Temp Staffing Firm Gains on US, Europe Trends: CEO
Swiss staffing company Adecco posted a better than expected net profit for its first quarter results, up 77 percent to 100 million euros, and the results were mainly driven by good revenues in the United States and in France, the company's CEO told CNBC in an interview Tuesday.
“These are good results,” Patrick De Maeseneire, CEO of Adecco, said. “We are benefiting from a good global environment.”
A dull global economic recovery usually means brighter opportunities for the temporary employment sector as companies are less likely to turn to permanent workforce.
“The market data came out in the US on Fridayand in France yesterday — and these are our two most important markets — and we continue to see very solid growth,” Maeseneire said.
Adecco is benefiting from a double-digit growth in both the United States and France, which, altogether, make up to 40 percent of Adecco’s sales.
“Now we have to also take into account that last year, in the second quarter, we already had a growth of 13 percent,” he said. “Last year, we really started to accelerate in the second quarter, but then again, if you look at the market data, it is still double digit growth in both of those markets.”
The temporary employment firm says it's well on track to reach its mid-term Ebitda target of over 5.5 percent.
“We’ll continue to see solid growth,” Maeseneire said, “we won’t see 40, 42 percent or 38 percent in some markets, but we still will see double digit growth.”