Hays enjoys international surge

6th Jan 2011 07:02

Recruitment giant Hays grew net fees by more than a fifth during its second quarter as rapid growth at the international business made up for a drab performance in the UK.Net fees on a like for like basis - organic growth at constant currency - was up 21% in the three months to 31 December, in line with expectations. The actual increase was 24%.Continental Europe & Rest of World led the way with a 37% surge, or 53% on an actual basis, followed by Asia Pacific, up 36%, or 33% actual. The UK & Ireland rose just 1%.Germany was among the stand-out performers with like for like growth of 47%. The business there is now operating back above pre-recession levels.In the UK, 28% growth in net fees, led by Accountancy & Finance, IT, Corporate Accounts and City-related businesses, managed to offset a 38% slump at the public sector business.The permanent side was by far the most successful for the group. Net fees grew 42% like for like and 45% actual. Fees from temporary positions increased just 7% and 9% respectively."The outlook remains good across nearly all of our markets, including the UK private sector, and we continue to increase consultant headcount in order to capture the opportunities for growth," chief executive Alistair Cox said.Over the six months to December, Hays says it has continued to achieve operating profit growth at broadly twice the level of net fee growth."Today 65% of the group's net fees are from the International business and this, together with the investments we have made in the business, places us ideally to benefit from the long term structural growth opportunities in our markets," said Cox.