Adecco Sees Solid 4Q Ahead As 3Q Profit Rises 13%

Staffing company Adecco SA (ADEN.VX) Tuesday said it expects a "solid" 4Q as it reported a 13% rise in third quarter net profit on a 4% increase in sales.

MAIN POINTS:

-3Q net profit EUR145 million versus EUR128 million in 3Q 2010.

-3Q revenue EUR5.27 billion versus CHF5.06 billion in 3Q 2010.

- Says currency moves had a 3% negative impact on sales

-Outlook: Says growth in October was in the mid-single digit range.

The integration of Drake Beam Morin Inc has been successfully launched, and Adecco expects integration costs of 8 million euros in 4Q 2011.

"From today's perspective, we expect another solid quarter in Q4 2011 and remain absolutely committed to our mid-term goal of reaching an EBITA margin above 5.5%."

- Six analysts polled by Dow Jones Newswires on average forecast a net profit of EUR151.5million.

- Six analysts polled by Dow Jones Newswires on average forecast revenue of EUR5.37 billion.

- Rival staffing companies Randstad Holding AE (RAND.AE) had already posted a 12% rise in revenue and a 12% rise in net profit in its 3Q. ManpowerGroup (MAN) reported a 16% rise in revenue and a 55% increase in earnings.

-By John Revill, Dow Jones Newswires; +41 43 443 8042 ; john.revill@dowjones.com

Randstad NV (EU:RAND)
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