FINANCIALS: Tough times for Hudson, Major Players and Nakama
1 August 2013
The recruitment firm’s chair and chief executive officer Manuel Marquez says the firm’s business “began to stabilise” and show “early indicators of progress in our efforts to return to profitability”, in its results statement for Q2, posted online.
Thu, 1 Aug 2013Hudson Global
The recruitment firm’s chair and chief executive officer Manuel Marquez says the firm’s business “began to stabilise” and show “early indicators of progress in our efforts to return to profitability”, in its results statement for Q2, posted online.
The firm’s revenue of $171.4m was 16.3% lower than in Q2 2012, but 3.4% higher than Q1. The firm registered a net loss of $5.8m (£3.8m), following a marginal gain of $400k in the same period last year.
Revenue declines were seen in all three geographical segments of the company (Americas, Asia-Pacific, Europe), but Marquez says the company has seen quarter-on-quarter growth “in most markets”, alongside significant new recruitment process outsourcing (RPO) client wins, while chief financial officer Stephen Nolan notes $2m in cost savings achieved within Europe.
Marquez adds that the results reflect “the challenges of implementing a transformation plan in a difficult macroeconomic environment”.
The firm made a loss of $5.3m in 2012, following $10.9m profit in 2011.
Major Players
The recruiter saw turnover drop by 18% to £12.6m in the calendar year 2012 – the year ahead of the management buy-out (MBO) that saw it part ways with parent company Randstad – with final profit before tax tumbling from £603k last year to just £42k, reports filed at Companies House show.
The MBO took place in March 2013, with the recruiter’s founder Jack Gratton describing the deal as “entirely amicable” and saying it “allows us to re-focus entirely on our market”.
Cost of sales and administrative expenses did not decline at the same rate as turnover, meaning the firm made an operating loss of £23k, having been £575k in the black in 2011.
The firm’s sales headcount dropped from 53 to 47, with an administration cohort of 12 staff remaining at the same level as last year.
Nakama
The AIM-listed recruiter saw group revenue increase year-on-year by 25% to £16.7m in the 12 months to the end of March, with gross profit up by 45% to £3.98m, although the firm ended up making a loss before taxation of £219k, compared with £180k last year.
The results, available online, includes the loss of £120k through fund mismanagement discovered last October, as reported by recruiter.co.uk in November.
The results, available online, also note that the firm has opened new offices in Munich and Singapore in the period. Since then, it has appointed new directors following the departure of its chief executive officer.
Company chair Ken Ford says the firm’s strategy is “to build from a strong base in the UK and expand both in our specialist areas internationally and into targeted developing markets”, using London’s position as “a global leader in many of our chosen market sectors” as a “strong hub from which to develop”.
The recruitment firm’s chair and chief executive officer Manuel Marquez says the firm’s business “began to stabilise” and show “early indicators of progress in our efforts to return to profitability”, in its results statement for Q2, posted online.
The firm’s revenue of $171.4m was 16.3% lower than in Q2 2012, but 3.4% higher than Q1. The firm registered a net loss of $5.8m (£3.8m), following a marginal gain of $400k in the same period last year.
Revenue declines were seen in all three geographical segments of the company (Americas, Asia-Pacific, Europe), but Marquez says the company has seen quarter-on-quarter growth “in most markets”, alongside significant new recruitment process outsourcing (RPO) client wins, while chief financial officer Stephen Nolan notes $2m in cost savings achieved within Europe.
Marquez adds that the results reflect “the challenges of implementing a transformation plan in a difficult macroeconomic environment”.
The firm made a loss of $5.3m in 2012, following $10.9m profit in 2011.
Major Players
The recruiter saw turnover drop by 18% to £12.6m in the calendar year 2012 – the year ahead of the management buy-out (MBO) that saw it part ways with parent company Randstad – with final profit before tax tumbling from £603k last year to just £42k, reports filed at Companies House show.
The MBO took place in March 2013, with the recruiter’s founder Jack Gratton describing the deal as “entirely amicable” and saying it “allows us to re-focus entirely on our market”.
Cost of sales and administrative expenses did not decline at the same rate as turnover, meaning the firm made an operating loss of £23k, having been £575k in the black in 2011.
The firm’s sales headcount dropped from 53 to 47, with an administration cohort of 12 staff remaining at the same level as last year.
Nakama
The AIM-listed recruiter saw group revenue increase year-on-year by 25% to £16.7m in the 12 months to the end of March, with gross profit up by 45% to £3.98m, although the firm ended up making a loss before taxation of £219k, compared with £180k last year.
The results, available online, includes the loss of £120k through fund mismanagement discovered last October, as reported by recruiter.co.uk in November.
The results, available online, also note that the firm has opened new offices in Munich and Singapore in the period. Since then, it has appointed new directors following the departure of its chief executive officer.
Company chair Ken Ford says the firm’s strategy is “to build from a strong base in the UK and expand both in our specialist areas internationally and into targeted developing markets”, using London’s position as “a global leader in many of our chosen market sectors” as a “strong hub from which to develop”.
