Adecco: an uncertain environment

Group revenues fell 18% in third quarter year-on-year. However, the gross margin appreciated by 20 basis points to 19.46%, notably thanks to the good performance of outplacement as well as a strict cost control. In addition, cash-flow and balance sheet are strong, with a conversion rate of 153% and a net debt/EBITDA ratio of 0.5x. The group intends to focus on its strategy: Perform, Transform, Innovate. The Covid 19 crisis will certainly disrupt the job market in a sustainable way.  Within this context, Adecco’s recent investments in IT infrastructure and digital products have enabled the group to adapt quickly to the new situation. The company believes, however, that the recovery will be bumpy and intends to continue investing in its technological transformation.