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View All NewsImpellam revenue up in first half, finance director steps down
Impellam Group plc, one of the world’s largest staffing firms, reported revenue for the first half of 2016 rose 30.5% compared to the same period last year. The acquisition of MSP and staffing provider Bartech Group last year provided a boost. Gross profit in the company’s US managed services segment rose 155.9% in constant currency driven by the acquisition of Bartech. And the 61.5% year-over-year growth in gross margin in Impellam’s US specialist staffing segment was also fueled by the Bartech acquisition.
| (£millions) | Half-year 2016 | Half-year 2015 | % change | Half-year 2016 (USD$millions) |
| Revenue | £1,085.6 | £831.6 | 30.5% | $1,453.6 |
| Gross profit | £139.0 | £108.8 | 27.8% | $186.1 |
| Gross margin | 12.8% | 13.1% | ||
| Profit for the period | £14.9 | £14.6 | 2.1% | $20.0 |
The company also announced Group Finance Director Darren Mee will step down as director, effective immediately, and will leave the company at the end of July in order to pursue other interests. Mee has been group finance director and board member since January 2015. Group Financial Controller Alison Wilford now joins the board and will take over as group finance director. Mee will support Wilford over the remainder of 2016 in her new role.
Wilford is currently a director of Leeward Property Management Limited. In the past five years, she was a director of Aviva Global Services (Management Services) Private Limited and Waveney Asset Management Limited.
Impellam’s North America business is now under single leadership following the December acquisition of Bartech Group.
On a standalone, like-for-like basis, adjusting for constant currency, gross profit for Bartech Managed Services business rose 14.5%.
Quote
“At the end of last year, I stated that my major priorities for 2016 were people and cash,” said CEO Julia Robertson. “That has not changed and I am pleased to report that this focus together with the clarity of purpose around achieving our vision of being ‘the world’s most trusted staffing company' means that we can be trusted, even in these uncertain times.”
Robertson continued, “Our focus on managed services and specialist staffing aimed largely at the contingent workforce, where 90% of our gross profit is derived from temporary or contractor placements, puts us in a strong place both with customers seeking to build better businesses and with candidates who are looking for flexibility, a sense of purpose and employers who value their contribution.”
Revenue by segment for United Kingdom and North America
| (£millions) | Half-year 2016 | Half-year 2015 | % change | Half-year 2016 (USD$millions) |
| Managed services-UK, Europe and Australasia | £498.1 | £400.5 | 24.4% | $666.9 |
| Specialist staffing-UK, Europe and Australasia | £403.7 | £362.4 | 11.4% | $540.5 |
| Managed services-NA* | £118.8 | £44.8 | 149.2% | $159.1 |
| Specialist staffing-NA* | £95.7 | £44.8 | 100.9% | $128.1 |
| Inter-segment revenue | -£30.7 | -£20.9 | nm | nm |
*Measured in constant currency
Share price and market cap
Impellam shares closed down 0.81% to £672.00, and the company had a market cap of £342.09 million, according to Google.