UK's Sthree gains after reaffirming profit outlook, US business returns to growth

SThree

16/12/2025 08:36

** Shares of British recruiter Sthree STEM.L rise 5.1% to 180.8 pence, among top gainers on FTSE small-cap index .FTSC

** Co reaffirms annual profit forecast as U.S., its second-biggest market, returns to growth after two years

** "As anticipated, we have not yet seen a widespread market recovery. However, we have exited the year with a period of improving new placement activity, complemented by continued resilient extensions," CEO Timo Lehne says

** Berenberg analysts note that STEM's full-year 2025 is in line against a mixed backdrop

** "We continue to expect attraction in the longer-term outlook for the group, as markets normalise, and the benefits of investment in technology and development of the group’s competitive moat are felt," Berenberg says

** As of last close, stock down nearly 42% YTD, while FTSC up nearly 8%

 (Reporting by DhanushVignesh Babu in Bengaluru)

 ((DhanushVignesh.Babu@thomsonreuters.com))