Parity (AIM:PTY), the London-based technology focused consultancy and staffing business, provided an update on trading for the six months ended 30 June 2019 ahead of its interim results.

The company said its results will be consistent with the market's expectation for the full year. Board expectations for the full year remain unchanged.

Matthew Bayfield, Chief Executive, commented, "Our transformation plan for Parity, which was launched part way through the first half, is progressing well. We are delivering cost savings, making good progress with the changes to our people and skills and beginning to win the consultancy contracts that will, in time, improve our gross margins."

"The transformation plan is more pertinent than ever as market conditions in the traditional recruitment sector remain challenging with continued margin pressure being driven by new entrants and digital recruitment solutions,” Bayfield said. “At Parity, we are seeking to move away from low margin recruitment to focus on providing solutions in the data market offering consultancy, learning and development and strategic recruitment.”

The business has achieved some encouraging new contract wins and renewals in recent weeks,” Bayfield added.

Among the contracts is a 'G-Cloud' call off contract with the Department for Education to supply consultancy, business intelligence and data analytics. A G-Cloud framework is an agreement between the government and suppliers who provide cloud-based services. The company also re-signed a contract with British American Tobacco and signed for a two-year framework contract with the Crown Commercial Service.

Parity will publish its announce its interims results for the six months ended 30 June 2019 in mid-September 2019.

As of last trade, Parity Group traded at £7.50, down 0.64% on the day and 22.98% above the 52 week low of £6.10 set on 2 November 2018. Based on its current share price the company has a market value of £7.75 million.