Daily News

View All News

Netherlands – DPA grows strongly from acquisitions and buys another firm

23 April 2015

Dutch staffing firm DPA Group (DPA: NL) reported revenue for the first quarter ending 31 March 2015 of €27.4 million, an increase of 35.5% compared with €20.2 million in Q1 2014. 

  Q1 2015 Q1 2014 Change
Revenue €27.4 million €20.2 million +35.5%
Gross Profit €7.0 million €5.1 million +37.7%
EDITDA €2.0 million €1.7 million +15.2%

Eric Winter, CEO of DPA, commented: “The positive sales trend continued in our markets. In addition to ongoing flexibility, new legislation has also been driving labour market demand for our services. That is why we are investing in both the growth of our professionals and new training and talent development programmes.”

The strong revenue growth has been partly attributed to Fagro, a recruitment consultancy specialising in finance and business control, which was acquired in August 2014.

In addition to Fagro, DPA made several acquisitions in the Netherlands during 2013 and 2014; including information security company B-Able, Credit Force, Cauberg-Huygen Consulting Engineers, and Technipower.

The acquisition impacted operating expenses, however, which increased by 49% to €5 million. This compares with operating expenses of €3.4 million in Q1 2014.

Following unsuccessful, protracted merger negotiations with ICT Automatisiering; DPA sold its minority stake in the company during the quarter for €2.3 million.

As part of its growth strategy, DPA announced yesterday that it has reached an agreement to acquire a Dutch recruitment and professional services firm SOZA XPERT, which operates in the social services sector. The company achieved revenue of €3.8 million in 2014 and the acquisition is expected to contribute directly to the DPA’s earnings per share.

In early trading today, the company’s share price rose by 2.3% to €1.93, an increase of 11.3% compared with last year. Based on its current share price, the company has a market value of €94.4 million.