Hays backs FY guidance, hails 'record' third quarter

Recruiter Hays reiterated its full-year operating profit guidance on Thursday as it hailed a "record" third-quarter performance.

In the quarter to the end of March, net fees rose 32% on a like-for-like basis and 29% on an actual basis, with "excellent" growth in all regions. Permanent fees were up 48%, while temporary fees rose 21%.

In Australia and New Zealand, net fees grew 24%, while Germany, UK & Ireland, and Rest of World saw increases of 32%, 29% and 36%, respectively.

Hays reiterated the guidance given at its half-year results for FY22 operating profit of between £210m and £215m, excluding a one-off impact of its exit from Russia, which is expected to be around £5m.

Chief executive Alistair Cox said: "We delivered record quarterly fees, including a group fee record in March and continued strong performances in all regions. Overall, 19 countries produced quarterly fee records, including our largest country of Germany which saw strong activity levels, the USA, France and Switzerland. In ANZ, fees and activity improved towards the end of the quarter as pandemic impacts eased, while UK&I delivered another excellent quarter, led by Perm as business confidence remained high .

"While we are mindful of increased macroeconomic and geopolitical uncertainties, client and candidate confidence remains strong, with continued skill shortages and rising wage inflation globally."