Europe Movers: SThree

Inga Muller
24 Jun, 2025
Frankfurt

SThree Plc. traded up 5.1% to 234.95 pence after the UK-based workforce consultancy company released its trading update for the half year ending on May 31.

Net fees were down 14% from a year ago amid ongoing challenging global economic conditions, and the result was partially offset by a modestly reduced rate of decline in the second quarter and an improved U.S. performance.

In the life sciences segment, net fees were down 15% from a year ago; in engineering, net fees were down 9%; and in technology, they declined 18%.

The contract segment was down 14% from a year earlier, while the permanent segment was down 13%.

The contract order book amounted to £164 million, a decline of 8% from a year earlier, a reduced rate of decline versus the end of fiscal year 2024.

The company’s two largest markets, Germany and the U.S., delivered a lower rate of decline in the first quarter versus the fourth quarter of fiscal year 2024, while the performance in the Netherlands reflected lower levels of demand for engineering and technology skills versus record levels in the prior year.

SThree maintained net cash of £48 million as of May 31, reflective of the buyback program and the clients’ transitioning to a new billing process, including the impact of the recent roll-out of TIP to the Netherlands.

In comparison, net cash in the previous quarter ending on February 28 was £45 million, and in the quarter ending on November 30, net cash was £70 million.

The company said it completed its £20 million share buyback program on May 15.

The consultancy company guided full-year profit before tax to be £25 million, in line with the previous guidance, compared to £67.6 million in 2024.