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Workforce Holdings

JSE:WKF
Snowflake Description

Adequate balance sheet and fair value.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
WKF
JSE
ZAR349M
Market Cap
  1. Home
  2. ZA
  3. Commercial Services
Company description

Workforce Holdings Limited, an investment holding company, provides human capital solutions in South Africa, Mozambique, Namibia, Botswana, and Mauritius. The last earnings update was 63 days ago. More info.


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WKF Share Price and Events
7 Day Returns
-0.6%
JSE:WKF
-0.3%
Global Professional Services
1%
ZA Market
1 Year Returns
6.2%
JSE:WKF
16.4%
Global Professional Services
-3.9%
ZA Market
WKF Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Workforce Holdings (WKF) -0.6% -3.8% 11.6% 6.2% -23% 156.7%
Global Professional Services -0.3% -0.3% -0.4% 16.4% 39.8% 61.5%
ZA Market 1% 1.2% -3.3% -3.9% 5% 0.3%
1 Year Return vs Industry and Market
  • WKF underperformed the Professional Services industry which returned 16.4% over the past year.
  • WKF outperformed the Market in South Africa which returned -3.9% over the past year.
Price Volatility
WKF
Industry
5yr Volatility vs Market
Related Companies

Sorry, no analysis for Workforce Holdings's competitors could be found in our database.

WKF Value

 Is Workforce Holdings undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Workforce Holdings to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Workforce Holdings.

JSE:WKF Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Extrapolated from most recent financials. See below
Discount Rate (Cost of Equity) See below 10.5%
Perpetual Growth Rate 10-Year ZA Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for JSE:WKF
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year ZA Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Professional Services Unlevered Beta Simply Wall St/ S&P Global 0.83
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.828 (1 + (1- 28%) (105.01%))
1.305
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.3
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.305 * 5.96%)
10.51%

Discounted Cash Flow Calculation for JSE:WKF using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Workforce Holdings is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

JSE:WKF DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (ZAR, Millions) Source Present Value
Discounted (@ 10.51%)
2020 32.43 Est @ -28.82% 29.34
2021 26.15 Est @ -19.36% 21.41
2022 22.82 Est @ -12.73% 16.91
2023 20.97 Est @ -8.09% 14.06
2024 19.96 Est @ -4.85% 12.11
2025 19.44 Est @ -2.57% 10.68
2026 19.25 Est @ -0.98% 9.57
2027 19.28 Est @ 0.13% 8.67
2028 19.45 Est @ 0.91% 7.92
2029 19.74 Est @ 1.46% 7.27
Present value of next 10 years cash flows ZAR137.00
JSE:WKF DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= ZAR19.74 × (1 + 2.73%) ÷ (10.51% – 2.73%)
ZAR260.72
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= ZAR260.72 ÷ (1 + 10.51%)10
ZAR96.01
JSE:WKF Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= ZAR137.00 + ZAR96.01
ZAR233.01
Equity Value per Share
(ZAR)
= Total value / Shares Outstanding
= ZAR233.01 / 226.65
ZAR1.03
JSE:WKF Discount to Share Price
Calculation Result
Value per share (ZAR) From above. ZAR1.03
Current discount Discount to share price of ZAR1.54
= -1 x (ZAR1.54 - ZAR1.03) / ZAR1.03
-49.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Workforce Holdings is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Workforce Holdings's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Workforce Holdings's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
JSE:WKF PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-06-30) in ZAR ZAR0.45
JSE:WKF Share Price ** JSE (2019-11-08) in ZAR ZAR1.54
Global Professional Services Industry PE Ratio Median Figure of 237 Publicly-Listed Professional Services Companies 19.43x
South Africa Market PE Ratio Median Figure of 207 Publicly-Listed Companies 10.88x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Workforce Holdings.

JSE:WKF PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= JSE:WKF Share Price ÷ EPS (both in ZAR)

= 1.54 ÷ 0.45

3.38x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Workforce Holdings is good value based on earnings compared to the Global Professional Services industry average.
  • Workforce Holdings is good value based on earnings compared to the South Africa market.
Price based on expected Growth
Does Workforce Holdings's expected growth come at a high price?
Raw Data
JSE:WKF PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 3.38x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
6.6%per year
Global Professional Services Industry PEG Ratio Median Figure of 116 Publicly-Listed Professional Services Companies 1.32x
South Africa Market PEG Ratio Median Figure of 75 Publicly-Listed Companies 1.11x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Workforce Holdings, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Workforce Holdings's assets?
Raw Data
JSE:WKF PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-06-30) in ZAR ZAR2.84
JSE:WKF Share Price * JSE (2019-11-08) in ZAR ZAR1.54
Global Professional Services Industry PB Ratio Median Figure of 332 Publicly-Listed Professional Services Companies 2.07x
South Africa Market PB Ratio Median Figure of 267 Publicly-Listed Companies 0.91x
JSE:WKF PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= JSE:WKF Share Price ÷ Book Value per Share (both in ZAR)

= 1.54 ÷ 2.84

0.54x

* Primary Listing of Workforce Holdings.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Workforce Holdings is good value based on assets compared to the Global Professional Services industry average.
X
Value checks
We assess Workforce Holdings's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Professional Services industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Professional Services industry average (and greater than 0)? (1 check)
  5. Workforce Holdings has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

WKF Future Performance

 How is Workforce Holdings expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

  • No analysts cover Workforce Holdings, future earnings growth has been estimated based on fundamentals.
The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
6.6%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Workforce Holdings expected to grow at an attractive rate?
  • Workforce Holdings's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Workforce Holdings's earnings growth is positive but not above the South Africa market average.
  • Unable to compare Workforce Holdings's revenue growth to the South Africa market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
JSE:WKF Future Growth Rates Data Sources
Data Point Source Value (per year)
JSE:WKF Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts 6.6%
Global Professional Services Industry Earnings Growth Rate Market Cap Weighted Average 22.5%
Global Professional Services Industry Revenue Growth Rate Market Cap Weighted Average 6%
South Africa Market Earnings Growth Rate Market Cap Weighted Average 16.3%
South Africa Market Revenue Growth Rate Market Cap Weighted Average 8.4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
JSE:WKF Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in ZAR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
JSE:WKF Past Financials Data
Date (Data in ZAR Millions) Revenue Cash Flow Net Income *
2019-06-30 3,124 66 103
2019-03-31 3,069 60 104
2018-12-31 3,014 55 106
2018-09-30 2,940 32 103
2018-06-30 2,865 4 101
2018-03-31 2,836 8 100
2017-12-31 2,808 11 99
2017-09-30 2,752 58 96
2017-06-30 2,697 104 93
2017-03-31 2,610 87 92
2016-12-31 2,523 69 92
2016-09-30 2,381 37 91

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Workforce Holdings's earnings are expected to grow by 6.6% yearly, however this is not considered high growth (20% yearly).
  • Unable to determine if Workforce Holdings is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
JSE:WKF Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from Workforce Holdings Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

JSE:WKF Past Financials Data
Date (Data in ZAR Millions) EPS *
2019-06-30 0.45
2019-03-31 0.46
2018-12-31 0.47
2018-09-30 0.45
2018-06-30 0.44
2018-03-31 0.43
2017-12-31 0.43
2017-09-30 0.42
2017-06-30 0.41
2017-03-31 0.40
2016-12-31 0.40
2016-09-30 0.40

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Workforce Holdings will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Workforce Holdings's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Global market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Global market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Workforce Holdings has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

WKF Past Performance

  How has Workforce Holdings performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Workforce Holdings's growth in the last year to its industry (Professional Services).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Workforce Holdings's year on year earnings growth rate has been positive over the past 5 years.
  • Workforce Holdings's 1-year earnings growth is less than its 5-year average (1.9% vs 16%)
  • Workforce Holdings's earnings growth has not exceeded the Global Professional Services industry average in the past year (1.9% vs 10.4%).
Earnings and Revenue History
Workforce Holdings's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Workforce Holdings Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

JSE:WKF Past Revenue, Cash Flow and Net Income Data
Date (Data in ZAR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-06-30 3,124.04 102.82 543.41
2019-03-31 3,069.24 104.37 539.02
2018-12-31 3,014.45 105.92 534.63
2018-09-30 2,939.57 102.91 527.94
2018-06-30 2,864.70 100.93 527.89
2018-03-31 2,836.30 99.73 520.39
2017-12-31 2,807.89 98.54 512.89
2017-09-30 2,752.29 95.97 497.89
2017-06-30 2,696.69 93.39 482.89
2017-03-31 2,610.05 92.50 472.35
2016-12-31 2,523.41 91.60 461.81
2016-09-30 2,380.70 90.77 432.10
2016-06-30 2,238.00 89.93 402.40
2016-03-31 2,093.89 83.36 376.17
2015-12-31 1,949.77 76.79 349.95
2015-09-30 1,892.21 69.98 342.90
2015-06-30 1,834.65 63.18 335.84
2015-03-31 1,818.27 61.20 327.77
2014-12-31 1,801.90 59.21 319.71
2014-09-30 1,776.64 40.66 315.37
2014-06-30 1,751.38 22.12 311.04
2014-03-31 1,705.09 16.97 307.99
2013-12-31 1,658.80 11.82 304.95
2013-09-30 1,606.94 21.00 294.62
2013-06-30 1,555.08 30.19 284.29
2013-03-31 1,513.41 26.98 277.39
2012-12-31 1,471.74 23.77 270.49

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Workforce Holdings has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Workforce Holdings used its assets more efficiently than the Global Professional Services industry average last year based on Return on Assets.
  • Workforce Holdings's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Workforce Holdings's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Professional Services industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Workforce Holdings has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

WKF Health

 How is Workforce Holdings's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Workforce Holdings's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Workforce Holdings is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Workforce Holdings's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Workforce Holdings's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 2.4x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Workforce Holdings Company Filings, last reported 4 months ago.

JSE:WKF Past Debt and Equity Data
Date (Data in ZAR Millions) Total Equity Total Debt Cash & Short Term Investments
2019-06-30 636.24 336.05 28.70
2019-03-31 636.24 336.05 28.70
2018-12-31 603.02 366.96 45.29
2018-09-30 603.02 366.96 45.29
2018-06-30 554.03 359.89 24.58
2018-03-31 554.03 359.89 24.58
2017-12-31 542.35 302.07 28.61
2017-09-30 542.35 302.07 28.61
2017-06-30 489.10 278.50 24.78
2017-03-31 489.10 278.50 24.78
2016-12-31 446.77 311.88 77.44
2016-09-30 446.77 311.88 77.44
2016-06-30 395.50 317.96 28.25
2016-03-31 395.50 317.96 28.25
2015-12-31 354.25 231.60 15.43
2015-09-30 354.25 231.60 15.43
2015-06-30 301.98 177.64 7.71
2015-03-31 301.98 177.64 7.71
2014-12-31 272.31 199.70 12.42
2014-09-30 272.31 199.70 12.42
2014-06-30 234.24 201.82 2.89
2014-03-31 234.24 201.82 2.89
2013-12-31 212.56 211.86 15.69
2013-09-30 212.56 211.86 15.69
2013-06-30 216.02 206.80 1.82
2013-03-31 216.02 206.80 1.82
2012-12-31 209.31 221.25 20.13
  • Workforce Holdings's level of debt (52.7%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (85.3% vs 52.7% today).
  • Debt is not well covered by operating cash flow (19.6%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 5.4x coverage).
X
Financial health checks
We assess Workforce Holdings's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Workforce Holdings has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

WKF Dividends

 What is Workforce Holdings's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.97%
Current annual income from Workforce Holdings dividends.
If you bought ZAR2,000 of Workforce Holdings shares you are expected to receive ZAR19 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Workforce Holdings's pays a lower dividend yield than the bottom 25% of dividend payers in South Africa (3.23%).
  • Workforce Holdings's dividend is below the markets top 25% of dividend payers in South Africa (8.67%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
JSE:WKF Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
Global Professional Services Industry Average Dividend Yield Market Cap Weighted Average of 172 Stocks 2.1%
South Africa Market Average Dividend Yield Market Cap Weighted Average of 179 Stocks 4%
South Africa Minimum Threshold Dividend Yield 10th Percentile 1.9%
South Africa Bottom 25% Dividend Yield 25th Percentile 3.2%
South Africa Top 25% Dividend Yield 75th Percentile 8.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

JSE:WKF Past Annualized Dividends Data
Date (Data in ZAR) Dividend per share (annual) Avg. Yield (%)
2019-03-29 0.015 0.981
2019-03-27 0.015 0.941
2009-08-13 0.000 0.000
2009-07-15 0.000 0.000
2009-01-15 0.000 0.000
2008-12-31 0.000 0.000

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Workforce Holdings is not paying a notable dividend for South Africa, therefore no need to check if the payments are stable.
  • Workforce Holdings is not paying a notable dividend for South Africa, therefore no need to check if the payments are increasing.
Current Payout to shareholders
What portion of Workforce Holdings's earnings are paid to the shareholders as a dividend.
  • No need to calculate the sustainability of Workforce Holdings's dividends as it is not paying a notable one for South Africa.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Workforce Holdings's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.9%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Workforce Holdings afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Workforce Holdings has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

WKF Management

 What is the CEO of Workforce Holdings's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Ronny Katz
COMPENSATION ZAR3,848,199
AGE 76
TENURE AS CEO 1.3 years
CEO Bio

Mr. Ronald Stanley Katz, also known as Ronny, BCom, LLB, MBA is the Founder of Workforce Holdings Limited and serves its Chief Executive Officer since March 2019. He served as Interim Chief Executive Officer of Workforce Holdings Ltd. since July 1, 2018 until March 2019. He served as Executive Chairman of Workforce Holdings Limited since August 15, 2016 until June 30, 2018. Mr. Katz served as an Interim Chief Executive Officer of Workforce Holdings Limited from December 31, 2015 to August 15, 2016. In 1973, Mr. Katz started Workforce and has concentrated on its development. He joined City Merchant Bank and worked in the investment division. Mr. Katz served as the Executive Chairman of Workforce Ltd. from October 2006 to December 31, 2015 and also serves as its Director. He has MBA degree from University of Cape Town in 1968. Mr. Katz completed his legal studies.

CEO Compensation
  • Ronny's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Ronny's remuneration is about average for companies of similar size in South Africa.
Management Team Tenure

Average tenure and age of the Workforce Holdings management team in years:

1.3
Average Tenure
47
Average Age
  • The average tenure for the Workforce Holdings management team is less than 2 years, this suggests a new team.
Management Team

Ronny Katz

TITLE
Founder
COMPENSATION
ZAR4M
AGE
76
TENURE
1.3 yrs

Willie van Wyk

TITLE
Group Financial Director & Executive Director
COMPENSATION
ZAR2M
AGE
47

Keith Thomas

TITLE
Chief Information Officer
TENURE
1.1 yrs

Richard Malkin

TITLE
Managing Director of Workforce Healthcare

Donald McMillan

TITLE
MD of Albrecht Nursing Agency & Allmed Healthcare Professionals & Tshwane Nursing Agency

Jonathan Kruger

TITLE
Managing Director of Babereki Employee Support Services and Managing Director of Dreams Direct

Gill Johnson

TITLE
Managing Director of Only The Best/Teleresources

Steven Herzcovitz

TITLE
Acting Managing Director of Training Force

Sirkien van Schalkwyk

TITLE
Company Secretary
AGE
42

Sean Momberg

TITLE
Managing Director of Workforce Staffing
TENURE
3.9 yrs
Board of Directors Tenure

Average tenure and age of the Workforce Holdings board of directors in years:

2.7
Average Tenure
47
Average Age
  • The average tenure for the Workforce Holdings board of directors is less than 3 years, this suggests a new board.
Board of Directors

John Macey

TITLE
Independent Non-Executive Chairman
COMPENSATION
ZAR200K
AGE
57
TENURE
1.3 yrs

Ronny Katz

TITLE
Founder
COMPENSATION
ZAR4M
AGE
76

Willie van Wyk

TITLE
Group Financial Director & Executive Director
COMPENSATION
ZAR2M
AGE
47
TENURE
11.4 yrs

Kyansambo Vundla

TITLE
Independent Non-Executive Director
COMPENSATION
ZAR113K
AGE
41
TENURE
9 yrs

Shelley Thomas

TITLE
Independent Non-Executive Director
COMPENSATION
ZAR186K
AGE
53
TENURE
2.9 yrs

Shaun Naidoo

TITLE
Non-Executive Director
COMPENSATION
ZAR114K
AGE
33
TENURE
2.4 yrs

Inshaaf Ross

TITLE
Non-Executive Director
COMPENSATION
ZAR60K
AGE
47
TENURE
1.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (ZAR) Value (ZAR)
X
Management checks
We assess Workforce Holdings's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Workforce Holdings has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

WKF News

Simply Wall St News

WKF Company Info

Description

Workforce Holdings Limited, an investment holding company, provides human capital solutions in South Africa, Mozambique, Namibia, Botswana, and Mauritius. The company operates through Staffing and Outsourcing, Training, Financial, and Healthcare segments. The company offers temporary employment services, functional outsourcing, permanent recruitment, executive search, specialist staffing, short-and long-term hires, payroll management, HR and IR consulting services, disability solutions, turnkey staffing solutions, and business process outsourcing solutions. It also provides accredited short courses, skills programs, full qualifications, learnerships, apprenticeships, and adult education training services, as well as contractor on-boarding. In addition, the company offers death and disability cover, funeral cover, hospital cover, day-to-day medical insurance, and financial and mobile products and services, as well as lending products. Further, it offers recruitment and placement of medical professionals for hospitals and frail-care homes, primary and occupational healthcare, employee health and wellness programs, and health risk assessments, as well as lifestyle benefits. Workforce Holdings Limited was founded in 1972 and is headquartered in Johannesburg, South Africa.

Details
Name: Workforce Holdings Limited
WKF
Exchange: JSE
Founded: 1972
ZAR349,034,784
226,645,964
Website: http://www.workforce.co.za
Address: Workforce Holdings Limited
11 Wellington Road,
Parktown,
Johannesburg,
Gauteng, 2193,
South Africa
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
JSE WKF Ordinary Shares The Johannesburg Securities Exchange ZA ZAR 22. Nov 2006
Number of employees
Current staff
Staff numbers
1,268
Workforce Holdings employees.
Industry
Human Resource and Employment Services
Commercial Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/11/11 16:35
End of day share price update: 2019/11/08 00:00
Last earnings filing: 2019/09/09
Last earnings reported: 2019/06/30
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.