TIDMEMR
RNS Number : 9978T
Empresaria Group PLC
28 July 2022
28 July 2022
Empresaria Group plc
("Empresaria" or the "Group")
Trading Update and Notice of Results
Solid net fee income growth and on track to deliver full year
market expectations
Empresaria (AIM: EMR), the global specialist staffing group,
today provides a trading update for the 6 months ended 30 June 2022
ahead of announcing its interim results in full on 11 August
2022.
Trading update
-- H1 net fee income up 15% year-on-year to GBP32.6m (up 15% in constant currency)
-- Offshore services net fee income up 94% year-on-year
-- Permanent placement net fee income up 23% year-on-year
-- H1 adjusted operating profit expected to be ahead of prior year
-- Adjusted net debt reduced to GBP10.8m (31 December 2021:
GBP14.0m) with headroom increased to GBP14.8m
-- Profits for the full year expected to be in line with market expectations
The Group delivered solid net fee income growth in the first
half of 2022. We delivered very strong year-on-year growth in
Offshore Services which has continued to go from strength to
strength and now employs over 2,700 people. We also had good growth
in our Professional and IT operations in APAC. As expected, net fee
income from Healthcare reduced after a very strong 2021 where we
benefitted from significant demand from COVID-19 vaccination
programmes. We are experiencing more challenging conditions in some
of our markets, such as in our German temporary business, where
supply chain issues have impacted our clients and increased
sickness rates have impacted margins. Analysis on net fee income by
region will be presented in the interim results.
As communicated in our annual report, we have been investing in
growing our sales and recruiting teams where we see significant
opportunities for growth and our headcount has increased by 5% from
the end of 2021 (excluding Offshore Services which has grown
headcount by 36%). Hiring in certain markets has proven to be
challenging due to the lack of availability of talent and increased
salary expectations for those willing to move, however we have seen
a recent uptick in hiring particularly in APAC. In addition, we
have made good progress in supplementing our recruitment teams with
our offshore resources.
Financial position
Adjusted net debt at 30 June 2022 reduced to GBP10.8m (31
December 2021: GBP14.0m) reflecting profit performance and a shift
in mix with a greater proportion of NFI delivered from permanent
placements which have lower working capital requirements.
Rhona Driggs, CEO of Empresaria, commented:
"We are pleased to report solid growth in net fee income in the
first half of 2022. We are seeing positive outcomes from our
investments in our team, technology and broadening our service
offerings, with early successes from our RPO offering in APAC
particularly pleasing.
The competition for talent intensified in the first half of
2022. High demand from clients combined with talent shortages and
rising inflation means that the recruitment landscape has been
incredibly competitive. This provides both opportunities and
challenges with the increased volume of available roles offset by
the lack of candidates and the increased levels of counter or
competing offers.
Global macroeconomic uncertainties are increasing and the impact
of growing inflation in many of our markets is yet to be fully
realised. We have yet to see any significant adverse impact,
although we have seen some localised issues such as supply chain
challenges for our clients in Germany.
We continue to invest in our operations, growing headcount where
we see strong opportunities for growth, along with our ongoing
investment in technology to improve our speed to deliver and
provide greater productivity. We are also investing in expanding
our capacity to grow headcount in Offshore Services.
Given our solid start to 2022, we expect profits for the full
year to be in line with market expectations."
Investor presentation
In line with Empresaria's commitment to ensuring appropriate
communication structures are in place for all sections of its
shareholder base, management will deliver an online results
presentation open to all existing and potential investors via the
Investor Meet Company platform on Thursday 11 August 2022 at 4:30pm
UK time.
Questions can be submitted pre-event through the platform or at
any time during the live presentation. Management may not be in a
position to answer every question it receives but will address
those it can while remaining within the confines of information
already disclosed to the market.
Q&A responses will be published at the earliest opportunity
on the Investor Meet Company platform.
Investors can sign up for free via:
https://www.investormeetcompany.com/empresaria-group-plc/register-investor
. Those who have already registered and requested to meet the
Company will be automatically invited.
The information contained within this announcement is deemed by
the Company to constitute inside information as stipulated under
the UK version of the EU Market Abuse Regulation (2014/596) which
is part of UK law by virtue of the European Union (Withdrawal) Act
2018, as amended and supplemented from time to time.
- Ends -
Enquiries:
Empresaria Group plc via Alma PR
Rhona Driggs, Chief Executive Officer
Tim Anderson, Chief Financial Officer
Singer Capital Markets (Nominated
Adviser and Broker)
Shaun Dobson / James Moat 020 7496 3000
Alma PR (Financial PR) 020 3405 0205
Sam Modlin empresaria@almapr.com
Hilary Buchanan
Notes for editors:
-- Empresaria Group plc is a global specialist staffing group
offering temporary and contract recruitment, permanent recruitment
and offshore recruitment services across 6 sectors: Professional,
IT, Healthcare, Property, Construction and Engineering, Commercial
and Offshore Recruitment Services.
-- Empresaria operates from locations across the world including
the 4 largest staffing markets of the US, Japan, UK and Germany
along with a strong presence elsewhere in Asia Pacific and Latin
America.
-- Empresaria is listed on AIM under ticker EMR. For more information visit empresaria.com.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
TSTBCGDRXGDDGDR
(END) Dow Jones Newswires
July 28, 2022 02:00 ET (06:00 GMT)
Empresaria (LSE:EMR)
Historical Stock Chart
From Mar 2024 to Apr 2024
Empresaria (LSE:EMR)
Historical Stock Chart
From Apr 2023 to Apr 2024
