Accordant (AGC:NZC), the New Zealand-based temporary staffing provider, reported revenue today for the six month period ended 30 September 2022 of NZD 122.9 million (USD 71.3 million), up 11.4% compared to last year.

Accordant has two defined Reporting Segments:

AWF – Contingent Blue Collar Labour Hire associated with infrastructure, logistics, manufacturing, technical and construction.

Madison Recruitment, Absolute IT and JacksonStone & Partners – White Collar Contingent temporary employees and contractors together with Permanent Recruitment associated with professional and managerial positions including technology and digital business sectors

The group noted that revenue and profitability lifted strongly at the white-collar division comprising Madison, Absolute IT and JacksonStone & Partners, while the blue-collar business AWF recorded a small decline.

CEO Jason Cherrington said amid skill shortages, unprecedented client demand and an anticipated increase in activity in manufacturing and civil construction, Accordant has a bright outlook for the full year to March 2023.

The group said AWF, the business unit most challenged by lockdown border restrictions, would reach ‘a significant milestone’ with the resumption of inflows of skilled migrant labour.

Madison has a strong pipeline of growth for the remainder of the year and increased temporary staff numbers by 40% compared to H1 FY22.

JacksonStone & Partners, the core permanent staffing business, was slightly ahead of its record year in FY22, and its contracting arm continued to grow.

Absolute IT started building momentum again, with a shortage of IT skills the main factor holding back organisations looking for a step change in their digital capability, the group stated.

Cherrington said the group’s enhanced ability to engage more deeply with clients’ plans gave cautious optimism for Absolute IT for the second half of this year.

Cherrington said Accordant had a continued appetite for growth by acquisition. The company added that “while it had been ‘complex’ identifying and progressing suitable opportunities in the last two years, the group was assessing ‘some interesting and attractive prospects.’

Accordant Group shares closed at NZD 1.64 (USD 0.95), down 8.89% on the day and 2.50% above its 52-week low of NZD 1.60 (USD 0.93), set on 16 June 2022. The company has a market cap of NZD 58.83 million (USD 34.1 million).