13th Nov 2014 09:47
LONDON (Alliance News) - Triad Group PLC Thursday swung to a profit in the first half of the year, driven by revenue growth across its resourcing and consulting businesses and lower administrative expenses.
Triad posted a pretax profit of GBP126,000 for the half year to end-September, swung from a loss of GBP199,000 in the previous year, as revenue rose to GBP10.6 million from GBP9.2 million, and it slimmed administrative costs by 3.5% to GBP1.35 million from GBP1.40 million.
In its resourcing business revenue rose 9.7%, as average contractor numbers increased, with particular growth from accounts in its geographic information systems and corporate teams.
Average gross margin in this business was hit by relatively high growth in contractor numbers through its preferred supplier arrangements, and the company said improvement in gross margin remains a key priority.
It expended its 'Government' team to service an increasing level of requirements and provide specialist resources. In its Digital team it saw "encouraging signs of growth" and a number of new accounts being developer, particularly around online learning.
In consulting revenue rose to GBP1.8 million from GBP1.2 million. Triad said it was strengthening its public sector profile, and in the private sector is focusing on key clients with larger scale projects that require larger teams for longer durations.
"Looking ahead, the business is focussed on building on the momentum achieved in the first half of the year. To this end our operational objectives remain unchanged, namely to grow headcount in the consulting business whilst maintaining healthy utilisation levels, and to strengthen the client base and profit margins in the resourcing business," the company said in a statement.
Shares in Triad are trading up 15.4% at 17.88 pence Thursday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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