Networkers International posts rise in annual profits

Recruitment company Networkers International reported a rise in 2012 earnings driven by international expansion and steady growth across its IT and energy and engineering divisions.

Adjusted pre-tax profits increased by 6.2% to £7.03m from the prior year's £6.62m as net fee income increased 1.6% to £30.79m from £30.31m.

The group posted adjusted earnings per share of 4.70p, an 11.4% jump from 4.22p in 2011.

The mobile telecoms unit, which represents 56% of net fee income, experienced softening in market conditions during the second half despite a strong start to the year. However, the market stabilised during the last quarter.

The group saw steady growth within its IT and Energy & Engineering divisions.

"Overall, 2012 has been another successful year for the Group with growth achieved in net fee income and underlying earnings," said Chief Executive Spencer Manuel.

"This is especially pleasing given the backdrop of a challenging global economic environment."

The company reduced its net debt to £6.9m from £9.1m, after making payments for share purchases and dividend payments totalling £3.0m.

Networkers recommended a final dividend of 0.65p per share, bringing the total to 1.25p for the year, a 25% increase on the previous year.

Shares rose 1.12% to 45p at 11:04 Monday.

RD