SGS posts half-year results

July 19, 2022

IIOA member SGS report their half year 2022 results, with revenue increasing by 6.8% constant currency to CHF 3.3bn (5.2% actual). SGS describe this as, ‘A strong operational performance despite challenging market conditions’.

SGS go on to state, ‘We achieved strong growth reflecting the resilience of our global network. All divisions and regions contributed to this performance despite the challenging market conditions faced during H1. These include the impact of the war in Ukraine, continued supply chain disruption, rising global inflation, and Covid-related absenteeism and restrictions in China. China, our largest affiliate, resumed its strong growth trajectory in June.’

Within the overall results, the Knowledge division saw a 8.4% revenue growth at constant currency (7% actual) and organically to CHF 335m, ‘with growth across all strategic business units and and in all geographies.’

SGS continue to note on the Knowledge performance, ‘Management System Certification grew in all geographies organically, but below the divisional average. The lower growth reflects a challenging comparable period as 2021 was a re-certification year. Food certification delivered strong growth across all regions while medical devices and security services reported double-digit growth.

Customized Audits grew organically below the divisional average. Second party audit work was impacted by restrictions in China. This was compensated by double-digit growth from Responsible Business Services across all regions and ESG services.’

Overall, SGS state the outlook for 2022 as, ‘mid-single digit organic growth.’

The SGS Half Year report can be viewed here.