Adecco delivers solid revenue growth against a high base


Zurich, Switzerland, November 8, 2011: Adecco Group, the worldwide leader in Human Resource services, today announced results for the third quarter of 2011. Revenues were EUR 5.3 billion, an increase of 7% on an organic basis. The gross margin was 17.2%, down 60 bps year-on-year but up 30 bps compared to Q2 2011. Costs continued to be tightly controlled. Organically, SG&A was down 1% compared to the previous quarter. The Q3 2011 EBITA margin was 4.3%, down 20 bps compared with Q3 2010. The Group generated strong operating cash flow of EUR 217 million in the first nine months of 2011.
 
Patrick De Maeseneire, Chief Executive Officer of the Adecco Group, said: “Yet again we report solid revenue growth against a very strong third quarter last year. Not much changed in terms of the mix. General staffing still grew ahead of the professional segment. Our two largest markets, France and North America, delivered solid growth. Whereas general staffing in North America performed well, growth in professional staffing was disappointing. Germany, Italy and Emerging Markets maintained strong double-digit growth. Japan and Benelux performed better than the market. Nordics lagged behind due to our specific situation in Norway. The gross margin improved sequentially, but compared to the prior year was still impacted by the business mix. We did well on the cost side. Organically, SG&A was down 1% compared to the previous quarter. The EBITA margin was 4.3%, down 20 bps year-on-year. We know where we need to focus and are convinced we have the right measures in place to reach our mid-term EBITA margin goal of over 5.5%.”