Hudson Global climbs closer to profitability in Q3
On a retained basis, excluding the Americas IT and the Netherlands businesses which were sold during the second quarter of 2015, revenue of $110.0m declined 14% in reported currency but increased 0.4% in constant currency from the prior year period. On a reported basis, revenue declined 26.3% or 14.7%t in constant currency.
On a retained** basis, excluding the Americas IT and the Netherlands businesses, gross margin of $45.1 million declined 10.3 percent in reported currency but increased 3.1 percent in constant currency from the prior year period. On a reported basis, gross margin declined 18.9 percent or 7.2 percent in constant currency.
Adjusted EBITDA loss of $0.4m, compared with adjusted EBITDA loss of $2.9m in the third quarter of 2014. Net loss of $2.1m, or $0.06 per basic and diluted share, compared with net loss of $7.0m, or $0.21 per basic and diluted share, for the third quarter of 2014.
Cash of $36.4m, increasing 4.5% from prior quarter and 94% from a year ago, and 262,260 shares repurchased for $0.7m during the third quarter.
Stephen Nolan, chief executive officer at Hudson, said, "We continued to deliver constant currency gross margin growth in key markets and practices in the third quarter, including Asia Pacific and Recruitment Process Outsourcing (RPO). We are narrowing the gap toward profitability and expect to deliver positive adjusted EBITDA in the fourth quarter," said Stephen Nolan, chief executive officer at Hudson. "Our focus remains on driving growth in our core markets through selective investments in fee earners, while reducing costs."