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View All NewsAmadeus FiRe misses 2023 growth target and seeks productivity improvements
German staffing firm Amadeus FiRe (AADX:GER), reported consolidated revenue increased by 8.7% percent to €442.4 million for the financial year 2023, confirming its preliminary figures published in February.
With operating EBITA increasing 3.5% €70.4 million, the group affirmed that revenue and operating EBITA reached new record levels.
Despite growth in operating EBITA of 3.5% to a new high, the Amadeus Fire Group fell slightly short of its target of growing by around 7% in 2023.
At the end of the 2023 financial year, consolidated net income attributable to shareholders of Amadeus FiRe AG totalled €40.4 million (previous year: € 38.4 million).
| (€ thousands) | FY 2023 | FY 2022 | Change |
| Revenue | 442,357 | 407,072 | 8.7% |
| Operating gross profit | 243,421 | 216,434 | 12.5% |
| Operating gross profit margin | 55.0% | 53.2% | - |
| EBITDA | 96,058 | 92,400 | 4.0% |
| Profit for the period | 41,252 | 39,012 | 5.7% |
Revenue by segment
| (€ millions) | FY 2023 | FY 2022 | Change |
| Temporary staffing | 175,966 | 179,852 | -2.2% |
| Permanent placement | 82,509 | 74,144 | 11.3% |
| Interim and project management | 29,619 | 28,882 | 2.6% |
| Training | 153,695 | 123,908 | 24.0% |
Within the Personnel Services segment, headcount expansion and growth plans were realised. However, the group said its productivity was impaired for longer than expected. In addition, the entire year, and the fourth quarter in particular, was characterised by an exceptionally high sickness rate. This led to disrupted order processes at the end of the year.
As a result, there was an unforeseen negative impact on revenue and earnings, which had a measurable negative effect of around €1 million in the last three months of the year alone. The firm added that this does not include unmeasurable effects from internal processes disrupted by illness. Overall, the segment’s result in 2023 was 13% below the previous year’s record result and also below the group’s own expectations.
The Training segment saw its earnings almost doubled during the period with an increase of 92% despite a value adjustment of €1.7 million on an IT project.
Looking ahead, the focus in the Personnel Services segment in 2024 will be on increasing the organisation’s productivity. The market environment is expected to remain stable and revenue and gross profit are expected to rise.
The market environment for the Training segment is expected to be positive. Following the record results achieved in 2023, a further significant increase in revenue with significant investment activities is expected for 2024.
The Amadeus FiRe Group’s target is to achieve growth in both segments. Revenue between €470 million and €500 million is expected for 2024, with which the Amadeus FiRe Group is aiming to reach the strategic milestone of half a billion in revenue. Operating EBITA is expected to increase by 5 to 14% to between €74 and €80 million.