Recruitment firm SThree posted a 16.9 per cent drop in half year pre-tax profit as it expanded its international network but maintained its dividend payment.
The group, which warned of a global hiring slowdown at the start of the year, said pre-tax profit fell to £9.3m for the half year ended 27 May 2012 from £11.2m previously.
"The decline in profit reflected costs of expanding the international network and relative immaturity of newer international teams which are yet to achieve full productivity", SThree explained.
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Revenue for the period rose to £278.4m from £254.9m while gross profit climbed 11% year on year. Like-for-like sales gained 12.2%.
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Permanent placements rose 3.5% to 3,572 and the average permanent placement fee gained 8.2% LFL to a record £13,712.
The number of active contractors rose 8.6% year on year to 4,757 and average GP per day rates increased by 2.2% like for like to £87.88.
Chief executive officer Russell Clements said: "The group traded satisfactorily and in line with management's expectations in the first half, particularly given the deterioration in the macro-economic situation seen during the second quarter."
The firm, which opened new offices in Oslo, San Diego, Rio de Janeiro and Brisbane, added: "Against a background of continuing solid demand, both Engineering & Energy and Pharmaceuticals & Biotechnology are making an increasingly significant contribution to group performance, and this trend is mirrored in our more recent international office openings."
SThree said permanent versus contract mix of gross profit is now 51:49 in favour of permanent compared to 52:48 in 2011. Non-UK&I GP for the period represented 66% of the group total, up from 63% the year before. Rest of World, excluding UK and Europe, GP grew to 16% of mix compared to 13% in 2011.
Its interim dividend per share was maintained at 4.7p.
CJ
