RTC Group Plc (AIM: RTC.L), the engineering and technical recruitment company, reported revenue for the half year ended 30 June 2017 £35.1 million, an increase of 2.9% compared with £34.1 million in 2016.

Last month RTC Group announced that its subsidiary, Ganymede, won a contract with Scotland-based SSE Plc, an energy and electricity supplier.

RTC has three principal trading subsidiaries engaged in the recruitment of human capital resources and the provision of managed services: Ganymede, which is focused on the supply and operation of blue collar contingent labour into safety critical markets, ATA, an engineering and technical recruitment consultancy, which supplies white and blue collar engineering and technical staff to a broad range of SME clients and vertical markets; and GSS which predominantly provides managed service solutions for international clients.

 “I am pleased to report that the positive start to 2017 has continued throughout the remainder of the first half,” Bill Douie, Chairman, said. “Ganymede continues to perform well and profits have grown in line with expectations. As announced on 25 July 2017, Ganymede Energy, has secured a significant contract with SSE Plc, commencing in November 2017, to source, train and provide dual fuel installers for its Smart-Meter roll-out programme.”

“ATA, like many companies in its sector, is experiencing tighter market conditions in permanent placements. However, it is growing its contract business ahead of expectations. Global Staffing Solutions (GSS) continues to maintain its steady presence in Afghanistan and is enjoying promising new client opportunities both there and in other Middle East regions.”

Group profit from operations (before amortisation of intangibles) was £0.7million (2016: £0.6 million.)

Meanwhile, in Ganymede, profit from operations (before amortisation of intangibles on acquisition) was consistent with the prior year £1.1m (2016: £1.1m). Revenue increased by 2.4% as the rail division continued to provide Network Rail with contingent labour for maintenance at the top end of their five-year contract value. Ganymede Energy doubled the number of permanent placements made, compared to the same period in 2016 and steadily increased contractor numbers.

In ATA, profit from operations stood at £0.5 million (2016: £0.6 million). Revenue increased by 6.5%. The slow-down in permanent recruitment in UK based engineering impacted absolute growth in permanent performance in ATA. The resulting change in mix between contract and permanent recruitment has led to a slight dip in gross profit for the period.

In GSS, profit from operations was slightly behind the same period in the prior year at £0.2 million (2016: £0.3m). Revenue decreased by 6.1% as anticipated, with the tightened pricing effective from October 2016 when a GSS contract in Afghanistan was successfully rebid. Contractors numbers have largely been maintained at 2016 levels and overheads carefully managed.

Looking ahead, Douie commented, “The Directors are confident that trading in the second half of 2017 will be in line with expectations. The Board continues to implement ambitious growth initiatives across all group businesses and looks forward to the remainder of the year with optimism.”

As of last trade RTC Group PLC (RTC:LSE) traded at 70.35,up 1.22% on the day and 11.52% below its 52-week high of £79.50, set on 25 July 2017. Based on its current share price the company has a market value of £10.54 million.