14 June 2007
HAYS PLC
TRADING UPDATE
Hays plc, the Specialist Recruitment Group, will announce its preliminary
results for the year ending 30 June 2007 on 4 September 2007.
Since the announcement of the interim results in February, the business has
generated strong levels of growth with headline and like-for-like* net fees in
the second half of the financial year expected to be approximately 19% ahead of
the same period last year.
The business continues to see contrasting conditions between the market for
temporary staff and the market for permanent staff. The Group is expecting
continued excellent net fee growth in the permanent market of approximately
35%, and solid net fee growth of approximately 7% in the temporary market in
the second half year, versus the same period last year. Our temporary business
margin has remained stable throughout the second half of the year at the rate
at which we exited the first half.
Net fee growth by region
In the UK & Ireland, headline net fees for the second half are expected to be
approximately 13% ahead of the same period last year (approximately 12% on a
like-for-like basis*). This represents an improvement in growth versus the
first half of the year with much of the improvement resulting from our
increased investment in consultants and the actions taken in the first half of
the financial year.
The international operations have continued to produce excellent growth. In
Asia Pacific, headline net fees for the second half are expected to be
approximately 35% ahead of the same period last year (approximately 34% on a
like-for-like basis*) with an outstanding performance in both the permanent and
temporary placement businesses.
In Continental Europe & Rest of World, headline net fees for the second half
are expected to be approximately 33% ahead of the same period last year
(approximately 37% on a like-for-like basis*) with a strong performance across
all countries. In this region, ten countries are expected to achieve net fee
growth of more than 25% in the second half.
Summary
Overall, the Group's performance for the year ending 30 June 2007 continues to
be in line with the Board's expectations with operating profit leverage in the
permanent placement business being offset by the reduction in the UK temporary
margin referred to in the interim results.
Share buy-back programme
The Company has continued with its share buy-back programme. Since 1 July 2006,
the Company has purchased 31.0 million shares at a cost of £46.9 million.
Hays intends to enter into an irrevocable non-discretionary arrangement to
enable the repurchase of its own shares during its close period. Any share
purchases will be effected within certain pre-set parameters, and in accordance
with both the Company's general authority to repurchase shares and the listing
rules.
*Note : like-for-like is organic growth at constant currency. It does not
adjust for the number of trading days in the period.
- ends -
Enquiries
Hays plc
Paul Venables Finance Director + 44 (0) 20 7628 9999
Martin Abell Investor Relations + 44 (0) 20 7628 9999
Brunswick
Gill Ackers/Alexa von Wietzlow + 44 (0) 20 7404 5959
Conference call
Paul Venables and Martin Abell of Hays plc will conduct a conference call for
analysts and investors at 9:00am United Kingdom time on Thursday 14 June 2007.
The dial in details are as follows:
Dial-in number +44 (0) 1452 561 263
The call will be recorded and available for playback for seven days as
follows:
Replay dial-in number +44 (0) 1452 550 000
Access code 3437342#
Note to editors
Hays plc is focused on specialist recruitment with revenues of £1.8 billion per
annum. The Group employs 6,410 staff in 359 offices and provides specialist
recruitment services in 824 business units across 24 countries.
Hays plc is the market leader in specialist recruitment in the UK and in
Australia, and one of the market leaders in Continental Europe.
*A Private Investor is a recipient of the information who meets all of the conditions set out below, the recipient:
Obtains access to the information in a personal capacity;
Is not required to be regulated or supervised by a body concerned with the regulation or supervision of investment or financial services;
Is not currently registered or qualified as a professional securities trader or investment adviser with any national or state exchange, regulatory authority, professional association or recognised professional body;
Does not currently act in any capacity as an investment adviser, whether or not they have at some time been qualified to do so;
Uses the information solely in relation to the management of their personal funds and not as a trader to the public or for the investment of corporate funds;
Does not distribute, republish or otherwise provide any information or derived works to any third party in any manner or use or process information or derived works for any commercial purposes.
Please note, this site uses cookies. Some of the cookies are essential for parts of the site to operate and have already been set. You may delete and block all cookies from this site, but if you do, parts of the site may not work. To find out more about the cookies used on Investegate and how you can manage them, see our Privacy and Cookie Policy
To continue using Investegate, please confirm that you are a private investor as well as agreeing to our Privacy and Cookie Policy & Terms.