China’s 51job sees 10.2% revenue boost

China’s 51job sees 10.2% revenue boost

Integrated HR services provider 51job, based in China, has seen revenues increase 10.2% amid “stable” growth in the country’s white-collar recruitment market.

The results were announced in unaudited financial results for the second quarter of 2016 ended 30 June 2016.

The results, published yesterday, reveal total revenues increased to RMB559.8m (£64.1m) on Q2 2015, with gross margin of 71.8% compared with 72.8% in Q2 2015.

Commenting on the results, Rick Yan, president and chief executive, said: “With the white-collar recruitment market exhibiting relatively stable, modest growth in this time of economic transition in China, our strategic focus remains on increasing online customer spend and improving cross-selling of our other value-added HR services.

“Our sales efforts to deepen customer engagement are bearing fruit as average revenue per unique online employer has increased on a year-over-year basis for five consecutive quarters.

“We will continue to execute our initiatives in a disciplined manner. We are making important investments to strengthen our sales and customer service infrastructure, expand our new targeted job seeker platforms and capture additional HR-related opportunities, all while maintaining a track record of sustained profitability.”

51job results at a glance:

Total revenues increased 10.2% on Q2 2015 to RMB559.8m
Online recruitment services revenues increased 11.2% over Q2 2015 to RMB373.1m
Other human resource related revenues increased 9.1% over Q2 2015 to RMB186.6m, which reflected the impact of a value-added tax policy change effective 1 May 2016
Gross margin of 71.8% compared with 72.8% in Q2 2015
Income from operations increased 4.7% over Q2 2015 to RMB128.2m
Fully diluted earnings per share were RMB2.9