ASX listed online screening and verification company CVCheck has lifted full-year revenues by 47 per cent to $10.43 million, assisted by accelerated corporate client sign-ups as they hurtle towards break-even.
Despite the significant jump in full year revenues, management were able to significantly rein in operational costs, reducing them by $5m from $14.2m in 2016 to just $9.2m in the 2017 financial year.
Even though the full year result was a loss of $4m, down from $10m last year, the second half result was a loss of just $1.4m placing the company on a trajectory to achieve their stated goal of breaking even by the first half of this financial year.
CVCheck Chief Executive Rod Sherwood said the result was a mark of the company's strong operational performance amid challenging conditions.
“Across the financial year, CVCheck concentrated on assimilating its New Zealand business, its sales and promotion efforts, the continued building of our corporate revenue base and rebalancing our personnel to better serve the changing composition of our client base,” Mr Sherwood said.
“All of this was achieved while markedly reducing advertising spend and refocussing research and development toward efficiency gains that will underpin a wider range of fully automated check products.”
According to the company, 53% of all CV’s submitted contain some element of untruth and one in ten job seekers will have a criminal record.
The Perth-based company has carved out a leadership position in a rapidly expanding industry driven by employers concerned about job seekers stretching the truth when submitting a CV for a job application.
CV Check’s business has grown into an increasingly popular digital platform offering employers the capability to conduct many and varied checks on potential employees across 190 countries.
Management said this week that 96% of all Australian CV checks were now online and fully automated, underpinning the company’s goal of scaling the business.
In addition to employment reference checks, CVCheck also provides university degree verifications, police record checks and intel to employers about whether a job candidate has been involved in money laundering or has failed a credit check.