ADVFN Logo ADVFN

We could not find any results for:
Make sure your spelling is correct or try broadening your search.

Trending Now

Toplists

It looks like you aren't logged in.
Click the button below to log in and view your recent history.

Hot Features

Registration Strip Icon for default Register for Free to get streaming real-time quotes, interactive charts, live options flow, and more.

RTG Rethink Grp

0.875
0.00 (0.00%)
24 Jul 2024 - Closed
Delayed by 15 minutes
Share Name Share Symbol Market Type Share ISIN Share Description
Rethink Grp LSE:RTG London Ordinary Share GB00B39QB067 ORD 0.1P
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  0.00 0.00% 0.875 0.00 01:00:00
Industry Sector Turnover Profit EPS - Basic PE Ratio Market Cap
0 0 N/A 0

ReThink Group (The) PLC Interim Results (9211S)

30/09/2014 7:00am

UK Regulatory


Rethink Group (LSE:RTG)
Historical Stock Chart


From Jul 2019 to Jul 2024

Click Here for more Rethink Group Charts.

TIDMRTG

RNS Number : 9211S

ReThink Group (The) PLC

30 September 2014

30 September 2014

The Rethink Group plc

("Rethink" or the "Group")

Interim Results

The Rethink Group plc (AIM: RTG), a leading Talent Management and Recruitment Services company, is pleased to announce its interim results for the six month period ended 30 June 2014.

H1 2014 Financial Highlights

-- Group revenue from continuing operations increased 4.5% to GBP56.5m (H1 2013: GBP54.0m)

-- Net Fee Income* ("NFI") from continuing operations increased 4.5% to GBP10.0m (H1 2013: GBP9.6m) with Talent Management NFI increasing 32.7% to GBP2.4m (H1 2013: GBP1.8m).

-- Operating profit from continuing operations increased 18.4% to GBP0.81m (H1 2013: GBP0.68m)

-- Net borrowings** decreased to GBP9.3m (2013 year end: GBP11.7m).

-- Cash generated by operations GBP2.8m (H1 2013: cash absorbed GBP1.1m)

-- Basic earnings per share 0.479 pence (H1 2013: 0.374 pence)

* Net Fee Income (NFI) represents gross revenue less direct cost of sales

** Net borrowings consist of cash at bank less bank borrowings under the Group's revolving invoice discounting facility.

Operational Highlights

-- Won a new three year Talent Management contract with a UK listed multichannel marketing and communications business.

-- Secured a Talent Management contract renewal for a further three years with M&S plc.

-- Increased investment in experienced business development executives within the Talent Management division.

-- Restructured PLC Board and a new Executive Board created.

Steve Wright, Chief Executive Officer of Rethink, commented:

"I am satisfied with the performance of the Group in the first half of the year as we continue to implement our strategy. Our Talent Management division is growing in line with our expectations, winning new clients and repeat business from existing clients. We will continue to invest in this division building long term sustainable revenues for the Group.

For further information please contact:

 
 The Rethink Group plc 
 Steve Wright, CEO / Ben Felton, CFO     0207 367 4444 
 Shore Capital (Nominated Adviser and 
  Broker) 
 Bidhi Bhoma/Edward Mansfield            0207 408 4090 
 Newgate Threadneedle 
 John Coles/Fiona Conroy                 020 7653 9850 
 

About The Rethink Group plc

Rethink Group (AIM: RTG) provides business transformation services through Talent Management and Recruitment Services. These mutually supported activities work in synergy and support our growing customer base.

The Group supports clients across the UK, Europe, US, Middle East and Asia Pacific.

For more information please visit our website: www.rethinkgroupplc.com

Chairman and CEO's Statement

In the six month period to 30 June 2014, the Group steadily grew revenues and net fee income ("NFI") from continuing operations by 4.5% and generated a profit from operations of GBP0.81m, 18.4% ahead of the same period in 2013. The growth in NFI continues to be driven by our Talent Management division which reported a 32.7% increase in NFI to GBP2.4m in the period (2013: GBP1.8m).

The Group continues to build strong, long term relationships with major UK and overseas corporates across both the Talent Management and Recruitment divisions. During the period Rethink secured a Talent Management contract renewal with M&S plc for a further three years and also signed a new three year agreement with a large UK listed multi-channel marketing and communications business.

Not only do these new contracts provide the Group with sustainable future revenues, they also highlight the excellent work of all our staff and the continued trust our clients have in Rethink.

Financial Review

The Group grew both permanent and contract revenues in the six month period to 30 June 2014, to a total of GBP56.5m (2013: GBP54.0m). NFI from permanent recruitment increased 11.5% to GBP4.3m (2013: GBP3.9m), reflecting growing business confidence in the UK and Irish markets as clients invest in their permanent workforce.

Group EBITDA (before separately identifiable items) decreased by 18.4% to GBP0.91m (H1 2013: GBP1.11m) as a result of investment in the Talent Management Division and the cost of the recent move to a new head office in London; a combined investment of GBP0.4m in the period. Operating profit from continuing operations (after separately identifiable items) increased 18.4% to GBP0.81m (H1 2013: GBP0.68m) and profit before tax increased by 15.8% to GBP0.61m (2013: GBP0.53m).

The Group reported basic earnings per share for the period of 0.479 pence (H1 2013: 0.374 pence).

Working Capital and Invoice Discounting

The Group continued to focus on its working capital management resulting in net cash generated from operation of GBP2.8m in the period (H1 2013: outflow of GBP1.1m).

Net borrowings, which represents cash and cash equivalents less the Group's revolving invoice discounting facility, reduced to GBP9.3m from GBP11.7m at 31 December 2013 as the Group took advantage of surplus cash generated from operations to pay down its borrowings.

Operational Review

Rethink's ongoing structure is aligned to two interconnected business units of Talent Management, where our involvement with a client is deeper and is typically underpinned by longer term managed service agreements, and Open-Market Recruitment, characterised by transactional client relationships. The Group provides its services to clients in two primary vertical markets - Business and Technology and Pharmaceuticals and Life Sciences, and operates through offices in the UK and overseas.

Talent Management Division

NFI for our Talent Management Division increased 32.7% to GBP2.4m (H1 2013: GBP1.8m) and contribution from operations of the division, after accounting for direct investment costs of GBP0.3m, grew slightly to GBP1.3m (H1 2013: GBP1.2m).

In line with our stated strategy the Group has focused significant investment in the Talent Management division during the period, through engaging more experienced business development executives, building a new dedicated website and increased marketing. This investment has started to bear fruit with the recent contract win, announced in July 2014, and contract renewal with M&S plc after the period end. We will continue to invest significantly in this area of the business as we develop a portfolio of products that will deepen and broaden our service offerings to clients.

Recruitment Division

Our Open-Market Recruitment business experienced a modest decline in NFI of 2.2% to GBP7.6m (H1 2013 GBP7.7m), impacting the contribution from this division which reduced slightly to GBP1.2m from GBP1.3m in the same period of 2013. The division continues to deliver excellent repeat business across its blue chip client base and importantly also provides a steady flow of introductions to the Talent Management division.

Board Changes

As disclosed in April 2014, the Group restructured its board of directors ("PLC Board") and established a new operational board ("Executive Board"). The Executive Board continues to focus on executing the Group's three year growth strategy, through the development and delivery of Talent Management and Recruitment services. Its central responsibility is on business development across all Group brands.

The PLC Board, which has been streamlined to five members, concentrates on supporting the Executive Board in the formulation and review and execution of Group strategy, investor relations and maintaining strong standards of corporate governance.

Outlook

The Group is steadily building momentum in its Talent Management division with new contract wins and repeat business from major blue chip clients. Encouragingly, the majority of our Talent Management income originates from long term client relationships which were nurtured and developed in the core Open-Market Recruitment division. The investment in new Talent Management business development executives and marketing collateral in the period is expected to augment this revenue stream by generating incremental business from both new and existing clients.

Despite the cost of investment in the period, the Group still expects to report an increase in EBITDA for the full year to 31 December 2014, however, this is expected to be marginally below current market expectations.

While we expect revenues and NFI to grow in the long term, it is in the very nature of long term client relationships built on trust that investment costs will take longer than traditional recruitment investment to yield returns. However, it is our firm belief that the returns will not only be greater but also more sustainable over time, and hence expected to create greater shareholder value due to the improved quality of earnings.

John O'Sullivan Stephen Wright

Chairman Chief Executive Officer

30 September 2014

 
 INTERIM CONSOLIDATED INCOME STATEMENT 
  2014 
 
                                                  Unaudited    Unaudited      Audited 
======================================= 
                                                 Six months   Six months   Year ended 
                                                      ended        ended 
======================================= 
                                                  30-Jun-14    30-Jun-13    31-Dec-13 
                                          Note      GBP'000      GBP'000      GBP'000 
=======================================  =====  ===========  ===========  =========== 
 
 REVENUE                                             56,464       54,027      111,693 
 Cost of sales                                     (46,444)     (44,437)     (92,133) 
 
 GROSS PROFIT                                        10,020        9,590       19,560 
 Administrative expenses                            (9,211)      (8,907)     (18,153) 
 
 OPERATING PROFIT FROM CONTINUING 
  OPERATIONS                               5            809          683        1,407 
 
 Analysed as: 
 Earnings before interest, tax, 
  depreciation, amortisation and 
  non-recurring items                                   910        1,113        2,225 
 Amortisation and depreciation                        (101)        (130)        (176) 
 
   OPERATING PROFIT FROM CONTINUING 
   OPERATIONS BEFORE NON-RECURRING 
   ITEMS                                                809          983        2,049 
 
   Separately identifiable items           3              -        (300)        (642) 
 
   OPERATING PROFIT FROM CONTINUING 
   OPERATIONS                                           809          683        1,407 
---------------------------------------  -----  -----------  -----------  ----------- 
 
 Finance costs                                        (199)        (158)        (579) 
 Finance income                                           -            -            2 
 
 PROFIT BEFORE TAXATION                                 610          525          830 
 Tax expense                                           (52)         (95)        (172) 
 
 PROFIT FOR THE PERIOD FROM CONTINUING 
  OPERATIONS                                            558          430          658 
 Profit on discontinued operations                        -            2          198 
 
 
   PROFIT FOR THE PERIOD                                558          432          856 
=======================================  =====  ===========  ===========  =========== 
 
   Other comprehensive income 
 Foreign currency exchange differences 
  on translation of foreign operations                (204)          131          112 
 
 
   TOTAL COMPREHENSIVE INCOME FOR 
   THE PERIOD                                           354          563          968 
=======================================  =====  ===========  ===========  =========== 
 
 Earnings per share: 
                                                -----------  -----------  ----------- 
 - Basic                                   2         0.479p       0.374p       0.742p 
                                                -----------  -----------  ----------- 
 - Diluted                                 2         0.479p       0.374p       0.738p 
                                                -----------  -----------  ----------- 
 
 
 INTERIM CONSOLIDATD BALANCE SHEET 2014 
 
                                               Unaudited   Unaudited     Audited 
============================  ============== 
                                               30-Jun-14   30-Jun-13   31-Dec-13 
============================ 
                               Note              GBP'000     GBP'000     GBP'000 
============================  ==============  ----------  ----------  ---------- 
 
 ASSETS 
 NON-CURRENT ASSETS 
 Goodwill                            4             3,919       4,121       4,050 
 Investment                                           12           5          12 
 Property, plant and equipment                       619         515         381 
 Intangible assets                                    77          74          54 
 Deferred tax asset                                   63          56          62 
                                                          ----------  ---------- 
 TOTAL NON-CURRENT ASSETS                          4,690       4,771       4,559 
                                              ----------  ----------  ---------- 
 
 CURRENT ASSETS 
 Trade and other receivables                      25,328      29,017      22,270 
 Cash and cash equivalents                         1,473         449       1,600 
 Corporation tax asset                                 -          11           - 
                                                          ----------  ---------- 
 TOTAL CURRENT ASSETS                             26,801      29,477      26,870 
                                              ----------  ----------  ---------- 
 TOTAL ASSETS                                     31,491      34,248      31,429 
                                              ----------  ----------  ---------- 
 
 LIABILITIES 
 CURRENT LIABILITIES 
 Trade and other payables                       (13,861)    (14,561)    (11,860) 
 Advances on invoice discounting facility       (10,667)    (13,756)    (13,304) 
 Finance leases                                    (107)           -        (35) 
 Corporation tax liability                         (250)           -       (105) 
                                              ----------  ----------  ---------- 
 TOTAL CURRENT LIABILITIES                      (24,885)    (28,317)    (25,304) 
                                              ----------  ----------  ---------- 
 NET CURRENT ASSETS                                1,916       1,160       1,566 
                                              ----------  ----------  ---------- 
 
 NON-CURRENT LIABILITIES 
 Finance leases                                    (134)           -         (7) 
 Deferred tax liability                             (50)        (43)        (50) 
                                              ----------  ----------  ---------- 
 TOTAL NON-CURRENT LIABILITIES                     (184)        (43)        (57) 
                                              ----------  ----------  ---------- 
 
   NET ASSETS                                      6,422       5,888       6,068 
                                              ----------  ----------  ---------- 
 
 EQUITY 
 Share capital                                       117         117         117 
 Share premium account                             3,238       3,238       3,238 
 Merger reserve                                      218         218         218 
 Translation reserve                               (448)       (225)       (244) 
 Retained earnings                                 3,297       2,540       2,739 
                                              ----------  ----------  ---------- 
 TOTAL EQUITY ATTRIBUTABLE TO THE EQUITY 
  HOLDERS OF THE PARENT                            6,422       5,888       6,068 
                                              ==========  ==========  ========== 
 
 
 INTERIM CONSOLIDATED STATEMENT OF CHANGES IN EQUITY 2014 
 
                               Share    Retained      Share     Merger   Translation     Total 
                             capital    earnings    premium    reserve       reserve    equity 
------------------------- 
                             GBP'000     GBP'000    GBP'000    GBP'000       GBP'000   GBP'000 
-------------------------             ----------  ---------  ---------  ------------  -------- 
 
 At 1 January 2013               114       2,108      3,145        218         (356)     5,229 
 
 Changes in equity 
  for the six months 
  ended 30 June 2013 
 Profit for the year               -         432          -          -             -       432 
 Other comprehensive 
  income                           -           -          -          -           131       131 
                           ---------  ----------  ---------  ---------  ------------  -------- 
 Total comprehensive 
  income in the year               -         432          -          -           131       563 
 Share options exercised           3           -         93          -             -        96 
                           ---------  ----------  ---------  ---------  ------------  -------- 
 
   At 30 June 2013               117       2,540      3,238        218         (225)     5,888 
 
 Changes in equity 
  for the six months 
  ended 31 December 
  2013 
 Profit for the period             -         424          -          -             -       424 
 Other comprehensive 
  income                           -           -          -          -          (19)      (19) 
                           ---------  ----------  ---------  ---------  ------------  -------- 
 Total comprehensive 
  income in the year               -         424          -          -          (19)       405 
 Recognition of share 
  based payment expense            -           5          -          -             -         5 
 Own shares held                   -       (230)          -          -             -     (230) 
                           ---------  ----------  ---------  ---------  ------------  -------- 
 
   At 31 December 2013           117       2,739      3,238        218         (244)     6,068 
 
 Changes in equity 
  for the six months 
  ended 30 June 2014 
 Profit for the period             -         558                                           558 
 Other comprehensive 
  income                           -           -          -          -         (204)     (204) 
                           ---------  ----------  ---------  ---------  ------------  -------- 
 Total comprehensive 
  income in the year               -         558          -          -         (204)       354 
                           ---------  ----------  ---------  ---------  ------------  -------- 
 
   At 30 June 2014               117       3,297      3,238        218         (448)     6,422 
                           =========  ==========  =========  =========  ============  ======== 
 
 
 INTERIM CASHFLOW STATEMENT 2014 
 
                                                   Unaudited     Unaudited 
                                                  Six months    Six months       Audited 
                                                       ended         ended    Year ended 
                                                   30-Jun-14     30-Jun-13     31-Dec-13 
                                                     GBP'000       GBP'000       GBP'000 
 
 Profit before tax                                       610           525           830 
 Adjustments for: 
 Share based payment charge                                -             -             5 
 Depreciation charges                                     85            95           153 
 Amortisation                                             16            35            22 
 Disposal of property, plant and equipment                 -             -           150 
 Disposal of intangible assets                             -             -            35 
 Finance costs                                           199           158           579 
 Finance income                                            -             -           (2) 
                                                ------------  ------------  ------------ 
                                                         910           813         1,772 
 Increase in trade and other receivables                (58)       (6,158)       (2,411) 
 Increase in trade and other payables                  1,927         4,241         1,417 
                                                ------------  ------------  ------------ 
 
   Cash generated/(absorbed) by operations             2,779       (1,104)           776 
 Corporation tax refunded/(paid)                          92             -          (46) 
                                                ------------  ------------  ------------ 
 
   Net cash generated from/(absorbed 
   by) 
   operating activities                                2,871       (1,104)           732 
                                                ------------  ------------  ------------ 
 
 Cash flows from investing activities 
 Purchase of property, plant & equipment               (322)          (80)         (153) 
 Purchase of intangible assets                          (40)          (29)          (32) 
 Disposal of subsidiary undertaking 
  net of cash disposed                                     -             2           220 
 Finance income                                            -             -             2 
                                                ------------  ------------  ------------ 
 
   Net cash (absorbed by)/generated from 
   investing 
   activities                                          (362)         (107)            37 
                                                ------------  ------------  ------------ 
 
 Cash flows from financing activities 
 Finance costs paid                                    (199)         (158)         (579) 
 Net change in advances on invoice 
  discounting facility                               (2,637)         1,319           868 
 Payment for redemption of preference 
  shares                                                   -         (628)         (628) 
 Purchase/(repayment) of finance leases                  199          (89)          (47) 
 Proceeds from issue of share capital                      -            95            96 
                                                ------------  ------------  ------------ 
 
   Net cash (absorbed by)/ generated 
   from financing activities                         (2,637)           539         (290) 
                                                ------------  ------------  ------------ 
 
   Net (decrease)/increase in cash and 
   cash equivalents                                    (127)         (672)           479 
 
   Cash and cash equivalents at the beginning 
   of the period                                       1,600         1,121         1,121 
                                                ------------  ------------  ------------ 
 
   Cash and cash equivalents at the end 
   of the period                                       1,473           449         1,600 
                                                ============  ============  ============ 
 

Notes to the unaudited financial information

For the six months ended 30 June 2013

1. Basis of Preparation

The financial information presented in this document has been prepared in accordance with the recognition and measurement principles of International Financial Reporting Standards (IFRS) and International Financial Reporting Interpretations Committee (IFRIC) interpretations that are expected to be applicable for the year ending 31 December 2014. The principle accounting policies used in preparing these Interim Results are unchanged from those adopted and disclosed in the audited financial statements for the year ended 31 December 2013

The financial information in this statement relating to the six months ended 30 June 2014 and the six months ended 30 June 2013 has neither been audited nor reviewed pursuant to guidance issued by the Auditing Practices Board. The financial information for the period ended 31 December 2013 does not constitute the full statutory accounts for that period. The Annual Report and Financial Statements for 2013 have been filed with the Registrar of Companies. The Independent Auditor's Report on the Annual Report and Financial Statements for 2013 was unqualified, did not draw attention to any matters by way of emphasis, and did not contain a statement under 498(2) or 498(3) of the Companies Act 2006.

2. Earnings per share

Basic earnings per share of 0.479 pence (2013 H1: 0.374 pence) are calculated by dividing the profit attributable to equity holders of the Group by the weighted average number of ordinary shares in issue.

Fully diluted earnings per share of 0.479 pence (2013 H1: 0.374 pence) is calculated by adjusting the weighted average number of ordinary shares by existing share options, share incentive plans and the contingent share consideration on business combinations, assuming dilution through conversion of all existing options and shares held in share plans that are not underwater.

 
                                             Unaudited   Unaudited   Audited 
                                                30-Jun      30-Jun    31-Dec 
                                                  2014        2013      2013 
                                               GBP'000     GBP'000   GBP'000 
------------------------------------------  ----------  ----------  -------- 
 Numerator 
 Profit for the period - used in basic 
  and diluted EPS                                  558         432       856 
 
 Denominator 
 Weighted average number of shares used 
  in basic EPS                                 116,518     115,385   115,385 
 
 Effects of: 
 Employee share options                              5           -       571 
                                            ----------  ----------  -------- 
 
   Weighted average number of shares used 
   in diluted EPS                              116,523     115,385   115,956 
                                            ==========  ==========  ======== 
 

3. Separately identifiable items

 
 Included within separately identifiable     Unaudited   Unaudited   Audited 
  items are:- 
                                                30-Jun      30-Jun    31-Dec 
                                                  2014        2013      2013 
                                               GBP'000     GBP'000   GBP'000 
-----------------------------------------  -----------  ----------  -------- 
 Banking exit fee                                    -          40        40 
 Company reorganisation costs                        -         260       602 
                                           -----------  ----------  -------- 
 
   Total                                             -         300       642 
                                           ===========  ==========  ======== 
 

During 2013 the Group incurred certain restructuring and reorganisation costs. These costs include compromise agreements associated with a Board restructure, bank exit fees, office closure costs and termination costs relating to a software project.

4. Goodwill

Goodwill represents the excess of the cost of an acquisition over the fair value of the Group's share of the net identifiable assets of the acquired subsidiary at the date of acquisition. Goodwill is tested for impairment in each financial period and carried at cost less accumulated impairment losses. The movement in the carrying value of goodwill in each of the reporting periods covered in this interim statement solely reflects the impact of revaluation of goodwill on overseas subsidiaries due to movements in foreign exchange.

5. Segment Information

Reportable Segments

Factors that management use to identify the Group's reportable segments

The Group's three reportable segments during the reported periods, being Recruitment, Talent Management and Technology Services (discontinued in 2013), are sectors that offer different products and services. They are managed separately having a dedicated Director, and separate reporting within the internal information provided to the management team including the Directors.

Measurement of operating segment profit

Talent Management, Recruitment and Technology Services are evaluated for performance on the basis of contribution.

Recruitment is represented by the subsidiaries, Rethink Recruitment Solutions Limited, ReBuild Recruitment Services Limited, Integritas Recruitment Limited, Rethink Recruitment (Southend) Limited, Rethink MEA FZCO, Berkley Recruitment (Group) Limited and Berkley Recruitment Group (Asia) Pte. Limited with all subsidiaries involved in both Permanent and Contract Recruitment.

Permanent recruitment involves the placing of candidates in permanent employment roles. Contract recruitment involves the placing of candidates in fixed term roles.

Talent Management is currently represented by Rethink Professional Services Limited and involves certain elements of recruitment as set out above.

Technology Services was represented by Aiimi Limited and TrustTech Limited. The segment was involved in providing technical advice, support and project management. This business service was discontinued in 2013.

 
 Segmental view                                               2014 H1 
--------------------------------  -------------------------------------------------------------- 
                                         Talent Management   Recruitment   Unallocated     Total 
                                                   GBP'000       GBP'000       GBP'000   GBP'000 
--------------------------------  ----  ------------------  ------------  ------------  -------- 
 
 Revenue 
 Contract revenue                                   22,355        29,791             -    52,146 
 Permanent revenue                                     493         3,825             -     4,318 
                                        ------------------  ------------  ------------  -------- 
 
   Total revenue                                    22,848        33,616             -    56,464 
                                        ==================  ============  ============  ======== 
 
   Gross profit                                      2,445         7,575             -    10,020 
 Administrative expenses                           (1,162)       (6,359)             -   (7,521) 
                                        ------------------  ------------  ------------  -------- 
 Contribution from operations                        1,283         1,216             -     2,499 
 Central administrative 
  expenses                                               -             -       (1,690)   (1,690) 
                                        ------------------  ------------  ------------  -------- 
 Operating profit from 
  continuing operations                              1,283         1,216       (1,690)       809 
--------------------------------------  ------------------  ------------  ------------  -------- 
 Analysed as: 
  EBITDA                                                                                     910 
  Amortisation and depreciation                                                            (101) 
 
  Operating profit from 
   continuing operations                                                                     809 
--------------------------------  ----  ------------------  ------------  ------------  -------- 
 
 
 Segmental view                                                  2013 H1 
--------------------------------  --------------------------------------------------------------------- 
                                   Technology 
                                     Services   Talent Management   Recruitment   Unallocated     Total 
                                      GBP'000             GBP'000       GBP'000       GBP'000   GBP'000 
--------------------------------  -----------  ------------------  ------------  ------------  -------- 
 
 Revenue 
 Contract revenue                           -              17,086        33,068             -    50,154 
 Permanent revenue                          -                 362         3,511             -     3,873 
 Business Transformation 
  and Technology Services               2,156                   -             -             -     2,156 
                                  -----------  ------------------  ------------  ------------  -------- 
 Total revenue                          2,156              17,448        36,579             -    56,183 
                                  -----------  ------------------  ------------  ------------  -------- 
 Discontinued operations              (2,156)                   -             -             -   (2,156) 
 
   Revenue per consolidated 
   statement of comprehensive 
   income                                   -              17,448        36,579             -    54,027 
                                  ===========  ==================  ============  ============  ======== 
 
   Gross profit from continuing 
   operations                               -               1,843         7,747             -     9,590 
 Gross profit from discontinued 
  operations                              879                   -             -             -       879 
                                  -----------  ------------------  ------------  ------------  -------- 
 Total gross profit                       879               1,843         7,747             -    10,469 
 Administrative expenses                (877)               (604)       (6,491)             -   (7,973) 
                                  -----------  ------------------  ------------  ------------  -------- 
 Contribution from continuing 
  operations                                -               1,239         1,256             -     2,495 
 Contribution from discontinued 
  operations                                2                   -             -             -         2 
 Central administrative 
  expenses                                  -                   -             -       (1,812)   (1,812) 
                                  -----------  ------------------  ------------  ------------  -------- 
 
   Operating profit from 
   continuing operations                    -               1,239         1,256       (1,812)       683 
--------------------------------  -----------  ------------------  ------------  ------------  -------- 
 Analysed as: 
  EBITDA before non-recurring 
   items 
  Amortisation and depreciation                                                                   1,113 
  Non-recurring items                                                                             (130) 
                                                                                                  (300) 
  Operating profit from 
   continuing operations                                                                            683 
--------------------------------  -----------  ------------------  ------------  ------------  -------- 
 
 
 Segmental view                                                   2013 FY 
--------------------------------  ---------------------------------------------------------------------- 
                                   Technology 
                                     Services   Talent Management   Recruitment   Unallocated      Total 
                                      GBP'000             GBP'000       GBP'000       GBP'000    GBP'000 
--------------------------------  -----------  ------------------  ------------  ------------  --------- 
 
 Revenue 
 Contract revenue                           -              44,768        58,872             -    103,640 
 Permanent revenue                          -               1,208         6,845             -      8,053 
 Business Transformation 
  and Technology Services               3,113                   -             -             -      3,113 
                                  -----------  ------------------  ------------  ------------  --------- 
 
 Total revenue                                             45,976        65,717             -    114,806 
                                  -----------  ------------------  ------------  ------------  --------- 
 Discontinued operations              (3,113)                   -             -             -    (3,113) 
 
   Revenue per consolidated 
   statement of comprehensive 
   income                                   -              45,976        65,717             -    111,693 
                                  ===========  ==================  ============  ============  ========= 
 Gross profit from continuing 
  operations                                -               5,256        14,304             -     19,560 
 Gross profit from discontinued 
  operations                            1.442                   -             -             -      1,442 
                                  -----------  ------------------  ------------  ------------  --------- 
 Total gross profit                     1,442               5,256        14,304             -     21,002 
 Administrative expenses              (1,574)             (1,365)      (12,262)             -   (15,201) 
                                  -----------  ------------------  ------------  ------------  --------- 
 Contribution from ongoing 
  operations                                -               3,891         2,042             -      5,933 
 Discontinued operations                (132)                   -             -             -      (132) 
 Central administrative 
  expenses                                  -                   -             -       (4,526)    (4,526) 
                                  -----------  ------------------  ------------  ------------  --------- 
 
   Operating profit from 
   continuing operations                    -               3,891         2,042       (4,526)      1,407 
--------------------------------  -----------  ------------------  ------------  ------------  --------- 
 Analysed as: 
  EBITDA before non-recurring 
   items                                                                                           2,225 
  Amortisation and depreciation                                                                    (176) 
  Non-recurring items                                                                              (642) 
 
  Operating profit from 
   continuing operations                                                                           1,407 
--------------------------------  -----------  ------------------  ------------  ------------  --------- 
 

Segment reportable administrative expenses consist primarily of staff, office, general expenses and depreciation.

Geographical information

The Group's operations are located in the UK, Ireland, Singapore and the Middle East.

5. Distribution of the Interim Report

Copies of this announcement may be obtained from the Company Secretary at the registered office: The Crane Building, 22 Lavington Street, London SE1 0NZ. In addition, an electronic version will be available on the Group's website - www.rethinkgroupplc.com.

This information is provided by RNS

The company news service from the London Stock Exchange

END

IR QKCDNABKDNCB

1 Year Rethink Group Chart

1 Year Rethink Group Chart

1 Month Rethink Group Chart

1 Month Rethink Group Chart

Your Recent History

Delayed Upgrade Clock