Adecco reports plunge into loss
Swiss-based staffing company Adecco reports on Tuesday a loss of CHF 224 million in the second quarter.
Zurich -- Adecco, the world's biggest temporary staffing agency, reported on Tuesday a 169-percent plunge in second-quarter earnings to a record a loss of EUR 147 million (CHF 224 million, USD 208 million) for the period.
Revenues in its biggest markets France and North America dropped by 34 and 29 percent respectively, while in emerging markets, the fall was limited to two percent, said Adecco in its earnings statement.
The group said that sharp acceleration of the fall of sales income noted in past quarters "appears to have stabilised" during the second quarter and in July for most markets, but warned that business activities were unlikely to pick up substantially.
"Looking ahead, management anticipates no material pick-up of business activities, and has therefore initiated further restructuring measures," it said.
Action to be taken include the integration of its Spain-based subsidiary Alta Gestion into Adecco Iberia, "which will lead to headcount reductions," said the group.
AFP / Expatica