UAE - MENA Herald: based Transguard Group today released its annual figures for the financial year ending 31st March 2017, which was another record year for the business support services provider, with a set of exceptional financial figures and operational milestones.
According to the figures audited by PricewaterhouseCoopers, Transguard Group, generated revenue in excess of AED1.9 billion (AED1,900,632,976) a 33% increase over the previous year and profit of over AED146 million (AED146,040,956) an 18% increase over the previous year.
Another significant landmark for the company during the 2016/2017 financial year was the expansion of the workforce which grew from 46,500 employees on 31 March 2016 to 55,399 employees by 31 March 2017 – an impressive 19% increase.
“These results are remarkable, given the macroeconomic landscape over the past 12 months. Our business retention rate (over 90%) and new contract wins (over 300) across all of our business units, valued at AED850 million annually, validate our business strategy – being customer focused and optimising our operation, through innovation and efficiencies,” commented Dr. Abdulla Al Hashimi, CEO, Transguard Group.
Analysing Transguard’s financial performance by individual business enterprise, the company’s renowned cash services business, undoubtedly the UAE’s leading cash logistics provider, reported revenue growth of 16%. This was achieved by acquiring new strategic clients and further extending partnerships with major delivery partners such as Gunnebo, a leading global provider of retail cash management solutions. Transguard also signed a partnership agreement with Diebold Nixdorf which now enables Transguard Group to provide first and second level support on Diebold Nixdorf ATMs, enhancing its capability in true end-to-end cash management.
Transguard’s security services business unit continued to grow in 2016/2017 resulting in another record performance, with revenues increasing by 28% over the year. This was realised through a strong customer retention rate, together with new contract wins, which have bolstered the security services customer portfolio.
“Our security systems integration and consultancy services also reported strong revenue growth and we continue to see this as a major growth area and as a complementary service offering to manned guarding. We now provide both technology and physical guarding as two important parts of our overall offering,” commented Greg Ward, Managing Director, Transguard Group.
“We have also recently launched “Transguard K9”, a specialised explosive detection dog unit, Transguard K9, although a niche service we are confident that there is pent-up demand for this type of service,” added Ward.
Transguard’s manpower services business was the best performing business unit in 2016/2017 with revenues growing by 45% and headcount up by 29%. This was fuelled by an uptick in construction related activity in the UAE, the success of new contract wins in the logistics and manufacturing sectors, as well as impressive growth in the professional workforce solutions business, where the outsourced headcount grew by 91%.
“We expect continued growth across manpower services and further market share gains in the logistics and manufacturing sectors,” said Ward.
Transguard’s integrated facility services (IFS) business had another very strong year resulting in over 70% growth in revenues and 36% in headcount, as a result of 38 new client project wins.
“This year has really been the year that our IFS business has grown and is now one of the leading top tier FM companies in the UAE and one of our major engines for growth for the company in the years ahead,“ stated Ward.
Transguard also launched a residential maintenance company – Transguard Living, which offers a full suite of home maintenance services to a market with great potential.
“Looking ahead to 2017/2018 we see another positive year for Transguard, by driving a culture of innovation, best practice and people development. With over 55,000 employees and growing, our future success is dependent on the efficiency and hard work of our staff. Their wellbeing is essential to us, if we are to continue delivering consistent, quality and value-driven client service, while also growing our market share and outpacing the competition - the two are inseparable,” said Ward.
