Revenue at The Adecco Group edged up in the fourth quarter with growth coming from its Adecco business unit, which provides staffing and outsourcing globally and is the company’s largest business unit. The Adecco Group’s two other business units, Akkodis and LHH, saw revenue slip, though there were some bright spots there as well. LHH’s career transition (outplacement) and mobility revenue jumped.

Overall, fourth-quarter revenue at The Adecco Group, the world’s second-largest staffing firm, rose 1% year over year on an organic basis when also adjusted for trading days to nearly €6.11 billion (US$6.74 billion).

“The group delivered a strong finish to 2023 in a challenging market environment, continuing to gain share while further improving profitability through productivity and disciplined cost reduction,” CEO Denis Machuel said in a press release.

In the Adecco business unit, revenue rose 3% on an organic basis adjusted for trading days. The company noted Latin American revenue rose 32% led by Brazil and Colombia. However, North America revenue fell 13% with the company reporting a subdued environment in IT, logistics and retail. Overall Americas revenue was flat.

In the Akkodis division, which supplies IT staffing and solutions, fourth-quarter revenue fell 5% on an organic basis, trading days adjusted. Within Akkodis, the company said North American revenue was impacted by the tech downturn and fell 17%.

The Adecco Group’s LHH business unit saw fourth-quarter revenue fall 2% on an organic, trading days adjusted basis. Within LHH, recruitment solutions was down 18%, learning and development revenue was down 17% and “Pontoon and other” were down 3%, though Pontoon revenue itself rose 2%. However, career transition (outplacement) and mobility revenue rose 46%. LHH’s operations include outplacement, leadership development, executive search and skills training through Ezra and General Assembly.

The number of full-time employees at The Adecco Group was reduced 5% to 37,381.

Guidance

The Adecco Group’s year-to-date volumes in 2024 are marginally below fourth quarter 2023 levels, though the company said it expects to capture market share.

Share price

Shares in The Adecco Group closed down 5.19% today in Europe to 35.43 Swiss francs (US$). Shares were 16.10% below their 52-week high.