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SThree (STEM) investor relations material
SThree H2 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Celebrated 40th anniversary, highlighting resilience and expertise in STEM and flexible talent.
FY25 performance was in line with expectations, with sequential improvement in Net Fee decline and disciplined cost management amid challenging market conditions.
Strategic focus on long-term STEM demand and flexible workforce solutions, with contract roles making up 84% of business.
Achieved growth in the USA and Japan, despite challenging global talent markets.
Completed global rollout of the TIP digital platform, enhancing operational efficiency and client experience.
Financial highlights
Net fees declined 12% year-on-year on a constant currency basis, with sequential improvement through the year; revenue was £1,302.2m, also down 12%.
Operating profit was £26.1m, down 60% year-on-year; profit before tax was £25.5m, down 62%.
EPS decreased to 13.7p, reflecting lower profits and higher effective tax rate.
Full-year dividend maintained at 14.3p per share; new £20m share buyback program announced.
Net cash at year-end was £68.0m, broadly flat after a £20m share buyback.
Outlook and guidance
Confident in delivering full-year expectations for the next fiscal year.
FY26 profit before tax is expected to be around £10m, underpinned by improved year-end new business activity.
Profitability phasing will differ due to first-half weighted costs for the FY26 efficiency program.
Continued investment in digital infrastructure expected to drive sustainable productivity gains.
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