IMPRESSIVE ANNUAL RESULTS
Workforce passes dividend for new growth opportunities
The AltX-listed outsources services specialist reports a 29% hike in revenue to R2.5bn
Outsources services specialist Workforce Holdings posted impressive results for the year to end-December, but will hold off on dividends while acquisitive and organic growth initiatives are still being pursued. The AltX-listed company on Thursday reported a 29% hike in revenue to R2.5bn with headline earnings coming in 20% higher at 40c a share. The operating margin was steady at 4.8%. Cash flows from operational activities increased 200% to R69m — equivalent to about 30c per share. Cash on hand tops R75m with gearing easing to 54% (62% in financial 2015). CEO Philip Froom said it was unlikely that cash would be returned to shareholders while the growth opportunities were still being pursued. Workforce has made several acquisitions over the past 18 months, including Prisma Training Solutions, Quyn and Gcubed. He said the company could look at new geographic opportunities in Africa in the year ahead. Workforce already has footholds in Mozambique, Botswana, Namibia and Mauritius. Froo...
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