9 Jul 2013 07:00
9 July 2013
Hydrogen Group plc
('Hydrogen' or the 'Group')
Trading Update
Hydrogen Group plc (AIM:HYDG), the global specialist recruitment business, today issues a pre-close trading update for the six months ended 30 June 2013 (the 'period').
The Group expects Net Fee Income ("NFI") for the period to be marginally ahead of the same period last year, despite continuing uncertainty in recruitment markets. Good progress was made during the period on delivery of the Group's strategic objectives of diversification in geographies and market sectors, with a significant increase in the proportion of NFI coming from outside the UK and continued strong growth in Technical and Scientific practices.
The Board continues to balance the short term profitability of the business with investment to achieve medium term growth. The opportunity was taken during the period to accelerate a number of strategic senior hires to complement the Group's pool of internally developed talent. Two new office locations were opened - in Houston (the Group's first office in the US) and Stavanger, in Norway. Both offices will initially focus on the important Oil and Gas sector. Other practices will be added in Houston when appropriate. These investments have increased the cost base in the short term but enhanced the Group's potential for growth in the mid to long term.
The Group continues to manage cash and working capital effectively and expects to report an improvement in net debt from the position at the end of 2012.
Ian Temple, Chairman of Hydrogen, said:
"Hydrogen has achieved growth in NFI against a background of continued economic uncertainty. We continue to focus on growth over the medium term, as set out in our strategy for the period to 2016. Backed by a single brand and robust infrastructure, the Hydrogen team aims to sustain long-term competitive advantage by providing a high quality service, listening to clients' requirements and finding and placing talented candidates, no matter where they are in the world.
The Board believes that the Group remains on target to increase both its global reach and NFI for the year to 31 December 2013."
Hydrogen Group plc expects to announce results for the half year to 30 June 2013 on 9 September 2013.
Enquiries:
Hydrogen Group plc | 020 7090 1630 |
Ian Temple, Chairman Tim Smeaton, Chief Executive
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Shore Capital Bidhi Bhoma Edward Mansfield
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Hudson Sandler | 020 7796 4133 |
Kate Hoare Alex Brennan |
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Notes to Editors:
Hydrogen is a specialist recruitment business with a turnover in excess of £150m. We build relationships by finding specialist candidates our clients have difficulty sourcing, having placed professionals in more than 70 countries.
Our joined-up practice teams combine international reach with local expertise and specialist knowledge, to provide visibility of world class candidates.