China's 51job rides buoyant job market
Date : 03 04 2008 Category : Technology
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Simon Burns in Taipei, vnunet.com, Wednesday 5 March 2008 at 00:00:00
Booming economy spurs growth at online recruitment firm
Revenue at 51job.com, China's largest online recruitment firm, increased 21 per cent in 2007, the company reported yesterday. Growth was driven by China's booming economy and a steady increase in internet connectivity. "Our online services business continued to achieve robust growth in 2007," said Rick Yan, chief executive at 51job. "Combined with improved performance at our print advertising business, and greater contributions from our training and outsourcing services, we ended the year on a solid note." 51job derives the majority of its revenue from traditional print advertising and online recruitment services, with roughly half coming from each source. The company generated $15.2m in net profits on $115.7m in revenue in 2007. Sales and marketing expenses increased more than 30 per cent in the last quarter of 2007 compared to 2006 as the company expanded its salesforce and increased staff salaries. 51job predicts revenue to increase from $29.3m in the fourth quarter of 2007 to approximately $31m in the first quarter of this year. The first quarter is typically a busy month for Chinese recruitment agencies, as staff commonly change jobs after receiving the Chinese new year bonus in January or February.
