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Staffline Group (STAF) investor relations material
Staffline Group H1 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Revenue grew 8.7% year-over-year to £485.8m, with strong organic growth and market share gains in Recruitment GB, despite sector headwinds.
Underlying operating profit increased 54.2% to £3.7m, reflecting operational strength and cost efficiencies post-PeoplePlus divestment.
Transitioned to a pure-play recruitment platform after the disposal of PeoplePlus, sharpening focus on core recruitment activities.
Major logistics contract win in May 2025, expected to drive further growth into 2026 and 2027.
Strong trading cash flows and balance sheet enabled share buybacks, with £4.8m repurchased and share count reduced by 23.4% over 24 months.
Financial highlights
Revenue: £485.8m (+8.7% year-over-year); Gross profit: £33.1m (+6.1%); Gross margin: 6.8% (down 0.2 ppts).
Underlying operating profit: £3.7m (+54.2%); profit before tax: £0.6m (vs £0.3m prior year); operating profit margin improved from 7.7% to 11.2%.
Net debt reduced to £5.7m (from £9.2m), with financing headroom at £66.5m and strong covenant positions (0.4x EBITDA leverage, 17.1x interest cover).
Share buybacks totaling £4.8m in H1 2025; no interim dividend proposed.
Pre-IFRS16 net debt at £5.7m; post-IFRS16 net debt at £9.9m.
Outlook and guidance
Trading remains in line with management expectations, with further growth anticipated in H2 as new contracts are implemented.
Major new logistics contract will begin contributing from August 2025, expected to drive growth into 2026 and 2027.
Organic growth pipeline remains strong, especially in blue-collar recruitment; further logistics contracts anticipated.
Improving trends in Ireland's permanent recruitment pipeline and continued market share gains expected.
Board confident in delivering FY 2025 results as planned.
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