Empresaria Group (EMR: AIM) the international specialist staffing firm reported revenue of £106.1 million for the half year ending 30 June 2016, an increase of 11% in constant currency (CC) and an increase of 15% in real terms from £92.4 million in 2015.

Revenue grew by 15%, up 11% in constant currency, primarily from growth in temporary/contract revenue. Having restructured its temporary sales over the last two years to remove low value work, Empresaria stated that it was pleased to see the sales level return to growth.

Permanent revenue grew by 4% (2% in constant currency), despite previously announced slowdown in May and June in the UK in the lead up to the EU referendum.

Empresaria stated that the Middle East market has been impacted by the low oil price, leading to hiring decisions being put on hold, however the company expects this to improve by the end of the year, given the infrastructure projects that need to be started in the region with the Dubai World Expo in 2020 and Qatar World Cup in 2022. In the interim period, costs have been managed to protect margins. The most notable growth was in India and China, the latter having responded well to a restructure of the management team last year and focus on local business in growth sectors.

Temporary or contract revenue grew by 17% (12% in constant currency), in particular from the Technical & Industrial sector in both Germany and the UK, with growth also in Chile following a drive to grow their temporary business. The performance in Japan was also strong and the group benefited from the inclusion of the new temporary/contract focused business in the US. The Group temporary margin increased to 16.4% (2015: 15.9%). Net fee income, a key performance indicator, grew by 13% (9% in constant currency), driven by the strong growth in temporary revenue. Permanent sales represented 44% of net fee income in the first half of 2016 (2015: 47%), in line with the group’s operational focus to move the business mix more towards temporary sales. The share of net fee income from professional and specialist levels also increased to 88%, from 86% in the prior year.

“Empresaria’s diversified business model has delivered strong results for the first half of the year with adjusted profit before tax up 30% on the prior year,” Chief Executive Officer, Joost Kreulen said. “We continue to deliver on our strategy, driving both organic growth and undertaking further external investments as we develop leading brands that are diversified and balanced by geography and sector.”

“The stronger growth in temporary and contract income has progressed alongside further growth from professional and specialist job levels. Our aim is to protect against any particular slowdown in any region of the world or staffing industry sector. So far this has produced twelve consecutive quarters of balanced growth. We are pleased to have finalised our recent investment in Rishworth Aviation, the second largest international recruitment company in the Aviation sector and whose revenues are geographically diversified. We look forward to integrating it into our Group and providing a platform for its further growth and development. We expect it to be earnings enhancing on an adjusted basis this year,” Kreulen said.

“Our focus on continuing to drive organic growth is matched with an invest and develop approach with a pipeline of interesting prospects. We see good growth opportunities across our existing brands and from further potential investments. We remain confident in our ability to meet current market expectations,” Kreulen said.

In July 2016, Empresaria announced the acquisition of an 82.6% interest in New Zealand-based Rishworth Aviation Limited and its sister companies (together known as Rishworth) for a total cash consideration of £7.5 million.

By geography, Empresaria Group reported revenue during 2016 as follows:

In trading today Empresaria Group PLC traded at £98.81, up 0.83% on the day and 7.57% below its 52-week high of £106.90, set on 18 November 2015. Based on its current share price the company has a market value of £48.04 million.