In This Article:
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Gross Profit: GBP444.1 million, down 12.4% in constant currencies.
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Operating Profit: GBP28.4 million, down from GBP63.9 million in H1 2023.
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Conversion Rate: 6.4%, compared to 12.1% in H1 2023.
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Earnings Per Share: Decreased to 5.3p from 13.6p in H1 2023.
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Net Cash: GBP57.2 million at the end of June.
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Interim Dividend: Increased by 4.5% to 5.36p per share, totaling GBP16.8 million.
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Tax Charge: GBP10.9 million, effective tax rate of 39.5%.
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Trade and Other Receivables: GBP371.2 million, decreased by GBP53.4 million versus June 2023.
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Net Assets: Decreased from GBP333.9 million in H1 2023 to GBP274 million in H1 2024.
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EBITDA Inflow: GBP61.6 million.
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Net Capital Expenditure: GBP7.4 million, down from GBP11.3 million in H1 2023.
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Shares Purchased for Employee Benefit Trust: GBP13.2 million.
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Final Dividend Payout: GBP35.2 million for 2023.
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Page Executive Gross Profit Growth: 6% on H1 2023.
Release Date: August 08, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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PageGroup PLC (MPGPF) announced an increase in the interim dividend by 4.5% to 5.36p per share, reflecting confidence in future cash flows.
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The company maintained a strong financial position with net cash of GBP57.2 million at the end of June 2024.
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Page Executive, a division of PageGroup PLC (MPGPF), delivered a record first half with gross profit growth of 6% compared to H1 2023.
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The company made significant progress on its strategic goals, including improving its client net promoter score to 59, up from 56 in 2023.
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PageGroup PLC (MPGPF) continues to invest in innovation and technology, enhancing productivity and customer experience through tools like Customer Connect and Page Insights.
Negative Points
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Gross profit for the first half of 2024 was GBP444.1 million, down 12.4% in constant currencies, indicating challenging trading conditions.
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Operating profit decreased significantly to GBP28.4 million from GBP63.9 million in H1 2023, with a conversion rate drop from 12.1% to 6.4%.
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Earnings per share fell to 5.3p from 13.6p in H1 2023, reflecting reduced profitability.
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The effective tax rate increased to 39.5% from 31.9% in H1 2023, primarily due to prior year adjustments and reduced profits in lower tax jurisdictions.
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The company experienced a softening in activity levels towards the end of the period, particularly in terms of new jobs and interviews, indicating ongoing market challenges.
Q & A Highlights
Q: Have you seen any signs of inflection or change in client candidate behavior in major markets like the UK and France? A: Nicholas Kirk, CEO: July was broadly in line with expectations, with no extraordinary changes in the UK or France. The technology sector remains challenged, particularly in software development roles affected by AI, but this isn't our primary focus area.