HeadHunter Group PLC (HHR) Q3 2020 Earnings Call Transcript

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HeadHunter Group PLC (NASDAQ:HHR)
Q3 2020 Earnings Call
Nov 20, 2020, 9:00 a.m. ET

Contents:

• Prepared Remarks
• Questions and Answers
• Call Participants

Prepared Remarks:

Operator

Ladies and gentlemen, thank you for standing by and welcome to the Third Quarter 2020 Financial Results Conference Call. [Operator Instructions]. And I would now like to hand to your first speaker today, Roman Safiyulin. Please go ahead.

Roman Safiyulin — Head of Investor Relations

Thank you. Hello, everyone, and welcome to Headhunter Group third quarter 2020 earnings call. On the call today, we have Mikhail Zhukov, our Chief Executive Officer; Grigorii Moiseev, our Chief Financial Officer; and Dmitry Sergienkov, our Chief Strategy Officer. A press release containing our third quarter 2020 results was issued earlier today and the copy may be obtained through our website at investor.hh.ru.

Now, I will briefly walk you through the safe harbor statements. Today’s discussion will contain forward-looking statements. Actual results may differ materially from the results predicted or implied by such statements, and the forward-looking statements made today speak only to our expectations as of today.

We undertake no obligation to publicly update or revise these statements. For a discussion of some of the risk factors that could cause actual results to differ, please see the risk factor section in our annual report on the Form 20-F for the year ended December 31st, 2019 and our final prospectus in connection with our public offering that was filed with the U.S. Securities and Exchange Commission on June 16th, 2020.

During this call, we will be referring to some non-IFRS financial measures. A reconciliation of the non-IFRS financial measures to the most directly comparable IFRS measures is provided in the earnings release we issued today and the slide presentation, each of which is available on our website at investor.hh.ru.

Now, I’ll turn the call over to Mikhail to make a quick opening remark. Please go ahead.

Mikhail Zhukov — Chief Executive Officer

Thank you, Roman and good afternoon everyone. Welcome to today’s call. We believe that our performance in the third quarter confirmed the statement that efficient remote solutions in such an important function as recruitment are vital for any enterprise. During this challenging year, we managed to grow our customer base, serving almost 290,000 companies all over Russia and the CIS since the beginning of the year.

Many of our clients have adopted to remote operations and now conduct hiring entirely online. Importantly, our timely recovery measures helped us to gain market momentum and accelerate growth even despite the impact from the second wave of COVID-19. We are glad to see all customer segments return to expansion and keep improving week after week. This gives us confidence that once we are finally out of routes [Phonetic] and businesses regain confidence in future, we may reach our strategic targets even faster than we thought before the crisis hit the market in March.

Now, I will turn the word to Dmitry to walk you through the key highlights of the third quarter. Thank you.

Dmitry Sergienkov — Chief Strategy Officer

Thank you, and hello everyone. As Mikhail said, in the third quarter, we continue demonstrating a steady recovery across all major operating and financial measures, and it was done against the backdrop of continuous economic volatility, and specifically in terms of new CVs inflow with — for the improvements with double-digit year-on-year growth.

Total number of CVs on the platform reached 48 million, indicating net acquisition of circa 6 million CVs since the beginning of the year. And this new active audience acquisition coupled with certain product improvements resulted in a…