FINANCIALS: 50% increase in profit for Staffline

Staffing services, outsourcing, training and employability organisation Staffline has this morning [28 January] announced a 50.8% increase in group operating profit to £19.4m for the year ended 31 December 2014.
Wed, 28 Jan 2015Staffing services, outsourcing, training and employability organisation Staffline has this morning [28 January] announced a 50.8% increase in group operating profit to £19.4m for the year ended 31 December 2014.

Revenue increased 20.9% to £503.2m, of which 10% was organic and the rest due to the acquisition of welfare-to-work and skills training provider Avanta.

Staffline chief executive Andy Hogarth told Recruiter the company was winning more customers, more contracts and had seen an improvement in profit margins.

“The business that we are winning, we are winning at a better margin than existing business,” he said.

The staffing services side of the business, which focuses on temporary blue collar recruitment, won 41 onsite contracts to supply workers for other companies.

The employability side (Avanta and EOS), which works to get long-term unemployed people back into work, won three major contracts including one with the Ministry of Justice to supply probation services in Warwickshire and West Mercia.

Staffline won a further five contracts, had one extended and, in Saudi Arabia, had a trial which will lead to a contract extended, Hogarth added.

As for the year going forward, Hogarth said the business was looking to acquire companies that operate in similar sectors.

It was also looking to grow its franchises. Two years ago it acquired high street white-collar recruiter Select Appointments from Randstad, and renamed it Select. Staffline now sells Select franchisee licences to recruiters who want to open their own businesses, as well as providing them with training and back office support.

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