🔺 What to do when markets are at an all-time high? Find smart bargains, like these.See Undervalued Shares

Adecco seeing no material impact from Brexit - CEO

Published 10/08/2016, 08:02
Updated 10/08/2016, 08:10
© Reuters. A man walks in front of a branch of Swiss staffing group Adecco in Zurich
ADEN
-

ZURICH (Reuters) - Adecco (SIX:ADEN), the world's biggest staffing group, has not been hit so far by Britons' vote in June to leave the European Union, Chief Executive Alain Dehaze told Reuters.

"We don't see any material impact of Brexit, either in the UK or in the neighbouring countries and the UK's trading partners," he said in a telephone interview after the company posted in-line results for the second quarter.

"We were seeing (before the vote) a delay in decisions on hiring of highly skilled people and some investment until customers have more clarity on the future of the UK. Especially with our activities we are concentrated on local customers and local activities. At this stage we don't see any immediate impact."

Dehaze said Adecco was "absolutely not" under pressure to act after Randstad, the world's second-largest staffing company, announced plans to acquire Monster Worldwide, the dotcom-era survivor that owns Monsterboard and Jobs.com, for $429 million (329 million pounds) in cash and assumed debt

Dehaze gave an upbeat assessment of market conditions. "The growth is continuing. It is modest growth, 4 percent organic, but we don't see any slowdown with a France that is robust, a little bit softer in North America."

In France, Adecco's biggest single market, growth was recovering after a May marred by strikes and bad weather.

"We have seen a continuation of this modest growth and slow recovery in France in the month of July and also since the beginning of August," he said, adding September would be key as clients return from holidays and size up their order books.

Finance chief Hans Ploos van Amstel was coy on the prospect for potential stock buybacks.

© Reuters. A man walks in front of a branch of Swiss staffing group Adecco in Zurich

"From a cash flow point of view we are half way into the year with very strong results, out net debt to EBITDA is where we want it to be, so we are in a good position but this is something we will announce going forward at the end of the year," he said.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.