Caldwell Posts 66 Percent Revenue Gain
April 15, 2022 – Toronto-based Caldwell posted Q2 revenues of $39.8 million (Canadian), a 66 percent increase from a year ago. Financial results include those of IQTalent Partners (IQTP). “This was another record-breaking quarter for Caldwell, delivering the strongest second quarter and first half in Caldwell’s history,” said John Wallace, CEO. “Consolidated revenue for the quarter was $39.8 million and $78.4 million for the fiscal year to date (an 86 percent increase over the prior year). Both business segments showed strong organic growth year over year.”
“Our Caldwell executive search segment contributed $27.4 million in revenue in the second quarter, a 38 percent increase over the second quarter of fiscal 2021,” said Mr. Wallace. “Our IQTP segment, which added $12.6 million in revenue during the second quarter, has seen sustained and significant growth in demand for their flexible on-demand resourcing model and innovative use of AI technology. Our consolidated operating profit also hit all-time highs of over $5 million for the quarter, inclusive of acquisition-related costs of $0.7 million.”
“These outstanding results demonstrate that our strategy is clearly resonating with clients and differentiating us in the marketplace,” said Mr. Wallace. “Our recent investment in Skyminyr is the latest example of our mission to implement creative and innovative techniques that allow our clients to leverage technology in the war for talent. By integrating Skyminyr’s AI-based candidate search capabilities into our search process over time, we will further strengthen our ability to offer seamless talent acquisition solutions at all levels to our clients. In the immediate term, we will continue to drive organic expansion and review acquisition opportunities that align with our client-driven belief that talent transforms to further drive growth and shareholder value.”
Skyminyr Launches AI-Driven Platform with Funding from Search Firms
Skyminyr, a human capital intelligence platform, has raised $2.5 million in seed funding to accelerate the continued development of its AI-driven platform. Investors in the seed round for Skyminyr include True Search, IQ Talent Partners, and Caldwell Partners, as well as financier Karmel Capital. Skyminyr has built a human capital intelligence platform, which will pair global top talent, across any industry with its new technology to help companies recruit, manage and optimize retention of its human capital. The funding will be used to accelerate the development and rollout of its platform, which combines talent acquisition, talent retention, and relationship intelligence. Skyminyr said that with a “new world of hybrid and remote work providing a vastly changed backdrop for employers, companies are faced with poor visibility on how to recruit, retain, and optimize the employee experience for the highest performers in the market.”
New Partnership
During the quarter, Caldwell forged an international alliance partnership with Johnson Partners, a consulting firm working in board search, executive search, and leadership succession with offices across Australia. In connection with the alliance, Johnson Partners has acquired the business of Caldwell’s non-owned New Zealand licensee, and integrated Caldwell’s Australian team. Johnson Partners will become Caldwell’s external search partner for Australia and New Zealand, and Caldwell will become Johnson Partners’ external search partner for North America and the U.K.
“Johnson Partners is one of the region’s most successful and influential executive search firms, widely recognized for their long-lasting collaborative partnerships with clients,” said Chris Beck, president of Caldwell. “This reciprocal alliance is beneficial in several ways. First, it will allow us to jointly conduct transformative searches across the globe at the very highest levels of management and operations, with a keen eye towards delivering outstanding outcomes for our clients. Second, we believe this considerable expansion with the Johnson Partners team will drive greater worldwide revenue opportunities for Caldwell, further creating value for our shareholders.”
New Addition
Caldwell recently expanded its private equity and technology recruiting capabilities with the addition of Gordon Berridge as a partner in the private equity and venture capital and technology practices and based in the firm’s London office. Mr. Berridge joins Caldwell from N2Growth in London where, as a senior partner, he was a key figure in the build-out of the European business for the firm.
“With a 12-year track record of successful executive search assignments for technology and software-focused executives across the U.K., Europe, and North America, Gordon is an incredible addition to the Caldwell team,” said Jim Bethmann, managing partner of Caldwell’s technology practice. “He provides tailored talent solutions to clients in the growth and private equity space, focusing on hiring investors, operations executives, and portfolio leadership and board advisors in the technology and software sectors. His reputation for unparalleled dedication to his clients precedes him and will expand the reach of our practice and our ability to support our clients’ growth ambitions.”
Recent Acquisition
Caldwell recently acquired Applied Behavioral Academy (ABA), a behavioral and cognitive psychometrics consultancy that leverages highly respected, results-driven tools to assess talent and to align people and business strategies. Financial terms of the deal were not disclosed. Coincident with the acquisition, Caldwell expanded its alliance with The Predictive Index (PI), launching Caldwell Analytics as a PI Master Certified Training Center, delivering programs and workshops to train clients and other PI Certified Partners and their clients on all aspects of PI that initiate immediate transformation in their organizations.
“As Caldwell continues its transformational growth trajectory, the integration of the Applied Behavioral Academy team represents another important step forward for us,” said John Wallace, CEO of Caldwell. “Our focus and priority is to connect our clients with transformational talent, delivering long-term improvement to their enterprise, and increasing value to our shareholders. The added capabilities at both executive and enterprise levels that ABA brings to Caldwell will help our clients apply the same data-driven analytical rigor in their approach to talent acquisition and performance as they do in their financial and operational decisions.”
Related: Caldwell to Trade on the OTCQX Best Market
Contributed by Scott A. Scanlon, Editor-in-Chief; Dale M. Zupsansky, Managing Editor; and Stephen Sawicki, Managing Editor – Hunt Scanlon Media
