PageGroup upgrades FY operating profit guidance

Recruiter PageGroup lifted its guidance for full-year operating profit on Wednesday as it reported a jump in third-quarter gross profit.

The company said it now expects full-year operating profit of around £155m, up from a previous range of between £125m and £135m.

It said third-quarter gross profit rose 65.4% from the same period a year ago to £228.1m, and was up 12.9% versus 2019. Gross profit from EMEA rose 45.8% on the year to £105.9m, while Asia Pacific saw a 68.2% increase to £48.9m. In the UK, profit grew 94.3% to £33.8m, while Americas profit was 113.4% higher at £37.3m.

Chief executive officer Steve Ingham said: "Looking ahead, there continues to be a high degree of global macroeconomic uncertainty as Covid-19 remains a significant issue and restrictions remain in a number of the group's markets.

"Additionally, there is further uncertainty regarding the pace of client's offices reopening, challenges in global supply chains and the inflation outlook.

"However, the strength of our performance in Q3, and notably in September, has further increased confidence in our outlook for the year and therefore, subject to no other unexpected events, we now expect full year operating profit to be in the region of £155m."

At 0815 BST, the shares were up 6.3% at 651p.