Now sees FY opg profit around 60 mln pounds vs 118.8 mln 2023 (Il Sole 24 Ore Radiocor) - London, 09 Jul - UK staffing company Page Group said that in the second quarter its gross profit fell a reported 15% and a constant currency 12% to 224.3 million pounds. There were double digit declines in all regions with the exception of the Americas, which saw a 6.6% contraction.

The group said it saw a softening in activity levels through the quarter, particularly in terms of new jobs registered and number of interviews.

The EMEA region, which represents 56% of total gross profit, saw a 10.2% contraction driven by a 14% drop in France and a 9% fall in Germany. In the Americas, the single-digit fall reflects a 19% slump in the US and a 4% decline in Latin America. The Asia Pacific region saw a 19.8% drop in gross profit, with Greater China down 29%, South East Asia 12%, Japan down 6% and India bucking the trend and rising 7%. The UK saw a 17.4% fall in gross profit.

"Given the weaker than expected trading in June, recent increased geopolitical and macro-economic uncertainty and consequently a more cautious view for H2, the Board now expects full year 2024 operating profit to be in the region of 60m," the company said.

In 2023, the group posted an operating profit of 118.8 million pounds.

Reflecting the uncertain macro-economic conditions, temporary recruitment, down 9.8%, continued to outperform permanent, down 12.8%, as clients sought more flexible options.

"While we saw a slower end to the quarter, having taken action to reduce headcount throughout last year, our intention is to broadly hold fee earners at existing levels to ensure we are well placed to take advantage of opportunities as sentiment and confidence improve," said chief executive Nicholas Kirk.

In the first half, gross profit fell a reported 15.7% and a constant currency 12.4% to 444.2 million pounds, with temporary recruitment down 8.5% and permanent down 13.7%.

The group will issue its first half results on August 8.

AAA-Sch

(RADIOCOR) 09-07-24 11:55:36 (0298) 5 NNNN