The Go2 People Ltd. (GO2:ASX), the Australia-based provider of vertically integrated recruitment and training services, provided an operational update today for the third quarter ended 31 March 2023.

 The company announced that its securities will be suspended from quotation immediately under Listing Rule 17.2, at the request of Go2, pending the release of an announcement regarding a material debt owed by a customer.

The group also announced Chief Financial Officer Steven Richards has resigned with effect from 26 May 2023. The company has appointed John Fitzgerald as its new Chief Financial Officer. Fitzgerald started in the role on 17 April 2023 to enable a smooth transition period of approximately one month from Richards.

Fitzgerald is a qualified accountant, a Fellow of the Institute of Financial Accountants (UK) and a fellow of the Institute of Public Accountants in Australia. He was most recently employed as CFO at SMS Mining Services from 2018, and prior to that role was the Manager, Finance and Commercial, at Saracen Mineral Holdings Limited from 2012 to 2018.

During the quarter, the business said it continued its turn-around, based on strong revenue, clients and candidates while focusing on expanding margins and rationalising operating costs. Go2 People said the business continued to achieve incremental improvements in many areas, including higher-margin activities such as training and executive recruitment.

Furthermore, it added that approval is expected shortly for Skill Hire, the employment services provider acquired in 2021, to become the first Approved Employer servicing the mining industry within the Pacific Australia Labour Mobility (PALM) Scheme.

The group also published quarterly figures which showed that Cash Receipts from Customers was down in Q3 when compared to Q2. Gross Cash Margin also fell quarter-on-quarter while Net Cash Operating Margin also saw a decrease over the quarter.

Go2 People said its Queensland recruitment business softened due to seasonal effects of the quieter January month, which impacted cash receipts for the quarter.

The group last traded on 3 April when shares closed at AUD 0.01 (USD 0.006), no change on the day. The company had a market cap of AUD 6.08 million (USD 4.0 million).