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View All NewsRandstad’s Q2 revenue rises 38%, surpasses pre-pandemic levels
Global staffing giant Randstad nv reported second-quarter revenue rose 38% year over year on an organic basis. The Netherlands-headquartered firm also said revenue was up from pre-pandemic levels with a 3% increase compared to the second quarter of 2019.
“Group revenue surpassed 2019 levels and we achieved solid profitability whilst continuing to invest in new growth opportunities,” CEO Jacques van den Broek said.
Randstad reported perm fees rose by 91% year over year on an organic basis. In addition, it reported the Monster job board business is showing positive year-over-year momentum.
Randstad’s measure of organic growth excludes the impact of currencies, acquisitions, disposals and reclassifications. Revenue growth has also been adjusted for working days.
(€millions) | Q2 2021 | Q2 2020 | % change | % organic change | Q2 2021 (US$millions) |
Revenue | 6,078 | 4,437 | 37% | 38% | 7,235 |
Gross profit | 1,183 | 830 | 43% | 45% | 1,408 |
Gross margin | 19.5% | 18.7% | - | - | - |
Operating profit | 239 | (69) | nm | - | 285 |
Net income | 176 | (57) | nm | - | 210 |
As the recovery continues, van den Broek noted trends such as talent scarcity.
“At the same time, the pandemic continues to touch the lives of many and the well-being and health of our employees is our highest priority,” he said. “This quarter, in particular, I am proud of the active role we played in the pandemic humanitarian response in India.”
Revenue by geography
(€millions) | Q2 2021 | Q2 2020 | % change | % organic change | Q2 2021 (US$millions) |
North America | 1,074 | 944 | 14% | 23% | 1,279 |
France | 927 | 559 | 66% | 63% | 1,104 |
Netherlands | 870 | 624 | 39% | 37% | 1,036 |
Germany | 478 | 322 | 48% | 46% | 569 |
Belgium & Luxembourg | 393 | 279 | 41% | 37% | 468 |
Italy | 501 | 301 | 66% | 64% | 596 |
Iberia | 363 | 245 | 48% | 45% | 432 |
Other European countries | 576 | 437 | 32% | 29% | 686 |
Rest of the world | 602 | 507 | 19% | 20% | 717 |
Global businesses | 294 | 219 | 34% | 41% | 350 |
US revenue rose 21% on an organic basis while Canadian revenue rose 50%. Randstad reported perm fees in North America rose 116%.
Randstad’s US staffing/inhouse services revenue rose by 33% in the second quarter and US professionals revenue rose 6%.
Revenue by category
(€millions) | Q2 2021 | Q2 2020 | % change | % organic change | Q2 2021 (US$millions) |
Staffing | 3,055 | 2,086 | 46% | 45% | 3,637 |
Inhouse Services | 1,439 | 1,013 | 42% | 43% | 1,713 |
Professionals | 1,290 | 1,119 | 15% | 22% | 1,536 |
Global businesses | 294 | 219 | 34% | 41% | 350 |
Randstad Sourceright revenue increased by 56% year over year in the second quarter while Monster revenue remained stable. RiseSmart, the company’s outplacement and reskilling platform, saw revenue fall by 7% year over year.
Guidance
Volume trends in July indicate continued positive momentum, the company reported.
Share price and market cap
Shares in Randstad closed at €62.58 (US$73.79) today, down 6.40% from their 52-week high set yesterday, according to FT.com. The company had a market cap of €12.25 billion (US$14.44 billion).