28th Jul 2016 08:55
LONDON (Alliance News) - Recruiter Impellam Group PLC on Thursday reported growth in pretax profit and revenue for the first half but kept its dividend flat as it anticipates continued post-Brexit softness in the UK staffing market.
Impellam unveiled a pretax profit of GBP25.7 million for the 26 weeks to July 1, up 28% from the GBP20.1 million reported a year earlier. Gross profit also grew 28%, to GBP139.0 million from GBP108.8 million, while revenue increased 31% to GBP1.09 billion from GBP831.6 million.
The revenue growth was helped by the inclusion of the Global Medics and Bartech brands the group acquired, with Bartech trading ahead of expectations. North American trading proved strong in the half and Managed Services revenue grew, helped by good US trading. UK Managed Services also performed well, boosted by the Lorien division.
But Impellam declared a flat interim dividend of 7.0 pence per share as it said it, like its competitors, has seen a softening in the permanent recruitment market in the UK since the beginning of 2016. Following the Brexit vote, this is unlikely to change, though Impellam said it remains confident it will perform well and said trading remains in line with its full-year expectations.
Shares in Impellam were down 1.1% to 670.00p Thursday.
By Sam Unsted; [email protected]; @SamUAtAlliance
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