Recruitment delays hamper 2ergo’s expansion

MOBILE technology group 2ergo has been held back by delays in the recruitment and training of new staff.

The fast-growing Salford business told shareholders today at its annual general meeting that there was strong demand for its services, particularly from blue chip companies.

It is investing heavily to meet this growth in demand but performance in the first six months has been affected by recruitment delays.

In a statement the company said: “First half performance in certain areas has been held back due to pressure in achieving timely delivery created by protracted lead times in recruitment and training.”

It added: “The group’s order book and pipeline in all territories have grown significantly and resources are continuing to be established to satisfy the increased demand. The board is therefore confident in 2ergo’s ability to meet market expectations for the full year.”

2ergo, which helps companies use mobile phones to trade and market services, also told shareholders it had just won a four-year contract to provide Transport for London with mobile services. 

During 2009 2ergo, which was founded 10 years ago in Rawtenstall, Lancashire, made three acquisitions – an Australian business called Wapfly, and Indian firm called Activemedia and it bought back Broca – a mobile security business, which it had originally divested into a separate listed company.

The AIM-listed group, which is debt free, now has offices in Manchester, London, Washington, New York, New Delhi, Mumbai, Sydney and Buenos Aires.