Work Service Capital Group (WSE:WSE) the Polish staffing, RPO, and outsourcing company reported revenue of PLN 1.23 billion (€286.5 million) for the first nine months of 2019, a decrease of 21.0% compared with the same period last year.

The company is in the midst of operational restructuring.

Earlier this year, Work Service announced that Maciej Witucki had resigned from his role as CEO with effect from 28 February 2019. Iwona Szmitkowska, Vice President of the Management Board will take over Witucki’s role on the Board. Szmitkowska was included in SIA’s 2019 Global Power 150 Women in Staffing.

In February 2019, Work Service announced that it has begun the process of selling its foreign subsidiaries including Work Service Czech, Work Service Slovakia, as well as Work Service SK, and Work Service Outsourcing Slovakia, which are part of Work Service Slovakia.

On 21 March 2019, the company decided to start a review of strategic options aimed at choosing the most advantageous way to implement the long-term strategy of the Work Service Capital Group. The company said it has engaged in a collaboration with a brokerage house.

The intention of the company's Management Board is to obtain additional financing in 2020. The capital obtained from investors would enable to improve the working capital and would finance the repayment of significant liabilities of the Capital Group.

“In the opinion of the Management Board, the Capital Group will continue to be in a difficult situation until it acquires an investor as part of the capital increase and other strategic options, and fully repays all existing public and legal liabilities related to the agreements concluded with the Social Insurance Institution, existing credit and bond liabilities, other public and legal liabilities and other liabilities,” the company stated.

Looking ahead the group said it aims to systematically improve the profitability of operations by further reducing fixed costs started in 2018, and to focus commercial activities on acquiring new orders from existing and new customers in Poland, the Czech Republic, Slovakia and Germany.

Work Service Capital Group renders human resource management services. It specialises in the search for and recruitment of skilled workers, personnel consulting, outsourcing of functions related to HR management and supporting processes in enterprises and offers solutions based on the use of agency work employment contracts.

As of last trade, Work Service traded at PLN 0.53 (€0.12), up 13.19% on the day and 16.67% above the 52 week low of PLN 0.45 (€0.11) set on 26 November 2019. Based on its current share price the company has a market value of PLN 34.89 million (€8.0 million).