Last month, Hays (HAS: LSE) reported net fees (gross profit) decreased by 15% in its fiscal fourth quarter results ending 30 June on a ‘like-for-like’ basis.  Today, they confirmed net fees of £1.11 billion for the full year ended 30 June 2024, a decrease of 12% on a like-for-like (LFL) basis when compared to the same period a year ago.

Dirk Hahn, Chief Executive, summarised the year in a press release, “We saw increasingly challenging market conditions through FY24 in both Perm and Temp, with low confidence levels and longer-than-normal ‘time-to-hire’, and our profitability was significantly impacted, including our three largest markets of Germany, Australia and the UK.”

Hahn continued, “Against this backdrop, we have focused on enhanced operational rigour, driving consultant productivity and strong cost management, and are determined to build a more resilient Hays. Our strategy, launched in February, is designed to capitalise on the many growth opportunities we see, while increasing our resilience, quality of earnings and cash generation.”

“We have made a strong start in restructuring operations and repositioning our business to be a global leader in recruitment and workforce solutions,” Hahn added. “We are driving productivity and as previously reported we delivered circa £60 million of annualised savings in FY24. Additionally, our ongoing efficiency actions will deliver a further circa £30 million annual cost savings by FY27.”

During the year ended 30 June 2024, headcount decreased 15% and the group restructured its operations, while accelerating efficiency programmes.