LONDON (Alliance News) - Prime People PLC said on Wednesday it anticipates operating profit to come in lower in its current financial year following its take of a majority interest in Command Recruitment Group (HK) Ltd.
The recruitment company said its UK business has performed in line with management's expectations in its year to March with annual profitability ahead of the prior year, whilst its International business has been less profitable compared to 2017.
Prime People said operating profit is expected to fall to about GBP1.2 million for the year to the end of March.
This is after taking account of exceptional acquisition costs of GBP100,000, the company said, relating to the purchase of 60% interest in Command Recruitment in mid-October last year. In its last financial year, Prime People posted operating profit of GBP1.9 million.
The company also said it expects its International business to benefit from increased dominance in built environment recruitment in the Asia region.
Prime People had cash of GBP1.2 million as at the end of March versus GBP2.4 million the prior year after the Command Recruitment buy.
The company said it intends to pay a final dividend of 3.25 pence, unchanged from the year before.
Shares in Prime People closed down 0.7% at 77.00p each on Wednesday.
