Staffline Group PLC, the recruitment and training group, reported revenue of £480.2 million for the six months ended 30 June 2024, up 11.7% over the same period a year ago.

The group’s unaudited interim results also showed gross profit increased slightly by 0.3% to £38.2 million.

The group said strong trading was driven by a 9.2% year-on-year uplift in temporary hours worked in Recruitment GB.

Permanent recruitment fees in Ireland were up 30%. Overall, the group’s recruitment businesses are performing well, the company stated. Recruitment GB operating profit was up 56% while in Ireland, operating profit was up 50%.

Underlying operating profit at £2.9 million (H1 2023: £3.0 million) was impacted by a £1.3 million reduction in PeoplePlus underlying operating profit.

The group’s FY 2024 outlook is supported by momentum in Staffline’s blue-collar recruitment division and revenues on new contract wins in the Republic and Northern Ireland.

The board expects FY 2024 underlying operating profit to be in line with expectations despite macro-economic and political uncertainty following the change of government.

Staffline noted that customers’ staff attrition has reduced, and the Office for National Statistics reports that overall vacancies are in decline, however, a tight labour market continues in many sectors and geographic areas.

Delays in PeoplePlus’ 2025 pipeline have arisen as a result of the UK general election, albeit 2024 remains in line with expectations

Albert Ellis, Chief Executive Officer of Staffline, said in a press release, “With the widely reported downturn in the recruitment sector, I am delighted to report a highly creditable performance across the first half of 2024.”

“In what has proven to be a persistently challenging macro-economic environment, Staffline’s strategy to grow its market share organically, and focus on customer service and delivery has served it well in the first six months of the year. In exiting the Skills market twelve months ago, PeoplePlus has reduced its overheads at a time when political changes in the UK have resulted in the pipeline being pushed back,” Ellis said.

“My thanks to everybody in the group who has contributed to this excellent result, and looking forward, I am pleased that we expect underlying trading to be in line with expectations for the full year,” Ellis added.

As of last trade Staffline Group traded at £38.00, down 7.88% on the day and 9.52% below its 52-week high of £42.00, set on 26 July 2024. The company has a market cap of £60.95 million.