For its part, Randstad Iberia's EBIT during the first nine months of the year has been 60 million, 1.7% higher than the figure registered in 2018 of 59 million. In this third quarter, EBITA has reached 22 million. Notably, the improvement in the EBITA margin, which has grown one tenth in the last year (5.7% of Q3 / 2019 versus 5.6% of Q3 / 2018).
Randstad Iberia, one of the top market performers
The positive figures of Randstad Iberia are driven by Spain's registered growth (1%) which compensates for the negative variation in Portugal (-8%) in all of its business lines.
This global improvement is continuous and continues to reinforce the positioning of Randstad as a “Global HR Services” company with a consistent combination of talent and technology in its value propositions to clients and candidates.
Furthermore, Randstad Iberia has become one of the regions that experienced the most evolution in its results this quarter, performing above other countries such as Germany, Italy, the Netherlands, Belgium, and Luxembourg - all of them in markets where Randstad has the highest volume of business other than in Spain and Portugal.
Globally, debt falls by 23% and cash flow is doubled
The worldwide turnover of the Randstad group has reached €6 million in the third quarter of 2019, the same figure recorded in 2018. For its part, EBITA stands at €236 million, experiencing a decrease of 18.3% compared to a year ago, when it reached €289 million.
One of the aspects that reflects the good financial health of the group is the 23% decrease in net debt, which has gone from €2 million to €1.5 million, combined with an increase in cash flow of 113%, which has grown from €220 million to €468 million in the last year.
Jacques van den Broek, Global CEO of Randstad, commented:
"Thanks to our solid gross margin and balanced cost management we have been able to compensate for a slightly negative growth in organic revenues in Q3 2019, while generating a record quarterly free cash flow.
We continue to gain market share in several countries, driven in part by the progress of our digital strategy worldwide. Although in the industrial sectors we continue to show weakness, we have managed to identify good growth opportunities worldwide. This means that we continue balancing long-term selective investments with the management of markets that pose major challenges Meanwhile, in Q3 2019, our available cash flow doubled compared to the previous year, which underlies the countercyclical nature of our capital requirements.
Finally, I am very pleased with the proposal to appoint René Steenvoorden as Digital Executive Director of our board. This appointment will further strengthen the new configuration of our executive team in which countries, regions, customers and digital transformation are now represented. With this team, I am convinced that we can further accelerate the execution of our Tech & Touch strategy."
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