Empresaria Group (EMR) Trading Update summary

Trading performance and market conditions

• Net fee income declined 4% year-on-year in Q3 2024, an improvement from a 9% fall in H1, but market conditions remain challenging, especially in Germany and APAC.

• Permanent recruitment demand remains extremely subdued, with adverse trading conditions expected to persist through H1 2025.

• Full year adjusted profit before tax is now expected to be no less than £2.0m.

Financial position and covenants

• Bank interest cover covenant relaxed to 3x for December 2024 testing, supporting compliance.

• As of 30 September, adjusted net debt was £13.6m with available headroom of £6.5m (excluding invoice financing).

Strategic actions and outlook

• Continued execution of group simplification strategy, including exiting smaller operations and maintaining strong cost control.

• Confident that ongoing actions will position the group for growth when market conditions improve.