Interim report 1 January – 31 March 2014

Continuing focus on sales and profitability improvement

Quarterly period January-March

Reported revenue, earnings, cash flow and financial ratios relate to continuing operations and do not include Utvecklingshuset and the UK.

• Poolia’s revenue amounted to SEK 181.6 (194.2) million, a decline of 6.5% (7.4% in local currency).
• Operating profit was SEK 4.0 (4.3) million, with an operating margin of 2.2% (2.2%).
• Profit before tax was SEK 3.9 (4.3) million.
• Profit after tax was SEK 2.7 (3.3) million.
• Earnings per share amounted to SEK 0.16 (0.19).
• Cash flow from operations for the quarter was SEK 7.7 (5.7) million.
• The equity/assets ratio ended the period at 32.0% (31.4%), and the Group’s equity per share was SEK 3.89 (4.69).

Other significant events

• Morten Werner took over as the new Managing Director and CEO on 1 February 2014.
• The UK operations were divested on 28 February 2014 with a capital gain of SEK 4.7 million.
• Profit/loss for the period from discontinued operations was SEK -1.6 (-1.0) million.

From the CEO – “Continuing focus on sales and profitability improvement”
Poolia revenue for continuing operations declined by SEK 12.6 million (6.5%) to SEK 181.6 million compared with the first quarter of 2013. Operating profit was SEK 4.0 (4.3) million for the same period.

Operations in Sweden, which account for 74% of revenue, show an unsatisfying order influx and profitability and are in focus for continued measures. Both Germany and Finland are generally progressing very well. All segments show positive earnings.

We are continuing the savings programme in Sweden in order to align overhead costs with the lower volume. At the same time, there is an intensive focus on sales.

According to Statistics Sweden, GDP rose by 3.1% between fourth quarter 2012 and fourth quarter 2013. GDP is expected to increase by 2.5% in 2014. In spite of this, Poolia experiences that the demand is weak, however, with an unchanged price situation.

Demand for temporary staffing services is still at a low level. We are working to adapt supply to demand. The number of permanent placements showed a slightly rising trend towards the end of the reporting period.

Poolia Germany’s revenue grew by 32% in local currency during the quarter. That means that Poolia continues to gain market shares locally. At the end of March, the number of resource temps exceeded 300. The operating margin also continues to show positive growth and is at 9.4% for the period.

Poolia Finland has also had a strong quarter, showing revenue growth of 20% in local currency. At the end of the quarter the number of resource temps exceeded 100. The operating margin amounted to 3.9%.

Overall, and particularly in Sweden, Poolia is still in a phase where measures are needed to return to an acceptable level of profitability. Profitability is our first priority.

Morten Werner
Managing Director and CEO

Contact person:
Morten Werner, MD and CEO, tel: +46 70 636 25 25

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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