Business
FY25 Q1 Trading Update
FY25 Q1 Trading Update.
About this update from Sthree Plc
[{"type":"text","content":"\n\n18 March 2025\n \nSThree plc\n \nFY25 Q1 Trading Update\n \n Stable performance in challenging conditions\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 December 2024 to 28 February 2025.\n \nQ1 Highlights \n \n\n\n\n\n· \n\n\nGroup net fees down 15% YoY(1), consistent with Q4 FY24 performance against the backdrop of the ongoing challenging market conditions.\n\n\n\n\n· \n\n\nContract (84% of net fees) down 15% YoY, whilst Permanent down 13% YoY.\n\n\n\n\n· \n\n\nContractor order book(2) of £168 million, down 7% YoY, a reduced rate of decline versus FY24 year-end, continuing to represent sector-leading visibility with the equivalent of circa five months' net fees.\n\n\n\n\n· \n\n\nRobust balance sheet with net cash of £45 million at 28 February 2025 (30 November 2024: £70 million), reflective of the buyback programme, and as previously disclosed, temporary impact from clients' payment processes transitioning to our new billing system. Net cash expected to return towards normalised levels over coming months.\n\n\n\n\n· \n\n\nShare buyback programme of up to £20 million launched in December, with £10.5 million purchased as of 17 March 2025.\n\n\n\n\n· \n\n\nTechnology Improvement Programme (TIP) remains on track and on budget, with a key focus this quarter on enhancing functionality and the productivity of our sales consultants.\n\n\n\n\n· \n\n\nPerformance for FY25 expected to be in line with previously announced £25 million PBT guidance(3).\n\n\n\n\n \nTimo Lehne, Chief Executive, commented:\n \n\"The Group has delivered a stable Q1 performance consistent with Q4 FY24 despite the anticipated challenging market conditions driven by the ongoing global political and economic conditions. New business continues to be soft, however extensions remain...