Today, Randstad Holding released its Q3 results. These show resilient trends, with organic growth up 4.2% and gross profit up 3.3%.
In Q3, Randstad achieved revenues of € 5,349 million (compared to € 4,977 million in Q3 2015).
At 8%, organic growth was strongest in the “Rest of the world” region.
Perm fees were up a solid 7%. Our EBITA margin (the measure of our “earnings before the deduction of interest, tax and amortization”) was 5.1%, slightly up compared to Q3 2015 (5.0%), continuing a positive trend. Net income was up 12% to € 193 million.
Three acquisitions were consolidated in Q3: Obiettivo Lavoro (Italy), Careo (Japan), and twago (Germany).
In North America, revenue per working day was up 1%. Growth in the US remained broadly stable, with Canada performing well, with growth up 5%. At 6.5%, our EBITA margin in North America is solid.
In Europe, revenue per working day grew 5%.
We saw the most vigorous growth in “Other European countries”, supported by accelerating growth in Italy (up 15%) and Switzerland (up 12%). Iberia also showed solid growth (6%).
Overall revenue in the “Rest of the world” region showed sound growth and was up 8%. Latin America grew an impressive 22%, driven by Argentina and Brazil (Olympics).
In Q3, Staffing revenue grew organically by 3%, while the underlying EBITA margin reached 5.3%, compared to 5.2% in Q3 2015.
Inhouse Services grew by 10%, and the EBITA margin remained at 5.3%.
Growth in Professionals was 2%, while EBITA margin was down to 5.5% from 5.7% in Q3 2015.
In Q3, growth trends were resilient across all regions. These trends appear to be continuing into October. I’m happy with the solid performance across our countries, while at the same time we welcomed more than 1,300 new colleagues in Scandinavia, Italy, Japan and Germany. We look forward to harnessing the full potential of our corporate development.