10th Sep 2019 12:05
(Alliance News) - Irish employment services company CPL Resources PLC on Tuesday said it lifted its total dividend as it reported an annual rise in revenue and profit.
In the year ended June 30, CPL recorded a revenue of EUR564.9 million, up 8.1% from EUR522.7 million in the first half of 2018.
Pretax profit rose by 33% to EUR24.6 million from EUR18.5 million and on an adjusted basis, excluding costs from a long-term incentive plan and currency exchange, by 25% to EUR25.5 million from EUR20.4 million.
The company recommended a final dividend of 11.0 euro cents per share. Upon approval, it will take CPL's total dividend for financial 2019 to 19.0 cents, up 41% year-on-year from 13.5 cents.
CPL said: "The group has delivered exceptional earnings growth in the year to June 30, reflecting strong growth across all our business sectors and markets. This performance reflects the clear focus by our team on continuing to grow our business, expanding our product offering to meet shifting market demands and concentrating on managing our cost base and improving margins."
The company reported revenue growth across its two operating segments, Flexible Talent and the Permanent recruitment unit.
Flexible Talent, which includes temporary staffing and strategic training advisory services, increased its net fee income by 20% to EUR68.5 million from EUR56.9 million.
Permanent, which as the name suggests recruits candidates for permanent positions, delivered a 5.7% rise in net fee income to EUR27.8 million from EUR26.3 million.
Looking ahead, CPL added: "Our record results and progress achieved in the year to June 2019, has positioned us well for the year ahead. We have strengthened our managed solutions offering with the launch of Covalen, where we have already had some strong business wins. Trading in the current year has started well and we are positive about the sectors in which we operate.
"We are mindful of the potential macro-economic challenges driven by Brexit and the potential for changes to levels of investment and employment within our client base. Should conditions change, we are prepared, we have flexibility in our cost base and we can moderate our growth plans. Our goal for 2020 is to produce another year of growth in revenue and profitability, we are encouraged by our pipeline and the opportunities for growth that we have identified."
Shares in CPL were untraded at 550.00 pence each in London on Tuesday morning.
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