China-based job board and HR resource services provider 51job Inc. (NSDQ: JOBS) yesterday reported net revenue decreased 8.4% in the third quarter ended 30 September 2020.

51job said its online recruitment services segment declined due to the ongoing impact of the pandemic and global economic uncertainty on the business operations of companies in China, which has negatively affected their recruitment demand and spending on the company’s online recruitment platforms in 2020.

The decline in gross profit was primarily due to the lower level of revenues and the increase in cost of services as the company stepped up investment in new technology and product development in the third quarter of 2020.

Operating expenses decreased by 3.8%.

The company recognised a loss from foreign currency translation of RMB 29.2 million (USD 4.4 million) in the third quarter of 2020 compared with a gain of RMB 31.4 million (USD 4.7 million) in the third quarter of 2019 primarily due to the impact of the change in exchange rate between the Renminbi and the US dollar on the company’s US dollar cash deposits.

Revenue by segment

Shares in 51Job closed yesterday at USD 71.00, up 1.21% on the day and 31.63% above the 52 week low of USD 53.94 set on 23 March 2020. The company has a market cap of USD 4.57 billion.