Daily News
View All NewsAustralia – Ashley Services full year revenue up 13.9%
Revenue at Australian labour hire and training services firm, Ashley Services (ASH: ASX) grew by 13.9% in its fiscal year ended 30 June 2021, when compared to the same period last year.
The group saw significantly stronger growth in the second half of the year.
The acquisition of CCL Group boosted revenue growth. Ashley Services said The Instruction Company, which was acquired mid-September 2020 with full financial year effect, has delivered a modest profit as the group expanded its geographical footprint to drive future growth.
| (AUD millions) | FY 2021 | FY 2020 | Change | FY 2020 (USD millions) |
| Revenue | 383.7 | 336.8 | 13.9% | 281.2 |
| EBITDA | 15.5 | 9.7 | 60.0% | 11.3 |
| EBIT | 13.8 | 7.7 | 79.0% | 10.1 |
| Net profit after tax | 9.6 | 5.1 | 90.0% | 7.0 |
Revenue by division
| (AUD millions) | FY 2021 | FY 2020 | Change | FY 2020 (USD millions) |
| Labour Hire | 374.0 | 329.5 | 13.5% | 274.1 |
| Training | 9.7 | 7.3 | 33.0% | 7.1 |
The Labour Hire division is comprised of Action Workforce (blue-collar labour hire), CCL Group (construction based labour hire and traffic management), Concept Engineering (technical labour hire) and Concept Recruitment Specialists (white-collar recruitment).
Training revenue growth was almost entirely due to the first year’s revenue from The Instruction Company.
Ross Shrimpton, managing director, said, “2021 has seen the Ashley Services Group deliver an outstanding result. The adjustments we put in place last year to our systems and operations to cope with a Covid-19 impacted work environment have served us well and played a significant role in our strong performance.”
“As with the previous year, whilst Covid-19 provided operational challenges for us, in many ways it also created opportunities for growth, particularly in Action Workforce with its high exposure to the supply chain sector,” Shrimpton continued. “The year also saw us welcome The Instruction Company (TIC) into the Ashley Services Group family, broadening our offer to the rail sector. In its acquisition year we expanded the geographical footprint of The Instruction Company and look forward to this driving additional growth opportunities for this business well into the future.”
“Track Safety Australia (TSA) launched in December 2020 leveraging both our long term labour hire pedigree and our rail sector experience gained through Concept Engineering. TSA is a specialist provider for Rail Worksite Protection staff and Rail Safeworking staff,” Shrimpton said.
Shares in Ashley Services set a new 52-week high during today's trading session when it reached AUD 0.565 (USD 0.41). Over this period, the share price is up 46.05%. The company last traded at AUD 0.555 (USD 0.41), up 12.12% on the day. The company has a market cap of AUD 71.27 million (USD 52.2 million).