If the extraordinary revenue growth of Perth based, ASX listed CV Check is any guide, employers are clearly becoming more and more suspicious of dodgy CV’s being submitted by job seekers.
After a number of well publicized examples of job seekers falsely claiming everything from fake university degrees, to clean criminal records, to being formerly employed by highly credible companies that have never heard of them, employers appear to be embracing CV Check’s automated online CV checking program that holds a blow torch to the feet of job seekers.
In addition to former employment reference checks, police record checks and university degree verifications, CV Check are also able to tell an employer if their star job candidate has ever been bankrupt, laundered money, lost his or her drivers license or failed a credit check.
It seems that the opportunity to stress test a candidate’s CV for employers is gaining a head of steam after CV Check posted a stellar set of revenue numbers this week for the December 16 quarter that show a revenue jump of 50% when compared to the same period last year.
In fact CV Check’s revenue graph for the last couple of years is almost a straight line North.
The company posted a record revenue quarter, every quarter, from December 2014 through to September 2016 with some quarters experiencing extraordinary growth as high as 59% above the previous quarter.
Revenues for the December 16 quarter came in at $2.3m, up 51% from the $1.5m figure posted for the same quarter last year and the company is now predicting a full year revenue result of between $11m and $12m for this financial year.
CV Check says their active repeat customer base grew from just under one thousand customers in March 2015 to just under 3000 in September 2016 with another 1000 non repeat customers contributing to the September quarter financials.
Having only listed on the ASX in September 2015, CV Check is yet to break even, however, newly minted CEO Rod Sherwood, who has been blooded in the CFO role since 2011, hasn’t wasted any time swinging the financial axe.
Sherwood has cut a million dollars in annualised costs from the business since taking over the top job by chopping heads and renegotiating software contracts amongst other initiatives.
He is predicting the business will reach break even by the end of the year.
CV Check’s core services are very much the body of the octopus and they have a multitude of choices when it comes to potential employment related tentacles that could be bolted on.
They may even present as a suitable takeover target for a major HR firm at some point in time – particularly given that some HR firms charge tens of thousands of dollars for a job placement and CV Check only charge a couple of hundred bucks for a bundle of CV checks.
For a relatively modest product price increase, CV Check could probably get to break even a whole lot quicker but with 170% year on year revenue growth, there seems little point in rocking the boat right now.
By Matt Birney
