Hays mixed performance persists

Recruitment company Hays posted a four per cent decline in half year net fees and warned several markets are likely to remain challenging.

Recruitment company Hays posted a four per cent decline in half year net fees and warned several markets are likely to remain challenging.

Net fees reduced to £360.3m for six months ended December 31st from £373.8m a year earlier. Pre-tax profit fell 6% during the period to £56.7m.

Operating profit from continuing operations slipped to £60.3m from £63.1m previously. Basic earnings per share fell to 2.43p from 2.76p.

Hays said it was pleased with its results in the context of more fragile and fast-changing conditions in several key markets.

UK returned to profit after it significantly reduced costs while Hays saw a strong performance in Continental Europe & Rest of World, with net fees up 14%.

The group saw good growth in Germany or Canada while markets in Australia and France deteriorated in the half-year.

"Several markets are likely to remain challenging, but these will sit side by side with clear opportunities for growth. To be successful in this environment, we will continue to react quickly to the world as it changes, investing in stronger markets while reducing costs in tougher areas. Our focus is on long-term growth while driving profits along the way," Hays said.

"Looking ahead we expect overall conditions to remain fragile, but we have seen an encouraging return to work in our key temp and contractor businesses.

Hays maintained its dividend payment at 0.83p.

CJ

Recommended

Three high-quality FTSE 100 shares going cheap
Share tips

Three high-quality FTSE 100 shares going cheap

As stockmarkets continue to fall, bargains are starting to appear, says Rupert Hargreaves. Here, he picks three high-quality FTSE 100 shares that are …
23 May 2022
Imperial Brands has an 8.3% yield – but what’s the catch?
Share tips

Imperial Brands has an 8.3% yield – but what’s the catch?

Tobacco company Imperial Brands boasts an impressive dividend yield, and the shares look cheap. But investors should beware, says Rupert Hargreaves. H…
20 May 2022
Investing in drugmakers: uncommon profits from curing rare diseases
Share tips

Investing in drugmakers: uncommon profits from curing rare diseases

Treatments for medical conditions with only a small number of sufferers can still be very attractive for pharmaceutical companies and investors becaus…
20 May 2022
Share tips of the week – 20 May
Share tips

Share tips of the week – 20 May

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
20 May 2022

Most Popular

The ten highest dividend yields in the FTSE 100
Income investing

The ten highest dividend yields in the FTSE 100

Rupert Hargreaves looks at the FTSE 100’s top yielding stocks for income investors to consider.
18 May 2022
Imperial Brands has an 8.3% yield – but what’s the catch?
Share tips

Imperial Brands has an 8.3% yield – but what’s the catch?

Tobacco company Imperial Brands boasts an impressive dividend yield, and the shares look cheap. But investors should beware, says Rupert Hargreaves. H…
20 May 2022
Barry Norris: we’re already in the 1970s. Here’s how to invest
Investment strategy

Barry Norris: we’re already in the 1970s. Here’s how to invest

Merryn talks to Barry Norris of Argonaut capital about the parallels between now and the 1970s; the transition to “green” energy; and the one sector w…
19 May 2022