Ordina finds bounce in public sector
Dutch integrator Ordina has reported some setbacks in the first half-year as it fights to recruit, retain and retrain its staff.
Overall revenue was down 2.7% at €172.9m (H1 2016: €177.8m; mainly due to Netherlands being down 5.1%, just as sales in Belgium/Luxembourg rose 4.6%. EBITDA was €7.0m, down from €8.3 million last year. It says it has almost finished cost-cutting in Netherlands which it undertook as a result of falling public sector sales.
Jo Maes (above), CEO Ordina: “The market demand for IT expertise and solutions remains high. The pressure on revenue in the second quarter was largely due to a reduction in the number of employees when compared to the same period last year. Ordina once again recorded growth in the public sector for the first time since 2014, both in the Netherlands and in Belgium/Luxembourg. Revenue growth levelled off somewhat in Belgium/Luxembourg in the second quarter due to a temporary increase in availability. The operation continues to record a healthy return.”
Productivity declined in the first half compared to the same period of 2016. The streamlining of the management of the company has resulted in improvements in recent months, he says. “In addition, we are continuously training and retraining our employees, so we can provide the expertise that is in high demand in the market. Our recruitment campaign ‘Do you look beyond the code?’ has resulted in an increase in the influx of new employees in the Netherlands of more than 20% compared to 2016. The recruitment and retention of professionals are our top priorities for 2017 in view of our ambition to grow with our own employees.”
“To respond more effectively to market demands, we have focused our market strategy on five core propositions. Our ‘High performance teams’ concept has been well-received by our clients. Ordina is ahead of the market with this concept. In the coming period, we will also launch and upscale the remaining four propositions.”