Michael Page International PLC
04 October 2007
4 October 2007
Q3 2007 TRADING UPDATE
Michael Page International plc, the specialist recruitment consultancy, reports
a record quarterly Group gross profit of £123.4m for the third quarter, an
increase of 38.5% over the £89.1m recorded in the third quarter of 2006. At
constant exchange rates, the third quarter growth rate was 39.5%. Group
headcount at 30 September was 4,777.
In the UK, third quarter gross profit was £49.0m, an increase of 19.9% over the
£40.8m recorded in the third quarter of 2006. The UK business continues to
experience good levels of activity across all disciplines and regions of the UK.
Headcount at 30 September was 1,732.
In Europe, Middle East and Africa (EMEA), third quarter gross profit was £48.4m,
an increase of 59.7% (60.9%*) over the £30.3m recorded in the third quarter of
2006. In France, our largest business in the region representing 32% of EMEA
gross profits, we benefited from increased headcount with the growth rate
increasing to 41%*. The remaining EMEA countries grew at a combined rate of
72%*. Headcount at 30 September was 1,967.
In Asia Pacific, third quarter gross profit was £15.5m, an increase of 27.8%
(29.5%*) over the £12.1m recorded in the third quarter of 2006. In Australia,
the success of the restructuring is now more evident with the growth in third
quarter gross profits increasing to 26%*. In Asia, the businesses continued to
perform strongly achieving growth in the third quarter of 34%*. Headcount at 30
September was 584.
In the Americas, third quarter gross profit was £10.6m, an increase of 81.1%
(85.5%*) over the £5.9m recorded in the third quarter of 2006. Headcount at 30
September was 494.
During the third quarter, the Group repurchased and cancelled a further 3.2m
shares at a cost of £15.0m, at an average price of 476p. In the year to date the
Group has repurchased and cancelled 11.5m shares at a cost of £59.7m, at an
average price of 519p.
Commenting on the third quarter trading, Steve Ingham, Chief Executive said:
"For the second consecutive quarter we have achieved year on year growth in
gross profits of some 40%, in constant currencies.
"We are particularly pleased with the performance of our French business where
the growth rate, which has increased throughout the year, was 41%. In total,
our EMEA region grew 61%, reflecting both our ongoing investment and the
tremendous potential of these markets.
"We have further increased our headcount by over 450 (10.5%) during the third
quarter as we continue our strategy of diversification, becoming more broadly
based both by geography and by discipline. Notwithstanding the recent
developments in specific banking sectors, we continue to experience strong
demand for talent around the globe and are confident in the ongoing prospects
for Michael Page."
* Denotes where overseas results denominated in foreign currencies have been
translated at constant rates of exchange for constant currency illustrative
purposes.
The company will host a presentation and conference call for analysts and
investors at 9.00am today. The presentation can be viewed by following the link:
http://w.on24.com/r.htm?e=95269&s=1&k=70600E47E86AE708DD0B75E341A737A1
The dial-in details for the conference call are as follows:
Dial-In: +44 (0)20 7162 0025
Conference ID: 768115
Please quote 'Michael Page Quarter 3 Trading Update' to gain access to the call.
The presentation and recording of the call will be available on the company's
website later today at http://investors.michaelpage.co.uk/ir/mpi/ir.jsp?page=
presentations
The Group will announce its fourth quarter and full year trading update on 8
January 2008.
Enquiries:
Michael Page International plc
Steve Ingham Chief Executive 01932 264144
Stephen Puckett Finance Director 01932 264144
Financial Dynamics
Richard Mountain/Susanne Yule 020 7269 7121
This information is provided by RNS
The company news service from the London Stock Exchange