AWF Madison advises that the second Quarter highlights a weakening in labour hire.
Volumes are down in AWF owing to a number of factors: some lower margin business has been discontinued – impacting revenue; at the same time a decline in construction activity and the wet winter has reduced chargeable hours from AWF’s construction and civil clientele. Whilst demand for Trades is strong, this is largely being met by AWF’s migrant workforce channel, which has been slower to mobilise than planned.
The performance of AWF Madison’s other businesses, Madison Recruitment and Absolute IT; continue to meet management’s expectations.
Profit, as at 30 September 2017, is expected to be behind that of the prior year. Nevertheless, Cash Flow remains strong, operational plans to improve financial performance are in place; and the business is responding well to those plans. “We still anticipate a good Year End result” said CEO, Simon Bennett.
AWF Madison will announce its six month result following its scheduled Board meeting on October 25.