Revenue for Q2 2019 totalled $1.5 million, an increase of 424% year-over-year
HOUSTON, Aug. 20, 2019 (GLOBE NEWSWIRE) -- Recruiter.com Group, Inc. (“Recruiter.com” or the “Company”) (RCRT), the expert network platform for recruiters, today is issuing a letter to shareholders.
Dear Fellow Shareholders,
We are proud to introduce our company as Recruiter.com Group, Inc. (RCRT), the expert network platform for recruiters, and share the exciting highlights of our first quarter as a newly combined, publicly-traded technology company. As we go forward, we are committed to providing high-quality, transparent communications to our shareholders and look forward to your participation in our journey as we build a world-class platform business.
To build value as a company, our consistent aim is to grow and improve our key metrics and financial position while we innovate and differentiate our company through Recruiter.com’s three unique company qualities (People, Platform, and Power). This past quarter, we established our key metrics, improved our financials, and brought positive changes to each of our three unique company qualities.
Q2 2019 Achievements
Summary of Financial Results for Q2 2019_
| Financial Results | Three months ended June 30, 2019 | Three months ended June 30, 2018 | % change | ||
| Revenue | $1,488,391 | $283,885 | 424% | ||
| Income (loss) from Operations (including share-based compensation expense of $1,481,322 and $62,617, respectively) |
$(2,190,776) | $(296,332) | 639% | ||
| Cash and Cash Equivalents | $893,776 | $316,180 | 183% | ||
Key Metrics
We have defined new key metrics for our business, which we will consistently track and communicate to our shareholders.
| 3 Key Metrics | Q2’2019 | Q1’2019 | % change |
| Network Growth | 10,042 | 9,292 | 8% |
| Jobs Filled | 630 | - | - |
| Platform Fees (in thousands) |
3,491.23 | 3,016.51 | 16% |
People
We added considerable value to our personnel in Q2 2019, in particular through the acquisition of certain assets of Genesys Talent, LLC. Rick Roberts, who is now the President of Recruiter.com Recruiting Solutions LLC, our wholly owned subsidiary, is a true veteran of the recruiting business and highly respected among partners, clients, and technology companies. Mr. Roberts will focus on building the sales and delivery model to ensure our clients receive excellent recruiting support. The addition of Mary Patrick, EVP of Program Delivery and an experienced Talent Delivery team brings deep recruiting expertise and client-focused operational excellence to the company. We also added new accounting and finance personnel, including Bob Scherne, our Controller and interim CFO, and Patty Weyman, in recruiting operations, who were key in the successful recent delivery of two years’ audited financials for the acquired businesses.
In addition to our new staff, we welcome several new senior advisors to the company, including:
Additionally, Tim O’Rourke, COO of ICON Information Consultants, joined our Board of Directors, bringing a wealth of industry experience and business acumen.
Platform
We successfully rolled out many upgrades to the Job Market Platform centered around engagement, collaboration, and evaluation of our network members. Technology initiatives included Recruiter Badging and systematized communication, as well as various improvements for account management. The March 2019 acquisition also brought a new internal talent CRM into our workflows, along with the AI-talent matching from Genesys, which will be an ongoing competitive differentiator. During Q2 2019, we also spent time on the development of marketing automation, which should significantly enhance the scalability of our network member communications. In Q3 2019, we expect to work on further integrating our Platform and CRM, which will allow the Talent Delivery team to work seamlessly with our network members.
Looking forward to Q3, we also expect to focus on continuous improvements to the recruiter and employer user experience and tightly integrating our internal recruiting operations with independent recruiters on the platform. Larger initiatives include the addition of candidate sourcing capabilities for independent recruiters through our Censia AI partnership and a rewiring of the recruiter submission process to increase candidate submittals and automate resume management. We expect to finish 2019 deeply integrated with further new HR and payroll systems, which should develop and drive a new and significant source of jobs to the platform.
Power – Our Distribution and Marketing Channels
Recruiter.com’s ability to leverage exceptional scale with content and social media gives us the chance to reach more people faster than most companies. To help magnify this unique quality, we engaged two new outside service firms: Seller’s Choice, a digital marketing agency, and KCSA, which handles investor relations and press releases. One Q2 power category milestone that we passed is our achievement of 10,000 recruiters on the platform. This is an important psychological number of course, but one that will be vital to track and grow over time. We invite you to track the growth of our network members along with us through a publicly available page on Recruiter.com: https://www.recruiter.com/about.html and keep up with all updates at https://www.recruiter.com/investors.html.