Interim Report 1 January – 30 September 2017

Quarterly period July-September
Reported revenue, earnings, cash flow and financial ratios relate to continuing operations, and do not include Poolia UK.

• Revenue amounted to SEK 180.9 (183.6) million.
• Currency effects had an impact of SEK -4.8 million during the quarter.
• Operating profit amounted to SEK 7.4 (5.9) million, with an operating margin of 4.1% (3.2%).
• Profit before tax was SEK 7.5 (4.8) million.
• Profit after tax was SEK 5.3 (3.7) million.
• Basic and undiluted earnings per share amounted to SEK 0.31 (0.21).
• Cash flow from operations for the quarter was SEK 6.0 (-0.2) million.

Interim period January-September
Reported revenue, earnings, cash flow and financial ratios relate to continuing operations, and do not include Poolia UK.

• Revenue amounted to SEK 574.7 (585.8) million.
• Currency effects had an impact of SEK -0.9 million.
• Operating profit amounted to SEK 20.8 (14.2) million, with an operating margin of 3.6% (2.4%).
• Profit before tax was SEK 20.5 (11.7) million.
• Profit after tax was SEK 14.6 (8.1) million.
• Basic and undiluted earnings per share amounted to SEK 0.85 (0.47).
• Cash flow from operations for the period was SEK 13.3 (-10.1) million.
• The equity/assets ratio was 35.6% (31.0%) at the end of the period, and the Group’s equity per share was SEK 5.13 (4.41).

From the CEO: Strong earnings improvement in the quarter  

Operating profit for the third quarter amounted to SEK 7.4 million, an improvement of 26% compared with 2016. The operating margin was 4.1% for the quarter, compared with 3.2% for 2016. The Swedish operations are responsible for most of the improvement, with operating profit of SEK 2.0 (1.1) million for the quarter and an operating margin of 1.7% (0.9%). The improvement is due to increased permanent placement revenue and good cost control.  

Operating profit for the quarter for the German operations was SEK 5.2 (4.5) million, with an operating margin of 10.1% (8.7%).  

The Finnish operations reported an operating profit of SEK 0.2 (0.3) million for the quarter, with an operating margin of 2.3% (2.8%).  

Poolia’s total revenue of SEK 180.9 million for the third quarter was 1.9% lower than for the same period in 2016, when it was SEK 183.6 million. Currency effects had an impact of SEK -4.8 million. In local currencies, the Group achieved growth of 1.1% for the quarter.  

Revenue for Sweden was at the same level as in the third quarter of 2016. In local currency, the German operations achieved growth of 7% for the quarter. In local currency, Finland’s revenue declined by 13%.  

Poolia’s lack of growth in Sweden is still mainly due to a shortage of candidates. We are experiencing strong demand for both temporary staffing and permanent placement services. Poolia is also affected by the fact that competition in the industry is intense, which makes it difficult to raise prices.                     

Cash flow from operations for the quarter was SEK 6.0 (-0.2) million and was primarily attributable to strong earnings for the period. The Group’s liquidity and financial position are good. 

The third quarter is the quietest of the year in terms of public and private sector contracts. Long-term agreements signed during the quarter include the Swedish Migration Agency (Migrationsverket), AMF, the Swedish Data Inspection Authority (Datainspektionen), Lidingö Municipality and Orange.  

During 2017, we have invested significant resources in developing and strengthening our sales and marketing, which will shortly be reflected in several different channels. The sales organisation is now established at a level that we consider will be sufficient to achieve increased growth.  

We work constantly on developing our internal processes to simplify and improve the service to our customers. We have also launched new offerings to make us an even more attractive employer for temps and internal staff.  

Poolia’s future is bright. We are progressively showing improved profitability and are well equipped to continue our journey towards growth.  

Poolia’s long-term goals and strategies stand firm. 

Morten Werner
Managing Director and CEO 

Contact person:
Morten Werner, MD and CEO, tel: +46 70 636 25 25, +46 8 555 650 60

This is information that Poolia AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication through the contact person above at 09.35 CET on 31 Ocober 2017. The Swedish version was published 27 October 2017 at 07.00.

Poolia’s business concept is to provide companies and organisations with the skills that, either temporarily or permanently, meet their needs for qualified professionals. Poolia specialise in temporary staffing and permanent placement of professional staff in our focus areas of Finance & Accounting, Financial Services, Office Support, IT, Life Science & Engineering, Sales and Marketing, Human Resources, Legal, and Executive Search. Poolia has business in Sweden, Finland and Germany. Poolia is listed on the NASDAQ OMX Stockholm AB since 1999.

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