Ingeus owner Providence Service Corporation reports 2016 Q1 results
Providence Service Corporation, the owner of Ingeus, has reported its' financial results for the first three months of 2016.
Ingeus is part of the Global Workforce Development segment. The report on this segment includes:
The decrease in WD Services revenue for the first quarter of 2016 was primarily due to an anticipated decline in referrals and an altered pricing structure under the segment's primary employability program in the United Kingdom. The decline in Adjusted EBITDA (non-GAAP) (IndusDelta - this means earnings) at WD Services in the first quarter of 2016 was due to these referral declines and pricing changes as well as the timing of recognition of an annual incentive fee under this same employability program. This incentive fee was recognized in the first quarter of 2015 but is expected to be recognized in a later quarter in 2016.
Prior to the impact of the Mission Providence joint venture (IndusDelta -the Australian contract for employment services), WD Services Adjusted EBITDA (non-GAAP) was $2.9 million, or 3.2% of revenue, in the first quarter of 2016 compared to $8.9 million, or 8.3% of revenue, in the first quarter of 2015. The Adjusted EBITDA (non-GAAP) associated with Mission Providence was negative $3.1 million in the first quarter of 2016 and negative $3.5 million in the first quarter of 2015.