PageGroup PLC · LSE:PAGE
PageGroup — Q1 2022 Earnings Presentation
26 slides from PageGroup's earnings presentation, 2022
Slide 1: Q1 Trading Update 2022
Overview Financial Review Regional Review Summary Q1 Trading Update 2022
Slide 2: Headline Numbers
Overview Financial Review Regional Review Summary Headline Numbers Kelvin Stagg Chief Financial Officer
Slide 3: Another record quarter for the Group
Overview Financial Review Regional Review Summary Another record quarter for the Group Key financial highlights Gross Profit £258.2m Constant Currency vs Q1 +42.6% £184.4m Q1 2021 2021 Constant Currency vs Q1 +28.3% 2019 +26% Total Fee Earner Headcount 6,427 +26% Net Cash c. £122m 5,267 Q1 2021 c. £
Slide 4: Financial Review
Overview Financial Review Regional Review Summary Financial Review
Slide 5: Q1 Perm and Temp Ratio
Overview Financial Review Regional Review Summary Q1 Perm and Temp Ratio Stronger trading continues in permanent recruitment 15% 22% 40% +42.6% +44.8% +37.1% 60% 78% 85% Perm Temp Perm Temp Perm Temp • Permanent +46.3% to £202.1m • Permanent +46.1% to £161.9m • Permanent +47.0% to £40.2m • Temporary
Slide 6: Strategic Priorities
Overview Financial Review Regional Review Summary Strategic Priorities Strong performance across high potential geographies and disciplines Geographies • Continued focus on our Large, High Potential markets of Germany, Greater China, Latin America, South East Asia and the US • Represented 38% of the
Slide 7: Headcount
Overview Financial Review Regional Review Summary Investing in our platform Investment in 345 fee earners in the Quarter Total headcount +5.7% • Increase in fee earners of 345 (+5.7%) in the Quarter, giving a record total for the Group of 6,427 8,000 7,000 • Q1 Fee earners increase: +179 EMEA, +53 A
Slide 8: Strong gross profit growth
Overview Financial Review Regional Review Summary Strong gross profit growth Further investment made in our headcount 300 7000 6000 250 5000 200 Gross Profit (£m) as reported 4000 150 Fee Earners 3000 100 2000 50 1000 0 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q2 Q3 Q4 Q1 Q4 Q1 Q2 Q3 Q1 Q2
Slide 9: Regional Review
Overview Financial Review Regional Review Summary Regional Review Steve Ingham Chief Executive Officer
Slide 10: Q1 Gross Profit +42.6% vs 2021
Overview Financial Review Regional Review Summary Q1 Gross Profit +42.6% vs 2021 Record quarters delivered in 19 countries • Large, High Potential markets* (38% of Group) +49% • EMEA +41.1% • Asia Pacific +35.8% • Americas +56.6% • UK +43.4% *Germany, Greater China, Latin America, South East Asia an
Slide 11: EMEA
Overview Financial Review Regional Review Summary EMEA A record quarter for the region, Germany standout performance Reported % Constant % Q1 2022 £m 2021 £m vs. 2021 vs. 2021 Gross Profit 129.7 96.1 +35.0% +41.1% Other • Michael Page +45% 11% France • Page Personnel +36% 27% Benelux • France, (13%
Slide 12: Asia Pacific
Overview Financial Review Regional Review Summary Asia Pacific Best ever Q1 for APAC, another record quarter for India Reported % Constant % Q1 2022 £m 2021 £m vs. 2021 vs. 2021 Gross Profit 48.7 35.8 +36.0% +35.8% • Greater China, (7% of the Group) +23% • Mainland China +18% Japan & India 25% • Hon
Slide 13: The Americas
Overview Financial Review Regional Review Summary The Americas Our fastest growing region Reported % Constant % Q1 2022 £m 2021 £m vs. 2021 vs. 2021 Gross Profit 42.9 26.8 +60.4% +56.6% Canada 4% • US, (10% of the Group) +60% Rest of Latam 13% • Latin America, (6% of the Group) +51% • Mexico +52% Br
Slide 14: UK: Trading improved as the quarter progressed, Page Personnel recovering
Overview Financial Review Regional Review Summary UK Trading improved as the quarter progressed, Page Personnel recovering Reported % Q1 2022 £m 2021 £m vs. 2021 Gross Profit 36.9 25.7 +43.4% Midlands 16% • Michael Page +36% • Page Personnel +70% London 37% Gross Profit South 21% by Geography North
Slide 15: Summary
Overview Financial Review Regional Review Summary Summary
Slide 16: Summary
Overview Financial Review Regional Review Summary Summary Strong performance and continued investment Gross Profit in constant currencies +42.6% vs Q1 2021 Record quarters in 19 countries Record Group productivity, up 18% on Q1 2021 Investment in 345 fee earners in the Quarter Strong Balance Sheet w
Slide 17: Appendix
Overview Financial Review Regional Review Summary Appendix
Slide 18: Our business model
Our business model Page Outsourcing PageGroup Brands Significant Competitors Page I ii ROBERT WALTER Qualified professional Michael Page Clerical pro 2 p Page Personnel nfl Manpowergesrandstac! 18
Slide 19: A growing international business
A growing international business Delivering on our global diversification strategy Gross Profit Large, High 16% 38% Potential Markets Large Established Markets Small and Medium, High Margin 46% Markets FY 2007 FY 2013 Q1 2022 Accountancy & 54% 41% 32% Financial Services All Other Disciplines 46% 68%
Slide 20: Significant variations in recruitment mix
Significant variations in recruitment mix Geography Brands 12% 10% 15% 23% 29% 40% 88% 90% 85% 77% 71% 60% EMEA Asia Pacific Americas UK Michael Page Page Personnel Temp Perm 20
Slide 21: Long term fee earner & international growth
Long term fee earner & international growth 7,000 ASIA EMEA AMERICAS UK PACIFIC Fee Earner Headcount 6,000 5,000 4,000 3,000 2,898 2,000 1,441 1,174 1,000 914 - 1985-1990 1990-1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Germ
Slide 22: Headcount
Fee earner investment and support staff 7000 6000 5000 Headcount 4000 3000 2000 1000 0 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 58:4
Slide 23: Year-on-Year Gross Profit Rates
Year-on-Year Gross Profit Rates 2020 2021 2022 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 EMEA -11.1% -42.9% -24.5% -18.6% +3.6% +75.8% +45.8% +48.0% +41.1% Asia Pacific -16.6% -41.7% -28.2% -10.2% +15.3% +89.7% +68.2% +48.7% +35.8% – Asia -17.1% -38.1% -23.4% -4.3% +22.2% +93.1.% +69.0% +50.4% +39.9% – Australasia
Slide 24: Contacts and Calendar
Contacts and Calendar Contacts Date Event Jeremy Tatham – Group Financial Controller 13 July 2022 Q2 2022 Trading Update Tel: +44 (0) 1932 264 143 Email: investorrelations@michaelpage.com Web: https://www.page.com/investors 24
Slide 25: Disclaimer
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 and is not intended for distribution to, or use by
Slide 26: Overview Financial Review Regional Review
Overview Financial Review Regional Review Summary