SD Worx reports 10.9% revenue growth in H1 2024
ANTWERP, BELGIUM — Human resources (HR) solutions provider SD Worx recently reported impressive financial results for the first half of 2024.
The company’s consolidated revenue reached €581.8 million (US$643 million), a 10.9% increase from the same period in 2023 when revenue was €524.6 million (US$579 million).
The consolidated adjusted EBITDA also saw a substantial rise, increasing by 36.7% from €88.5 million (US$97 million) to €121 million (US$133 million). Additionally, the consolidated net result improved from €42.5 million (US$46.9 million) to €54.9 million (US$60.6 million).
Key growth factors: People solutions and acquisitions
The growth of SD Worx was significantly driven by its People Solutions division, which provides payroll, reward, core HR, and talent solutions. This division experienced robust organic revenue growth of €35.2 million (US$38.9 million) across all countries, contributing to both recurring and non-recurring business.
SD Worx’s Workforce Management Solutions also performed well, with revenues rising by 27% from €26 million (US$28 million) to €33.1 million (US$36.5 million).
Despite challenging market conditions in the staffing sector, which led to an 8.5% revenue decline in the Staffing & Career Solutions segment, SD Worx maintained its growth trajectory. This resilience was partly due to strategic acquisitions, including Tribeperk, Romanian Software, and Sheepblue, which enhanced the company’s market presence and service offerings.
Leadership insights on growth and future prospects
Filip Dierckx, chairman of the board of directors at SD Worx, commented on the financial results, stating, “The reported financial numbers meet our expectations. We started the year with an excellent first quarter but saw growth slowing down during the second quarter. This is in line with the macro-economic circumstances: generally, we see economic growth relatively weakening.”
Kobe Verdonck, CEO of SD Worx, expressed satisfaction with the company’s performance, saying, “We are happy with the overall growth across the group. This is reflected in the results of all markets where we provide payroll and HR solutions to our customers.”
Verdonck also acknowledged the contributions of employees and the trust of customers, emphasizing the company’s ambition to be the leading European HR solutions provider.
Strategic acquisitions and market expansion
SD Worx’s growth strategy has been bolstered by a series of acquisitions. In January 2024, the company acquired SoftMachine, a Spanish sector peer, through its subsidiary Protime. This was followed by the acquisition of Romanian Software S.R.L. in April and Polish HR tech start-up TribePerk in May, enhancing its market reach in Poland.
More recently, in August, SD Worx acquired TMF Jobs, a recruitment and temporary employment agency, further expanding its European operations.
The company’s strategic focus on both organic and inorganic growth has positioned it well for continued success in the competitive HR solutions market. As SD Worx looks forward to the second half of the year, it remains committed to maintaining its growth momentum and strengthening its market leadership.
