Business
FY23 Q3 Trading Update
FY23 Q3 Trading Update.
About this update from Sthree Plc
[{"type":"text","content":"\n\n \n19 September 2023\n \nSThree plc\n \nFY23 Q3 Trading Update\n \nResilient performance sustained, underpinned by Contract\n \nSThree plc (\"SThree\" or the \"Group\"), the only global specialist talent partner focused on roles in Science, Technology, Engineering and Mathematics ('STEM'), today issues a trading update covering the period 1 June 2023 to 31 August 2023.\n \nHighlights \n \n\n\n\n\n· \n\n\nResilient performance, with the movement in Group net fees for Q3 in line with Q2, down 7% YoY(1) against a strong comparative period(2) and ongoing global macro-economic weakness.\n\n\n\n\n· \n\n\nExcluding restructured businesses the movement in Group net fees improved from -6% YoY in Q2 to -5% YoY in Q3 demonstrating the value of a focused and disciplined market investment approach.\n\n\n\n\n· \n\n\nContract net fees performance improved to flat YoY, now representing 84% of Group net fees (FY22 Q3: 77%).\n\n\n\n\n· \n\n\nPermanent net fees (representing 16% of Group) down 31% YoY, reflecting both market conditions and our strategic investment towards Contract in specific markets (average Permanent headcount down 21%).\n\n\n\n\n· \n\n\nIn our largest three markets, which represent 73% of net fees, the Netherlands grew 5%, while Germany was down 6% and USA was down 19%.\n\n\n\n\n· \n\n\nEngineering up 20%, with Technology down 6% and Life Sciences down 24%.\n\n\n\n\n· \n\n\nContractor order book(3) remained flat YoY, reflecting sequentially improved new placement activity together with continued robust extensions performance and providing good visibility for the remainder of the year.\n\n\n\n\n· \n\n\nStrong balance sheet with net cash of £83 million at 31 August 2023 (31 August 2022: £57 million).\n\n\n\n\n· \n\n\nTechnology Improvement Programme remains on track and on budget, with first city, Houston, now live, and sequenced rollout across the Group progressing...