Q2 2019: solid performance in uncertain macroeconomic conditions.

highlights

• Q2 2019 organic growth: -1.7%
• Q2 2019 underlying EBITA: 277m
• Q2 2019 EBITA margin: 4.7%
• topline growth in Europe impacted by uncertain macroeconomy; US trends fairly stable, strong growth in Rest of the world
• gross margin 20.0%, up 20bp YoY; continued management focus on pricing, supported by digital tools
• Q2 2019 EBITA margin down 10bp YoY to 4.7%; selective investments in growth areas
• ongoing market share gains in several countries; bolt-on M&A strengthens strategic ambition in Professionals
• successful worldwide cloud migration and front-office implementation in Germany and Japan
• June organic sales growth in line with Q2; volumes in early July indicate a continuation of the trend

We delivered solid Q2 2019 results, as robust gross margins and balanced cost management offset ongoing challenging macroeconomic conditions in Europe." says CEO Jacques van den Broek. "Our organic revenue growth turned slightly negative, reflecting slowing market growth in particularly Germany, the Netherlands and Belgium, mainly related to weakness in automotive-related industries. We continued to gain market share in several countries, while maintaining strong pricing discipline. Our sound regional diversification continued to pay off, as Asia Pacific and the Latin America region delivered significant contributions to our growth and profitability. Furthermore, our digital strategy progressed well, reflected by a successful worldwide cloud migration and implementation of a new front-office system in Germany and Japan. These new systems enable our sales and recruiting colleagues to focus even more on the human touch."

"On a different note there was good news not only for Randstad but for the whole private employment sector. It is great to see that we are widely recognized to stimulate an inclusive and well regulated labor market by the centenary declaration of the International Labour Organisation (ILO) toward a human centered future of work. This is fully aligned with our values, principles, and in particular our Human Forward promise."

• read the full press release on Q2 2019
• watch our CEO’s video on this quarter’s results

for more information David Tailleur / Ingrid Pouw +31 (0)20 569 5940

about Randstad

Randstad is the global leader in the HR services industry. We support people and organizations in realizing their true potential by combining the power of today’s technology with our passion for people. We call it Human Forward. In 2018, we helped more than 2.5 million candidates find a meaningful job with our almost 250,000 clients. Furthermore, we trained over 300,000 people. Randstad is active in 38 countries around the world and has top-three positions in almost half of these. In 2018, Randstad had on average 38,820 corporate employees and generated revenue of € 23.8 billion. Randstad was founded in 1960 and is headquartered in Diemen, the Netherlands. Randstad N.V. is listed on the NYSE Euronext Amsterdam (symbol: RAND.AS). For more information, see www.randstad.com