PageGroup sees 29% slump in annual profit on tough market conditions

Global recruiter PageGroup Plc (PAGE.L) on Monday forecast a near 29% slump in its annual profit and said the challenging conditions it experienced towards the end of 2022 have continued into 2023.

PageGroup now expects annual operating profit to be in line with a company-compiled consensus of 140 million pounds ($173.9 million), way below the 196.1 million pounds it reported for fiscal year 2022.

High inflation and persistent recession worries have forced many companies to cut jobs or freeze hiring, and prefer temporary hiring over permanent roles in their bid to minimise potential risks.

Lower levels of both candidate and client confidence have resulted in delays in decision-making and candidates are being more reluctant to accept offers, CEO Nicholas Kirk said in a statement.

The FTSE midcap (.FTMC) firm also posted a 2.4% decline in gross profit at 262.7 million pounds in constant currency terms for the three months ended March 31, mainly weighed down by performance in the Asia Pacific region.

This report’s information was first seen on REUTERS; to read more, click this link.