Penna Consulting shares jump as UK economy drives client expenditure

Human resources group Penna Consulting said a stronger UK economy led clients' expenditure to rise on recruitment and other HR projects during the year, driving revenues and profits significantly higher.

The group reported a 22% rise in revenues to £84.4m and a jump of pre-tax profits to £4.6m in the period ended 31 March 2015 from £0.08m the prior year.

Net revenues at its recruitment solutions business grew 30% and the career services division grew 18% thanks to the completion of the final payments of the Savile integration. The company acquired Savile in December 2013.

Penna added that, despite an environment where investor returns are challenged, it recommended a final dividend of 4p, which makes a total dividend for the year of 6p, up from 3p the year before.

Chairman Stephen Rowlinson said Penna continues with "impressive momentum", with all its three divisions making considerable progress.

Penna gained 15.25% to 170p on Tuesday at 14:27.