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In the six months to August 31, recruitment group [JSE:ADR] saw a 10% drop in revenue year-on-year, and R447m in net losses.
In its statement released on Wednesday evening, the company said earnings before interest, tax, depreciation and amortisation decreased by 29%, going from R212m in the first half of 2018 to R151m in the first half of 2019.
Adcorp said poor trading conditions in South Africa and extreme weather events in Australia hurt its earnings.
The company recently made headlines when its CEO Innocent Dutiro resigned suddenly.
'Disappointed'
"The decline in performance can be attributed to a combination of challenges in our trading environments, unsatisfactory operating performance and impairments amounting to R452m. Group revenue declined by R784m during the period," Adcorp said.
The SENS statement said much the decline in revenue for its South African industrial services and support services businesses was due to poor macroeconomic conditions.
"As the market leader in the South African staffing industry, it goes without saying that we are directly impacted by South Africa's economic and employment woes.
"In the first half of this year, unemployment increased to 29%, business confidence fell to the lowest level in over two decades and the post-election economic relief, which many of our corporate clients were holding out for, has not materialised," the statement said.
The statement added that in South Africa, Adcorp remained a stable business and that its focus over the short term would be the implementation of "tactical interventions to claw back on the losses" incurred in the first half of 2019.
On Wednesday afternoon, Adcorp shares were changing hands at R14.00, compared to R23.57 per share in mid-July.
