February 3, 2016 – ManpowerGroup / (NYSE:MAN) posted full year revenues of $19.3 billion, a decrease of seven percent from the prior year. The company posted fourth quarter revenues of $5.0 billion, a decrease of three percent from the same period a year ago.
Financial results in the quarter were significantly impacted by the stronger U.S. dollar relative to several foreign currencies compared to the prior year period. On a constant currency basis, revenue increased seven percent for the year.
“Our workforce solutions are ideally suited to help companies adapt and prosper in a volatile and uncertain environment, and at the same time help millions of individuals find meaningful employment all over the world,” said Jonas Prising, ManpowerGroup chairman and CEO.
In related news, Manpower named John T. McGinnis as its executive vice president and chief financial officer. Just last week, Michael Van Handel notified the company of his retirement as CFO. Mr. McGinnis joins Manpower from Morgan Stanley where he was global controller responsible for financial accounting and controls, SEC and regulatory reporting, financial planning and analysis, and the finance function for its large U.S. bank. Mr. McGinnis was previously CFO at HSBC North America Holdings Inc., and before that was a partner at Ernst & Young LLP.
Mr. Van Handel has played a leading role in taking ManpowerGroup from an $8 billion temporary staffing company, operating in 50 countries with one brand, to a $20 billion global provider of expanding workforce solutions operating in 80 countries under four brands – Manpower, Experis, ManpowerGroup Solutions and Right Management. He is regularly recognized for his financial expertise, most recently as Institutional Investor magazine’s ‘America’s Best CFO for Business and Professional Services’ which he has been awarded every year since 2005. Mr. Van Handel, just 56, joined ManpowerGroup in 1989 and has served as CFO since 1998. He will remain with the company at least through 2016 and in his new role will be responsible for investor relations and ensuring the CFO transition to Mr. McGinnis.
“I’m delighted to welcome Jack to the ManpowerGroup executive leadership team,” said Mr. Prising. “He brings world class financial, commercial, strategic and investor relations experience. He also has significant experience working with boards and audit committees across large, sophisticated, global platforms, and is the right cultural fit for ManpowerGroup.”
During the quarter, ManpowerGroup elected John F. Ferraro to the company’s board of directors. Mr. Ferraro is the former global chief operating officer of Ernst & Young. He joined EY in 1976 and was a partner for 26 years, serving as EY’s global COO for the last eight years until his retirement in January 2015.
“We’re delighted to welcome John to the board – he is a superb fit,” said Mr. Prising. “His impressive global experience in professional services is well-suited to our business and he will be a great asset to ManpowerGroup’s future.”
The company also announced that Jeffrey A. Joerres retired as executive chairman at the end of the year. He joined ManpowerGroup in 1993 and has served as chairman of the board since 2001. He served as CEO from 1999 until 2014.
Manpower recently released its ‘Employment Outlook Survey’ and found that continued optimism ranks high among U.S. employers at the start of 2016. Of the nearly 59,000 employers interviewed in 42 countries and territories across the globe, employers anticipate an increase in staffing levels in 39 countries and territories, compared with 36 of 42 in Q4 2015. Hiring prospects strengthen in 23 of 42 countries and territories when compared with Q4. Compared with last year at this time, outlooks improve in 19 countries and territories, weaken in 18 and are unchanged in five.
Nevertheless, Manpower has seen its far flung talent management solutions businesses under pressure from global economic weakness.
Contributed by Scott A. Scanlon, Editor-in-Chief, Hunt Scanlon Media