(Alliance News) - Staffing firm SThree PLC on Monday announced full year earnings will be ahead of market consensus after its profit in the first half swelled to double the previous year's comparison.
Pretax profit for the six months ended May 31 was GBP27.7 million, over double the GBP13.6 million posted a year prior. The improved earnings performance was attributed to better market conditions and elevated contractor working hours that improved productivity.
Revenue also improved, rising 3.2% year-on-year to GBP615.1 million from GBP596.0 million last year.
"We are delighted to report strong overall performance in the first half. Our profit has grown substantially from half year 2020, and has surpassed the pre-pandemic levels of 2019, reflecting the strength of the business and our growth trajectory," commented Chief Executive Mark Dorman.
Looking to the future, SThree noted its second half began strongly, as the sales activity momentum built across the first half continued into current trading. New placement activity remained buoyant and contractor retention rates were strong, leading the firm to hike its guidance ahead of current market consensus expectations for financial year 2021.
In the 12 months to November 30, SThree recorded pretax profit of GBP30.6 million on revenue of GBP1.20 billion.
SThree proposed an interim dividend of 3.0 pence per share after scrapping an interim payout at the same point last year.
Shares were down 2.3% at 459.00p in London on Monday.
By Will Paige; willpaige@alliancenews.com
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SThree (STEM)