Connecting to LinkedIn...


Networkers International Deliver Across The Board

Networkers International Deliver Across The Board

Unaudited Interim Results for the 6 month period to 30 June 2012

The Board of Networkers International Plc ('Networkers' or 'the Group'), the AIM-listed international recruitment company, is pleased to announce interim results for the six months ended 30 June 2012.

Financial Highlights

&middot Adjusted* pre-tax profits for the period up by 15% to &pound3.45m (2011: &pound3.00m)

&middot Pre-tax profits up by 14.5% to &pound3.29m (2011: &pound2.87m)

&middot Adjusted earnings per share of 2.34p (2011: 2.01p)

&middot Net fee income (gross profit) up by 16.7% to &pound15.89m (2011: &pound13.61m)

&middot Permanent fee income has shown growth of 37.4% in the period, with contract placements showing growth of 12.5%. Permanent placements represent 20.0% (2011: 16.8%) of net fee income

&middot Favourable change in sales mix has resulted in gross profit margins increasing to 17.5% (2011: 15.7%)

&middot Strong balance sheet with net assets of &pound21.4m and net current assets of &pound14.7m

&middot Net debt relating entirely to drawdown on invoice discounting for working capital purposes, reduced to &pound5.9m (2011: &pound9.7m) and

&middot Increase of 33% in the interim dividend resulting in an interim dividend of 0.600p per share totalling &pound0.53m (2011: 0.450p per share totalling &pound0.40m).

Operational Highlights

&middot Share of net fee income derived from markets outside of the UK increased to 72% (2011: 66%)

&middot Overall group headcount increased organically by 15% on the corresponding period last year, with the numbers of staff located in our international offices increasing to 42% (June 2011: 36%) and

&middot Successful expansion of specialist IT and Energy & Engineering divisions into the Group's International offices.

Commenting on today's results, Spencer Manuel, CEO, said "I am pleased with the Group's performance for the first half of 2012 with earnings increasing by 15% despite the challenging global market conditions. Our geographical and sector diversification continues apace with 72% of net fee income now derived from markets outside of the UK."

"These results reflect strong growth in our international IT and Energy & Engineering divisions although market conditions tightened in the group's telecoms sector which we view as an investment pause ahead of the rollout of the new 4G networks. As these rollouts gather momentum, we anticipate a significant increase in new business opportunities from this sector in 2013 and beyond. We remain on track to deliver good growth in line with market expectations, although as expected, we do not anticipate second half profits to quite match the exceptional results achieved in the second half of 2011."

"With our strong balance sheet, profitable trading and good cash generation we are pleased to announce, once again, an increase in our interim dividend of 33%."

*adjusted for the add back of amortisation of intangible assets arising on business combinations.


Articles similar to

Articles similar to