Reading between the lines in the 2Q26 Management Discussion and Analysis of PRTR Group Public Company Limited (PRTR): Revenue up 2.2%. Net profit down 18.0%. And a collection period of 47.7 days in 1Q26, reported as 67.4 days in 2Q26 on a different basis.
The numbers
Outsourcing grows, Recruitment slides
PRTR supplies outsourced staff to corporate clients in Thailand. It also runs a recruitment business, corporate training (The Blacksmith), and an HRIS software platform (Pinno). In 2Q26, total revenue rose 2.2% YoY to Bt1,954m. Outsourcing grew 2.5% YoY to Bt1,885m, and Training rose 62.9% to Bt10m. Recruitment fell 18.4% YoY to Bt45m. Total revenue was also up 4.3% QoQ.
A thinner Recruitment margin weighs on the group
Gross margin eased to 8.5% from 8.9% in 2Q25. The MD&A attributes this to the Recruitment gross margin falling to 48.3% from 54.9%. Selling and administrative expenses rose 7.5% YoY. Net profit fell 18.0% YoY to Bt47m, a net margin of 2.4%.
Dividend draws down cash and equity
PRTR paid a Bt180m dividend in 2Q26. Cash fell to Bt288m from Bt536m at the start of the year, and equity declined 5.0% to Bt1,644m from the end of 4Q25. Net cash used in operating activities was Bt133m in 6M26. In 6M25, there was an inflow of Bt140m in withholding tax refunds.
What the numbers don’t show
Comparing the 2Q26 MD&A with 1Q26, a couple of things stand out.
The collection period is reported on a different basis in 2Q26
The 1Q26 MD&A reported an average collection period of 47.7 days at 31 March 2026, down from 53.1 days at end-4Q25. It linked a Bt84m rise in trade receivables to the seasonal billing cycle in the first quarter.
The 2Q26 MD&A reports 67.4 days, up from 63.0 days in 2Q25. The figure now includes contract assets, which the filing says is for comparability with the prior year. No figure is given on the earlier basis, and the comparison point has moved from end-4Q25 to 2Q25. The filing links the higher figure to an expanding client base and the billing cycle.
Recruitment: a recovery in 1Q26, a hiring cycle in 2Q26
The 1Q26 MD&A described Recruitment’s 3.6% YoY growth as a recovery from the 2025 decline. It credited higher Executive-level placement volumes and said management expected the positive momentum to continue. It also reported the Recruitment gross margin rising to 56.4% from 51.8%.
The 2Q26 MD&A attributes Recruitment’s decline to corporate clients delaying hiring, mainly in Automotive, Machinery and Logistics. Its outlook section now says the business is expected to remain subject to hiring cycles in the near term. Over 6M26, Executive placements fell 6.4% to 44, though Executive revenue rose 8.7%. Junior placements rose 34.0%, while revenue per Junior placement fell 30.9%.