PageGroup profits slide in 'challenging' markets

(Sharecast News) - Recruiter PageGroup posted a slump in first-half profit on Thursday as revenue fell in "challenging" market conditions. In the six months to the end of June, pre-tax profit tumbled 56.2% to £27.7m, with revenue down 13.1% at £898m. Basic earnings per share fell 61% to 5.3p.

The conversation rate was 6.4%, down from 12.1% in the first half of 2023, while total headcount declined by 283 to 7,576 at the end of June.

Chief executive Nicholas Kirk said: "The group experienced challenging market conditions across all regions in H1, with a softening in activity levels towards the end of the period, particularly in terms of new jobs registered and number of interviews undertaken.

"The conversion of interviews to accepted offers continues to be a significant area of challenge, as candidate and client confidence remains subdued, reflecting the macro-economic uncertainty in the majority of our markets. Permanent recruitment continues to be impacted more than temporary, as clients seek more flexible options and permanent candidates remain reluctant to move jobs.

"While we saw a slower end to H1, having taken action to reduce headcount throughout last year, our intention is to broadly hold fee earners at existing levels to ensure we are well placed to take advantage of opportunities as sentiment and confidence improve."