Hydrogen Group is a group of specialist recruitment and people solutions businesses with a proven global platform with clients’ in over 50 countries. We deliver by building market leading niche specialist teams that develop a deep understanding of candidate and clients’ needs and developing solutions.
The Board of Hydrogen Group plc (AIM: HYDG) announces its unaudited results for the half year ended 30 June 2018.
Highlights
- Reported Group revenue for the period increased 21% to £68.6m (H1 2017: £56.8m)
- Reported Net Fee Income (“NFI”)* increased by 57% to £14.8m (H1 2017: £9.4m), due to both the acquisition of Argyll Scott and strong underlying growth across the Group:
o Permanent NFI grew 100% to £8.5m (H1 2017: £4.3m);
o Contract NFI increased by 23% to £6.3m (H1 2017: £5.1m);
o Group contract margin increased 7% to 10.4% (H1 2017: 9.7%) - Proforma NFI increased by 10%
- Underlying** Profit Before Tax (“PBT”) increased by £0.9m, 596% to £1.1m (H1 2017: £0.2m)
- Strong cash generation of £2.0m from operations during the period (H1 2017: outflow £0.7m)
- Net cash of £1.3m at 30 June 2018 (31 December 2017: net debt £0.4m and 30 June 2017: net cash £1.7m)
- Increase in adjusted basic EPS in the period of 2.5p to 2.4p (H1 2017: loss 0.1p)
- Return to the payment of an interim dividend. Interim dividend of 0.5p per share (2017: nil) to be paid on 19 October 2018 to shareholders on the register on 21 September 2018
** Adjusted for foreign exchange gains/losses, share based payments, non-controlling interest, amortisation of acquired intangibles and exceptional items.
Commenting, Ian Temple, CEO of Hydrogen Group plc said: “I am pleased to be able to report a strong trading performance in the first six months of the year, with Net Fee Income on a pro-forma basis up 10% on the first six months of 2017. The key objectives of the business combination with Argyll Scott have been successfully achieved and we have established a scalable platform that enables us to look forward confidently to further sustainable long-term organic profit growth. Furthermore, with a strong balance sheet, the Group is well placed to make acquisitions and will continue to investigate potential targets.
With the current levels of activity, the Board is confident that the underlying profit and EPS for the full year will be substantially ahead of current market expectations.”
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