SThree PLC on Tuesday reported a 2% fall in its group net fees on a constant currency basis for the half-year ended on May 31 against a ‘strong post-Covid performance’.

The London-based staffing company reported ’resilient performance’ with net fees climbing 2.7% to £208.6 million from £203.1 million the year before. However, it said net fees were down 2% on a constant currency basis. This was against the strong post-Covid comparative period and the backdrop of global macro-economic conditions.

It said, however, that contract net fees were up 8.3% year-on-year to £170.0 million from £157.0 million, or up 3% on a constant currency basis, with growth across the majority of regions.

This represented 81% of net fees across the group, compared to 77% a year before. Permanent net fees, however, fell 16% to £38.6 million from £46.1 million, reflecting market conditions and tough comparatives, SThree said.

Chief Executive Timo Lehne said: ‘The group has delivered a robust net fee performance in the first half of financial 2023 with fees down 2% year-on-year on a constant currency basis against the strong post-Covid performance in the first half of financial 2022. On a reported basis net fees were up 3%, as we benefited from FX tailwinds.’

The company reported in December that net fees for the year ended on November 30 were up 21% to £430.6 million from £355.7 million the year before.

Shares were down 1.4% at 362.00 pence each on Tuesday morning in London.

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