FINANCIALS: Staffline refinances and transforms balance sheet

Recruitment and training group Staffline has raised gross proceeds of £48.4m in a placing, subscription and open offer on 10 June this year.

In announcing today its audited results for the year ended 31 December 2020, Staffline said it had refinanced its debt facilities. “The combined refinancing has transformed Staffline’s balance sheet,” a company statement said.

The report also highlights “a structural change” in the employment market in 2020, with increasing levels of unemployment and demand shifting in favour of essential retail, online and e-commerce sectors, presenting a number of growth opportunities for Staffline. 

Further, the statement says, “the group has been right-sized and is now re-focused on its core sectors, which the board believes Staffline can leverage to continue sustainable growth” both in the recruitment of temporary workers and training, as skills and training becomes higher priority in “a bid to get more individuals back into employment”. 

Staffline CEO Albert Ellis pointed out in his statement that the group has rationalised both people costs and property estate, disposed of its Apprenticeships business, and sought to develop supply chain synergies by aligning a new group structure with IT capabilities and solutions. “These changes delivered c.£15.0m of annualised cost savings,” Ellis said.

Ellis also said that the group has created a social recruitment model which connects employers with individuals “who might otherwise struggle to find work, with corporates such as Amazon and Tesco utilising this model… Our goal is to truly embed Environmental, Social and Governance targets across our business… By focusing on these three key areas, we believe we can have the most impact across our key stakeholders and are currently introducing new targets to increase accountability across the business. 

“We are committed to helping to build a sustainable future for society, and the unprecedented events of this year have strengthened our resolve. With the anticipated rise in unemployment anticipated in the coming months as a result of the pandemic, we believe Staffline’s purpose will become more important than ever before.”

2020 financial highlights include:

  • Revenue of £927.6m (2019: restated £1,063m)
  • Reporting operating loss of £44.3m (2019: restated £36.2m)
  • Underlying operating profit increased 66% to £4.8m (2019: restated £2.9m)
  • Reported loss before tax of £51.6m (2019: restated £44.4m).

• Comment below on this story. Or let us know what you think by emailing us at [email protected] or tweet us to tell us your thoughts or share this story with a friend.

FINANCIALS: Gattaca NFI exceeds previous period

Specialist engineering and technology staffing business Gattaca has achieved 7% higher net fee income (NFI) in the first half of 2021 than during the same period last year.

Financials 17 August 2021

FINANCIALS: Empresaria’s profits up, but revenue declines

Global and multi-sector recruitment group Empresaria has announced its unaudited interim results for the six months ended 30 June 2021.

Financials 12 August 2021

FINANCIALS: Staffline expects revenues and GP to increase

Recruitment and training group Staffline expects its H1 2021 revenues to reach £450.7m, an increase of 4.7% from the same period last year.

Financials 28 July 2021

FINANCIALS: Group revenues up for Adecco

Adecco is reporting “significant revenue improvement” and strong margin performance in its Q2 2021 financial results, announced today (28 July 2021).

Financials 28 July 2021
Top