Shares in specialist staffing firm SThree (STEM) leapt 8% to a new all-time high of 458p after the company posted an unscheduled trading update to flag to the market that its first half pre-tax profits would be ‘materially above market consensus’.
The firm, which specializes in recruiting staff for Science, Technology, Engineering and Mathematics (STEM) roles, said trading in the second quarter to the end of May had been stronger than expected across the majority of the group’s businesses.
It singled out high levels of demand in Life Sciences and Technology during the quarter along with continued strong performances from the US, German and Dutch businesses.
The current market consensus for first half pre-tax earnings is in the region of £40 million compared with reported profits of £13 million in the first half to May last year, reflecting the impact of the pandemic on staffing firms, and a more normal profit of £22.7 million for the first half to May 2019.
Chief executive Mark Dorman said that, despite there still being a degree of uncertainty over the economy this year, ‘the strong performance we have seen across the second quarter reflects the high levels of demand that exists for our STEM offering.
‘It is clear that organisations across all sectors understand now more than ever the importance of hiring people with skills in science, technology, engineering and mathematics in order to sustain a successful business’, Dorman added.
