Staffing firm Hays (HAS: LSE) has reported a rise in profit for the full year ending 30 June 2016 up 10% (13% on a like-for-like basis) with an increase in net fees of 6% (7% on a like-for-like basis). Growth in turnover exceeded growth in net fees due to a large number of MSP contracts won in the year primarily in Germany, where Hays inherited a large number of long-term contractors/interims previously paid directly by the client. Turnover increased by 10% (12% on a like-for-like basis).

The company has already released its Q4 results on the 14 July, which we reported here.

However, the results announcement was overshadowed by cautionary statements regarding UK demand following the Brexit vote. So far, Hays had seen the largest impact in the UK among larger companies, Finance Director Paul Venables told Reuters.

"What we have seen...is a bit more hesitancy about increasing headcount. More of the caution is coming from the larger corporates and, understandably, London is bound to be the more cautious area simply because it's got both banking and construction and property," he said.

Commenting on the results Alistair Cox, Chief Executive, said:

"This is an excellent financial performance, with both earnings and cash ahead of market expectations. We delivered strong, broad-based net fee growth in our international businesses, with 22 countries growing by 10% (like-for-like) or more, and an excellent UK profit performance. After three years, we remain in line with our five-year aspiration to broadly double the Group's operating profits. We also achieved the significant milestone of eliminating the Group's net debt.”

“We enter our new year in a position of strength, with a diverse, balanced and resilient global business, the strongest balance sheet we have had for many years and supportive conditions in many of our markets. Following the EU referendum, there is increased uncertainty in the UK market, but we have seen no evidence of any impact elsewhere. It is too early to tell what the longer term impact may be and as ever, we will monitor activity levels closely. In our international businesses, we will continue to invest to meet growing demand and further diversify our business by geography, sector and contract form. Our focus remains on capitalising on long-term growth opportunities while maximising earnings and cash along the way."

Hays also provided a trading update on other regions. They continue to see good levels of growth in Australia overall, as market confidence continues to recover gradually. In APAC generally, they saw strong growth in both public sector and solid growth in private sector, though in Asia, banking-exposed markets remain subdued.

In Germany and France the company continues to see strong growth and in the rest of Europe and the Americas, conditions remain strong in most markets. To date, the company has seen no evidence of contagion into the rest of Europe following the outcome of the EU Referendum in the UK.

As of last trade, Hays PLC (HAS:LSE) traded at £123.16, down -7.44 on the day but 35.19% above the 52 week low of £91.10 set on 6th July, 2016. This means the company is valued at £1.88 billion