Glasgow and Edinburgh-based Change Recruitment Group (CRG) said growth in its accountancy-finance, IT-digital and temporary-contract businesses helped it offset continuing challenges in the oil and gas market in 2015-16.
CRG reported a 5.8% increase in revenue for 2015/16 to £18 million.
“Last year’s proactive investment in CRG’s core areas, such as accountancy & finance, investment & risk, IT & Digital, is paying off, delivering growth in revenue, market share and new clients,” said the firm.
“A further emphasis on growing the temporary/contract market has also contributed to the revenue performance, with Change doubling the number of temps and contractors working compared to the previous year.
“Margins remain tight, therefore the positive impact of this is not as high as in previous years. ”
CRG said it adopted the Financial Reporting Standard FRS102 this year and that a goodwill charge within the business — established at the time of the 2006 management buyout — is now amortised over 10 years as opposed to the original 20 years.
“The result will be a final goodwill charge to the accounts, removing a £651,500 per annum accounting burden from the results from 2017 onwards.”
Mark McFall, group managing director said: “Last year, we took a hit as a result of the market challenges, and a strategic overhaul of our business – investment in people, office space and infrastructure didn’t come cheap, but it was necessary to lay the groundwork for the next 10 years.
“This year, the decks are clear, and the modest rise in revenue is an encouraging sign of things to come.
“Getting our house in order has been a priority.
“We are now leaner and ready to face the future with renewed vigour, with a focus on increasing our market share by winning new clients, investing further in the business and expanding our international reach.”