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UK-based staffing firm Harvey Nash reports gross profit up 7%

June 06, 2018

Global staffing provider Harvey Nash Group plc reported in a “trading update” today that gross profit for the first quarter ended April 30 rose 7% on a like-for-like basis when compared to the same period last year (and excluding the impact of offices closed in the previous year).

However, gross profit fell 23% in its “rest of world” segment, which includes the US, Australia and Asia. The decline arose because the year-ago quarter was “exceptional” for executive search as well as higher solutions revenue in the US during the year-ago quarter.

UK and Ireland gross profit rose 20% on a like-for-like basis when compared to the previous year, with “robust” growth in the volume of contractors, despite uncertainty in relation to the ongoing Brexit negotiations.

Gross profit rose 13% in Benelux, led by strong demand for contract recruitment and managed services. The Nordics was up 7% and in Central Europe gross profit rose 5%, driven mainly by Germany.

Harvey Nash in May acquired eMenKa, a Belgian IT solutions firm. The firm added that demand for specialist technology skills remains high as a result of an acute skills shortage and as companies are increasing investment in technology and systems.