PageGroup PLC · LSE:PAGE
PageGroup — Michael Page International — H1 2004 Earnings Presentation
22 slides from PageGroup's earnings presentation, Aug 16, 2004
Slide 1: 2004 Interim Results
2004 INTERIM RESULTS 16 August 2004
Slide 2: Overview
16 August 2004 2004 Interim Results Overview • Encouraging results considerably improved over 2003 • Strong revenue growth in UK, Asia Pacific and Americas • Early signs of increasing activity in Continental Europe • 66% increase in operating profit – close attention to costs – benefits of operation
Slide 3: Profit and loss
16 August 2004 2004 Interim Results Profit and 2004 Change £m % 2003 £m loss Turnover Revenue 204.6 100.4 13.4% 14.4% 180.4 87.8 Operating profit 17.6 65.7% 10.6 Net execptional items - 0.5 Net interest 0.2 0.5 Profit before tax 17.8 53.5% 11.6 Taxation 2.4 (4.4) Profit after tax 20.2 7.2 www.michae
Slide 4: Taxation
16 August 2004 2004 Interim Results Taxation • 2004 effective rate is 37% – Charge on ordinary activities £6.6m – Unrelieved tax losses in overseas jurisdictions • Exceptional tax credit on vesting of IPO Restricted Share Scheme £9.0m www.michaelpage.co.uk michael page international
Slide 5: Earnings per share and dividends
16 August 2004 2004 Interim Results Earnings per Earnings per share Basic 2004 5.7p 2003 2.0p share and Before exceptional 3.1p 1.9p dividends Dividend Interim 1.25p 1.1p Payable on 15 October 2004 www.michaelpage.co.uk michael page international
Slide 6: Cash flow
16 August 2004 2004 Interim Results Cash flow 2004 £m 2003 £m Operating profit 17.6 11.1 Depreciation and amortisation 3.3 3.5 Increase in debtors (11.4) (4.1) Increase/(decrease) in creditors 2.8 (2.8) Decrease in provisions (4.3) - Net cash inflow from operating activities 8.0 7.7 Net interest rec
Slide 7: Balance sheet
16 August 2004 2004 Interim Results Balance 30 June 2004 31 Dec 2003 £m £m sheet Goodwill 1.5 1.5 Tangible assets 21.1 23.1 Total Fixed Assets 22.6 24.6 Debtors 86.4 71.5 Creditors (55.8) (59.0) 30.6 12.5 Net cash 0.8 22.4 Provisions (1.6) (6.2) Net assets 52.3 53.3 www.michaelpage.co.uk michael pag
Slide 8: Discipline Analysis
16 August 2004 2004 Interim Results Discipline 2004 H1 2003 H1 2003 Year Turnover £m % £m % £m % Analysis Finance & Accounting 138.3 68% 125.1 69% 256.7 69% Marketing, Sales, Retail 35.2 17% 29.7 16% 61.8 17% Other 31.1 15% 25.6 14% 54.1 14% 204.6 180.4 372.6 Revenue Finance & Accounting 61.9 62% 55
Slide 9: Perm/Temp Analysis
16 August 2004 2004 Interim Results Perm/Temp H1 v H1 change 2004 H1 2003 H1 2003 Year Turnover % £m % £m % £m % Analysis Permanent 19.0% 75.8 37% 128.8 35% 128.8 35% Temporary 10.3% 128.8 63% 116.7 65% 243.8 65% 204.6 180.4 372.6 Revenue Permanent 18.7% 71.2 71% 60.1 68% 121.8 68% Temporary 5.3% 29
Slide 10: Geographical Analysis of Revenue
16 August 2004 2004 Interim Results Geographical 2004 H1 2003 H1 2003 Year £m % £m % £m % Analysis of United Kingdom 53.1 53% 43.7 50% 90.6 51% Revenue Continental Europe 29.7 30% 30.6 35% 58.2 33% Asia Pacific 14.3 14% 11.5 13% 25.0 14% Americas 3.3 3% 1.9 2% 4.6 3% 100.4 100% 87.8 100% 178.5 100%
Slide 11: 2004 Results: United Kingdom
16 August 2004 2004 Interim Results 2004 Results 2004 H1 2003 H1 on H1 H1 change 2003 Year £m £m % £m United Kingdom Turnover 111.5 92.1 21% 194.3 Revenue 53.1 43.7 21% 90.6 Operating profit 11.1 6.7 65% 15.6 Operating margin 20.9% 15.4% 17.3% Headcount at period end 1,207 1,069 1,110 www.michaelpag
Slide 12: 2004 Results: United Kingdom
16 August 2004 2004 Interim Results 2004 Results Finance and accounting United Kingdom • Revenue increased by 18% Marketing, Sales and Retail • Revenue increased by 25% Other – (Legal, IT, Secretarial, HR, Engineering/ Supply Chain) • Revenue increased by 36% www.michaelpage.co.uk michael page inter
Slide 13: 2004 Results: Continental Europe
16 August 2004 2004 Interim Results 2004 Results 2004 H1 2003 H1 on H1 H1 change 2003 Year £m £m % £m Continental Europe Turnover 59.8 62.1 -3.6% 120.4 Revenue 29.7 30.6 -3.1% 58.2 Operating profit 1.5 0.9 59.6% -0.3 Operating margin 5.1% 3.1% -0.5% Headcount at period end 805 855 785 www.michaelpag
Slide 14: 2004 Results: Continental Europe
16 August 2004 2004 Interim Results 2004 Results • Largest businesses in France and Holland produced lower revenue in challenging market Continental Europe • All other countries in the region grew revenue • Belgium and Sweden started in 2003 now profitable www.michaelpage.co.uk michael page internat
Slide 15: 2004 Results: Asia Pacific
16 August 2004 2004 Interim Results 2004 Results 2004 H1 2003 H1 on H1 H1 change 2003 Year £m £m % £m Asia Pacific Turnover 27.9 23.7 18.0% 51.4 Revenue 14.3 11.5 24.3% 25.0 Operating profit 4.8 3.2 51.6% 7.6 Operating margin 33.7% 27.6% 30.3% Headcount at period end 300 283 280 www.michaelpage.co.u
Slide 16: 2004 Results: Asia Pacific
16 August 2004 2004 Interim Results 2004 Results • Australian operations continue to develop; new office in Brisbane Asia Pacific • Hong Kong and Singapore achieved revenue growth in excess of 40% • Entered into strategic alliance in Shanghai www.michaelpage.co.uk michael page international
Slide 17: 2004 Results: Americas
16 August 2004 2004 Interim Results 2004 Results 2004 H1 2003 H1 on H1 H1 change 2003 Year £m £m % £m Americas Turnover 5.3 2.6 106% 6.6 Revenue 3.3 1.9 75% 4.6 Operating profit 0.2 (0.2) 0.1 Operating margin 6.1% -12.1% 1.3% Headcount at period end 123 72 85 www.michaelpage.co.uk michael page inter
Slide 18: 2004 Results: Americas
16 August 2004 2004 Interim Results 2004 Results Revenue increased by 74% and generated profits despite new office start costs Americas USA • Developing strong Finance business in temp and perm • Boston and Chicago offices opened during first half Brazil • Revenue growth of over 40% • Started Sales
Slide 19: Group Quarterly Revenue Trend
16 August 2004 2004 Interim Results Group Quarterly Revenue Trend Q1 2001 to Q2 2004 £m 69.6 66.9 58.7 49.9 49.5 51.4 47.8 43.9 42.8 45.0 45.0 45.7 48.1 52.3 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2001 2002 2003 2004 www.michaelpage.co.uk michael page international
Slide 20: Global Job Count
16 August 2004 2004 Interim Results Global Job Count www.michaelpage.co.uk www.michaelpage.co.uk michael page international
Slide 21: Current Trading
16 August 2004 2004 Interim Results Current • Encouraged by first half revenue growth Trading • While seasonally slower summer, anticipate further progress in second half particularly if recent improving trends in Continental Europe are maintained • Pre bonus cost base estimate for year still £13m p
Slide 22: Michael Page International
Michael Page INTERNATIONAL
Michael Page International — H1 2004 Earnings Presentation on 6ix