Savvy Trades and Investments

[2morrowsGains]

HSON...cc Notes...

- Unless there's another downturn of some sort, economic downturn COVID or other natural disaster downturn, we think our business has really solid momentum. A The numbers tell the story, but with the lag. A lot of these things have been in the work -- in the works for some time, and it's nice to see a plan coming together.
There is some seasonality in our business we do tend to see the fourth quarter. You have holidays and fewer hours worked. And then the first quarter is particularly slow for us because of our Asia-Pac exposure. sounds odd to us in North America, but Australia's basically at the beach from Christmas through mid-January. And Chinese New Year, which slows down our China and Hong Kong operations. But we keep winning new business. Revenues are increasing and we think we're going to continue to see good growth going forward. So, in other words, despite slowdown from holidays, Q4 SHOULD BE BETTER THAN Q3 and 2022 SHOULD BE BETTER THAN 2021.

- We're super excited about the two acquisitions we've done over the last 12 months

- In Q3, the company recorded its strongest levels of growth and profitability of any quarter since its reorganization in early 2018.
Our new business pipeline remains robust and growing.

- Strongest growth is from tech and life sciences. Last year's COIT acquisition has really been encouraging, it really has been -- we joke that we look for 1+1 =3 in acquisitions, and COIT has been more like 1+1=5!! I think their employee count at the time we acquired them was in the 20's. We've already tripled that over the last year. And it looks like by the end of this year, entering next year, we'll have 100 people on the COIT team that's largely focused on tech. and we've launched some larger fast growing accounts!!

RE: Last weeks' Karani acquisition...

- Karani will enhance Hudson RPO's global delivery capability and open up opportunities to win new business in India and other new markets. As a combined company, we expect to expand Karani’s offering beyond the U.S. while leveraging the capability of the Karani team for Hudson RPO projects and clients, penetrate our enterprise RPO markets in India and the Philippines, and strengthen Hudson RPOs expertise and technology recruitment.

SIDE NOTE...The huge NOL carryforward should apply to the Karani acquisition since they are based in the US. If I'm correct, this could be a big plus for HSON's earnings going forward. Here is Karani's web site (love the domain name)...
https://247headhunting.com/

cc transcript...
https://seekingalpha.com/article/4466209-hudson-global-inc-hson-ceo-jeff-eberwein-on-q3-2021-results-earnings-call-transcript