Financial Performance for the year 30-June-2015:

Revenue:
The total Revenue is increased by a nominal 3% i.e GBP208,000 to GBP 6.2 million. The primary reason for this nominal increas
permanenct placements were carried this year in comparison to 784 in 2014. A rise of 8% was recorded from 2013 to 2014. Th
investigated. Despite increase in 3 out of top 5 customers this fall can be attributed to the less revenue from Dollong and Ochre
can be either due to some penalties or extra costs incurred like in 2012 to fill these vacancies. It seems that the conract is also
Temporary placements, respectively.

Another reason of this nominal rise in Revenue is due to decrease in Ochre by 32% i.e GBP 338,000. Even if the contract was r
Ochre now which means that 11.5% revenue has been lost and Bod needs to find its replacement. On the bright side, the prob
could have reached 128% if this issue was resolved before Jul-14.

Gross Profit:
A decline of of 4% is observed in 2015 i.e by GBP 173,000 despite an increse in revenue of 3%. This shows that we have eithe
by more than 2 times.. The major fall is felt in Temporary Gross Profit of 21% i.e GBP 101,000 but it cannot be attributed to the
to 9-month comparison shows and increase of 92% in the Revenue. The cost of sales cannot be this much higher. The total Te
sales would have resulted into this fall.

Contribution:
The same trend is replicated in contribution and a fall of 12% is observed in 2015. The overall rise in permanent placements is
the new IT contract with Dollond as well as the low markup contract on temporary placements with Hedgedge. A huge increase
million to GBP 4.54 million. The details of this increase should be audited as Bo's decision on spending "as much needed" on ma
the consultants. These ethical and financial matters need further inquiry.

KPI 3: Avg. Permanet Gross Profit:

The value GBP 98,440 of KPI3 is not only below the Industry benchmark by GBP 265,000 but is also below the last year value
without the consultant the KPI 3 value becomes GBP 101,420 which is also below last year's value.The industry benchmark of Y

This downwards trend is a serious indication of business performance. It can either be due to low motivation of consultants due
business competitors having very low costs like online platforms and virtual recruitment agencies can also be the reason behind
up to the mark. Bod can conduct trainings to enhance the skills of its consultants as well as capture new sectors like hospitality,
approached by any prospective client shows that Bod is not actively seeking to expand which can also be reason of this downfa

Like its competitors, Bod should also create an international presence, at least virtual if not physical, and motivate the consultan
Bod is planning to expand its virtual presence with the help of the newly appointed BDm Eric Rathbone which should be expedi

In addition to KPI 3, the negative values in contribution is also alarming as it means that Bod is losing money istead of earning
must also devise a strategy to counter this effect. TheMarketing expenses as well as other related costs must be audited to ens
business. The addition of two consultants could not reverse this effect thus Bod should also look for its internal hiring procedure

Type 2014 2015 Movement Movement

'000 '000 '000 %

Permanent 3,517 3,386 (131) -4%
Revenue Temporary 2,496 2,835 339 14%
Total 6,013 6,221 208 3%
Permanent 3,419 3,347 (72) -2%
Gross Profit
Gross Profit Temporary 474 373 (101) -21%
Total 3,893 3,720 (173) -4%
Permanent 1,331 1,364 33 2%
Contribution Temporary 148 (64) (212) -143%
Total 1,479 1,300 (179) -12%

Appendix 2 2014 2015

Permanent Temporary Total Permanent Temporary Total
'000 '000 '000 '000 '000 '000
Wilson 966 490 1,456 1,017 507 1,524
Dollond 822 467 1,289 449 286 735
Hedgedge 589 406 995 923 778 1,701
Assetus - 317 317 - 371 371
Ochre 647 412 1,059 461 260 721
3,024 2,092 5,116 2,850 2,202 5,052
Other 493 404 897 536 558 1,169
Total 3,517 2,496 6,013 3,386 2,835 6,221
million. The primary reason for this nominal increase is the downwall of revenue from Permanent placements by 4% i.e GBP 131,000 as 759
A rise of 8% was recorded from 2013 to 2014. This decline, despite addition of 1 consultant in Permanent section, making the total 34 shou
buted to the less revenue from Dollong and Ochre. Dollond awarded a IT recruitment contract for the first time but still the Revenue didn't
these vacancies. It seems that the conract is also not renewed. It is required to further probe into this decline of 45% and 39% in Permane

y 32% i.e GBP 338,000. Even if the contract was renewed the total avg. revenue was expected to be 9% lower than 2014. However, we ha
find its replacement. On the bright side, the problems with Hedgedge have been resolved due to which an increase of 71% is observed. Th

in revenue of 3%. This shows that we have either hired highly paid consultants or the cost on research, interviews and related markleting
% i.e GBP 101,000 but it cannot be attributed to the new terms decided by Hedgedge of charging low markups on temporary placements as
of sales cannot be this much higher. The total Temporary revenue increased in 2015 is only GBP110,000 i.5 5% and even a small expendit

2015. The overall rise in permanent placements is 2% while a huge plummet of 143% is recorded in temporary placements. This could be a
orary placements with Hedgedge. A huge increase of 181% in Salaries, commissions and othe rrleated costs has been obsered from a mere
o's decision on spending "as much needed" on marketing might have been misused by the consultants which could also lead to unethical c

GBP 265,000 but is also below the last year value of 103,606 i.e is a decline of 5%. It cannot to be attributed to the addition of 1 consultant
elow last year's value.The industry benchmark of Year 2014 of 120,000 is also not achieved. This decline is observed in 2014 as well as 201

either be due to low motivation of consultants due to less commissions or due to hiring unskilled consultants. The higer competition due to
ecruitment agencies can also be the reason behind this fall. However, the industry benchmark shows that the business performance of Tech
nts as well as capture new sectors like hospitality, medicine and cosultancy. Moreover, the approach to only work in the inetrnational marke
o expand which can also be reason of this downfall in this saturated market.

t virtual if not physical, and motivate the consultants to look for new clients not only in new sectors but also in new markets like the europe
ointed BDm Eric Rathbone which should be expedited so that this downward trend can be reversed.

means that Bod is losing money istead of earning it in the Temporary placements area. This isue is of severe nature and teh Bod board of d
well as other related costs must be audited to ensure no foul play. Moreover, new sectors like medicine and hospitality must be explored fo
od should also look for its internal hiring procedure to evaluate if its is hirng the right people for the right job.

Industry
Appendix 3 2014 2015 Benchmark Movement
-31-Dec-2014
'000 '000 '000 '000 %
Avg. Permanent GP per consultant 103.6 98.44 125 (5.16) -5%
 614.66666667

Movement
Permanent Temporary Total Permanent Temporary Total
'000 '000 '000 % % %
51 17 68 5% 3% 5%
(373) (181) (554) -45% -39% -43%
334 372 706 57% 92% 71%
- 54 54 0% 17% 17%
(186) (152) (338) -29% -37% -32%
(174) 110 (64) -6% 5% -1%
43 154 272 9% 38% 30%
(131) 339 208 -4% 14% 3%
 s by 4% i.e GBP 131,000 as 759
section, making the total 34 should be
time but still the Revenue didn't increase. It
ine of 45% and 39% in Permanent and

wer than 2014. However, we have lost

increase of 71% is observed. This increase

terviews and related markleting has increase

ups on temporary placements as the 9-month
5 5% and even a small expenditure in Cost

rary placements. This could be attribute to

s has been obsered from a mere GBP1.585
ch could also lead to unethical conduct by

ed to the addition of 1 consultant as even

observed in 2014 as well as 2013.

ts. The higer competition due to new

he business performance of Techbod is not
y work in the inetrnational market if

o in new markets like the european market.

re nature and teh Bod board of directors

d hospitality must be explored for new
b.