FINANCIALS: Divergent fortunes for Cititec and Pareto Law
12 August 2013
Results filed at Companies House show decline for the calendar year 2012 at recruitment firms Cititec, ranked 11th in Recruiter’s 2013 FAST 50 list of the UK's fastest-growing recruiters, and Pareto Law, which was 86th on the 2012 HOT 100, recruitment firms with the greatest gross profit per employee, sponsored by Microdec.
Mon, 12 Aug 2013Results filed at Companies House show decline for the calendar year 2012 at recruitment firms Cititec, ranked 11th in Recruiter's 2013 FAST 50 list of the UK's fastest-growing recruiters, and Pareto Law, which was 86th on the 2012 HOT 100, recruitment firms with the greatest gross profit per employee, sponsored by Microdec.
Cititec
The firm says 2012 was “a difficult year for the company with margin erosion from the banks and a general downturn in the volume of business”, as it made an operating loss of £87k and saw turnover decline by 14% to £51.3m.
The firm had reported operating profits totalling nearly £1m for the previous two years. Cititec’s 2012 turnover was still higher than its 2010 figure of £45.9m.
The company says it has been “putting in place strategies to expand the business into new sectors and increase the levels of higher margin business”. The results, signed by director Robert Grant on 1 August, says it is expecting “moderate profitability for 2013, increasing steadily into 2014”.
Originally focusing, as its name suggests, on supplying IT professionals to the City, the firm now also works across digital, energy, finance, insurance and pharmaceutical.
Pareto Law
The sales recruitment and training agency, owned by Randstad, increased turnover in 2012, although operating profit dropped.
Turnover at just under £13m, was 14% higher than last year, but greatly increased distribution costs meant operating profit dropped by £70k to £1.5m.
However, profit for the financial year of £1.1m was higher than last year – by a grand total of £3,239.
The firm says it expects “minimal growth in both turnover and profitability in 2013”.
Cititec
The firm says 2012 was “a difficult year for the company with margin erosion from the banks and a general downturn in the volume of business”, as it made an operating loss of £87k and saw turnover decline by 14% to £51.3m.
The firm had reported operating profits totalling nearly £1m for the previous two years. Cititec’s 2012 turnover was still higher than its 2010 figure of £45.9m.
The company says it has been “putting in place strategies to expand the business into new sectors and increase the levels of higher margin business”. The results, signed by director Robert Grant on 1 August, says it is expecting “moderate profitability for 2013, increasing steadily into 2014”.
Originally focusing, as its name suggests, on supplying IT professionals to the City, the firm now also works across digital, energy, finance, insurance and pharmaceutical.
Pareto Law
The sales recruitment and training agency, owned by Randstad, increased turnover in 2012, although operating profit dropped.
Turnover at just under £13m, was 14% higher than last year, but greatly increased distribution costs meant operating profit dropped by £70k to £1.5m.
However, profit for the financial year of £1.1m was higher than last year – by a grand total of £3,239.
The firm says it expects “minimal growth in both turnover and profitability in 2013”.
