REG - Empresaria Group PLC - Trading Update and Notice of Results

EmpresariaAnnouncement

30/01/2025 07:00

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RNS Number : 1897V  Empresaria Group PLC  30 January 2025

30 January 2025

 

Empresaria Group plc

("Empresaria" or the "Group")

 

Trading Update and Notice of Results

 

 

Adjusted profit before tax expected to at least meet current market
expectations despite ongoing difficult trading conditions.

Empresaria (AIM: EMR), the global specialist staffing group, provides a
trading update for the financial year ended 31 December 2024 ahead of
announcing its full year results on 27 March 2025.

 

Trading update

 ·             Net fee income down 6% CC LFL* (reported figure down 12% to £50.4m)
 ·             Reductions in net fee income across all regions bar Americas which delivered
               growth of 5% CC LFL
 ·             Temporary and contract net fee income growth of 2% (CC LFL)
 ·             Permanent placement continues to be challenging with net fee income reducing
               by 21% (CC LFL)
 ·             Offshore Services net fee income reduced by 6% (CC LFL)
 ·             Adjusted profit before tax expected to at least meet current market
               expectations

 

Net fee income by region for the year ended 31 December was as follows:

 £m                 2024   2023   % change  % change (CC LFL)*
 UK & Europe        22.7   24.9   -9%       -6%
 APAC               10.1   13.6   -26%      -13%
 Americas           6.0    6.1    -2%       +5%
 Offshore Services  12.7   14.0   -9%       -6%
 Intragroup         (1.1)  (1.1)  -         -
 Total              50.4   57.5   -12%      -6%

* CC LFL - Constant currency and excluding exited operations.  Calculated by
translating the 2023 results at the 2024 exchange rates and excluding the
results of operations exited in 2023 and 2024 from both years.

 

Financing

 

Net debt** increased in line with market expectations to £15.3m at 31
December 2024 (31 December 2023: £10.8m). Headroom, excluding invoice
financing facilities, was £4.1m at 31 December 2024.

 

Given the ongoing trading environment, the expected profit for the year, and
the increased net debt position, the Board does not expect to recommend the
payment of a final dividend for 2024.

 

** Excludes lease liabilities.  The Group previously presented an adjusted
net debt measure which also excluded unrestricted cash held in respect of
pilot bonds in our aviation recruitment operation.  These bonds used to be
very significant but at 31 December 2024 are £0.2m (31 December 2023: £0.3m)
and so for future reporting no adjustment will be made.

 

Rhona Driggs, CEO of Empresaria, commented:

 

"Challenging market conditions have continued to persist throughout 2024 with
no significant indication of improvement in the short term. We have made good
progress on our strategic objectives and in further simplifying the Group, and
we remain focussed on improving performance in the current environment."

 

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the UK version of the EU
Market Abuse Regulation (2014/596) which is part of UK law by virtue of the
European Union (Withdrawal) Act 2018, as amended and supplemented from time to
time.

 

- Ends -

 

Enquiries:

 Empresaria Group plc                                         via Alma PR
 Rhona Driggs, Chief Executive Officer
 Tim Anderson, Chief Financial Officer

 Singer Capital Markets (Nominated Adviser and Joint Broker)  020 7496 3000
 Shaun Dobson / Alex Bond

 Cavendish Capital Markets Limited (Joint Broker)             020 7220 0500
 Katy Birkin (Corporate Finance)
 Michael Johson / Jasper Berry (Sales)

 Alma Strategic Communications (Financial PR)                 020 3405 0205
 Sam Modlin / Rebecca Sanders-Hewett / Will Merison           empresaria@almastrategic.com

 

Notes for editors:

§ Empresaria Group plc is a global specialist staffing group.  We are driven
by our purpose to positively impact the lives of people, while delivering
exceptional talent to our clients globally.  We offer temporary and contract
recruitment, permanent recruitment and offshore services across six sectors:
Professional, IT, Healthcare, Property, Construction & Engineering,
Commercial and Offshore Services.

 

§ Empresaria is structured in four regions (UK & Europe, APAC, Americas
and Offshore Services) and operates from locations across the world including
the four largest staffing markets of the US, Japan, UK and Germany along with
a strong presence elsewhere in Asia Pacific and Latin America.

 

§ Empresaria is listed on AIM under ticker EMR.  For more information visit
empresaria.com.

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