Renrui Human Resources Technology (6919: HKG), a China-based flexible staffing services provider announced its results Thursday for the year ended 31 December 2021. Total revenue of the group amounted to approximately RMB 4.74 billion (USD 744.9 million), a year-on-year increase of 67.5%.

For the year ended 31 December 2021, the revenue increase was due to an improvement in revenue generated from comprehensive flexible staffing services, which increased by 69.5% when compared to that of 2020.

The number of comprehensive flexible staffing employees increased from 38,637 as of 31 December 2020 to 50,447 as at 31 December 2021, representing an increase of approximately 30.6% year-on-year. The group also made a total of 99,499 placements for all of its business segments for the year ended 31 December 2021, representing an increase of approximately 35.5% in the total number of placements as compared to that of 2020.

In the second half of 2021, due to the adjustment of the agreement with a major customer and the regulatory changes in some of the group’s clients’ industries, gross profit was negatively impacted.

The company added that it saw strong demand for information technology and digital talents from corporate clients.

“In 2021, we made strategic headway in our digital-enabled professional services business, which comprises digital technology and cloud services, and digital operation and customer services,” the group said.

The group added that it has been adhering to the technology-driven human resources services and continued to invest in R&D and innovation.

On September 2021, Renrui agreed to acquire a 51% stake in two China-based staffing providers. The group announced it would take a 51% stake in Jiangnan Finance Technology (Changzhou) Co. Ltd and a 51% stake in Shanghai Lingshi Human Resources Services Ltd.

Last month, the company announced that its subsidiary Shanghai Ruiying Human Resources Technology Group will acquire a 46.0% stake in Shanghai Sirui Information Technology Co., Ltd.

“In light of the acceleration of digital transformation of China’s economy, we saw strong demand for information technology and digital talents from corporate clients,” the group stated. “In this context, we proactively embrace changes and reposition for strategic upgrade, committed to partnering with Chinese enterprises to seize digital transformation opportunities, easing their transition to digitalisation and solving their problems in integration and connection with the reimagined digital-enabled talent management, leveraging our comprehensive human resources services.”

Shares in Renrui closed on Thursday at HKD 8.30 (USD 1.06), down 1.54% on the day. The company has a market cap of HKD 1.25 billion (USD 159.4 million).