SThree plc Delivers Increased Gross Profit Despite Macro-economic and Political Uncertainty
LONDON, UK, Jan 28, 2019 – Leading global STEM (Science, Technology, Engineering and Maths) recruiter, SThree plc, has today announced its GP (Gross Profit) for the year ended Nov 30, 2018, was up 12% from £287.7m in 2017 to £321.1m.
This was boosted by strong performances in the German markets (Germany, Austria and Switzerland), the Netherlands, USA and Japan, with GP increasing 21%, 25%, 8% and 85% year on year respectively.
83% of SThree’s GP comes from outside of the UK and Ireland and Continental Europe accounts for 57% of SThree’s GP. This geographic diversity offsets concerns around political uncertainty in the UK.
72% of SThree’s GP is from Contract recruitment, which is reflective of the group’s ongoing strategic focus towards Contract, a less volatile model than Permanent.
SThree’s Chief Financial Officer, Alex Smith, said: “Our niche focus on STEM and being in the right STEM markets is helping us to build a growing reputation, using a multi-brand approach where each brand is highly regarded within its own specialist field. This is a key differentiator for SThree. In technology, for example, where other companies position themselves as IT specialists, we are recognised as experts in specific fields such as JAVA, Salesforce or .Net. This approach is the same across all our markets, so clients know that we can access the very best people for highly skilled positions.
“The Group is becoming increasingly global, but at the same time specialises at a local level. We can source the right people for clients in multiple territories whilst also understanding the nuances and dynamics of each individual market. These include legislative requirements where our local knowledge can help us to advise clients on choosing the right contracts and also help successful candidates navigate the necessary requirements.”
Overall in 2018, the SThree Group saw growth in Information and Communication Technology (ICT) (up 12%), Life Sciences (up 8%), Energy (up 30%) and Engineering (up 16%).
