First-quarter revenue at Adecco, the world’s largest staffing firm, rose by 4% in constant currency to €5.08 billion (US$5.52 billion). First-quarter revenue rose 3.4% on an organic basis; Adecco measures organic growth by excluding the impact of currency, acquisitions and divestitures.

North America revenue rose 23% in the first quarter, but increased 4% on an organic basis. North America surpassed France in terms of revenue for Adecco. Adecco noted trends in Europe and Japan have become more positive, but growth in North America and emerging markets remains robust.

Adecco also announced today Alain Dehaze will replace Patrick De Maeseneire as CEO, effective Sept. 1. Dominik de Daniel, Group CFO, will also leave at the end of July.

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“In the first quarter revenue growth accelerated, helped by an improving environment in Europe,” said CEO Patrick De Maeseneire. “Conditions in France stabilized and we saw a pick-up in Benelux, while Italy, Iberia and Eastern Europe again achieved double-digit growth. And with 4.6%, we achieved our best-ever first quarter margin. In April, revenue growth was similar to the first quarter, in constant currency and adjusted for trading days.”

De Maeseneire continued: “Based on the trends in our business and the current economic outlook, we expect revenue growth to accelerate in the second half of 2015, also helped by an easier comparison base. Given our strong profitability in the first quarter and the positive outlook, and with the continued good progress on our six strategic priorities, we remain convinced that we will achieve our EBITA margin target of above 5.5% in 2015.”

Revenue by segment

Revenue by business line

All revenue changes in below country notes are reported on an organic basis, which excludes impact of currency, acquisitions and divestitures.

France

• Revenues fell 2% to €1.0 billion.
• Industrial, which accounts for approximately 85% of revenues, decreased by 1%.
• Weakness in construction, where the company has a large exposure, continued to weigh on revenues.
• Revenue fell 8% in office and 4% in professional.
• Permanent placement revenues in France was up 8%.

North America

• Revenues rose 4% to €1.08 billion.
• General Staffing accounted for approximately half of revenues.
• Industrial revenue growth remained strong at 14% while office revenues declined by 1%.
• Professional staffing revenue rose 1%, with growth of 18% in medical and science and 6% in finance and legal; revenues fell 1% in IT and 6% in engineering and technical.
• Permanent placement revenue rose 13%.

UK and Ireland

• Revenue fell 1% to €555 million.
• Approximately two-thirds of revenue come from professional staffing, which declined by 1%. This included a 1% revenue decline in both IT and finance and legal.
• In general staffing, where the majority of revenues are in office, revenue growth was flat.
• Permanent placement revenue rose 6%.

Germany and Austria

• Revenue fell 2% to €413 million
• Industrial revenue, which accounts for approximately 70% of revenues, fell 2%.
• Office revenue fell by 4%; professional staffing revenue fell 3%.

Japan

• Revenue rose 7% to €274 million.
• Revenues grew by 10% in office, which accounts for approximately 75% of Adecco’s revenues in Japan.
• In its smaller professional staffing business, which comprises IT and engineering and technical, revenue rose 7%.

Nordics

• Revenue fell 5%.
• After a difficult second half in 2014, Sweden improved during the quarter.
• In Norway the market environment continues to be challenging, adversely impacting profitability for the Nordics.

Emerging markets

• Revenue rose 11%, led again by double-digit growth in Eastern Europe & the Middle East and Africa.

Lee Hecht Harrison

• Revenues of LHH, Adecco’s career transition and talent development business, were flat. This was impacted by negative growth in North America, which accounts for approximately 50% of LHH revenues.