Michael Page slumps on weak banking sector
Recruitment firm Michael Page fell sharply on the FTSE 250 on Wednesday as it struggled with weak demand from the depressed banking sector and poor performance in its UK market during the first quarter.
Recruitment firm Michael Page fell sharply on the FTSE 250 on Wednesday as it struggled with weak demand from the depressed banking sector and poor performance in its UK market during the first quarter.
Gross profit in the first three months of 2012 was up 6.9%, or 7.7% on a constant currency basis, to £136.0m from £127.3m in 2011.
The UK, which accounts for 23% of revenue, saw gross profit slide 3.7% to £30.6m from £31.7m but Europe, Middle East and Africa (EMEA), the largest part of the business (44% of revenues, saw gross profit rise 7.4% (10.1% on a constant currency basis) to £60.3m from £56.2m the year before.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The Asia Pacific region's (19% of group revenues) gross profit of £26.3m was up 23.0% (17.8%) on the £21.4m in the first quarter of 2011.
In the Americas (14% of group revenues), gross profit of £18.8m was up 4.6% (8.2%*) on the £18.0m the year before.
Net cash at the end of March was in the region of £63m, up from £58.2m at the end of 2011.
"Markets continue to be weak and visibility remains limited," said Michael Page's Chief Executive, Steve Ingham. Nevertheless, he added: "Operationally, our successful strategy of diversification, both by geography and business discipline, positions us well to benefit from our ongoing investment in those markets which we expect to deliver growth over the long-term".
Investors, however, want their jam today. Michael Page was down 4.4% at 11:30 at 434p per share. Over the last 12 months the stock has fallen 17%.
BS
Sign up for MoneyWeek's newsletters
Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.
-
First-time buyer market rebounds as interest rates ease and mortgage affordability improves
The average first-time buyer is now 33, and will spend an average of £311,034 on their first property
By Daniel Hilton Published
-
Cash ISAs: why it could be your last chance to grab 5% tax-free savings
Savers using a cash ISA could face a double-whammy of interest rate cuts and tax reforms from April. Should you act now?
By Katie Williams Published