FDM Group trades in line, but cautious on Covid-19 lockdowns
IT recruitment and training group FDM said third quarter trading continued to be in line with expectations but remained cautious on its recovery given further outbreaks of the coronavirus.
The company said staff placed with clients, which it calls “mounties”, at the end of September 2020 fell to 3,721, from 3,801.
Unallocated staff and those who have completed training but were waiting for their first placement increased during the first half of the year and was reducing “but remains significantly higher than in previous years”.
FDM added that market conditions were showing signs of returning closer to normality in the US and Asia-Pacific and more latterly in the UK.
The group reported a strong rate of cash conversion and had £55.8m of cash compared with £23.2m a year earlier. It also had no debt, after the payment in early September of its interim dividend and after spending to adapt operations to the Covid-19 environment.
“The board is encouraged by the group's performance over recent months, but remains cautious over the rate of recovery in our markets given the possible impact on client activity should further waves of COVID-19 result in new lockdowns in any of our territories,” the company said on Tuesday.