- Only public consolidator of staffing, technology and HR consulting firms in Canada
- Diverse revenue streams with a business model that is responsive to varying economic conditions
- Executive team has deep industry relationships and demonstrated track records of managing firms for profitable growth
What HIRE Technologies does:
HIRE Technologies Inc (CVE:HIRE) is a talent recruitment company that is re-imagining the hiring experience in North America.
As the first – and so far, only – Canadian public consolidator of companies in the technology, staffing and HR consulting industries, the company aims to become a global leader in the transformation and growth of staffing and recruiting agencies using artificial intelligence and other digital technologies.
Unlike a straight recruitment company, HIRE is focused on acquiring information technology, staffing, and HR consulting firms, bringing them under a single umbrella to create cross-selling opportunities.
A centralized back office based in Toronto supports the growth of its companies, and access to industry-leading technology with SaaS-based technologies at the forefront of its offering means HIRE can stay ahead of the curve when it comes to talent acquisition. Its team has solid relationships in the industry and proven track records of managing firms toward profitability.
Operating subsidiaries include Provision IT Resources Ltd, PTC Accounting and Finance Inc, and The Headhunters Recruitment, which are staffing firms that offer a range of professional recruitment services for accounting, finance, information technology, office administration and human resources.
How it is doing:
The company’s business remains strong in the face of the coronavirus pandemic, as its second-quarter 2020 results display.
Revenue from contract and temporary placements in the IT sector was up 5.7%, contributing to an overall figure of C$2.6 million over the three-month period ended June 30, 2020, compared to the $2.93 million figure from the same year-ago period.
In a statement, CEO Simon Dealy told investors that clients “continue to be resilient” amid ongoing uncertainty surrounding COVID-19, especially in the IT business vertical. Demand for flexible work is also steady, according to the executive.
The company posted an adjusted net loss of $215,136, an improvement over the adjusted net loss of $897,378, or 0.03 per share, for the quarter ended June 30, 2019, while its gross margin came in at 21.1%.
On the acquisitions front, HIRE inked an arm’s length agreement in September to acquire The Headhunters Recruitment Inc, a leading recruitment company with operations in multiple Canadian jurisdictions. The Headhunters specializes in full staffing solutions across a wide range of industries and business sectors including operations, executive search, engineering and sales.
More recently, it teamed up with US HR technology company Atlas ID for the exclusive distribution rights to Atlas’ COVID-19 risk mitigation software in Canada.
The software allows individuals to self-report COVID-19 symptoms and receive real-time test results with the discretion to choose when and with whom to disclose the results. The firm will launch the platform in Canada to provide businesses with a solution to implement employee testing for COVID-19 and safely maintain operations during the pandemic.
HIRE will also invest US$200,000 in Atlas by way of a 10% convertible note.
The firm recently closed a C$2.4 million private placement to fund new acquisitions
- Continue to ink new acquisitions, investments and partnerships
- Organically grow its IT and Accounting divisions
- Scale through a network of different geographies and specialties
What the CEO says:
Commenting on the recent deal with Atlas ID, CEO Simon Dealy told Proactive he was “very excited” about the partnership.
“It’s part of our technology focus for the company and our first foray into the SaaS world of platforms that we’re building,” Dealy said in an interview. “This one is very topical because it has to do with ensuring the workforce is COVID-free as we deal with the pandemic. It’s a safe way to re-engage between employees and employers.”
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