Adecco continues to deliver double-digit revenue growth in Q2 2011

Adecco continues to deliver double-digit revenue growth
The EBITA margin improves to 3.9% and cost control is strongly maintained
Zurich, Switzerland, August 10, 2011: Adecco Group, the worldwide leader in Human Resource services, today announced results for the second quarter of 2011. Revenues were EUR 5.2 billion, an increase of 13% when excluding the currency impact. The gross margin was 16.9%, down 90 bps, mainly driven by the business mix. Costs continued to be well controlled. SG&A increased by 5% versus the prior year and by 1% versus Q1 2011, all in constant currency. The Q2 2011 EBITA margin was 3.9%, up 30 bps compared with the Q2 2010 EBITA margin of 3.6%. DSO was at 55 days, up 2 days compared to Q2 2010.
Patrick De Maeseneire, Chief Executive Officer of the Adecco Group, said: “We had again very solid doubledigit revenue growth this quarter, still driven by strong demand in the industrial segment. Revenue growth in France and North America held up very well, against an increasingly challenging base. Germany and Italy continued to deliver remarkably strong growth of above 30% and also Benelux and Japan performed ahead of the market. The gross margin was lower seasonally and was still impacted by the stronger growth of the lower margin industrial staffing business. Pricing remained rational. We continued to work hard on improving our profitability, delivering an increase of 30 bps on the EBITA margin to 3.9% this quarter. This was yet again achieved with tight measures on the cost side. With the current economic uncertainties, we keep a close lid on our cost base, and will only invest where prospects are promising. Revenue growth in July was a touch lower than June and from today’s perspective we expect a solid third quarter.”