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Finances: Hays witnesses 'landmark' results

Despite Brexit jitters, UK recruiters' financial reports remain strong...

Hays delivers 'landmark' financial results despite Brexit jitters

Recruitment giant Hays delivered 'landmark’ full-year financial results, with overall pre-tax profits up 17%, thanks to stronger growth in Germany, Australia and the UK.

The UK’s biggest recruiter by market capitalisation saw their overall pre-tax profits grow 17% to £238.5million in the year ending June 30 from £204.6million. In addition, net fees were up 12% to a record £1.07billion on a like-for-like basis – the Financial Times reports.

However, in Hays’ UK and Ireland division, which accounts for around one quarter of the business, there was just two per cent net fee growth. The group said: “the UK market remained uncertain but stable overall”.

Chief Executive, Alistair Cox, said: “2018 was a landmark year for the group”, citing all-time records in fees across 22 different countries.

Harvey Nash reports boost in billings

Recruitment firm Harvey Nash is enjoying boosted first-half revenues following an increase in contractor demand.

Billings in the half year to July rose to £527million, an increase of 25%, while gross profit was 11% higher at £51.7million from £46.5m in the same period last year.

The firm reported that there were increases in contract recruitment, managed services and IT outsourcing - but permanent recruitment was broadly flat.

Turnover at Taranata reaches £62million 

Edinburgh-based recruitment group, Taranata, hit a £62million turnover last year.

Taranata, which was founded by entrepreneur Paul Atkinson, was launched to house a clutch of recruitment firms.

Callum Lyle, Chief Operating Officer of Taranata said that each business has surpassed performance expectations: “Over a year of transformation, our leadership team retained their focus and delivered healthy growth for their businesses – particularly at Head Medical and Head Resourcing, which accounts for the largest share of the uplift.

Recruiter who rejected Dragon's Den investor on track to bill £24mi

The Founder of a recruitment firm who previously rejected investment from Dragon’s Den star James Caan CBE, is now generating £10million.

Steven Rawlingson launched recruitment firm, Samuel Knight, which specialises in recruiting engineers for the energy and rail sector, four years ago.

Despite winning Caan’s backing, Rawlingson opted to work with a silent business partner.

Rawlingson explained that they are on track to increase turnover from £18million to £24million. “We will grow year-on-year by 20% to 30%. We don’t want to go off that plan as it might hurt our working capital.”

Staffline's half-year revenue storms towards £500milion

Half-year revenues at Staffline, a Nottingham-headquartered recruitment agency group, have surged towards £500million, despite a profits slump.

The company has reported a half-year revenue of £481million for six months to June 30 2018. This is up from £427million, which was recorded from over the same period in 2017.

Chief Executive, Chris Pullen says that they will continue to achieve organic growth in recruitment going forward.

"Our investment in digital transformation, combined with our worker engagement strategy, will provide Recruitment with increasing differentiation as we seek to further consolidate the market," he says.