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Hirer boosts top line

Change sees revenue hike after investment

mark-mcfallChange Recruitment Group has reported a 5.8% increase in revenue from £17 million to £18m after investing in core sectors such as accountancy & finance, investment & risk, IT & Digital.

These sectors, along with business services, will continue to be the group’s top performers over the coming months. The company, which has not disclosed a profit figure, said it is growing its market share and gained 117 clients over the period.

It said activity in these markets have helped mitigate the downward impact of the decline in oil and gas. 

A further emphasis on growing the temporary/contract market has also contributed to the revenue performance, with Change doubling the number of temps and contractors working compared to the previous year. 

Margins remain tight, therefore the positive impact of this is not as high as in previous years. 

The company has adopted FRS102 accounting standard this year.  The goodwill charge within the business (established at the time of the 2006 MBO), is now amortised over 10 years as opposed to the original 20.

There will be a final goodwill charge to the accounts, removing a £651,500 a year accounting burden from the results from 2017 onwards.  

Mark McFall, group managing director, said: “Last year, we took a hit as a result of the market challenges, and a strategic overhaul of our business – investment in people, office space and infrastructure didn’t come cheap, but it was necessary to lay the groundwork for the next 10 years.

“This year, the decks are clear, and the modest rise in revenue is an encouraging sign of things to come.

“Getting our house in order has been a priority.  We are now leaner and ready to face the future with renewed vigour, with a focus on increasing our market share by winning new clients, investing further in the business and expanding our international reach.”

 



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