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Revenues were up by +21.3% from $180.1 million in Q1 2010 to $218.5 million in Q1 2011 at Hudson Highland Group, Inc. (HHGP:NMQ), the US-based international provider of permanent staffing, contract staffing and talent management services.
Interim results for the first quarter of 2011 ended 31 March reveal that permanent recruitment continued to deliver the strongest service line revenue growth, up +31.8% from the prior year quarter.
Temporary contracting revenue increased by +20.8% in the first quarter, representing the fifth consecutive quarter of accelerating growth over the prior year period.
Gross profit was $81.2 million, or 37.2% of revenue, up +22.2% from the same period last year, and a decrease of -2.1% from the fourth quarter of 2010.
All regions contributed to strong top-line growth, reporting double-digit revenue and gross margin increases in the first quarter compared with the prior year period.
EBITDA of $2.5 million, or 1.2% of revenue, improved from an EBITDA loss of -$1.4 million for the first quarter of 2010.
Net loss was reduced from -$4.2 million in Q1 2010 to -$6,000 in Q1 2011.
In Europe revenues were up from $76.6 million in Q1 2010 to $93.7 million in Q1 2011. Gross margin was up +18%, led by +21% growth in the U.K. and +16% growth in continental Europe, compared with the first quarter of 2010.
In Australia/New Zealand gross margin was up +22% compared with the prior year period, led by +44% growth in permanent recruitment.
In Asia gross margin was up +9% compared with first quarter 2010.
In the Americas gross margin was up +11% compared with the prior year period, driven by +9% growth in temporary contracting and +27% growth in permanent recruitment.
Mary Jane Raymond, Hudson Highland Group's Interim Chief Executive Officer and Chief Financial Officer, commented "we are encouraged that the demand for our services continues to grow. This quarter was Hudson's fifth consecutive quarter of increased revenue growth over prior year. Even as some clients continue to face economic uncertainty, they are increasingly relying on Hudson to select their strategic hires."
At the end of play in New York yesterday, Hudson Highland's shares were up by 4.24% to $6.15.