UK's RTC Group H1 profit slips on higher costs
UK's RTC Group H1 profit slips on higher costs
Overview
UK recruitment group's H1 revenue declined yr/yr amid market headwinds and softer energy division trading
Profit from operations and EPS fell, impacted by higher costs and project delays
Company maintained interim dividend and reported a resilient order book
Outlook
Company defers resumption of formal market guidance due to ongoing market uncertainty
Company expects elevated operating costs and subdued recruitment activity to persist through 2026
RTC Group sees long-term opportunities from UK infrastructure investment and smart metering programmes
Result Drivers
HIGHER OPERATING COSTS - Co said increased fuel prices from Middle East tensions and higher employment costs weighed on margins and profits
ENERGY SECTOR TRANSITION - Temporary reduction in activity in energy division as UK smart metering market shifts from rollout to maintenance, resulting in lower revenue and margins
SUBDUED PERMANENT RECRUITMENT - Ongoing economic uncertainty and increased employment costs led to cautious employer behaviour and reduced candidate mobility, affecting permanent recruitment activity
Company press release: ID:nRSa8650Na
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
H1 Revenue |
| GBP 45.22 mln |
|
H1 EBIT |
| GBP 786,000 |
|
H1 Gross Profit |
| GBP 8.28 mln |
|
H1 Pretax Profit |
| GBP 747,000 |
|
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)