Unaudited Condensed Interim Financial Results
Workforce Holdings Limited
(Incorporated in the Republic of South Africa)
(Registration number 2006/018145/06)
(JSE Share Code: WKF ISIN: ZAE000087847)
("Workforce" or "the company" or "the group")
Unaudited condensed interim financial results
- Revenue increased by 7,7% to R1,5 billion (2018: R1,4 billion)
- Cash generated from operations increased by 28,5% to R48,5 million (2018: R37,7 million)
- EBITDA increased by 5,2% to R80 million (2018: R76 million)
- Positioned to benefit from diversification
- EPS decreased by 6,1% to 18,5 cents per share (2018: 19,7 cents per share)
Five-year comparison at June
2019 2018 2017 2016 2015
EBITDA (R'000) 80 043 76 113 67 328 65 935 38 870
Earnings per share(cents per share) 18,5 19,7 18,7 18,0 12,2
Headline earnings per share (cents per share) 18,5 19,7 18,6 19,7 15,6
Net asset value per share (cents per share) 282 237 215 173 134
Tangible asset value per share(cents per share) 166 121 132 110 105
This short-form announcement is the responsibility of the directors and is only a summary of the
information in the full announcement. The full version can be found on the company's website at
www.workforce.co.za or accessed using the following JSE link
https://senspdf.jse.co.za/documents/2019/jse/isse/wkf/interims19.pdf. Copies of the full
announcement may also be requested at the company's registered office and at the office of the
sponsor, at no charge, during office hours from Monday, 9 September 2019 to Friday,
13 September 2019. Any investment decision by investors and/or shareholders should be based on
consideration of the full announcement published on SENS and on the company's website.
Workforce continues to make excellent progress in realising its vision of being a diversified
services company with various subsidiaries that provide an extensive range of innovative,
integrated and diversified people solutions to all industry sectors in southern Africa in all our
clusters. The group has a strong commitment to its core areas of competence yet remains cognisant
of the need to identify and expand into new areas for growth.
The staffing and outsourcing cluster (includes recruitment and Africa clusters) experienced low
growth and a reduction in EBITDA of 20% to R65 million (2018: R76 million) due to economic and
The training cluster improved EBITDA by 42% to R27,3 million as a result of a higher gross margin
and organic growth in turnover. Dyna group, our latest acquisition, contributed R2,8 million to
the increase in EBITDA. The training cluster now contributes 25% to total EBITDA, compared to 17%
in the previous year.
The healthcare cluster invested in new business growth resulting in an increase in EBITDA of 53%
to R15,9 million (2018: R10,3 million).
Fair value adjustments and depreciation resulting from acquisitions amounted to R9,9 million
(2018: R6,6 million).
Looking towards the second half of our financial year, we believe the outlook for the economy
remains constrained. Notwithstanding the challenging economic and labour environment, management
continues to identify growth opportunities in the segments within which the group operates and
remains committed to its growth and diversification strategy.
Workforce has a number of new initiatives in the financial services cluster that are coming to
fruition, which will better position this cluster in the market-place. We look forward to the
numerous infrastructure projects, both in South Africa and in neighbouring countries, in which
Workforce is able to become a meaningful, relevant and significant player.
Six months to
Six months to June
% 2019 Restated
change (R'000s) (R'000s)
Revenue 8 1 532 511 1 422 920
Net finance costs 14 (15 031) (13 193)
EBITDA 5 80 043 76 113
Profit before taxation (9) 38 304 42 015
By order of the board
JR Macey RS Katz WP van Wyk
Chairman Chief executive officer Financial director
9 September 2019
WP van Wyk
S van Schalkwyk
The registered office, which is also the principal place of business, is:
11 Wellington Road
PO Box 11137
Link Market Services South Africa Proprietary Limited
11 Diagonal Street
ABSA Business Bank
Company registration number
Date: 09/09/2019 07:05:00
Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
Email this JSE Sens Item to a Friend.