Human resource services provider 51job, Inc. (JOBS) Monday reported an increase in net profit for the third quarter, reflecting higher revenues and lower loss from foreign currency translation. Separately, the company said its chief financial officer Peter Lui has resigned due to personal reasons.
For the third quarter, the Shanghai, China-based company's net earnings were up 27.0% to US$5.26 million or RMB 35.91 million from RMB 28.29 million in the prior-year period. Net earnings per share were US$0.10 or RMB 0.65 compared with RMB 0.50 in the 2008-year period. On a per American Depositary Share, or ADS, basis, net income was US$0.19 or RMB 1.29 versus RMB 1.00 in the year-ago period.
On an adjusted basis, net profit was US$6.22 million or RMB 42.47 million compared to RMB 36.29 million in fiscal 2008. Adjusted profit per share was up to US$0.11 or RMB 0.77 from RMB 0.64 a year ago. On a per ADS basis, adjusted net earnings were US$0.22 or RMB 1.53 versus RMB 1.28 in the same quarter last year. Adjusted results exclude share-based compensation expense and impact of foreign currency translation loss.
Total revenues for the period were up 5.1% to US$32.17 million or RMB 219.60 million from RMB 209.02 million in the third quarter of fiscal 2008. After deducting for business and related tax, net revenues increased to US$30.47 million or RMB 208.01 million from RMB 197.77 million last year.
Revenues from online recruitment services were US$13.20 million or RMB 90.10 million versus RMB 77.66 million in the prior year, and other human resource related revenues for the period rose 8.6% to US$7.67 million or RMB 52.36 million from RMB 48.20 million a year earlier. However, revenues from print advertising declined 7.2% to US$11.30 million or RMB 77.14 million from RMB 83.16 million in the previous year.
Estimated number of print advertising pages generated in the third quarter decreased 23.6% to 3,213 from 4,204 pages a year ago. Average revenue per page increased 21.4% over the prior year, reflecting a rise in page volume contribution from cities where print advertising prices were generally higher as compared to the same quarter of last year.
Unique employers surged 47.0% to 91,167 from 62,023 in the 2008-year quarter, reflecting greater customer acceptance and usage of online recruitment services. However, average revenue per unique employer in the quarter decreased 21.1%, due to employers purchasing lower priced products and/or reduced spending on online recruitment services as compared to the previous year.
Quarterly, gross margin expanded to 62.4% from 52.7% in the previous year, due to lower printing related and other direct expenses resulting from implementation of cost control and efficiency measures earlier this year.
During the three-month period, total operating expenses increased to US$13.13 million or RMB 89.64 million from RMB 82.25 million a year earlier. Sales and marketing costs for the quarter were US$22.16 million or RMB 151.30 million versus RMB 157.04 million, and general and administrative expenses rose to US$15.25 million or RMB 104.10 million from RMB 95.58 million in the 2008-year period.
In the third quarter of 2009, the company's loss from foreign currency translation narrowed to US$29 thousand or RMB 197 thousand from a loss of RMB 18.37 million in the prior-year period. Total share-based compensation expense for the quarter was US$0.9 million or RMB6.5 million, flat with the prior year.
Commenting on the results, president and chief executive officer Rick Yan said, "We saw an improvement in market conditions in the third quarter as recruitment activity and job openings increased compared to the early part of 2009."
In the third quarter of 2009, 51job repurchased 273,563 ADSs, representing 547,126 common shares, in open market for an aggregate consideration of US$3.3 million, including transaction fees. Since the inception of the share repurchase program, the company has repurchased a total of 794,605 ADSs, representing 1,589,210 common shares, for an aggregate consideration of US$7.0 million.
For the first nine-month period, net profit was US$9.69 million or RMB 66.13 million compared to RMB 69.85 million. Net profit per share slipped to US$0.17 or RMB 1.18 from RMB 1.23 in the 2008-year period.
On an adjusted basis, net income dropped to US$12.76 million or RMB 87.13 million from RMB 108.17 million in fiscal 2008. Adjusted income per share was US$0.23 or RMB 1.56 versus RMB 1.91 in the previous-year period. On a per ADS basis, adjusted net earnings slumped to US$0.46 or RMB 3.12 from RMB 3.81 in the same period last year.
Year-to-date total revenues were US$86.60 million or RMB 591.16 million versus RMB 664.21 million in the corresponding period prior year.
Looking ahead to the fourth quarter of 2009, 51job expects adjusted earnings to be in a range of RMB0.58 to RMB0.68 per share, or US$0.17 to US$0.20 per ADS. The company anticipates its fourth quarter revenues to be between RMB215 million and RMB225 million, or US$31.5 million and US$33.0 million.
51job sees aggregate share-based compensation expense in the fourth quarter to be in the estimated range of RMB6 million to RMB7 million, or US$0.9 million to US$1.0 million.
In a separate press release, the company said its CFO Peter Lui has resigned from the company, effective immediately. While 51job commences a search for Lui's successor, chief operating officer and former CFO Kathleen Chien will assume responsibility for the company's finance and accounting operations as acting CFO.
In Friday's regular trading session, JOBS closed trading at $16.66 per share on the Nasdaq. In the past 52-week period, the shares have been trading in a range of $6.00 to $17.91.
For comments and feedback contact: editorial@rttnews.com
June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.