No Effect

SThree has released a statement saying that trading for the first quarter was up to expectations and that there was no apparent reason for having an effect on the contractor or permanent job markets from the credit crunch except in niche banking areas.


The statement

“The Group has continued to record encouraging placement levels during the period with the contract and permanent sides of the business both posting strong growth on the equivalent period in 2007. The Board is pleased with the Group's overall performance which is in line with its expectations and internal key performance indicators (KPIs)”.


Jump in Contractor Levels

In fact it shows they’ve had a big jump on IT Contractor levels since the same period last year. According to the statement, at the end of the first quarter SThree had 5,581 active contractors, a sizeable increase of 21.6% over the prior year (2007: 4,589). Average contractor gross profit per day rates also remained strong in the first quarter of the year.


Permanent placements

During the first quarter, SThree achieved a total of 2,289 permanent placements, an increase of 21.6 % over the prior year (2007: 1,881). Average placement fees have continued to grow.


Russell Clements, Chief Executive, commented:

"Recent trading conditions remain unchanged from the beginning of the financial year and overall demand for our services remains robust. Candidates continue to have the confidence to move jobs, creating further vacancies as employers look to replace them on a like-for-like basis.”


Markets Good

Russell Clements further pointed out that the overall performance of the Group will not be affected by the subdued demand in the investment banking market.

“We remain aware of concerns that negative sentiment could spread beyond the financial arena, but have yet to see any evidence of this actually happening. That said, the Group's seasoned management team is closely focused on ensuring that our strategy remains consistent with the prevailing market conditions."