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View All NewsSweden – Dedicare Q2 revenue up 4.5%, Norwegian business reports strong growth
Dedicare (DEDI: SS), a Swedish staffing firm, reported revenue for the second quarter ending 30 June 2018 of SEK 204.6 million (€19.7 million), an increase of 4.5% compared with the same period last year.
| (SEK millions) | Q2 2018 | Q2 2017 | Change | Q2 2018 (€ millions) |
| Revenue | 204.6 | 195.8 | 4.5% | 19.7 |
| Operating Profit | 14.3 | 24.4 | -41.4% | 1.3 |
| Operating Margin | 7.0% | 12.5% | N/A | N/A |
| Profit for the Period | 11.0 | 18.7 | -41.1% | 1.0 |
According to Dedicare, the decrease in operating margin is primarily due to the lack of doctors, nurses and social workers, and increased competition in the market, which has led to increased salary levels and fees for group’s crew consultants.
Revenue was broken down as follows.
| (SEK millions) | Q2 2018 | Q2 2017 | Change | Q2 2018 (€ millions) |
| Sweden | 142.8 | 142.5 | 0.3% | 13.7 |
| Norway | 61.8 | 53.3 | 15.9% | 5.9 |
Revenue increase in Norway was mainly due to increased nurse staffing activity while a strong Norwegian currency also contributed to the revenue increase.
"We see continued good demand for our services in both Sweden and Norway, while competition is hard on the market, which pushes our margins and makes it difficult to find enough staffing consultants to meet customer needs," Krister Widström, CEO of Dedicare, said.
As of the last trade, Dedicare traded at SEK 59.20 (€5.70), down 4.05% on the day and 9.63% above its 52-week low of SEK 54.00 (€5.20), set on 14 May 2018. Based on its current share price the company has a market value of SEK 436.70 million (€42.0 million).