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View All NewsPageGroup Q1 gross profit up 12% in constant currency; Americas is fastest-growing region
UK-based staffing firm PageGroup reported first-quarter gross profit rose 12.3% in constant currency in a trading update.
Gross profit rose across all regions except for the UK. The firm reported 16 countries delivered record quarters and 23 countries achieved year-over-year growth of more than 10%. The fastest-growing region was the Americas, with record quarters in North America and Latin America. Gross profit rose 17% in the US – driven by property and construction – and Latin America rose 26%.
Gross profit
| (£ millions) | Q1 2018 | Q1 2017 | % change | % change constant currency | Q1 2018 (US$ millions) |
| EMEA | £94.7 | £78.6 | 20.4% | 18.2% | $132.9 |
| UK | £33.8 | £36.4 | -7.1% | -7.1% | $47.4 |
| Asia Pacific | £32.9 | £30.8 | 6.7% | 13.8% | $46.2 |
| Americas | £26.3 | £24.4 | 8.4% | 20.4% | $36.9 |
| Total | £187.7 | £170.2 | 10.3% | 12.3% | $263.4 |
| Permanent | £142.1 | £127.7 | 11.3% | 13.9% | $199.4 |
| Temporary | £45.6 | £42.5 | 7.2% | 7.3% | $64.0 |
Quote
“We are pleased with the strong group performance in Q1, which was achieved despite the timing of Easter, and we are encouraged by the growth seen in the majority of our markets,” said CEO Steve Ingham. “However, a number of macro-economic uncertainties remain, including Brexit in the UK, challenges in Catalonia, potential impact from strikes in France, and Brazil’s forthcoming elections. Looking ahead, we will continue to focus on driving profitable growth, while being able to respond quickly to any changes in market conditions.”
Gross profit by segment
| Q1 2018 | Q1 2017 | % change | % change constant currency | Q1 2018 (US$ millions) | |
| Accounting and financial services | £65.6 | £63.3 | 3.6% | 5.3% | $92.0 |
| Engineering, property & construction, procurement & supply chain | £45.1 | £36.5 | 23.6% | 25.6% | $63.3 |
| Legal, technology, HR, secretarial, healthcare | £44.4 | £37.8 | 17.4% | 19.9% | $62.3 |
| Marketing, sales and retail | £32.6 | £32.6 | 0.1% | 2.1% | $45.7 |
| Total | £187.7 | £170.2 | 10.3% | 12.3% | $263.4 |
Share price and market cap
Shares in PageGroup were down 1.91% to £540.00 at close of market. The company had a market cap of £1.77 billion.