27th Feb 2015 09:27
LONDON (Alliance News) - Recruitment company Harvey Nash Group PLC on Friday said it expects to meet its expectations for the year, despite currency headwinds.
The company said it expects its adjusted pretax profit for the year to the end of January to be in line with its revised expectations, despite further adverse currency fluctuations having occurred since its last trading update in November.
The group said, however, that its strong trading in the fourth quarter meant its cashflow has exceeded expectations, with its net cash position at the end of January around GBP2 million, compared to GBP3.8 million last year.
Harvey Nash said it expects its gross profit to rise 0.8% year-on-year, or 5.1% at constant currencies. It expects contracting profit to rise 2.7% and outsourcing profit up 2.8% but expects a 2.2% fall in permanent recruitment gross profit. At constant currencies, permanent profit would be up 2.6%, it said.
It will publish full-year results on April 30.
"These results reflect the significant progress made by the group over the past year despite strong currency headwinds and challenging markets in many parts of the world." said Harvey Nash Chief Executive Officer Albert Ellis.
"Strong trading cash flow has enabled us to continue to invest in the future growth of the group with fee-earning capacity increased by 10% and additional locations established in the UK and Asia," Ellis added.
Shares in Harvey Nash were down 2.2% to 84.00 pence on Friday morning.
By Sam Unsted; [email protected]; @SamUAtAlliance
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