Career International Achieved Revenues of RMB 9.778 Billion for Full Year 2023, and a YoY increase of 22.07% in Net Profit for First Quarter 2024

04-28 10:36

On the evening of April 26th, Career International (300662.SZ), the first A-shares listed human resources service enterprise in China, released full-year 2023 and first-quarter 2024 results. In 2023, Career International reached revenues of RMB 9.778 billion (US$1.387 billion), a year-on-year increase of 7.55%; the net profit attributable to shareholders was RMB 201 million (US$28.52 million); the net profit attributable to shareholders after deducting non-recurring gains and losses was RMB 134 million (US$19.01 million). In the first quarter of 2024, the company realized a revenue of RMB 2.639 billion (US$371.54 million), a year-on-year increase of 10.30%; the net profit attributable to shareholders was RMB 41 million (US$5.82 million), rising by 22.07% YoY, marking a good start to the year.

During the reporting period, facing both strategic opportunities and challenges, Career International stuck to longtermism and value-driven principles, and implemented the corporate strategy of “one body and two wings” firmly. The company was dedicated to enhancing the industrial ecological model of “HR Tech + HR Platform + HR Service”. It endeavored to promote the synergy between online platforms and offline services & products, advance the service delivery for key positions in target economic circles, strengthen the cooperation between the front office and the middle & back office, and enhance the coordination between domestic and overseas business lines regarding team management and customer service. With the joint efforts of all business lines, the overall revenue of Career International has maintained an upward momentum.

Developed a comprehensive talent pipeline to achieve integration of regional industry and talent

With the accelerated transformation and upgrading of industries, regional economic structures has also experienced a constant optimization. With high-quality development as its goal, Career International has prioritized the needs of key accounts and offered distinguished service accordingly. Driven by “a focus on major economic circles” strategy, the company continued to reach “specialized and sophisticated” and fast-growing enterprises widely in the city clusters, and develop long-tail clients, which helped establish a benchmark for regional industry-talent synergy. In 2023, the company’s offline business kept a growing momentum despite an economic downtrend, up 7.54% YoY, with more than 6200 clients. Among those in the domestic market, there are 65% of the fast-growing private firms, 22% of foreign corporations/joint ventures, and 13% of government agencies/institutions/state-owned enterprises (SOEs)/central SOEs/non-profit organizations.

Under the dual development patterns of strategic emerging industries and industries of the future, new quality productive forces have become a new impetus to realize Chinese modernization and drive high-quality development. New industry trends have exerted new impacts on the supply and demand of talent market, the requirements for talent competency, and the allocation of talent supply chain. It is imperative to build a talent pipeline that matches the progression of new quality productive forces. During the reporting period, Career International helped acquire top-notch talents for SOEs, central SOEs and research institutions in strategic emerging industries, and assisted in developing an agile talent supply for enterprises with human resources outsourcing and think tank services. The company has successfully delivered key positions including principal scientist, discipline leader, CIO/CTO, LLM algorithm engineer, R&D Engineer, digital energy operations and maintenance personnel and so on, committed to providing a solid talent support for the new quality productive forces. By the end of the reporting period, the company successfully recommended nearly 15,000 mid-to-senior managers and technical candidates to clients, with more than 35,500 registered outsourcing personnel who were dispatched to more than 383,000 jobs for outsourcing services.

Enhanced service efficiency through AI and HR platform integration enabling closed-loop services

In 2023, the company firmly invested in tech products development and internal informationization with a total investment of RMB 193 million (US$27.39 million), up 10% compared to the previous year. Currently, Career International holds 106 software copyright registrations. During the reporting period, the continuous dedication into the data middle office has yielded results with a large volume of data collected. The tagging of customers, positions, talents, and consultants, both online and offline, incremental and existing, regional and industrial, has begun to form as a technological product, which helped gradually develop a data-based business, an asset-based data and a product-based asset. In the second half of 2023, Career International pioneered a pre-trained CRE (CareerInternational Recruitment Embedding) language model for applying AI in recruitment business scenarios such as market forecasting, talent-position matching, position-position matching, and skill tag generation, which aimed to change from tag-based matching to deep learning-based matching.

As Career International kept invested in both technological platforms and products, the platform's value is further revealed. In 2023, the company had reached more than 36,800 clients of various types through vertical recruitment platforms, HR industry networking platform and HR SaaS platform, a year-on-year increase of 43.41%. The platforms operated more than 222,900 recruiting positions, rising by 56.91%YoY, and linked more than 12,900 eco partners, up 34.78% YoY. Moreover, the platforms gathered more than 2.17 million active candidates together with other private domains of the company, up 87.95% YoY.

Since the start of 2024, Career International has focused on the conversion and application of data and traffic from the digital products on the tech platforms. Leveraging on the innate advantages of eco “big data” and “self-operation”, the company continuously consolidated transactions for B-end (businesses), C-end (candidates), and S-end (suppliers), so as to form a closed loop for talent service from information flow, business flow to transaction flow.

Capitalized on opportunities for global market expansion while assisting Chinese companies in going global with specialized talent services

In 2023, Career International continued to expand its global business footprints with frequent moves. During the reporting period, the company completed 100% acquisition of Investigo, a leading UK recruitment agency, and set up two subsidiaries in Sydney, Australia, and Munich, Germany successively. Also, it took a stake in the UK company BioTalent Limited, and acquired 8.4% equity stake in SIGMA LABS XYZ LIMITED through Career International’s Hong Kong branch AP. With all these efforts, the company has actively extended the layout of its service and product abroad, so as to further strengthen the advantages of its global talent acquisition solutions. By the end of the reporting period, Career International has opened branches in eight countries worldwide, including China, Singapore, Malaysia, the UK, the Netherlands, the USA, Germany, and Australia. Benefiting from a further business layout in overseas markets, the company's global service capabilities have been upgraded with a steady business growth. In 2023, revenues from outside mainland China reached RMB 2.403 billion (US$341.01 million), accounting for 24.58% of the group's total.

As the global expansion of China’s companies has entered a new phase, an increasing number of leading and emerging brands in the fields of consumer electronics, smart home, equipment manufacturing, new energy and NEVs, healthcare and other areas are going global to stimulate new growth engines. It brings new talent demands and upgrades the recruitment service overseas to the 3.0 era. During the reporting period, leveraging on its global business layout and service capabilities, Career International worked to satisfy the various talent needs of Chinese enterprises abroad as well as local companies in different development stages, enabling them to achieve success globally.

In the process of pursuing high-quality development, Career International has always adhered to the guidance of the Communist Party of China, put the practice of corporate social responsibility into every step of development. During the reporting period, the company donated emergency supplies to the earthquake-stricken areas in Gansu, and organized "Donate as a CPC Member" activity. As a bridge that links enterprises and candidates, the company actively responded to the national call, and helped with job stabilization and promoted employment in various forms by giving full play to its service edges. In 2023, the company hired nearly 200 graduates and provided 600+ internship positions. Additionally, Career International worked with many universities nationwide to build a club of Double First Class University, so as to provide students with rich learning experiences to enhance job-seeking skills with prioritized employment opportunities. Apart from that, the company was actively involved in a series of employment events organized by the Ministry of Human Resources and Social Security and regional governments, to achieve the quality and full employment of college graduates, and contribute to the stabilization of employment and also the strategy of reinvigorating China through talent development.

In the face of the new market environment and stage of development, Career International will remain true to its core values, and enhance capabilities in pace with the times. With a return to the essence of value, the company aspires to be a leading supplier of top-tier talents, a provider of comprehensive talent management services, a specialist in risk control, and a catalyst for continuous innovation. All in all, Career International aims to evolve into a premier HR service agency, deeply rooted in China with a global reputation.