UK net fees down 14% in H1 2020 for SThree
SThree has released its results for the first half of 2020, ended 31st May.
COVID-19 had an impact on the company’s second quarter results and therefore results for the first half of the year. Group net fees in Q2 were down 12% after being flat in Q1. For the first half of the year, the group’s net fees were £151.2m, down 7% on H1 2019’s net fees of £163.0m. Contract net fees were down 5% to £114.6m while permanent net fees were down 12% to £36.6m.
In the DACH region, the company saw net fees remain fairly stable, down just 1% on H1 2019 to £50.1m. Across EMEA, excluding DACH, however, net fees reduced by 12% to £60.6m. The USA also remained fairly stable at £35.4m, down just 1% in H1 2019. APAC, in comparison, saw a decline of 28% in H1 2020, down to £ 5.1m.
In Germany, net fees were down 2% to £46.0m and in the Netherlands they were down 5% to £23.2m. The UK saw net fees decline to £18.6m, a fall of 14%. The Rest of World region also saw net fees fall by 14%, down to £25.2m. Japan’s net fees were £2.8m, a reduction of 24% while the USA’s net fees were fairly stable, down just 1% to £35.4m.
Mark Dorman, chief executive, commented, "The first half results are a combination of a robust first quarter, with a number of key markets delivering strong growth, and a second quarter defined by a global health pandemic and the economic impacts of government responses to it.
"In what has been a difficult period for our teams, both personally and professionally, their dedication and spirit has enabled us to continue to deliver on our purpose to bring skilled people together to build the future. We have seen clients reassess their talent mix and the support they need in managing that talent during the period, with particular demand for STEM skills as they all navigate the current environment. There is a focus on flexible working, reskilling and the need to hire from as diverse a pool of candidates as possible to fill critical talent gaps.”
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