ManpowerGroup 2012 Annual Report Download - page 38

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Amounts represent 2011
Percentages represent 2011 compared to 2010
Reported
Amount
(in millions) Reported
Variance Impact of
Currency
Variance in
Constant
Currency
Impact of
Acquisitions
(in Constant
Currency)
Organic
Constant
Currency
Variance
Revenues from Services
Americas:
United States $ 3,137.3 12.7% — % 12.7% 6.5% 6.2%
Other Americas 1,512.1 19.5 1.1 18.4 — 18.4
4,649.4 14.8 0.3 14.5 4.6 9.9
Southern Europe:
France 6,179.1 18.6 6.0 12.6 0.5 12.1
Italy 1,255.8 20.3 6.1 14.2 — 14.2
Other Southern Europe 776.9 11.2 4.4 6.8 — 6.8
8,211.8 18.1 5.8 12.3 0.4 11.9
Northern Europe 6,159.4 15.3 6.0 9.3 — 9.3
APME 2,661.7 24.0 9.8 14.2 6.6 7.6
Right Management 323.7 (13.6) 3.0 (16.6) — (16.6)
ManpowerGroup $ 22,006.0 16.6% 5.0% 11.6% 1.9% 9.7%
Gross Profit — ManpowerGroup $ 3,706.3 14.2% 4.8% 9.4% 2.0% 7.4%
Operating Unit Profit
Americas:
United States $ 94.1 119.8% — % 119.8% 21.6% 98.2%
Other Americas 47.8 31.2 0.5 30.7 — 30.7
141.9 79.0 0.2 78.8 10.0 68.8
Southern Europe:
France 85.2 80.7 11.3 69.4 3.5 65.9
Italy 74.1 55.9 8.7 47.2 — 47.2
Other Southern Europe 10.8 51.5 4.0 47.5 — 47.5
170.1 67.1 9.6 57.5 1.6 55.9
Northern Europe 212.6 41.5 8.7 32.8 — 32.8
APME 78.8 66.7 11.9 54.8 10.6 44.2
Right Management (1.4) (139.4) (2.7) (136.7) — (136.7)
Operating Profit — ManpowerGroup $ 524.2 529.6% 27.1% 502.5% 7.2% 495.3%
Cash Sources and Uses
Cash used to fund our operations is primarily generated through operating activities and provided by our existing credit
facilities. We believe that our available cash and our existing credit facilities are sufficient to cover our cash needs for the
foreseeable future. We assess and monitor our liquidity and capital resources globally. We use a global cash pooling
arrangement, intercompany lending, and some local credit lines to meet funding needs and allocate our capital resources
among our various entities. As of December 31, 2012, we had $423.7 million of cash held by foreign subsidiaries that was
not available to fund domestic operations unless repatriated. We anticipate cash repatriations to the United States from
certain international subsidiaries and have provided for deferred taxes related to those foreign earnings not considered to
be permanently invested. As of December 31, 2012, we have identified approximately $341.1 million of non-United States
funds that are not permanently invested. As of December 31, 2012 and 2011, we have recorded a deferred tax liability of
$15.7 million and $22.0 million, respectively, related to these non-United States earnings that may be remitted.
Our principal ongoing cash needs are to finance working capital, capital expenditures, debt payments, interest expense,
share repurchases, dividends and acquisitions. Working capital is primarily in the form of trade receivables, which generally
increase as revenues increase. The amount of financing necessary to support revenue growth depends on receivables
turnover, which differs in each market where we operate.
MANAGEMENT’S DISCUSSION & ANALYSIS
of financial condition and results of operations
ManpowerGroup 2012 Annual Report Management’s Discussion & Analysis
36