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One of France’s largest temporary staffing firms, Groupe CRIT (CRIT:PAR), has increased its annual revenue in 2011 by +15.4% as sales rose to €1.5 billion, up from the €1.3 billion the firm made in 2010. The company said that this was mainly due to its “steady” organic growth of +12.6% in the year.
Revenues generated from the company’s temporary employment business grew by +16.6% (83.4% of total revenue), and came to €1.3 billion. In France, the Group reinforced its market shares with sales going up +14% while at the same time the temp market in the country increased by +11% .
Internationally, revenue increased by almost +48% to €124.9 million and the firm said that 2011 has been a significant year for international growth. The international revenue includes activities from the firm’s North American staffing company PeopleLink, which was acquired in September 2011. In the year, PeopleLink saw revenues rise +21% to €96.7 million with operating income up +19% to €5.7 million – the operating margin represented almost 6% of revenue.
Total operating income reached €48 million, which was up +28 % from the €37.5 million the firm made a year ago. In the firm’s temp & recruitment business, operating income rose over +29% and amounted to €41 million. The firm also improved its operating margin in France to 3.3% compared to 3.0% in 2010.
The firm reported no net debt and a cash flow from operations came to €60.5 million in 2011. Group net profit was also up +41.8% to €19.8 million in 2011 from €14 million in the previous year.
The group said in a statement that “In France, despite the slowdown in activity in the beginning of year, the Group remains confident in its capacity to achieve a year with a good level in activity. Abroad, where the Group should achieve sales above € 220 million, outlooks remain favourable. Given the dynamic in the North American market, the Group is ready to strengthen its positions in the US with the search for external growth opportunities.”
Groupe Crit is among the top five staffing firms in France, according to Staffing Industry Analysts’ research. It is a France-based holding company that specialises in service provision and is split into three divisions: temporary employment & recruitment services; airport services; and engineering and maintenance. The company operates several subsidiaries, including Crit Interim, which manages the Group's temporary employment services.
Despite the improved results, in early trading this morning, the company’s share price decreased -2.65% to €16.55, down -24.05% from a year ago but +66.83% above the 52-week low of €9.92 set on 24 November 2011. The firm has a market capitalisation of €191.25 million.