd look for -- tend to be sort of small to midsize and bolt-ons.

我認為這些會像我們這次看到的 Cocoon 一樣，規模相對較小。接著是規模與能力，先是在 PEO，然後是在我們規模不大但正在成長的 ASO 業務上。是否有機會在那裡引入一些規模，同時也可能與某個垂直產業或地理區域相匹配——對方有優勢而我們相對較弱。主要重點仍是以有機投資推動成長。但沒錯，若有機會，我們會尋找——通常是小到中型、且屬於補強型（bolt-on）的案子。

Yes. The thing I would also add, Tyler, as we have said before, we'll stay disciplined in terms of how any of these opportunities align with us both strategically but also importantly, in terms of its financial profile, we'll state disciplined on that.

是的，Tyler，我還想補充一點：如同我們之前所說，我們會保持紀律，確保任何機會不僅在策略上與我們一致，也同樣重要的是在財務特性上符合我們的要求；我們會在這方面保持紀律。

Makes sense. And then just on free cash flow conversion, up to 66% versus 49% in the prior year quarter. Can you talk through solving the drivers of that improvement?

了解。最後關於自由現金流轉換率，本季提升至 66%，而去年同期為 49%。能否說明推動這項改善的主要因素？

Yes. I'd point to essentially a couple of different drivers, right? One is you saw our adjusted EBITDA improved year-over-year. So that certainly has an impact. But the primary driver of our improved conversion is the fact that we had lower cash tax payments with the advantages we have from the one big beautiful bill.

是的。我會指出基本上有幾個不同的驅動因素，對吧？其一是你看到我們的調整後 EBITDA 年對年有所改善，所以這當然會有影響。但我們自由現金流轉換率改善的主要驅動因素，是我們因為「那項又大又美的法案」所帶來的優勢，使得現金稅款支付較低。

So that really is the bigger driver of our improved free cash flow conversion. I would say even without that, even excluding that, we did actually improve our free cash flow conversion year-over-year slightly.

所以這確實是我們自由現金流轉換率改善的更大驅動因素。我會說即使沒有這個因素，即使把它排除掉，我們的自由現金流轉換率年對年其實也略有改善。

Andrew Nicholas, William Blair.

Andrew Nicholas，William Blair。

This is Daniel on for Andrew today. I wanted to turn back to the strong outperformance on ICR in the quarter. And then extrapolating that forward, how we should think about the conservatism of the guide maintenance. I know you pointed toward the lower half there, but maybe you can dive deeper on what that means for the cadence of performance in the remaining quarters of the year.

我是今天代替 Andrew 的 Daniel。我想回到本季 ICR 的強勁超預期表現。再把這往前推演一下，我們應該如何看待維持指引不變的保守程度？我知道你提到偏向區間下半部，但也許你可以更深入說明，這對今年剩餘季度的表現節奏意味著什麼。

Yes. What I would say, Daniel, is, as we explained in our prepared remarks, we saw a significant improvement in our year-over-year -- about half of that was expected. The other half of that really is from the favorable development pertaining to 2025. And just to double click on that, the driver of that is, as we went into the second half towards the end of the year, we saw some volatility in how claims ran off -- and we have considered that as we finished up the year.

是的。Daniel，我會說的是，正如我們在事先準備的講稿中所解釋的，我們看到年對年有顯著改善——其中大約一半是預期之內。另一半則確實來自與 2025 年相關的有利發展。再更深入一點說，驅動因素是：當我們在年底進入下半年、接近年末時，我們看到理賠結清（run-off）的走勢出現一些波動——而我們在完成年度結算時已將其納入考量。

As we moved through Q1 of this year, that actually plays favorably relative to what we had assumed and what our outlook was at the end of 2025. The reason I'm double clicking on that is I would say that is a onetime benefit that we saw in the quarter in addition to the favorability in year-over-year that we were already expecting.

當我們走過今年第一季時，實際結果相較於我們原先假設、以及在 2025 年底時的展望，表現更為有利。我之所以特別強調這點，是因為我會說，這是本季出現的一次性利多，此外還包含我們原本就預期的年對年有利因素。

And therefore, think about the full year ICR as follows: The reason we said that we are tracking to the top, the more favorable end of our ICR guidance, the more favorable half of our ICR guidance is essentially passing through that benefit in prior period development that we saw in Q1.

因此，對於全年 ICR，可以這樣理解：我們之所以說目前走勢接近 ICR 指引中較佳、也就是較有利的那一端（較有利的一半），本質上是把我們在第一季看到的前期發展（prior period development）所帶來的這項利多反映進去。

I'd say on the base run rate, the rest of the performance, I would say, for now, we are keeping expectations as we had in our February guidance. It's still early in the year. As you know, and as we have found from our experience with claims costs things happen. And so we are keeping pretty close watch on it. And we will update our guidance and update you all as we traverse through the year.

至於基礎的常態化水準（base run rate）以及其餘表現，我會說目前我們仍維持 2 月指引時的預期。現在仍是年初。你也知道，從我們在理賠成本方面的經驗來看，事情會發生變化。因此我們會非常密切地觀察，並在今年推進過程中更新指引，也會隨時向各位更新。

Okay. Understood. And then maybe turning to the WSE front. It sounds like the first quarter decline was roughly aligned with expectations for the quarter. But can you help us frame when you expect to see the trough in WSE declines this year now that we've lapped the repricing actions and whether that's still yet to come? And if so, when?

好的，了解。接著轉到 WSE 這邊。聽起來第一季的下滑大致符合本季預期。但你能否協助我們界定：今年你們預期 WSE 下滑何時觸底？現在我們已經跨過（lapped）調價行動的比較基期，是否仍尚未觸底？如果是的話，大概會在什麼時候？

Yes, I appreciate the question, Daniel. I just would start by saying we absolutely see a real growth opportunity here, and that's our focus, particularly now that we've cleared a pretty big milestone for us with the January 1 renewal and having gotten all of our cohorts relatively in line. And so you take what Mala talked about really good outlook for improving retention. That's our biggest lever as we go through the year. And as we think about the actions we've taken, we just talked about the benefits of Cocoon.

是的，Daniel，謝謝你的問題。我先說，我們確實看到這裡有真正的成長機會，而這也是我們的重點，特別是現在我們已經完成了一個對我們而言相當重要的里程碑：1 月 1 日的續約，並且讓我們所有的客群（cohorts）相對回到較一致的水準。因此，結合 Mala 所談到的——留存率改善的展望非常好——這是我們今年最大的槓桿。再加上我們採取的行動，我們剛剛也談到 Cocoon 的效益。

We talked earlier about trying to assistant. The things that we are doing to improve the quality of our delivery and the value we're delivering to our clients. We see that retention improving and improving, and this is important in a sustainable way.

我們先前也談到嘗試去協助（assistant）。我們正在做的事情，是提升交付品質，以及我們為客戶提供的價值。我們看到留存率在改善、持續改善，而且重要的是以可持續的方式改善。

Second piece that we control is sales. We've talked about that. I'm actually really encouraged by the brokerage channel and the volumes that we're seeing coming through there 12% up in RFPs in the first quarter. Second quarter is building considerably higher off of that. And then just keeping a really good tenured senior people and having our ascend well-trained folks coming out into the market this year and building -- by the end of the year, we'll have absolute capacity up in the low double-digit range year-over-year and have done that again in a sustainable, high-quality way.

第二個我們能掌控的部分是銷售。我們也談過。我其實對經紀通路以及我們看到的進件量感到非常鼓舞——第一季 RFP 數量年對年成長 12%。第二季在此基礎上還在顯著走高。再者，持續留任資深且任期長的高階人員，並讓我們受過良好訓練的 Ascend 團隊今年走向市場、擴大布局——到年底，我們的絕對產能年對年將提升到低雙位數區間，而且同樣是以可持續、高品質的方式做到。

So we're optimistic about -- just like with the retention, a year-over-year growth metric, which is encouraging to us. And so you take those two and put it together, Daniel, with the CIE expectation that we're just going to hold that very muted levels, and that gives us growing confidence that we can stabilize WSE count here for the balance of the year. And then as we look out from there ultimately drive growth but drive growth in a really sustainable way.

所以我們對此感到樂觀——就像留存率一樣，這是一個年對年的成長指標，對我們而言很令人鼓舞。因此，Daniel，把這兩點結合起來，再加上我們對 CIE 的預期是維持在非常溫和的水準，這讓我們更有信心能在今年剩餘期間穩定 WSE 人數。然後再往後看，最終推動成長，但會以真正可持續的方式推動成長。

(Operator Instructions)

（接線員指示）

Kyle Peterson, Needham & Company.

Kyle Peterson，Needham & Company。

This is Ross Cole on for Kyle. I was wondering if you could double-click on professional services a little bit for the quarter and then your outlook for the year. it seems like it came in about around what we expected for this quarter. Do you see this also reaching the higher end of the guidance? Or maybe you can just kind of walk us through how you're seeing this for the rest of the year.

我是代替 Kyle 的 Ross Cole。我想請你們更深入談一下本季的專業服務，以及你們對全年展望的看法。看起來本季結果大致符合我們的預期。你們是否也認為這會達到指引的較高端？或者你們可以帶我們走一遍，說明你們如何看待今年剩餘時間的走勢。

Yes. Thanks for the question. As we said in our prepared remarks, professional services revenue declined year-over-year about 10%. And I'd say there are a few puts and takes in that, that I see sort of I'm watching as it plays out through the rest of the year. So obviously, it was heavily impacted by the 12% decline in volumes. But that was partially offset by low single-digit rate benefits that we saw in PSR.

是的，謝謝你的問題。正如我們在事先準備的講稿中所說，專業服務營收年對年下滑約 10%。我會說其中有幾個此消彼長的因素，我正在觀察它們在今年剩餘時間的發展。很明顯，它受到量（volumes）下滑 12% 的重大影響。但部分被我們在 PSR 看到的低個位數費率（rate）效益所抵銷。

I would say, if I think about how that played against our expectations, it was about in line with our expectations. A couple of other components within that is One is we did expect some headwind for the year from our SUDA margins, that is essentially neutral that is relatively modest in the overall scheme of our overall PSR. It's essentially, the benefit is in the single-digit million range. So again, it's relatively modest.

我會說，如果看它相對於我們的預期，整體大致符合預期。當中還有幾個其他組成部分：其一是我們確實預期今年會受到 SUDA 利潤率的某些逆風影響；但這基本上是中性影響，且在我們整體 PSR 的大局中相對不大。基本上，這項效益落在個位數百萬美元的範圍，所以同樣相對有限。

And we have talked about ASO growth. ASO ARR, as we talked about in our remarks, actually doubled in the quarter. We are really pleased with the momentum we are seeing in it and if I look at our overall ASO revenue expectations for the year, also in line, it's coming in, in line with our full year forecast at this point in time. So if I sum it all up, what I would say to you is largely in line with our expectations with just a very, very modest speed on the SUTA piece because of the developments we talked about in our prepared remarks.

另外我們也談到 ASO 成長。正如我們在講稿中提到的，ASO ARR 本季實際上翻倍。我們對看到的動能非常滿意；如果我看我們全年 ASO 營收的預期，目前也與我們的全年預測一致，現階段的落點是符合全年預估的。因此總結來說，我會對你說整體大致符合我們的預期，只是在 SUTA 這一塊因為我們在事先準備的講稿中提到的發展，出現非常、非常小幅的順風。

Brendan Biles, J.P. Morgan.

Brendan Biles，J.P. Morgan。

First of all, congrats on the results. Great to see the insurance cost ratio dynamics. I'd love to take an opportunity to just kind of step back and ask you to share your learnings over the last two years as it relates to this whole insurance price cycle change? And what gives you confidence that in future insurance price change cycles that TriNet will be more resilient?

首先，恭喜你們的業績。很高興看到保險成本比率（ICR）的動態。我想藉此機會稍微退一步，請你們分享過去兩年在整個保險價格循環變化方面的學習與心得？以及是什麼讓你們有信心，在未來的保險價格變動循環中，TriNet 會更具韌性？

And then my second question, if I could tuck one in, too, is on the AI companies, new AI entrepreneurship. Just a little bit more about that market, how TriNet is showing up, the trends you're seeing in AI-related start-ups or start-ups that have been accelerated by. That would be great.

然後第二個問題，如果我也可以再補問一個，是關於 AI 公司、新的 AI 創業。能否再多談一點那個市場、TriNet 如何切入、以及你們在 AI 相關新創或因 AI 而加速的新創上看到的趨勢？那會很棒。

Thanks, Brendan. Two excellent questions. So I'll take the second one first. On the start-ups, like we hit earlier, it is pretty remarkable to see new business starts. And certainly, some of those are AI specific.

謝謝你，Brendan。兩個都很棒的問題。我先回答第二個。關於新創，如同我們先前提到的，看到新企業成立的情況相當令人驚訝。而且其中確實有一些是 AI 專門領域的。

And so we start to see those in our technology vertical and in markets that are really important to us. I would say that we typically will pick up start-ups a little bit later than in the cycle than when they're hitting like the BLS as a new business starts. So I'd be looking out, say, 6 months, 9 months, 12 months from now. Certainly, we're getting some good wins there. But I expect that that's going to build as we go through the year and get into 2027.

因此我們開始在我們的科技垂直領域，以及對我們非常重要的市場中看到這些。我會說，通常我們會在週期中稍晚一些才接到新創客戶，而不是在它們剛出現在 BLS 作為新企業成立時就立刻出現。所以我會把觀察重點放在大約 6 個月、9 個月、12 個月之後。當然，我們已經拿到一些不錯的勝利案（wins）。但我預期這會在今年推進過程中逐步累積，並延續到 2027 年。

As those firms scale to the point where there's enough complexity there that looking to a TriNet is going to make a lot of sense for them. And then on your first question, we think a lot about that one around what have we learned through this part of the cycle. And I'd start by saying, like at the end of the day, it's a risk-taking business. So there is always going to be fluctuations and outcomes.

當這些公司擴張到一定規模、複雜度足夠高時，轉而採用 TriNet 對他們而言就會非常合理。至於你第一個問題，我們也一直在思考：在這一輪週期中我們學到了什麼。我會先說，歸根結底，這是一門承擔風險的生意，所以一定會有波動與結果的差異。

And I wish I could, but I could never sit here and tell you we've cracked the code there and have found a way to kind of eliminate that volatility. I think it is all about getting better at how you're forecasting, how you're assessing the risk and then how you're applying that insight at the client level through your new business and through your renewal processes.

我希望我能，但我不可能坐在這裡告訴你我們已經破解了其中的密碼，找到某種方式可以消除那種波動。我認為重點在於：如何更好地做預測、如何評估風險，然後如何在客戶層級，透過新業務與續約流程，把這些洞見落地應用。

And just I've been here a little over two years. One of the first things we did was really invest in our Insurance Services group. We brought in Tim Nemer, who has run actuarial and underwriting functions for some of the largest health care organizations on the planet. We've invested in further talent beyond that. We've actually gone through and redone our rating system.

我在這裡任職兩年多一點。我們做的第一批事情之一，就是大幅投資我們的保險服務（Insurance Services）團隊。我們延攬了 Tim Nemer，他曾在全球一些最大的醫療保健組織負責精算與核保職能。我們也在此基礎上進一步投資更多人才。我們實際上也已經全面檢視並重做了我們的定價／評級系統。

We've gone through and looked at how we present our health plan offer through the bundles. So all these factors go into just not fixing the problem and eliminating volatility but really sharpening our pencil and tightening that distribution curve.

我們也重新檢視了我們如何透過組合方案（bundles）來呈現健康保險計畫的提案。因此，這些因素的目的不只是「修好問題、消除波動」，而是更精準地把筆削尖、收斂分布曲線。

And I will say from experience in other companies, when you go through a cycle like this, it is really difficult to be as disciplined as we've done it, and it kind of gets embedded in your DNA on a go-forward basis. So I think it's going to be important for us, not just that we've turned this corner, which I do believe we have on the in-force block, but that we work really hard to make sure that the business we bring in going forward is brought in a sustainable way.

我也想以在其他公司工作的經驗補充：當你經歷這樣的週期時，要像我們這樣保持紀律其實非常困難，但一旦做到，這種做法就會在未來被內化成你的 DNA。所以我認為對我們而言很重要的不只是我們已經轉過這個彎——我確實相信我們在既有保單組合（in-force block）上已經做到——更重要的是，我們要非常努力確保未來帶進來的業務，是以可持續的方式帶進來。

David Grossman, Stifel.

David Grossman，Stifel。

Mike, maybe you could just reflect given the repricing of the book and the kind of impact it's had on assuming the insurance markets are fairly efficient, where do these people go. If, in fact, you're now appropriately pricing to risk, where do those clients that are going when they leave.

Mike，或許你可以談談：在你們對整體保單組合重新定價、並造成這樣的影響之後——假設保險市場相對有效率——這些人會去哪裡？如果你們現在確實已經按風險適當定價，那些離開的客戶最後會轉去哪裡？

Yes. David, obviously, we spent a good amount of time understanding why a client is leaving and then ultimately, wherever we can, understanding where they're going. And the probably unsatisfactory answer is there hasn't been a big change in the distribution of where clients are going. We have seen a big change in the distribution of why. And so we've seen -- and in Q1 is a good example, 2x the reason code for why people are leaving being due to help fee increases has grown to be a very significant amount of the attrition.

是的，David，顯然我們花了不少時間去理解客戶為什麼離開，並且在可能的情況下，了解他們最後去了哪裡。可能不太令人滿意的答案是：客戶流向的分布並沒有出現很大的變化；但「離開原因」的分布出現了很大的變化。我們看到——以第一季為例——離開原因代碼中，因健康保險費用上調而離開的比例成長到非常顯著，幾乎是 2 倍，成為流失的重要來源。

And that's pretty quickly reversed itself as we've gotten here to (inaudible) in our outlooks going forward. So that sort of speaks to the why. (inaudible) to your question it really does depend. Down market, you see people going into the open market where they're finding more standardized plan design and rate structures is a better match for their particular risk.

而這種情況在我們走到（inaudible）並展望未來時，也很快就反轉了。所以這算是在回答「為什麼」。至於（inaudible）你問的「去哪裡」，其實很看情況。在市場偏弱時，你會看到一些人轉到公開市場（open market），因為那裡更標準化的方案設計與費率結構，對他們特定的風險狀況可能更匹配。

You do see some going into other PEOs. And the reality is different competitors have different rating approaches and they're just going to see risk a different way. Upmarket clients may find that some sort of participating in the risk, so we see a little bit of people going into self-insured and level-funded type plans amongst some of the larger terminations. But it is a little bit distributed across that base.

你也會看到有些人轉去其他 PEO。現實是，不同競爭對手有不同的定價／評級方法，他們看待風險的方式也不同。對於較高端（upmarket）的客戶，他們可能會選擇某種形式的風險共擔，因此在一些較大型的解約案例中，我們也看到有人轉向自保（self-insured）與定額自保（level-funded）類型的方案。但整體而言，流向分布是分散在這些選項之間。

I guess, the last thing, David, is you definitely see the problem of what is now two years of elevated health care costs , we haven't seen in a long period of time. That is something that the carriers are dealing with it other PEOs are dealing with it. Everyone's got to deal with that same problem.

我想最後一點，David，你確實會看到一個問題：這已經是連續兩年醫療成本居高不下，而我們很久沒有見過這種情況。這也是保險承保公司（carriers）在面對的問題、其他 PEO 也在面對的問題；每個人都必須處理同樣的挑戰。

It just leads to a lot more shopping and ultimately, it does drive some attrition.

這只會導致更多比價與轉換，最終也確實會推升一些流失。

So do you think if the kind of the health care cost dynamic improves. Do you think that becomes a net tailwind for people to reengage with PEO, just more generally speaking?

所以你認為，如果醫療成本的動態有所改善，是否會成為一個淨利多（net tailwind），讓大家更願意重新與 PEO 合作——更廣義地說？

I think that's a reasonable thesis.

我認為這是個合理的論點。

Got it. Okay. And then just now that you've had a little time to kind of process the changes in your go-to-market strategy. As you think about the broker channel, and I know you gave some statistics on increasing our fees. What do you think is resonating most with the brokers specific to TriNet versus other alternatives that they may have.

了解。好。接著，現在你們也有一些時間消化你們的市場進入（go-to-market）策略變更。當你看經紀人通路（broker channel）時——我知道你提到一些提高費用的統計——你認為對經紀人而言，最能引起共鳴的是 TriNet 相較於他們可能有的其他替代方案，哪一點最突出？

I think the number one thing is a really good broker cares, first and foremost, about the experience and the value their client is going to get. So where we can get repeated at that and where a broker has referred business in, they've seen kind of the quality of the delivery ultimately, that's our biggest and most important lever. And that's why it takes a little bit of time to build real sustainable momentum in the channel is you've got to prove yourself. But once you do, the leverage is pretty considerable. When you think about the penetration, 95-plus percent of SMBs get their health care through an independent broker or agent.

我認為第一點是：一位真正優秀的經紀人，最在乎的首先是他們的客戶將獲得的體驗與價值。因此，只要我們能在這方面反覆證明自己，且當經紀人把業務介紹進來後，他們看到了我們交付品質的水準，最終這就是我們最大、也最重要的槓桿。這也是為什麼在通路中建立真正可持續的動能需要一些時間：你必須證明自己。但一旦做到，槓桿效應就相當可觀。想想滲透率：95% 以上的中小企業（SMBs）是透過獨立經紀人或代理人取得醫療保險。

It has a really nice scale effects once you get there. I think for us, a lot of it is just looking at our processes and including the broker appropriately as an adviser to their clients. So unlike perhaps some other referral channels, in general, take a health insurance broker they're going to want to stay connected at renewal time. They're going to want to have access to and be able to help their client and where we can do that and our teams can go shoulder to shoulder, again, that's building trust in the relationship and in the quality of the delivery.

一旦做到那一步，就會有很好的規模效應。對我們而言，很大一部分是檢視我們的流程，並把經紀人適當地納入，讓他們能以顧問身分服務其客戶。因此，不同於某些其他引薦通路，一般來說，健康保險經紀人會希望在續約時仍保持連結；他們會希望能取得資訊、並能協助客戶。而只要我們能做到這點，讓我們的團隊能並肩合作，這同樣是在建立關係中的信任，以及對交付品質的信任。

So I would have, and I'm excited to see the first step is they need to give you opportunities, and that's the RFP growth that we've seen, and that's really performing well.

所以我會說——而我也很期待看到——第一步是他們必須給你機會，而這就是我們看到的 RFP 成長，而且表現得非常好。

The second piece is we need to get wins and get enough wins within the same relationships to sort of prove the value proposition. And that's kind of part of the story that we're at now.

第二步是我們需要拿下勝利（wins），並在同一段關係中累積足夠多的勝利，來證明價值主張。這就是我們目前所處的故事階段。

Great. And if I could just sneak one more in for Mala. On, should we think about the expense rate going forward the 1Q results less the restructuring action is that $100 million of a good reference point for the balance of the year.

很好。如果我可以再塞一個問題給 Mala：關於費用率（expense rate）往後的走勢，第一季的結果扣除重組行動後，那 1 億美元是否可以作為今年剩餘期間的一個良好參考點？

David, I would just stay with the -- what we had said in February, right? We had said we expect our operating expense for the full year to be lower than prior year in the mid-single-digit range. And we are still staying with that as part of our overall expectations and guidance.

David，我會維持——我們在二月所說的內容，對吧？我們當時說，我們預期全年營運費用（operating expense）將較前一年下降，幅度約在中個位數（mid-single-digit）區間。我們仍然維持這點，作為我們整體預期與指引的一部分。

And this concludes our question-and-answer session. I'd like to turn the conference back over to Mike Simonds for any closing comments.

以上為我們的問答環節。接下來我想把電話會議交回給 Mike Simonds，請他做結語。

Thanks, everybody, for joining the call this morning. I hope you get a sense that we've had an important milestone, and we're starting to turn a corner here at TriNet. There is a real rhythm and consistency to the actions we're taking. It's gratifying to start to see some of those play through. A lot of work to do, and Alex and Mala and I look forward to keeping you posted getting out in a bunch of meetings over the coming weeks and months.

感謝各位今天早上加入這通電話會議。我希望你們能感受到，我們已經達成一個重要的里程碑，TriNet 正開始轉向新的階段。我們採取的行動具有明確的節奏與一致性。看到其中一些開始發揮效果，令人欣慰。還有很多工作要做，而 Alex、Mala 和我也期待在接下來幾週與幾個月，透過多場會議持續向各位更新進展。

And with that, Keith, that concludes our call.

那麼，Keith，我們的電話會議到此結束。

Thank you. And as mentioned, the conference has now concluded. Thank you for attending today's presentation. You may now disconnect your lines.

謝謝。如先前所提，本次電話會議現已結束。感謝各位參加今天的簡報。您現在可以掛斷電話線。