Slide 1: Q2 and H1 2024 Trading Update
Overview Financial Review Regional Review Summary Q2 and H1 2024 Trading Update
Slide 2: Headline Numbers
Overview Financial Review Regional Review Summary Headline Numbers Kelvin Stagg Chief Financial Officer
Slide 3: Key financial highlights
Overview Financial Review Regional Review Summary Key financial highlights Ongoing challenging market conditions Gross Profit Q2 £224.3m Constant -12.0% Currency vs £263.8m Q2 2023 Q2 2023 Gross Profit H1 £444.2m Constant Currency vs -12.4% £526.8m H1 2023 H1 2023 +26% Exit rate -18% +26% Productivi
Slide 4: Financial Review
Overview Financial Review Regional Review Summary Financial Review
Slide 5: Q2 Perm and Temp Ratio
Overview Financial Review Regional Review Summary Q2 Perm and Temp Ratio Permanent recruitment impacted more by market uncertainty 18% 26% 51% 49% -12.0% -10.2% -16.8% 74% 82% Perm Temp Perm Temp Perm Temp • Permanent -12.8% to £165.3m • Permanent -10.1% to £137.1m • Permanent -24.1% to £28.2m • Tem
Slide 6: Headcount
Overview Financial Review Regional Review Summary Reduction in fee earners of 2.7% Decrease mainly in Europe Total headcount -2.6% • Decrease in fee earners of 153 (-2.7%) in the Quarter 10,000 9,000 • Q2 Fee earner movement: -120 EMEA, -31 Americas, -9 8,000 Asia Pacific, +7 UK 7,000 • Non-operatio
Slide 7: Reduction in activity levels
Overview Financial Review Regional Review Summary Reduction in activity levels Slowdown through the quarter • Reduction in number of jobs acquired in May • No material impact on number of interviews in May • Reduction in number of interviews in June, impacting the exit rate 5,598 • Further reduction
Slide 8: Productivity up 1% on Q2 2023
Overview Financial Review Regional Review Summary Productivity up 1% on Q2 2023 Despite reduction in activity levels 60 Fee Earners Gross Profit per fee earner (£k) constant currency • Softening in activity levels through the quarter 7000 50 • 6000 Continued high fee rates and some wage inflation 40
Slide 9: Regional Review
Overview Financial Review Regional Review Summary Regional Review
Slide 10: Q2 Gross Profit -12.0%
Overview Financial Review Regional Review Summary Q2 Gross Profit -12.0% Negative foreign exchange impact of 3.0 ppts • Tough market conditions in the majority of the Group’s markets with little signs of improvement • Slower end to the quarter; exited June -18% versus 2023 Q2 % of Group 2024 £m 2023
Slide 11: EMEA
Overview Financial Review Regional Review Summary EMEA Tough market conditions in Europe £m 2024 2023 Reported % Constant % Q2 125.1 142.7 -12.3% -10.2% H1 248.7 288.4 -13.8% -11.4% Other 13% France 25% • Michael Page -6% • Page Personnel -17% Benelux 14% Gross Profit • France (14% of the Group) -14
Slide 12: The Americas
Overview Financial Review Regional Review Summary The Americas Continued low levels of client and candidate confidence in the US £m 2024 2023 Reported % Constant % Q2 40.1 46.3 -13.5% -6.6% H1 77.4 89.1 -13.0% -6.0% Rest of Latam Canada • US (10% of the Group) -19% 17% 3% • Latin America (8% of the
Slide 13: Asia Pacific
Overview Financial Review Regional Review Summary Asia Pacific Continued tough conditions in Greater China £m 2024 2023 Reported % Constant % Q2 32.3 42.3 -23.7% -19.8% H1 64.4 83.4 -22.8% -17.7% SE Asia • Greater China (4% of the Group) -29% 24% Japan & India • Mainland China -25% 32% • Hong Kong -
Slide 14: UK: Tough conditions across all our brands
Overview Financial Review Regional Review Summary UK Tough conditions across all our brands £m 2024 2023 Reported % Q2 26.8 32.5 -17.4% H1 53.7 65.9 -18.5% Temp • Michael Page -16% 28% • Page Personnel -20% Gross Profit • Permanent recruitment -16% more resilient than temporary by Geography -21% Per
Slide 15: Summary
Overview Financial Review Regional Review Summary Summary
Slide 16: Summary
Overview Financial Review Regional Review Summary Summary Activity levels softened through the quarter Tough conditions continued across all regions Softening in activity levels towards the end of Q2; exit rate of -18% Temporary recruitment continued to outperform permanent Intend to hold onto fee e
Slide 17: Appendix
Overview Financial Review Regional Review Summary Appendix
Slide 18: Our business model
Overview Financial Review Regional Review Summary Our business model 18
Slide 19: Significant variations in recruitment mix
Overview Financial Review Regional Review Summary Significant variations in recruitment mix Geography Brands 19% 14% 18% 31% 28% 51% 81% 86% 82% 69% 72% 49% EMEA Americas Asia Pacific UK Michael Page Page Personnel Q2 2024 Q2 2024 Temp Perm 19
Slide 20: Long term fee earner & international growth
Overview Financial Review Regional Review Summary Long term fee earner & international growth 8,000 ASIA EMEA AMERICAS UK PACIFIC Fee Earner Headcount 7,000 6,000 5,000 4,000 3,000 2,794 2,000 1,120 1,000 951 733 - 1990-1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Slide 21: Quarterly gross profit & fee earners
Overview Financial Review Regional Review Summary Quarterly gross profit & fee earners Quarterly gross profit reduced from Q2 2022 7000 300 6000 250 5000 Gross Profit (£m) as reported 200 4000 Fee Earners 150 3000 100 2000 50 1000 0 0 Q1 Q3 Q2 Q4 Q2 Q1 Q3 Q2 Q4 Q2 Q1 Q3 Q2 Q4 Q2 Q1 Q1 Q2 Q3 Q4 Q2 Q4
Slide 22: Year-on-Year gross profit growth rates
Overview Financial Review Regional Review Summary Year-on-Year gross profit growth rates 2022 2023 2024 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 EMEA +41.1% +29.4% +22.1% +11.9% +6.8% +1.4% -1.3% -6.1% -12.7% -10.2% Asia Pacific +35.8% +11.7% -3.9% -15.8% -17.0% -17.2% -11.0% -10.3% -15.7% -19.8% – Asia +39.9%
Slide 23: Contacts and Calendar
Overview Financial Review Regional Review Summary Contacts and Calendar Contacts Date Event Matt Clark – Group Financial Controller 8 August 2024 Interim Results 2024 Tel: +44 (0) 1932 264 022 Email: investorrelations@michaelpage.com Web: https://www.page.com/investors 23
Slide 24: Disclaimer
Overview Financial Review Regional Review Summary Disclaimer This presentation contains certain statements that are neither reported financial results nor other historical information. The information contained in this presentation is not audited, is for personal use and informational purposes only
Slide 25: Overview Financial Review Regional Review
Overview Financial Review Regional Review Summary 25