Staffline Regulatory News (STAF)

9 Jan 2006 07:00

Staffline Recruitment Group plc09 January 2006 Under embargo until 7am 9 January 2006 STAFFLINE RECRUITMENT GROUP PLC Year End Trading Update Staffline Recruitment Group plc, a leading provider of recruitment andoutsourced HR services to industry, today issues a trading update for the yearended 31 December 2005. The Board is pleased to report a strong Group operating and financialperformance for the full year, with both sales and profit anticipated to besignificantly ahead of last year and in line with its expectations. Our OnSite division, which manages the temporary recruitment function of itsclients and represents approximately 60% of Group turnover, has seen strong yearon year growth driven by a combination of new client wins and an increase in thenumber of sites Staffline manages for existing clients. The new OnSites addedduring the year are all performing in line with or ahead of management'sexpectations. Our Staffline industrial branch division has had a satisfactory performance andcontinues to incubate new OnSites. Our Techsearch division, which represents less than 10% of Group turnover andspecialises in temporary and permanent placements in the engineering and FMCGsectors, has performed exceptionally well with increased sales, the benefit ofthe operational gearing in the business, and improved efficiencies leading tostrong growth in operating profit. Staffline intends to issue its preliminary results for the year ended 31December 2005 on Wednesday 1 March 2006, at which time a further update oncurrent trading will be provided. Commenting on the trading update, Andy Hogarth, Staffline's Managing Director,said: "Staffline has delivered a strong performance during 2005. In 2006, we willbenefit from the full annualised effect of the OnSites won during 2005 and ourcurrent pipeline of OnSite prospects is stronger than it has ever been. We,therefore, remain confident of continued strong progress in the current year andthereafter." - Ends - For further information, please contact: www.staffline.co.uk Staffline Recruitment Group plc 0115 950 0885Andy Hogarth, Managing DirectorCarole Harvey, Finance Director Smithfield 020 7360 4900Katie Hunt / Sarah Richardson / Reg Hoare 07884 494112 About Staffline Staffline Recruitment Group plc's main business is as a specialist supplier of"blue collar" temporary and contract staff to industry. It provides a fullyoutsourced service, managing the temporary recruitment function of its clientson their premises, at over 50 OnSite locations nationwide and also has a networkof 17 industrial branches. In addition, the Group has a smaller but growingdivision called Techsearch which specialises in temporary and permanentengineering, IT, HR and FMCG placements and operates from 4 branches. The Group,which is managed from a head office in Nottingham, was founded in 1986 and wasadmitted to AIM in December 2004 (Ticker: STAF.L). This information is provided by RNS The company news service from the London Stock Exchange