Sees FY pre-exceptional opg profit around 105 mln pouns (Il Sole 24 Ore Radiocor) - London, 11 Jul - UK staffing company Hays said that in the fourth quarter that ended June 30 net fees fell a reported 17% and a like for like 15%, with a 22% slump in Australia and New Zealand, a 17% drop in the UK and Ireland and in Germany, and an 11% decline in the rest of the world with the EMEA area excluding Germany down 10% reflecting a particularly tough June.

Temp and contracting fees, which comprise 61% of the total, decreased by 12%, against a strong annual comparison basis.

Overall average Temp volumes decreased by 7% year on year, with a 6% drop in Germany, an 18% slump in Australian and New Zealand, and a 12% contraction in the UK and Ireland. On a sequential basis, Temp volumes decreased modestly in UK and Ireland, but were stable in Australia and New Zealand and Germany.

Fees in Perm, which represent 39% of the total, decreased by 20%, driven by volumes down 27%. This was partially offset by an increase in the group average Perm fee, up 7%.

Overall, Hays said it continues to see longer than normal 'time-to-hire', impacted by low levels of client and candidate confidence as activity levels reduced modestly through the quarter, notably in Germany, France, and the UK.

Hays said it expects near-term market conditions to remain challenging.

"Despite a more difficult quarter, our cost actions mean we expect FY24 pre-exceptional operating profit of about 105 million pounds, around the bottom of the market consensus range," the company said, referring to the Bloomberg range of 106.0-113 million pounds.

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(RADIOCOR) 11-07-24 12:11:38 (0299) 5 NNNN