SThree (STHR)

Sector:

Support

Index:

FTSE Small Cap

307.00p
   
  • Change Today:
    -1.50p
  • 52 Week High: 385.00
  • 52 Week Low: 249.50
  • Currency: UK Pounds
  • Shares Issued: 130.97m
  • Volume: 72,331
  • Market Cap: 402.08m
  • RiskGrade: 133

SThree Q1 profit rises as international strength offsets UK weakness

By Michele Maatouk

Date: Friday 15 Mar 2019

LONDON (ShareCast) - (Sharecast News) - First-quarter profit at recruiter SThree rose as strength in the international divisions offset a weaker UK performance.
In the period from 1 December to date, group profit - 85% of which is generated from markets outside the UK and Ireland - increased 9% to £78.1m. Profit in the contract business was up 12% to £57.6m while the permanent division saw profits nudge up 1% to £20.5m.

Profit in the USA and Continental Europe jumped 17% and 12% to £16.4m and £45.5m, respectively, while profit in Asia Pacific and the Middle East was 5% higher at £4.5m. In the UK & Ireland, however, it fell 7% to £11.7m.

SThree said profit in Europe was driven by Benelux and DACH (Germany, Austria and Switzerland), up 11% and 12%, respectively.

Chief executive Gary Elden said: "We have made an encouraging start to the year, with robust group gross profit growth in what is our seasonally least significant quarter.

"It is pleasing to see growth in both contract and permanent, with a particularly strong performance in contract, driven by continued progress in our key markets, Continental Europe and the USA.

"Our focus on contract and the continued strength of our performance across key regions and sectors provides resilience in today's more turbulent market conditions. Set against this context, we remain confident in achieving good growth in the current year."

Liberum said profit growth of 9% was marginally better than it had hoped for, but the fall in UK profit was "far worse" than it expected, in part reflecting lower levels of confidence amongst multi-nationals in recent weeks.

"We continue to see SThree as well positioned to capitalise on long term trends within the professional recruitment space, given its contract bias and geographic exposures. As a result, we reiterate our buy rating and 475p target price," it said.

At 1000 GMT, the shares were up 3.2% to 301.25p.

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

SThree Market Data

Currency UK Pounds
Share Price 307.00p
Change Today -1.50p
% Change -0.49 %
52 Week High 385.00
52 Week Low 249.50
Volume 72,331
Shares Issued 130.97m
Market Cap 402.08m
RiskGrade 133

SThree Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
2.09% above the market average2.09% above the market average2.09% above the market average2.09% above the market average2.09% above the market average
30.58% above the sector average30.58% above the sector average30.58% above the sector average30.58% above the sector average30.58% above the sector average
Price Trend
8.1% below the market average8.1% below the market average8.1% below the market average8.1% below the market average8.1% below the market average
2.36% below the sector average2.36% below the sector average2.36% below the sector average2.36% below the sector average2.36% below the sector average
Income
69.86% above the market average69.86% above the market average69.86% above the market average69.86% above the market average69.86% above the market average
75.00% above the sector average75.00% above the sector average75.00% above the sector average75.00% above the sector average75.00% above the sector average
Growth
37.81% above the market average37.81% above the market average37.81% above the market average37.81% above the market average37.81% above the market average
42.37% above the sector average42.37% above the sector average42.37% above the sector average42.37% above the sector average42.37% above the sector average

What The Brokers Say

Strong Buy 5
Buy 0
Neutral 1
Sell 0
Strong Sell 0
Total 6
strong_buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

SThree Dividends

  Latest Previous
  Interim Final
Ex-Div 31-Oct-19 25-Apr-19
Paid 06-Dec-19 07-Jun-19
Amount 5.10p 9.80p

Trades for 23-Sep-2019

Time Volume / Share Price
14:19 66 @ 307.00p
14:19 198 @ 307.00p
13:36 96 @ 306.25p
13:28 10,000 @ 305.50p
13:20 187 @ 306.25p

SThree Key Personnel

CFO Alex Smith
CEO Mark Dorman

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