PageGroup plc Final Results

Fecha : 05/03/2020 @ 01:00
Fuente : UK Regulatory (RNS & others)
Emisora : Pagegroup Plc (PAGE)
Cotización : 369.2  -10.0 (-2.64%) @ 10:35
Pagegroup Cotización de acciones Gráfica

PageGroup plc Final Results

Pagegroup (LSE:PAGE)
Gráfica de Acción Histórica


De Ene 2020 a Jul 2020

Haga Click aquí para más Gráficas Pagegroup.

TIDMPAGE

RNS Number : 0567F

PageGroup plc

05 March 2020

5 March 2020

Full Year Results for the Year Ended 31 December 2019

PageGroup plc ("PageGroup"), the specialist professional recruitment company, announces its full year results for the year ended 31 December 2019.

 
 Financial summary                         2019          2018   Change   Change 
                                                                            CC* 
 Revenue                            GBP1,653.9m   GBP1,549.9m    +6.7%    +7.0% 
                                   ------------  ------------  -------  ------- 
 Gross profit                         GBP855.5m     GBP814.9m    +5.0%    +5.0% 
                                   ------------  ------------  -------  ------- 
 Operating profit                     GBP146.7m     GBP142.5m    +3.0%    +2.2% 
                                   ------------  ------------  -------  ------- 
 Profit before tax                    GBP144.2m     GBP142.3m    +1.4% 
                                   ------------  ------------  ------- 
 Basic earnings per share                 32.2p         32.5p    -0.9% 
                                   ------------  ------------  ------- 
 Diluted earnings per share               32.2p         32.4p    -0.6% 
                                   ------------  ------------  ------- 
 
 Total dividend per share (excl. 
  special dividend)                      13.70p        13.10p    +4.6% 
                                   ------------  ------------  ------- 
 Total dividend per share (incl. 
  special dividend)                      26.43p        25.83p 
                                   ------------  ------------ 
 

2019 operating profit includes benefit of IFRS 16 of GBP1.9m

HIGHLIGHTS*

   --    Group gross profit up 5.0% to GBP855.5m, a record year for the Group 
   --    Operating profit up 2.2% to GBP146.7m 
   --    Conversion rate** down to 17.1% (2018: 17.5%) 
   --    Gross profit per fee earner up 1.5% to GBP140.4k (2018: GBP138.3k) 
   --    Record gross profit in 19 countries 
   --    Net decrease of -89 fee earners (-1.5%); total headcount of 7,698 
   --    Final dividend of 9.40 pence per share, an increase of 4.4% 
   --    Total ordinary dividend increased 4.6% to 13.70p 
   --    GBP40.7m special dividend paid in October of 12.73p per share 

*At constant currency - all growth rates in constant currency at prior year rates unless otherwise stated

**Operating profit as a percentage of gross profit

Commenting on the results and the outlook, Steve Ingham, Chief Executive Officer of PageGroup, said:

"2019 was a record year for the Group with gross profit, operating profit and profit before tax all increasing. Today the Board has also proposed an increase in the final dividend of 4.4% to 9.4p reflecting confidence in the long-term strategic progress of the Group.

"Due primarily to the tough trading conditions seen in a number of the Group's markets, some of which are historically among the highest conversion markets in the Group, our conversion rate decreased slightly to 17.1%. EPS also declined marginally to 32.2p.

"The slowing growth that we saw in the second half of 2019, caused by a number of macro-economic challenges, have continued in the first two months of this year. In addition, we have seen the emergence of COVID-19 in Greater China. This, combined with the existing challenges, led Group gross profit to decline by -3% in these first two months.

"In our market-leading Greater China business, where COVID-19 first emerged, we have around 550 people across 9 offices, we reacted swiftly in challenging circumstances, recognising that the health and safety of our employees, candidates and clients was our top priority. With consultants continuing to work via home access, we were able to maintain contact with both candidates and clients. After periods of office closure in some cities, we had over 90% of consultants back in our offices by the end of February. Business was transacted using a range of technologies and while there was almost no face to face contact, in the first two months we were still able to deliver gross profit at c. 65% compared to 2019.

"Looking forward, in Greater China, many of our clients have not been able to return to work with the same speed and therefore we expect a significant impact in March, one of our largest months of the year, and potentially beyond. With COVID-19 now impacting other markets around the world, it is too early to estimate the impact on the Group's operations. We will continue to monitor the situation closely and will provide updates as necessary.

"PageGroup continues to have a flexible and highly diversified business model that enables us to react quickly to changes in market conditions. We are clear market leaders in many of our markets, with a highly experienced senior management team, which, we believe, positions us well to take advantage of all opportunities during 2020.

"We will continue to focus on driving profitable growth, while progressing our strategic investments towards our Vision of 10,000 headcount, GBP1bn of gross profit and GBP200m - GBP250m of operating profit."

Analyst meeting

The Company will be presenting to a meeting of analysts at 10.15am today at

FTI Consulting

200 Aldersgate

Aldersgate Street

London EC1A 4HD

If you are unable to attend in person, you can also follow the presentation on the following link:

https://www.investis-live.com/pagegroup/5e4abaf015f73f0b0065a8be/suak

Please use the following dial-in numbers to join the conference:

   United Kingdom (Local)          020 3936 2999 
   All other locations                    +44 20 3936 2999 

Please quote the access code 47 18 45 to gain access to the call

The presentation and a recording of the meeting will be available on the Company's website later today at

https://www.page.com/investors/investor-library.aspx

Enquiries:

 
 PageGroup plc                            +44 (0) 1932 264446 
 Steve Ingham, Chief Executive Officer 
 Kelvin Stagg, Chief Financial Officer 
 
 FTI Consulting                           +44 (0) 20 3727 1340 
 Richard Mountain/Susanne Yule 
 

MANAGEMENT REPORT

CAUTIONARY STATEMENT

This Management Report has been prepared solely to provide additional information to shareholders to assess the Group's strategies and the potential for those strategies to succeed.

This Management Report contains certain forward-looking statements. These statements are made by the Directors in good faith based on the information available to them up to the time of their approval of this report and such statements should be treated with caution due to the inherent uncertainties, including both economic and business risk factors, underlying any such forward looking information.

GROUP STRATEGY

At PageGroup we have a clear strategic vision. We aim to be the leading specialist recruiter in each of the markets in which we operate. We have sought to achieve this by developing a significant market presence in major global economies, as well as targeting new markets where we see the greatest potential for long-term gross profit growth at attractive conversion rates.

We offer our services across a broad range of disciplines and specialisms, solely within the professional recruitment market. Our origins are in permanent recruitment, but a quarter of our gross profit is in temporary placements, where local culture and market conditions allow. We focus on opportunities where our industry and market expertise can set us apart from our competition. This enables us to offer a premium service that is valued by clients and attracts the highest calibre of candidates.

Our mix of permanent to temporary recruitment reflects the balance of our business mix, both in terms of brands, where Michael Page, our largest brand, operating at higher salary levels, has a naturally higher level of permanent recruitment, as well as our geographic mix. We are market leaders in regions such as Latin America, Greater China and South East Asia, where we are also seeing the emergence of the white-collar temporary recruitment market.

PageGroup is focused on delivering against three key objectives to achieve its strategic vision and provide sustainable financial returns. These are: 1) to look for organic, high-margin and diversified growth; 2) to position the business to be scalable efficiently and highly flexible to reflect market conditions; and 3) as a people-oriented, organically driven business, to nurture and develop talent and skills which are fundamental to us achieving long-term sustainable growth.

We therefore invest significantly in our people, as the recruitment, retention and development of the best talent available is central to our ability to grow the business and to manage our resources through economic cycles. Investment in the business has been focused on developing the long-term sustainability of the business and is supported by significant balance sheet strength and cash flow generation.

Organic, scalable growth

Our strategy is to grow organically, achieved by drawing upon the skill and experience of proven PageGroup management, ensuring we have the best and most experienced home-grown talent in each key role. Our team-based structure and profit share business model is highly scalable. The small size of our specialist teams means we can increase headcount rapidly to achieve growth when market conditions are favourable.

Conversely, when market conditions tighten, these entrepreneurial, profit-sharing teams reduce in size, largely through natural attrition. Consequently, our cost base contracts in downturns. Our strategy for organic growth has served the business well over the 43 years since its inception and we believe it will continue to do so. We have grown from a small, single-discipline recruitment company operating in one country to a large multidiscipline, multinational business, operating in 36 countries represented by our four key brands of Page Executive, Michael Page, Page Personnel and Page Outsourcing.

Diversification by region and discipline

Our strategy is to expand and diversify the Group by industry sectors, professional disciplines, geography and level of focus, be it Page Executive, Michael Page, Page Personnel or Page Outsourcing, with the objective of being the leading specialist recruitment consultancy in each of our chosen markets.

As recruitment is a cyclical business, impacted significantly by the strength of economies, diversification is an important element of our strategy as it reduces our dependency on individual businesses or markets, thereby increasing the resilience of the Group. This strategy is pursued entirely through the organic growth of existing and new teams, offices, disciplines and countries, maintaining a consistent team and meritocratic culture as we grow.

Talent and skills development

We recognise that it is our people who are at the heart of everything we do, particularly as an organically grown business where ensuring we have a talent pool with experience through economic cycles and across both geographies and disciplines is critical. Investing in our people is, therefore, a vital element of our strategy. We seek to find the highest calibre staff from a diverse range of backgrounds and then do our very best to retain them through offering a fulfilling career and an attractive working environment.

This includes a team-based structure, a profit share business model and continuous training and career development, often internationally. Our strong track record of internal career moves and promotion from within means that people who join us know that they could be our future senior managers and main Board Directors.

Diversity and inclusion are key to our culture and the success of our business. It is not just an item on our to-do list, it's an inherent part of our culture and our business. We are a people business - the people who work here, the companies we do business with, the candidates whose lives we change for the better on a daily basis, and the communities and individuals we help as we give back to others. Understanding the values and cultural differences of our employees helps them reach their potential as we build a stronger, more successful business. A business which reflects society and the clients and candidates whose lives we change.

Sustainable growth

When we invest in a new business, be it a new country, a new office or a new discipline, we do so for the long term. Our organic and team-based business model allows us to grow strongly when market conditions are favourable, enabling us to increase our fee earner headcount investment rapidly. Conversely, downturns in the general economy of a country or in specific industries will inevitably have a knock-on effect on the recruitment market. However, it has been our practice in the past, and remains our intention, to maintain our presence in our chosen markets through these downturns, while closely controlling our cost base. In this way, we can retain our highly capable management teams in whom we have invested. Normally, we find that we gain market share during downturns, which positions our business for market-leading rates of growth when the economy improves. Pursuing this approach means that we carry spare capacity during downturns, which can have a negative effect on profitability in the short term. A strong balance sheet is, therefore, essential to support the business at these times.

Our strategic priorities comprise the following:

-- increase the scale and diversification of PageGroup by organically growing existing and new teams, offices, disciplines, brands and countries;

-- manage the business with a team and meritocratic culture, while delivering a consistent and high-quality client and candidate experience;

-- invest through cycles in our Large, High Potential markets of Germany, Greater China, Latin America, South East Asia and the US to achieve scale and a market leading position;

-- manage our fee earner headcount in all other markets to reflect prevailing market conditions, by adding selectively to geographies and disciplines where there is positive growth momentum, while reducing headcount where the outlook for growth or fee earner productivity is weak;

   --    focus on operational support consistency; and 

-- focus on succession planning and international career paths to encourage retention and development of key staff.

The main factors that could affect the business and the financial results are described in the "Principal Risks and Uncertainties" section in the PageGroup plc 2019 Annual Report and Accounts, which will be available to shareholders in April 2020.

GROUP RESULTS

 
 GROSS PROFIT                              Reported                  CC 
 Year-on-year    % of Group   2019 (GBPm)   2018 (GBPm)     %        % 
                -----------  ------------  ------------  -------  ------- 
 EMEA               49%          418.3         394.3      +6.1%    +7.0% 
                -----------  ------------  ------------  -------  ------- 
 Asia Pacific       19%          163.3         161.2      +1.3%    -0.3% 
                -----------  ------------  ------------  -------  ------- 
 Americas           16%          138.8         121.0      +14.7%   +13.8% 
                -----------  ------------  ------------  -------  ------- 
 UK                 16%          135.1         138.4      -2.4%    -2.4% 
                -----------  ------------  ------------  -------  ------- 
 Total              100%         855.5         814.9      +5.0%    +5.0% 
                -----------  ------------  ------------  -------  ------- 
 
 Permanent          75%          643.8         621.7      +3.5%    +3.3% 
                -----------  ------------  ------------  -------  ------- 
 Temporary          25%          211.7         193.2      +9.6%    +10.4% 
                -----------  ------------  ------------  -------  ------- 
 

At constant exchange rates, the Group's revenue increased 7.0% and gross profit increased 5.0% for the year ended 31 December 2019. At reported rates, revenue increased 6.7% to GBP1,653.9m (2018: GBP1,549.9m) and gross profit increased 5.0% to GBP855.5m (2018: GBP814.9m).

The Group's revenue mix between temporary and permanent placements was 61:39 (2018: 59:41) and for gross profit our permanent to temporary ratio was 75:25 (2018: 76:24). Revenue from temporary placements comprises the salaries of those placed, together with the margin charged. This margin on temporary placements increased slightly to 21.1% in 2019 (2018: 21.0%). Overall, pricing remained relatively stable across all regions, although a stronger pricing environment was experienced in markets and disciplines where there were increased instances of candidate shortages.

Our Large, High Potential markets category increased gross profit by 9% in constant currencies and achieved a record gross profit of GBP298.1m, now representing 35% of the Group. This was achieved despite the tougher trading conditions in Greater China, due to trade tariff uncertainty in Mainland China and social unrest in Hong Kong. Excluding Greater China, growth was 16%.

Total Group headcount decreased by 74 in the year to close at 7,698. This comprised a net decrease of 89 fee earners (-1.5%) and an increase of 15 operational support staff (+0.9%). Our fee earner headcount responded to the increasingly tough market conditions seen as the year progressed, with macro-economic uncertainties in many of our markets. Our operational support headcount increased to support our strategic transformation projects, although many of these came to an end towards the end of the year, with a net reduction of 37 in Q4. As a result of these movements, our fee earner to operational support staff ratio was 78:22 (2018: 79:21). In total, administrative expenses increased 5.4% to GBP708.8m (2018: GBP672.4m). The Group's operating profit from trading activities totalled GBP146.7m (2018: GBP142.5m), an increase of 2.2% in constant currencies and 3.0% in reported rates.

OPERATING PROFIT AND CONVERSION RATES

The Group's organic growth model and profit-based team bonus ensures cost control remains tight. Approximately three-quarters of costs were employee related, including wages, bonuses, share-based long-term incentives, and training & relocation costs.

Depreciation and amortisation for the year totalled GBP57.5m (2018: GBP19.7m), the increase being due to GBP36.6m of additional depreciation as a result of IFRS 16. Amortisation relating to our operating system, PRS, was GBP6.2m (2018: GBP6.9m).

Our fee earner to operational support staff ratio was 78:22, as we reduced our fee earner headcount in response to the more challenging trading conditions seen across many of the Group's markets.

The Group's conversion rate for the year of 17.1% was a decline from 17.5% in 2018. This was due primarily to the tough trading conditions seen in a number of the Group's markets, many of which have the highest conversion rates in the Group.

In EMEA, conversion was broadly flat on 2018 at 21.6%. This was a combination of more challenging macro-economic conditions, offset by our continued focus on conversion. In the UK, the conversion rate increased from 9.7% to 12.8% as we managed our cost base in response to the continued Brexit uncertainty. In Asia Pacific, conversion fell to 12.1% (2018: 16.6%), mainly due to the tougher trading conditions as a result of the trade tariff uncertainty in Mainland China and social unrest in Hong Kong. The Americas' conversion rate was broadly in line with 2018 at 13.9%. This was our fastest growing region, benefiting from our investment in its two Large, High Potential markets.

A net interest charge of GBP2.4m was primarily due to an IFRS 16 interest charge of GBP2.0m. Excluding IFRS 16, the net interest charge of GBP0.4m reflected borrowing facility charges, partially offset by interest income, albeit in the continued low interest rate environment.

Earnings per share and dividends

In 2019, basic earnings per share decreased -0.9% to 32.2p (2018: 32.5p), due to an increase in the effective tax rate from 27.1% to 28.3%. Diluted earnings per share, which includes the dilutive effect of share options, decreased -0.6% to 32.2p (2018: 32.4p).

The Group's strategy is to operate a policy of financing the activities and development of the Group from our retained earnings and to maintain a strong balance sheet position. We first use our cash to satisfy our operational and investment requirements and to hedge our liabilities under the Group's share plans. We then review our liquidity over and above these requirements to make returns to shareholders, firstly by way of an ordinary dividend.

Our policy is to grow this ordinary dividend over the course of the economic cycle, in line with our long-term growth rate. We believe this will enable us to sustain the level of ordinary dividend payments during a downturn as well as to increase it during more prosperous times.

Cash generated in excess of these first two priorities will be returned to shareholders through supplementary returns, using special dividends or share buybacks.

In line with the growth rates and increase in operating profits, a final dividend of 9.40p (2018: 9.00p) per ordinary share is proposed. When taken together with the interim dividend of 4.30p (2018: 4.10p) per ordinary share, this is an increase in the total dividend for the year of 4.6% over 2018 to 13.70p per ordinary share.

The proposed final dividend, which amounts to GBP30.2m, will be paid on 19 June 2020 to shareholders on the register as at 22 May 2020, subject to shareholder approval at the Annual General Meeting on 4 June 2020.

After consultation with our shareholders, we also paid a special dividend of 12.73p per share (2018: 12.73p per share) on 9 October 2019, totalling GBP40.7m. We will continue to monitor our cash position in 2020 and will make returns to shareholders in line with the above policy.

Cash flow and balance sheet

Cash flow in the year was strong, with GBP194.1m (2018: GBP131.7m) generated from operations. The closing cash balance was GBP97.8m at 31 December 2019, broadly in line with the prior year. The movements in the Group's cash flow in 2019 reflected the underlying trading conditions, with a GBP15.9m increase in working capital.

The Group had a GBP50m invoice financing arrangement, GBP30m revolving credit facility and GBP21m uncommitted overdraft facilities to support cash flows across its operations and ensure rapid access to funds should they be required. None of these were in use at the year end.

Income tax paid in the year was GBP37.0m (2018: GBP41.0m) and net capital expenditure in 2019 was GBP24.6m (2018: GBP24.4m). Spending on software increased from 2018 as we completed the roll-out of our new Global Finance System and commenced the implementation of our new Customer Connect operating system. Spending on property, plant and equipment decreased, with no significant office moves in the year, as well as a reduction in our fee earner headcount.

Dividend payments were up on the prior year at GBP83.5m (2018: GBP81.3m). The generally lower share price in 2019 meant that there was a decrease in cash receipts from share option exercises, with GBP7.2m in 2019, compared to GBP26.9m in 2018. In 2019, GBP10.0m (2018: GBP11.6m) was also spent on the purchase of shares by the Employee Benefit Trust to satisfy future obligations under our employee share plans.

The most significant item in our balance sheet was trade receivables, which amounted to GBP271.1m at 31 December 2019 (2018: GBP288.2m), comprising permanent fees invoiced and salaries and fees invoiced in the temporary placement business, but not yet paid. Day's sales in debtors at 31 December 2019 were 52 days (2018: 54 days).

EUROPE, MIDDLE EAST AND AFRICA (EMEA)

EMEA is the Group's largest region, contributing 49% of the Group's gross profit in the year. With operations in 17 countries, PageGroup has a strong presence in the majority of EMEA markets and is the clear leader in specialist permanent recruitment in the two largest, France and Germany. Across the region, permanent placements accounted for 68% and temporary placements 32% of gross profit.

The region includes four of our Large, Proven markets, France, Spain, Italy and the Netherlands, across which there is a broad range of competition. EMEA also includes Germany, one of the Group's Large, High Potential markets, which has low penetration rates (markets where less than 30% of recruitment is outsourced) and significant growth potential, particularly in temporary recruitment. In addition, there are markets such as Poland, Turkey and Africa, which are less developed, with limited competition, but are increasingly looking for professional recruitment services.

 
 EMEA                          GBPm          Growth rates 
 (49% of Group in 2019)    2019    2018    Reported    CC 
                          ------  ------  ---------  ------ 
 Gross Profit              418.3   394.3    +6.1%     +7.0% 
                          ------  ------  ---------  ------ 
 Operating Profit          90.3    85.6     +5.5%     +6.5% 
                          ------  ------  ---------  ------ 
 Conversion Rate (%)       21.6%   21.7% 
                          ------  ------  ---------  ------ 
 

In 2019, the EMEA region saw market conditions deteriorate as the year progressed, despite this, 9 countries delivered record gross profit for the year. In constant currencies, revenue increased 9.0% on 2018 and gross profit increased by 7.0%. In reported rates, revenue in the region was up 8.1% to GBP861.8m (2018: GBP797.4m), and gross profit increased 6.1% to GBP418.3m (2018: GBP394.3m).

Our largest businesses in the region, France and Germany, together representing half of the region by gross profit, grew 4% and 20% respectively, for the full year in constant currencies. Michael Page Interim in Germany, which is mainly focussed on technology and where we continue to invest heavily in temporary and contracting recruitment, grew 38%. Elsewhere we saw good growth in Benelux of +9%, Italy +10% and Spain +5%, despite macro-economic uncertainty across the region.

The Middle East and Africa, which represented 4% of the region, grew 1%, with tougher trading conditions in Africa.

2019 operating profit increased 5.5% to GBP90.3m (2018: GBP85.6m), with the conversion rate broadly flat at 21.6% (2018: 21.7%). The region has the highest conversion rate in the Group, though was slightly moderated by more challenging macro-economic conditions as the year progressed.

Headcount across the region increased by 18 (+0.5%) to 3,317 at the end of 2019 (2018: 3,299). We continued to invest in markets where we saw growth, such as Germany, offset by managing down our headcount where we saw more challenging conditions.

ASIA PACIFIC

Asia Pacific represented 19% of the Group's gross profit in 2019, with 76% of the region being Asia and 24% Australasia. Other than in the financial centres of Hong Kong, Singapore and Tokyo, the Asian market is generally highly under-developed and offers attractive opportunities in both international and domestic markets at good conversion rates. Two of our Large, High Potential markets, Greater China and South East Asia, are in this region. With a highly experienced management team, over 1,300 staff and limited competition, the size of the opportunity in Asia is significant. Across Asia, driven by cultural attitudes towards white collar temporary recruitment, permanent placements accounted for 94% and temporary placements 6% of gross profit.

Australasia is a mature, well-developed and highly competitive recruitment market. PageGroup has a meaningful presence in permanent recruitment in the majority of the professional disciplines and major cities in Australia and New Zealand. Page Personnel has a growing presence and significant potential to expand and grow market share.

 
 ASIA PACIFIC                  GBPm           Growth rates 
 (19% of Group in 2019)    2019    2018    Reported     CC 
                          ------  ------  ---------  -------- 
 Gross Profit              163.3   161.2    +1.3%      -0.3% 
                          ------  ------  ---------  -------- 
 Operating Profit          19.8    26.8     -26.0%    -28.7 % 
                          ------  ------  ---------  -------- 
 Conversion Rate (%)       12.1%   16.6% 
                          ------  ------  ---------  -------- 
 

In Asia Pacific, in constant currencies, revenue increased 1.7% and gross profit decreased by -0.3%. In reported rates, revenue increased 2.5% to GBP273.4m (2018: GBP266.7m), while gross profit rose 1.3% to GBP163.3m (2018: GBP161.2m).

In Asia, representing 14% of the Group, gross profit declined -1%. Greater China declined -10% with trade tariff uncertainty impacting confidence, as well as social unrest in Hong Kong. South East Asia was up 6% on the prior year, with strong performances in our newer countries of Indonesia, Thailand and Vietnam, offset by tougher trading conditions in Singapore, which was impacted by the contagion from trade tariff uncertainty. India, where we now have around 160 fee earners, delivered a record year with growth of 32%. Japan, where we invested heavily in fee earners, saw growth of 11% and delivered a record year. This was despite tougher trading conditions in the second half of the year, particularly amongst our international clients. Australia grew 3%, with tougher trading in New South Wales.

Operating profit decreased -26.0% to GBP19.8m (2018: GBP26.8m), with the conversion rate down at 12.1% (2018: 16.6%). Operating profit and conversion rate in the region were impacted by our continued investments in the two large, high potential markets, as well as investments in new offices in Bangalore and Canberra, the Nikkei market in Japan and new disciplines in Page Personnel Australia. Operating profit was also impacted by tougher trading conditions as a result of the trade tariff uncertainty in Mainland China, which also affected other markets in Asia, as well as the social unrest in Hong Kong.

Headcount across the region declined by -30 (-1.8%), ending the year at 1,679 (2018: 1,709). Our fee earner headcount in Greater China decreased in response to the tougher trading conditions, but we continued to invest elsewhere, particularly in India and Japan.

THE AMERICAS

The Americas represented 16% of the Group's gross profit in 2019, being North America (59% of the region) and Latin America (41% of the region). The US and Latin America are two of the Large, High Potential markets in our growth strategy. The US, where we have eight offices, has a well-developed recruitment industry, but in many disciplines, especially technical, there is limited national competition of any scale. PageGroup's breadth of professional specialisms and geographic reach is uncommon and provides a competitive advantage. Latin America is a highly under-developed region, where PageGroup enjoys the market leading position with around 800 employees in six countries and 13 offices. There are few international competitors and none with regional scale. Across Latin America, permanent placements accounted for 87% of gross profit and temporary placements 13%.

 
 AMERICAS                      GBPm          Growth rates 
 (16% of Group in 2019)    2019    2018    Reported     CC 
                          ------  ------  ---------  ------- 
 Gross Profit              138.8   121.0    +14.7%    +13.8% 
                          ------  ------  ---------  ------- 
 Operating Profit          19.3    16.7     +15.2%    +8.1% 
                          ------  ------  ---------  ------- 
 Conversion Rate (%)       13.9%   13.8% 
                          ------  ------  ---------  ------- 
 

In constant currencies, revenue increased by 18.9% and gross profit increased by 13.8%. In reported rates, revenue increased by 19.0% to GBP205.1m (2018: GBP172.3m) while gross profit increased 14.7% to GBP138.8m (2018: GBP121.0m).

In North America, our gross profit increased by 13% in constant currencies. The US grew 17%, despite a weaker financial services sector in New York. Our strategy of diversification continued, with particularly strong performances from our regional offices of Boston, Chicago, Houston, Los Angeles and Philadelphia. We increased our US fee earner headcount by 14% compared to last year, as we continued to invest in this Large, High Potential market.

In Latin America, gross profit was up 14% year-on-year in constant currencies. Our business in Brazil delivered growth of 14%, with Mexico, our largest country in Latin America, delivering a record year, with growth of 20%. Elsewhere, the other four countries in the region, with a headcount of over 300, saw growth of 10%, collectively, despite tougher trading conditions in Chile in the second half of the year due to political and social unrest.

Operating profit increased 15.2% to GBP19.3m (2018: GBP16.7m), with a conversion rate of 13.9% (2018: 13.8%). The Americas was our fastest growing region. However, the conversion rate was broadly flat on the prior year as improvements in growth and productivity in most markets were offset by our continued investment in the two Large, High Potential markets in the region, as well as the challenging Financial Services market in New York and social unrest in Chile. Headcount across the region increased by 48 (+3.6%) in 2019 to 1,376 (2018: 1,328).

UNITED KINGDOM

The UK represented 16% of the Group's gross profit in 2019, operating from 26 offices covering all major cities. It is a mature, highly competitive and sophisticated market with the majority of vacant positions being outsourced to recruitment firms. PageGroup has a market leading presence in permanent recruitment across the UK and a growing presence in temporary recruitment. In the UK, permanent placements accounted for 69% and temporary placements 31% of gross profit.

The UK business operates under the four brands of Michael Page, Page Personnel, Page Executive and Page Outsourcing, with representation in 13 specialist disciplines via the Michael Page brand. There remains opportunity to roll-out new discipline businesses under the lower salary-level Page Personnel brand, which now represents 26% of UK gross profit.

 
 UK                            GBPm 
 (16% of Group in 2019)    2019    2018     Growth rate 
                          ------  ------  ------------- 
 Gross Profit              135.1   138.4      -2.4% 
                          ------  ------  ------------- 
 Operating Profit          17.3    13.4       +28.9% 
                          ------  ------  ------------- 
 Conversion Rate (%)       12.8%   9.7% 
                          ------  ------  ------------- 
 

In the UK, revenue was flat on 2018 at GBP313.6m (2018: GBP313.5m), whereas gross profit declined -2.4% to GBP135.1m (2018: GBP138.4m), reflecting a slight swing to temporary recruitment as a result of the continued economic uncertainty.

The UK experienced challenging market conditions throughout the year due to continued Brexit uncertainty impacting candidate and client confidence. Page Personnel, which represents a quarter of the UK, grew 2% and delivered a record year. Michael Page, which is focused on more senior opportunities and was impacted to a greater extent by the uncertainty, declined -4%.

Despite these challenging market conditions, operating profit increased 28.9% to GBP17.3m (2018: GBP13.4m) with the conversion rate increasing to 12.8% (2018: 9.7%). While some of the improvement in profitability was through tight control of our cost base, partly as a result of the reduction in headcount, our Customer First initiative that was implemented in 2018, also led to an increase in our conversion rate during the year. Customer First restructured the business, moving from operating on a discipline to a regional basis, to more closely align with our customers. This had the effect of increasing productivity and repeat business, a reduction in travel and drove a reduction in the UK management team.

Headcount decreased to 1,326 at the end of December 2019 (2018: 1,436). Our fee earner headcount reduced by 86 (8.6%) in response to the challenging trading conditions seen throughout the year.

OTHER FINANCIAL ITEMS

Foreign exchange

Foreign exchange had a negligible impact on the Group's results for the year. However, if 2019 results were restated at current exchange rates, this would reduce Group gross profit by c. GBP15m and operating profit by c. GBP3m. In addition, current rates also remain substantially below pre-Brexit levels.

IFRS 16 - Leases

The Group is reporting under the new accounting standard, IFRS 16, for the first time. Under IFRS 16, the straight-line rental expense of GBP38.5m has been replaced with a depreciation charge in respect of the right of use assets of GBP36.6m. This has resulted in an increase to EBITDA of GBP38.5m and an increase to EBIT of GBP1.9m. An interest charge in respect of the lease liabilities of GBP2.0m has also been recognised resulting in a decrease in Profit Before Tax of GBP0.1m.

Taxation

The tax charge for the year was GBP40.8m (2018: GBP38.6m). This represented an effective tax rate of 28.3% (2018: 27.1%). The rate is higher than the effective UK rate for the calendar year of 19% (2018: 19%) principally due to the impact of higher tax rates in overseas countries and to a lesser extent disallowable expenditure. There are some countries in which the tax rate is lower than the UK, but the impact is small either because the countries are not significant contributors to Group profit, or the tax rate difference is not significant.

In 2019, the tax rate was impacted primarily by higher tax in overseas countries (+4.0%), tax on share-based payments (+0.8) and other permanent differences (+1.0%), principally employee related expenditure and entertainment expenses.

The tax charge for the year reflects the Group's tax strategy, which is aligned to business goals. It is PageGroup's policy to pay its fair share of taxes in the countries in which it operates and deal with its tax affairs in a straightforward, open and honest manner. The Group's tax strategy is set out in detail on our website in the Investor section under "Responsibilities".

Share options and share repurchases

At the beginning of 2019 the Group had 10.6m share options outstanding, of which 4.3m had vested, but had not been exercised. During the year, options were granted over 1.9m shares under the Group's share option plans. Options were exercised over 1.7m shares, generating GBP7.2m in cash, and options lapsed over 0.5m shares. At the end of 2019, options remained outstanding over 10.3m shares, of which 4.2m had vested, but had not been exercised. During 2019, 2.2m shares were purchased for the Group's Employee Benefit Trust, and no shares were cancelled (2018: 2.2m shares were purchased and no shares were cancelled).

Audit tender

The Company last tendered its audit services in 2011. In accordance with good governance practices, this year the Company will undertake a competitive tender for its external audit services and currently plans to announce the outcome of the process ahead of the Annual General Meeting on 4 June 2020.

KEY PERFORMANCE INDICATORS (KPIs)

 
 KPI                     Definition, method of calculation and analysis 
                                     Financial 
 Gross profit            How measured: Gross profit growth represents 
  growth                  revenue less cost of sales expressed as the 
                          percentage change over the prior year. It consists 
                          principally of placement fees for permanent 
                          candidates and the margin earned on the placement 
                          of temporary candidates. 
                          Why it's important: This metric indicates the 
                          degree of income growth in the business. It 
                          can be impacted significantly by foreign exchange 
                          movements in our international markets. Consequently, 
                          we look at both reported and constant currency 
                          metrics. 
                          How we performed in 2019: Gross profit increased 
                          5.0% in both constant currencies and reported 
                          rates. This was a slowing from the 15.9% in 
                          constant currencies in 2018. 
                          Relevant strategic objective: Organic growth 
                        ----------------------------------------------------------- 
 Gross profit            How measured: Total gross profit from: a) geographic 
  diversification         regions outside the UK; and b) disciplines outside 
                          of Accounting & Financial Services, each expressed 
                          as a percentage of total gross profit. 
                          Why it's important: These percentages give 
                          an indication of how the business has diversified 
                          its revenue streams away from its historical 
                          concentrations in the UK and from the Accounting 
                          & Financial Services disciplines. 
                          How we performed in 2019: Geographies: the 
                          percentage increased to 84.2% from 83.0% in 
                          2018, demonstrating a high degree of diversification. 
                          This reflects relatively stronger trading in 
                          the majority of our overseas businesses, with 
                          more challenging conditions in the UK due to 
                          Brexit related uncertainty. 
                          Disciplines: the percentage decreased slightly 
                          to 65.1% (2018: 65.2%), impacted by tougher 
                          trading conditions in our Marketing, Sales and 
                          Retail discipline category. 
                          Relevant strategic objective: Diversification 
                        ----------------------------------------------------------- 
 Ratio of gross          How measured: Gross profit from each type of 
  profit generated        placement expressed as a percentage of total 
  from permanent          gross profit. 
  and temporary           Why it's important: This ratio reflects both 
  placements              the current stage of the economic cycle and 
                          our geographic spread, as a number of countries 
                          culturally have minimal temporary placements. 
                          It gives a guide as to the operational gearing 
                          potential in the business, which is significantly 
                          greater for permanent recruitment. 
                          How we performed in 2019 : T he ratio decreased 
                          slightly to 75:25 (2018: 76:24), with stronger 
                          growth in temporary recruitment due to the macro-economic 
                          uncertainty in a number of our markets. 
 
                          Relevant strategic objective: Diversification 
                        ----------------------------------------------------------- 
 Basic earnings          How measured: Profit for the year attributable 
  per share (EPS)         to the Group's equity shareholders, divided 
                          by the weighted average number of shares in 
                          issue during the year. 
                          Why it's important: This measures the underlying 
                          profitability of the Group and the progress 
                          made against the prior year. 
                          How we performed in 2019 : The Group saw a 
                          -0.9% fall in Basic EPS to 32.2p, due to an 
                          increase in the effective tax rate from 27.1% 
                          to 28.3%. 
                          Relevant strategic objective: Sustainable growth 
                        ----------------------------------------------------------- 
 Cash                    How measured: Cash and short-term deposits 
                          Why it's important: The level of cash reflects 
                          our cash generation and conversion capabilities 
                          and our success in managing our working capital. 
                          It determines our ability to reinvest in the 
                          business, to return cash to shareholders and 
                          to ensure we remain financially robust through 
                          cycles. 
                          How we performed in 2019: Cash increased to 
                          GBP97.8m (2018: GBP97.7m). This was after dividend 
                          payments of GBP83.5m (including a special dividend 
                          of GBP40.7m). 
                          Relevant strategic objective: Sustainable growth 
                        ----------------------------------------------------------- 
                                     Strategic 
 Fee earner headcount    How measured: Number of fee earners and directors 
  growth                  involved in revenue-generating activities at 
                          the year end, expressed as the percentage change 
                          compared to the prior year. 
                          Why it's important: Growth in fee earners is 
                          a guide to our confidence in the business and 
                          macro-economic outlook, as it reflects our expectations 
                          as to the level of future demand for our services 
                          above the existing capacity currently within 
                          the business. 
                          How we performed in 2019: Fee earner headcount 
                          declined by 89, or -1.5% in the year, resulting 
                          in 6,027 fee earners at the end of the year. 
                          Our fee earner headcount reduced in markets 
                          where we saw more challenging trading conditions, 
                          such as Greater China and the UK. However, we 
                          continued to invest in markets where we saw 
                          the strongest growth such as Germany, India 
                          and the US. 
                          Relevant strategic objective: Sustainable growth 
                        ----------------------------------------------------------- 
 Gross profit            How measured: Gross profit divided by the average 
  per fee earner          number of fee-generating staff, calculated on 
                          a rolling monthly average basis. 
                          Why it's important: This is our indicator of 
                          productivity, which is affected by levels of 
                          activity in the market, capacity within the 
                          business and the number of recently hired fee 
                          earners who are not yet at full productivity. 
                          Currency movements can also impact this figure. 
                          How we performed in 2019: Productivity increased 
                          1.5% to GBP140.4k (2018: GBP138.3k). This was 
                          as a result of our focus on productivity through 
                          our COO office, partially offset by more challenging 
                          trading conditions in a number of the Group's 
                          key markets. 
 
                          Relevant strategic objective: Organic growth 
                        ----------------------------------------------------------- 
 Fee earner:             How measured: The percentage of fee earners 
  support staff           compared to operational support staff at the 
  headcount ratio         year end, expressed as a ratio. 
                          Why it's important: This reflects the operational 
                          efficiency in the business in terms of our ability 
                          to grow the revenue-generating platform at a 
                          faster rate than the staff needed to support 
                          this growth. 
                          How we performed in 2019: The ratio decreased 
                          to 78:22 from 79:21 in 2018. This was driven 
                          by a decline in our fee earner headcount of 
                          89, in response to the more challenging trading 
                          conditions in many of our markets. Our operational 
                          support staff headcount increased by 15 to support 
                          strategic transformation programmes. A number 
                          of these programmes came to an end in the year, 
                          with a reduction of 37 operational support staff 
                          in Q4. 
 
                          Relevant strategic objective: Sustainable growth 
                        ----------------------------------------------------------- 
 Conversion rate         How measured: Operating profit (EBIT) expressed 
                          as a percentage of gross profit. 
                          Why it's important: This reflects the level 
                          of fee-earner productivity and the Group's effectiveness 
                          at controlling costs in the business, together 
                          with the degree of investment being made for 
                          future growth. 
                          How we performed in 2019: The Group's conversion 
                          rate decreased to 17.1% (2018: 17.5%), due to 
                          more challenging trading conditions seen across 
                          a number of the Group's markets, many of which 
                          normally have the highest conversion rates in 
                          the Group. 
 
                          Relevant strategic objective: Sustainable growth 
                        ----------------------------------------------------------- 
                                       People 
 Employee engagement     How measured: A key output of the employee 
  index                   surveys undertaken periodically within the business. 
                          Why it's important: A positive working environment 
                          and motivated team helps productivity and encourages 
                          retention of key talent within the business. 
                          How we performed in 2019: We recorded an 83% 
                          positive score for employee engagement in the 
                          latest Employee Survey in 2019. This was a combination 
                          of questions, including: how valued our people 
                          felt; how proud they were to work for PageGroup; 
                          and the level of trust and recognition they 
                          received for their work. 
                          Relevant strategic objective: Sustainable growth 
                        ----------------------------------------------------------- 
 Management experience   How measured: Average tenure of front-office 
                          management measured as years of service for 
                          directors and above. 
                          Why it's important: Experience through the 
                          economic cycle and across both geographies and 
                          disciplines is critical for an organic cyclical 
                          business operating across the globe. Our organic 
                          business model relies on an experienced management 
                          pool to enable flexibility in resourcing and 
                          senior management succession planning. 
                          How we performed in 2019: The average tenure 
                          of the Group's management increased from 12.0 
                          years to 12.5 years, with the largest increase 
                          in EMEA. 
                          Relevant strategic objective: Talent and skills 
                          development 
                        ----------------------------------------------------------- 
 Total GHG emissions     How measured: Direct and Indirect GHG emissions 
                          calculated in line with the UK Government's 
                          2019 DEFRA reporting standards. Principally 
                          based on data from a sample of our offices, 
                          covering 70% of the Group by headcount, and 
                          extrapolated for the Group as a whole. 
                          Why it's important: The emissions calculations 
                          look at the CO2e impact of our operations in 
                          absolute terms. 
                          How we performed in 2019: Direct GHG emissions 
                          relating to the combustion of fuel increased 
                          by 9.3% to 2,054 tonnes CO2e, while Indirect 
                          GHG emissions, through the purchase of energy 
                          such as electricity, decreased by 18.2% to 4,413 
                          tonnes. 
                          Relevant strategic objective: Sustainable growth. 
                        ----------------------------------------------------------- 
 Intensity values        How measured : Intensity values for GHG emissions 
  of GHG emissions        are based on property and vehicle energy-derived 
                          emissions per 1,000 headcount. Headcount is 
                          viewed as being the most representative metric 
                          for PageGroup's activity levels and is unaffected 
                          by issues such as business mix or foreign exchange 
                          variations. 
                          Why it's important: Intensity values help to 
                          normalise the GHG metrics and place them in 
                          the context of the Group's changing business 
                          profile, particularly in terms of increases 
                          in headcount. It helps to identify where progress 
                          has been made on emissions reduction. 
                          How we performed in 2019: Energy-derived emissions 
                          were reduced by 10.3% compared with 2018, largely 
                          due to a decrease in headcount, along with changes 
                          in fuel sources and improvements in office energy 
                          efficiencies. 
                          Relevant strategic objective: Sustainable growth. 
                        ----------------------------------------------------------- 
 

The source of data and calculation methods year-on-year are on a consistent basis, including changes resulting from the use of 2019 DEFRA conversion factors. The movements in KPIs are in line with expectations.

 
 Steve Ingham              Kelvin Stagg 
 Chief Executive Officer   Chief Financial Officer 
 4 March 2020 
 

Consolidated Income Statement

For the year ended 31 December 2019

 
                                              2019        2018 
                                  Note     GBP'000     GBP'000 
 
 Revenue                           3     1,653,948   1,549,941 
 Cost of sales                           (798,498)   (735,039) 
 Gross profit                      3       855,450     814,902 
 Administrative expenses                 (708,781)   (672,439) 
                                        ----------  ---------- 
 Operating profit                  3       146,669     142,463 
 Financial income                  4           494         631 
 Financial expenses                4       (2,918)       (819) 
 Profit before tax                 3       144,245     142,275 
 Income tax expense                5      (40,800)    (38,572) 
                                        ----------  ---------- 
 Profit for the year                       103,445     103,703 
                                        ----------  ---------- 
 
 Attributable to: 
 Owners of the parent                      103,445     103,703 
                                        ----------  ---------- 
 
 Earnings per share 
 Basic earnings per share 
  (pence)                          8          32.2        32.5 
 Diluted earnings per share 
  (pence)                          8          32.2        32.4 
                                        ----------  ---------- 
 

The above results all relate to continuing operations

Consolidated Statement of Comprehensive Income

For the year ended 31 December 2019

 
                                                         2019      2018 
                                                      GBP'000   GBP'000 
 
 Profit for the year                                  103,445   103,703 
 
 Other comprehensive income/(loss) 
  for the year 
 Items that may subsequently be reclassified 
  to profit and loss: 
 
 Currency translation differences                    (14,842)     4,359 
 Loss on hedging instruments                            (939)     (988) 
 
 Total comprehensive income for the 
  year                                                 87,664   107,074 
                                                    ---------  -------- 
 
 Attributable to: 
 Owners of the parent                                  87,664   107,074 
                                                    ---------  -------- 
 

Consolidated Balance Sheet

As at 31 December 2019

 
                                                               2019        2018 
                                                   Note     GBP'000     GBP'000 
 Non-current assets 
 Property, plant and equipment                      9        31,925      35,564 
 Right-of-use assets                                2       120,246           - 
 Intangible assets - Goodwill and 
  other intangible                                            2,087       2,019 
                            - Computer software              36,967      31,377 
 Deferred tax assets                                         18,915      17,487 
 Other receivables                                  10       15,036      12,746 
                                                            225,176      99,193 
                                                         ----------  ---------- 
 Current assets 
 Trade and other receivables                        10      365,555     349,111 
 Current tax receivable                                      13,008      17,206 
 Cash and cash equivalents                          12       97,832      97,673 
                                                            476,395     463,990 
                                                         ----------  ---------- 
 
 Total assets                                       3       701,571     563,183 
                                                         ----------  ---------- 
 
 Current liabilities 
 Trade and other payables                           11    (215,811)   (204,353) 
 Lease liabilities                                  2      (29,139)           - 
 Current tax payable                                       (19,110)    (20,145) 
                                                          (264,060)   (224,498) 
                                                         ----------  ---------- 
 
 Net current assets                                         212,335     239,492 
                                                         ----------  ---------- 
 
 Non-current liabilities 
 Other payables                                     11     (11,613)    (19,474) 
 Deferred tax liabilities                                   (2,038)       (630) 
 Lease liabilities                                  2      (99,473)           - 
                                                          (113,124)    (20,104) 
                                                         ----------  ---------- 
 
 
 Total liabilities                                  3     (377,184)   (244,602) 
                                                         ----------  ---------- 
 
 Net assets                                                 324,387     318,581 
                                                         ----------  ---------- 
 
 Capital and reserves 
 Called-up share capital                                      3,286       3,284 
 Share premium                                               99,507      98,502 
 Capital redemption reserve                                     932         932 
 Reserve for shares held in the employee 
  benefit trust                                            (47,662)    (50,673) 
 Currency translation reserve                                19,375      34,217 
 Retained earnings                                          248,949     232,319 
 Total equity                                               324,387     318,581 
                                                         ----------  ---------- 
 

Consolidated Statement of Changes in Equity

For the year ended 31 December 2019

 
                                                             Reserve 
                                                          for shares 
                                                             held in 
                       Called-up                Capital          the      Currency 
                           share     Share   redemption     employee   translation   Retained      Total 
                                                             benefit 
                         capital   premium      reserve        trust       reserve   earnings     equity 
                         GBP'000   GBP'000      GBP'000      GBP'000       GBP'000    GBP'000    GBP'000 
 Balance at 1 
  January 2018             3,268    92,677          932     (58,931)        29,858    202,253    270,057 
                      ----------  --------  -----------  -----------  ------------  ---------  --------- 
 Currency 
  translation 
  differences                  -         -            -            -         4,359          -      4,359 
                      ----------  --------  -----------  -----------  ------------  ---------  --------- 
 Net income 
  recognised 
  directly in 
  equity                       -         -            -            -         4,359          -      4,359 
 Loss on hedging 
  instruments                  -         -            -            -             -      (988)      (988) 
 Profit for the year 
  ended 31 December 
  2018                         -         -            -            -             -    103,703    103,703 
 Total comprehensive 
  income for the 
  year                         -         -            -            -         4,359    102,715    107,074 
                      ----------  --------  -----------  -----------  ------------  ---------  --------- 
 Purchase of shares 
  held in employee 
  benefit trust                -         -            -     (11,567)             -          -   (11,567) 
 Exercise of share 
  plans                       16     5,825            -            -             -     21,072     26,913 
 Reserve transfer 
  when shares held 
  in the employee 
  benefit trust vest           -         -            -       19,825             -   (19,825)          - 
 Credit in respect 
  of share schemes             -         -            -            -             -      7,048      7,048 
 Credit in respect 
  of tax on share 
  schemes                      -         -            -            -             -        368        368 
 Dividends                     -         -            -            -             -   (81,312)   (81,312) 
                              16     5,825            -        8,258             -   (72,649)   (58,550) 
                      ----------  --------  -----------  -----------  ------------  ---------  --------- 
 
 
 Balance at 31 
  December 2018 and 
  1 
  January 2019             3,284    98,502          932     (50,673)        34,217    232,319    318,581 
                      ----------  --------  -----------  -----------  ------------  ---------  --------- 
 Loss on adoption of 
  IFRS 16 (note 
  2)                           -         -            -            -             -    (1,450)    (1,450) 
 Balance at 1 
  January 2019 
  (restated)               3,284    98,502          932     (50,673)        34,217    230,869    317,131 
                      ----------  --------  -----------  -----------  ------------  ---------  --------- 
 Currency 
  translation 
  differences                  -         -            -            -      (14,842)          -   (14,842) 
                      ----------  --------  -----------  -----------  ------------  ---------  --------- 
 Net expense 
  recognised 
  directly in 
  equity                       -         -            -            -      (14,842)          -   (14,842) 
 Loss on hedging 
  instruments                  -         -            -            -             -      (939)      (939) 
 Profit for the year 
  ended 31 December 
  2019                         -         -            -            -             -    103,445    103,445 
                      ----------  --------  -----------  -----------  ------------  ---------  --------- 
 Total comprehensive 
  (loss)/income 
  for the year                 -         -            -            -      (14,842)    102,506     87,664 
                      ----------  --------  -----------  -----------  ------------  ---------  --------- 
 Purchase of shares 
  held in employee 
  benefit trust                -         -            -     (10,000)             -          -   (10,000) 
 Exercise of share 
  plans                        2     1,005            -            -             -      6,236      7,243 
 Reserve transfer 
  when shares held 
  in the employee 
  benefit trust vest           -         -            -       13,011             -   (13,011)          - 
 Credit in respect 
  of share schemes             -         -            -            -             -      5,790      5,790 
 Credit in respect 
  of tax on share 
  schemes                      -         -            -            -             -         28         28 
 Dividends                     -         -            -            -             -   (83,469)   (83,469) 
                               2     1,005            -        3,011             -   (84,426)   (80,408) 
                      ----------  --------  -----------  -----------  ------------  ---------  --------- 
 
 Balance at 31 
  December 2019            3,286    99,507          932     (47,662)        19,375    248,949    324,387 
                      ----------  --------  -----------  -----------  ------------  ---------  --------- 
 

Condensed Consolidated Statement of Cash Flows

For the year ended 31 December 2019

 
                                                          2019       2018 
                                              Note     GBP'000    GBP'000 
 
 Profit before tax                                     144,245    142,275 
 Depreciation and amortisation charges                  57,500     19,661 
 Loss on sale of property, plant and 
  equipment, and computer software                          21        281 
 Share scheme charges                                    5,790      7,043 
 Net finance costs                                       2,424        181 
                                                    ----------  --------- 
 Operating cash flow before changes 
  in working capital                                   209,980    169,441 
 Increase in receivables                              (37,934)   (49,278) 
 Increase in payables                                   22,036     11,534 
                                                    ----------  --------- 
 Cash generated from operations                        194,082    131,697 
 Income tax paid                                      (36,960)   (41,001) 
                                                    ----------  --------- 
 Net cash from operating activities                    157,122     90,696 
                                                    ----------  --------- 
 
 Cash flows from investing activities 
 Purchases of property, plant and 
  equipment                                            (9,615)   (15,668) 
 Purchases of intangible assets                       (16,735)    (9,944) 
 Proceeds from the sale of property, 
  plant and equipment, and computer 
  software                                               1,740      1,204 
 Interest received                                         494        631 
                                                    ----------  --------- 
 Net cash used in investing activities                (24,116)   (23,777) 
                                                    ----------  --------- 
 
 Cash flows from financing activities 
 Dividends paid                                       (83,469)   (81,312) 
 Interest paid                                           (953)      (818) 
 Lease liability principal repayment                  (38,215)          - 
 Issue of own shares for the exercise 
  of options                                             7,243     26,913 
 Purchase of shares into the employee 
  benefit trust                                       (10,000)   (11,567) 
 Net cash used in financing activities               (125,394)   (66,784) 
                                                    ----------  --------- 
 
 Net increase in cash and cash equivalents               7,612        135 
 Cash and cash equivalents at the 
  beginning of the year                                 97,673     95,605 
 Exchange (loss)/gain on cash and 
  cash equivalents                                     (7,453)      1,933 
 Cash and cash equivalents at the 
  end of the year                              12       97,832     97,673 
                                                    ----------  --------- 
 

Notes to the consolidated preliminary results

For the year ended 31 December 2019

   1.         Corporate information 

PageGroup plc (the "Company") is a limited liability company incorporated in Great Britain and domiciled within the United Kingdom whose shares are publicly traded. The consolidated preliminary results of the Company as at and for the year ended 31 December 2019 comprise the Company and its subsidiaries (together referred to as the "Group").

The consolidated preliminary results of the Group for the year ended 31 December 2019 were approved by the Directors on 4 March 2020. The Annual General Meeting of PageGroup plc will be held at the registered office, Page House, The Bourne Business Park, 1 Dashwood Lang Road, Addlestone, Surrey, KT15 2QW on 4 June 2020 at 9.30am.

   2.         Accounting policies 

Basis of preparation

Whilst the information included in this preliminary announcement has been prepared in accordance with the recognition and measurement criteria of International Financial Reporting Standards ("IFRSs") as adopted for use in the European Union and as issued by the International Accounting Standards Board, this announcement does not itself contain sufficient information to comply with IFRSs.

The consolidated financial statements comprise the financial statements of the Group as at 31 December 2019 and are presented in UK Sterling and all values are rounded to the nearest thousand (UK GBP'000), except when otherwise indicated.

Going concern

The Group's business activities, together with the factors likely to affect its future development, performance and position are set out in the Management Report. The Management Report also includes a summary of the Group's financial position, its cash flows and its borrowing facilities.

The directors believe the Group is well placed to manage its business risks successfully. The Group's forecasts and projections, taking account of reasonably possible changes in trading performance, show that the Group should be able to operate within the level of its current committed facilities.

After making enquiries, the directors have a reasonable expectation that the Company and the Group have adequate resources to continue in operational existence for the foreseeable future, a period of not less than 12 months from the date of this report. Accordingly, they continue to adopt the going concern basis in preparing the Annual Report and Accounts.

Nature of financial information

The financial information contained within this preliminary announcement for the 12 months to 31 December 2019 and 12 months to 31 December 2018 do not comprise statutory financial statements for the purpose of the Companies Act 2006, but are derived from those statements. The statutory accounts for PageGroup plc for the 12 months to 31 December 2018 have been filed with the Registrar of Companies and those for the 12 months to 31 December 2019 will be filed following the Company's Annual General Meeting.

The auditors' reports on the accounts for both the 12 months to 31 December 2019 and 12 months to 31 December 2018 were unqualified and did not include a statement under Section 498 (2) or (3) of the Companies Act 2006.

The Annual Report and Accounts will be available for shareholders in April 2020.

New accounting standards, interpretations and amendments adopted by the Group

The accounting policies adopted in the preparation of the condensed consolidated preliminary results are consistent with those followed in the preparation of the Group's annual consolidated financial statements for the year ended 31 December 2019.

We have completed our review and implementation of "IFRS 16 - Leases" with the impact being explained in note a).

The Group also adopted IFRIC Interpretation 23 - Uncertainty over Income Tax Treatment. The Interpretation addresses the accounting for income taxes when tax treatments involve uncertainty that affects the application of IAS 12 Income Taxes. The adoption of IFRIC 23 did not have a material impact on the Group's results.

The Group applies judgement in identifying uncertainties over income tax treatments. Since the Group operates in a complex multinational environment, it assessed whether the Interpretation had an impact on its consolidated financial statements. The Company's and the subsidiaries' tax filings in different jurisdictions include deductions related to transfer pricing and the taxation authorities may challenge those tax treatments. The Group has not early adopted any standard, interpretation or amendment that has been issued but is not yet effective.

a) Adoption of IFRS 16 Leases

IFRS 16 was issued in January 2016 and it replaces IAS 17 Leases, IFRIC 4 Determining whether an Arrangement contains a Lease, SIC-15 Operating Leases-Incentives and SIC-27 Evaluating the Substance of Transactions Involving the Legal Form of a Lease. IFRS 16 sets out the principles for the recognition, measurement, presentation and disclosure of leases and requires lessees to account for all leases under a single on-balance sheet model similar to the accounting for finance leases under IAS 17. A lessee can choose to apply the standard using either a full retrospective approach or a modified retrospective approach.

The Group adopted IFRS 16 using the modified retrospective method of adoption, with the date of initial application of 1 January 2019. Under this method, the standard is applied retrospectively, with the cumulative effect of initially applying the standard recognised at the date of initial application. The Group elected to use the practical expedient on transition allowing the standard to be applied only to contracts that were previously identified as leases applying IAS 17 and IFRIC 4 at the date of initial application. The Group also elected to use the recognition exemptions for lease contracts that, at the commencement date, have a lease term of 12 months or less and do not contain a purchase option ('short-term leases'), lease contracts for which the underlying asset is of low value ('low-value assets') and to exclude initial direct costs from the measurement of the right-of-use asset at the date of initial application. Hindsight was used in determining the lease term for those contracts where an option exists to extend or terminate the lease.

The adoption under the Modified Retrospective approach is a combination of both the Modified (a) and Modified (b) method, depending on the specific lease. In both cases a full restatement of comparatives is not necessary. Under both methods the lease liability is equal to the discounted future lease payments using a discount rate at the date of initial application. Under Modified (a) method the right-of-use asset is calculated on a retrospective basis and an adjustment to reserves is made on transition. Under Modified (b) method the right-of-use asset is equal to the lease liability with no reserve adjustment required.

The effect of adopting IFRS 16 as at 1 January 2019 (increase/(decrease)) is as follows:

Impact on the Condensed Consolidated Statement of Financial Position (increase/(decrease)) as at 1 January 2019

 
                         GBP000's 
 Right-of-use assets      126,189 
 Prepayments              (2,214) 
 Total Assets             123,975 
                       ========== 
 
 Liabilities 
 Lease liabilities      (134,479) 
 Deferred Income            9,054 
                       ---------- 
 Total Liabilities      (125,425) 
                       ---------- 
 
 Equity                     1,450 
                       ========== 
 

The opening reserve adjustment of GBP1.45m was originally disclosed as GBP2.1m in the 2019 Interim announcement. The change in value was due to further analysis over the lease portfolio.

b) Nature of the effect of adoption of IFRS 16

The Group recognised right-of-use assets and lease liabilities for those leases previously classified as operating leases, except for short-term leases and leases of low-value assets. The GBP126.2m right of use asset recognised on transition related to Property leases for offices rented (GBP110.6m), Motor Vehicles of (GBP15.2m) and Other Assets of (GBP0.4m). The right-of-use assets for 21 of our most significant property leases were recognised based on the carrying amount as if the standard had always been applied, apart from the use of the incremental borrowing rate at the date of initial application. The right-of-use assets for the remaining leases were recognised based on the amount equal to the lease liabilities, adjusted for any related prepaid and accrued lease payments previously recognised. Lease liabilities were recognised based on the present value of the remaining lease payments, discounted using the incremental borrowing rate at the date of initial application.

c) Amounts recognised in the Condensed Consolidated Statement of Financial Position and Condensed Consolidated Income Statement

Set out below, are the carrying amounts of the Group's right-of-use assets and lease liabilities and the movements during the period:

Amounts recognised in the Condensed Consolidated Statement of Financial Position and Condensed Consolidated Income Statement

 
                                                              2019 
 Condensed Consolidated Income Statement                   GBP'000 
 Depreciation expense (included in Administrative 
  expenses)                                               (36,600) 
 Rental expenses (included in Administrative expenses)      38,496 
                                                         --------- 
 Operating profit                                            1,896 
                                                         --------- 
 Finance costs                                             (1,965) 
                                                         --------- 
 Profit before tax                                            (69) 
                                                         ========= 
 
 
                                                                                 Lease 
                                       Right-of-use Assets                 Liabilities 
                          ---------------------------------------------  ------------- 
                                          Motor        Other 
                           Property    Vehicles    Equipment      Total          Total 
                            GBP'000     GBP'000      GBP'000    GBP'000        GBP'000 
 
 As at 1 January 2019       110,558      15,192          439    126,189      (134,479) 
 Additions                   27,866       7,034          774     35,674       (35,768) 
 Disposals                    (577)           -            -      (577)            667 
 Depreciation expense      (27,639)     (8,545)        (416)   (36,600)              - 
 Interest expense                 -           -            -          -        (1,965) 
 Payments                         -           -            -          -         38,215 
 Foreign exchange           (4,440)           -            -    (4,440)          4,718 
 As at 31 December 2019     105,768      13,681          797    120,246      (128,612) 
                          =========  ==========  ===========  =========  ============= 
 

d) Summary of new accounting policies

Set out below are the new accounting policies of the Group upon adoption of IFRS 16, which have been applied from the date of initial application:

   --      Right-of-use assets 

The Group recognises right-of-use assets at the commencement date of the lease (i.e. the date the underlying asset is available for use). Right-of-use assets are measured at cost, less any accumulated depreciation and impairment losses, and adjusted for any remeasurement of lease liabilities. The cost of right-of-use assets includes the amount of lease liabilities recognised, initial direct costs incurred, and lease payments made at or before the commencement date less any lease incentives received. Unless the Group is reasonably certain to obtain ownership of the leased asset at the end of the lease term, the recognised right-of-use assets are depreciated on a straight-line basis over the shorter of its estimated useful life and the lease term. Right-of-use assets are subject to impairment.

   --      Lease liabilities 

At the commencement date of the lease, the Group recognises lease liabilities measured at the present value of lease payments to be made over the lease term. The lease payments include fixed payments (including in-substance fixed payments) less any lease incentives receivable, variable lease payments that depend on an index or a rate, and amounts expected to be paid under residual value guarantees. The lease payments also include the exercise price of a purchase option reasonably certain to be exercised by the Group and payments of penalties for terminating a lease, if the lease term reflects the Group exercising the option to terminate. The variable lease payments that do not depend on an index or a rate are recognised as expense in the period on which the event or condition that triggers the payment occurs.

In calculating the present value of lease payments, the Group uses the incremental borrowing rate at the lease commencement date if the interest rate implicit in the lease is not readily determinable. After the commencement date, the amount of lease liabilities is increased to reflect the accretion of interest and reduced for the lease payments made. In addition, the carrying amount of lease liabilities is remeasured if there is a modification, a change in the lease term, a change in the in-substance fixed lease payments or a change in the assessment to purchase the underlying asset.

   --      Short-term leases and leases of low-value assets 

The Group applies the short-term lease recognition exemption to its short-term leases of machinery and equipment (i.e., those leases that have a lease term of 12 months or less from the commencement date and do not contain a purchase option). It also applies the low-value assets recognition exemption to leases of office equipment that are considered of low value (i.e., below $5,000). Lease payments on short-term leases and leases of low-value assets are recognised as an expense on a straight-line basis over the lease term.

   --      Judgement in determining the lease term of contracts with renewal options 

The Group determines the lease term as the non-cancellable term of the lease, together with any periods covered by an option to extend the lease if it is reasonably certain to be exercised, or any periods covered by an option to terminate the lease, if it is reasonably certain not to be exercised.

The Group has the option, under some of its leases to lease the assets for additional terms of three to ten years. The Group applies judgement in evaluating whether it is reasonably certain to exercise the option to renew. That is, it considers all relevant factors that create an economic incentive for it to exercise the renewal. After the commencement date, the Group reassesses the lease term if there is a significant event or change in circumstances that is within its control and affects its ability to exercise (or not to exercise) the option to renew (e.g., a change in business strategy).

   3.         Segment reporting 

All revenues disclosed are derived from external customers.

The accounting policies of the reportable segments are the same as the Group's accounting policies. Segment operating profit represents the profit earned by each segment including allocation of central administration costs. This is the measure reported to the Group's Board, the chief operating decision maker, for the purpose of resource allocation and assessment of segment performance.

   (a)        Revenue, gross profit and operating profit by reportable segment 
 
                             Revenue            Gross Profit 
                     ----------------------  ------------------ 
                           2019        2018      2019      2018 
                        GBP'000     GBP'000   GBP'000   GBP'000 
 
 EMEA                   861,827     797,427   418,328   394,337 
 
 Asia Pacific           273,437     266,724   163,255   161,158 
 
 Americas               205,074     172,265   138,791   121,015 
 
 United Kingdom         313,610     313,525   135,076   138,392 
 
                      1,653,948   1,549,941   855,450   814,902 
                     ----------  ----------  --------  -------- 
 
 
                          Operating Profit 
                        ------------------- 
                             2019      2018 
                          GBP'000   GBP'000 
 
 EMEA                      90,333    85,586 
 
 Asia Pacific              19,810    26,765 
 
 Americas                  19,268    16,720 
 
 United Kingdom            17,258    13,392 
 
 Operating profit         146,669   142,463 
 Financial expense        (2,424)     (188) 
 Profit before tax        144,245   142,275 
                        ---------  -------- 
 

The above analysis by destination is not materially different to analysis by origin.

The analysis below is of the carrying amount of reportable segment assets, liabilities and non-current assets. Segment assets and liabilities include items directly attributable to a segment as well as those that can be allocated on a reasonable basis. The individual reportable segments exclude current income tax assets and liabilities. Non-current assets include property, plant and equipment, computer software, goodwill and other intangible.

   (b)        Segment assets, liabilities and non-current assets by reportable segment 
 
                                    Total Assets       Total Liabilities 
                                 ------------------  -------------------- 
                                     2019      2018       2019       2018 
                                  GBP'000   GBP'000    GBP'000    GBP'000 
 
 EMEA                             294,597   246,687    196,473    131,948 
 
 Asia Pacific                     119,110   115,220     45,832     29,803 
 
 Americas                         111,649    63,012     53,288     22,308 
 
 United Kingdom                   163,207   121,058     62,481     40,398 
                                 --------  --------  ---------  --------- 
 Segment assets/liabilities       688,563   545,977    358,074    224,457 
 
 Income tax                        13,008    17,206     19,110     20,145 
 
                                  701,571   563,183    377,184    244,602 
                                 --------  --------  ---------  --------- 
 
 
                       Property, Plant 
                         & Equipment       Intangible Assets 
                     ------------------  -------------------- 
                         2019      2018       2019       2018 
                      GBP'000   GBP'000    GBP'000    GBP'000 
 
 EMEA                  12,732    13,654      2,818      3,171 
 
 Asia Pacific           5,560     7,161        495        481 
 
 Americas               7,471     8,495        162        190 
 
 United Kingdom         6,162     6,254     35,579     29,554 
                       31,925    35,564     39,054     33,396 
                     --------  --------  ---------  --------- 
 

The below analysis in note (c) relates to the requirement of IFRS 15 to disclose disaggregated revenue streams.

   (c)        Revenue and gross profit generated from permanent and temporary placements 
 
                       Revenue            Gross Profit 
               ----------------------  ------------------ 
                     2019        2018      2019      2018 
                  GBP'000     GBP'000   GBP'000   GBP'000 
 
 Permanent        649,948     629,136   643,787   621,746 
 
 Temporary      1,004,000     920,805   211,663   193,156 
 
                1,653,948   1,549,941   855,450   814,902 
               ----------  ----------  --------  -------- 
 

The below analyses in notes (d) revenue and gross profit by discipline (being the professions of candidates placed) and (e) revenue and gross profit by strategic market have been included as additional disclosure over and above the requirements of IFRS 8 "Operating Segments".

   (d)        Revenue and gross profit by discipline 
 
                                                 Revenue            Gross Profit 
                                         ----------------------  ------------------ 
                                               2019        2018      2019      2018 
                                            GBP'000     GBP'000   GBP'000   GBP'000 
 
 Accounting and Financial Services          662,458     610,219   298,648   283,721 
 
 Legal, Technology, HR, Secretarial 
  and Other                                 442,648     402,321   212,244   196,774 
 
 Engineering, Property & Construction, 
  Procurement & Supply Chain                359,216     345,654   203,275   194,562 
 
 Marketing, Sales and Retail                189,626     191,747   141,283   139,845 
 
                                          1,653,948   1,549,941   855,450   814,902 
                                         ----------  ----------  --------  -------- 
 
   (e)        Revenue and gross profit by strategic market 
 
                                    Revenue            Gross Profit 
                            ----------------------  ------------------ 
                                  2019        2018      2019      2018 
                               GBP'000     GBP'000   GBP'000   GBP'000 
 
 Large, Proven markets         962,424     935,800   426,178   419,102 
 Large, High Potential 
  markets                      478,950     414,245   298,139   270,311 
 
 Small and Medium, High 
 Margin markets                212,574     199,896   131,133   125,489 
 
                             1,653,948   1,549,941   855,450   814,902 
                            ----------  ----------  --------  -------- 
 
   4.         Financial income / (expenses) 
 
                                                                    2019      2018 
                                                                 GBP'000   GBP'000 
 Financial income 
 Bank interest receivable                                            494       631 
                                                                --------  -------- 
 
 Financial expenses 
 Bank interest payable                                             (953)     (598) 
 Interest on discounting of French construction participation 
  tax                                                                  -     (221) 
 Interest on lease liabilities                                   (1,965)         - 
                                                                 (2,918)     (819) 
                                                                --------  -------- 
 
   5.         Taxation 

Tax on profit was GBP40.8m (2018: GBP38.6m). This represented an effective tax rate of 28.3% (2018: 27.1%). The rate is higher than the effective UK Corporation Tax rate for the year of 19.0% (2018: 19.0%) due to profits and disallowable items of expenditure being generated in countries where corporation tax rates are higher than in the UK.

   6.         Dividends 
 
                                                                   2019      2018 
                                                                GBP'000   GBP'000 
 Amounts recognised as distributions to equity holders in 
  the year: 
 Final dividend for the year ended 31 December 2018 of 9.00p 
  per ordinary share (2017: 8.60p)                               28,978    27,433 
 Interim dividend for the year ended 31 December 2019 of 
  4.30p per ordinary share (2018: 4.10p)                         13,759    13,117 
 Special dividend for the year ended 31 December 2019 of 
  12.73p per ordinary share (2018: 12.73p)                       40,732    40,762 
                                                                 83,469    81,312 
                                                               --------  -------- 
 
 Amounts proposed as distributions to equity holders in the 
  year: 
 
 Proposed final dividend for the year ended 31 December 2019 
  of 9.40p per ordinary share (2018: 9.00p)                      30,154    29,171 
                                                               --------  -------- 
 

The proposed final dividend had not been approved by the Board at 31 December and therefore has not been included as a liability. The comparative final dividend at 31 December 2019 was also not recognised as a liability in the prior year.

The proposed final dividend of 9.40p (2018: 9.00p) per ordinary share will be paid on 19 June 2020 to shareholders on the register at the close of business on 22 May 2020.

   7.         Share-based payments 

In accordance with IFRS 2 "Share-based Payment", a charge of GBP6.8m has been recognised for share options and other share-based payment arrangements (including social charges) (31 December 2018: GBP8.4m).

   8.         Earnings per ordinary share 

The calculation of the basic and diluted earnings per share is based on the following data:

 
 Earnings                                                 2019      2018 
 
 Earnings for basic and diluted earnings per share 
  (GBP'000)                                            103,445   103,703 
                                                      --------  -------- 
 
 Number of shares 
 Weighted average number of shares used for basic 
  earnings per share ('000)                            320,789   318,877 
 Dilution effect of share plans ('000)                     375     1,627 
 Diluted weighted average number of shares used for 
  diluted earnings per share ('000)                    321,164   320,504 
                                                      --------  -------- 
 
 Basic earnings per share (pence)                         32.2      32.5 
 Diluted earnings per share (pence)                       32.2      32.4 
 
   9.         Property, plant and equipment 

Acquisitions and Disposals

During the year ended 31 December 2019 the Group acquired property, plant and equipment with a cost of GBP9.6m (2018: GBP15.7m).

Property, plant and equipment with a carrying amount of GBP1.5m were disposed of during the year ended 31 December 2019 (2018: GBP1.2m), resulting in a profit on disposal of GBP0.2m (2018: loss of GBP0.2m).

   10.        Trade and other receivables 
 
                                                              2019      2018 
                                                           GBP'000   GBP'000 
 Current 
 Trade receivables                                         281,176   297,380 
 Less allowance for expected credit losses and revenue 
  reversals                                               (10,081)   (9,174) 
                                                         ---------  -------- 
 Net trade receivables                                     271,095   288,206 
 Other receivables                                          10,643     3,814 
 Accrued income (excluding revenue reversals)               70,421    44,430 
 Prepayments                                                13,396    12,661 
                                                           365,555   349,111 
                                                         ---------  -------- 
 Non-current 
 Other Receivables                                          15,036    12,746 
                                                         ---------  -------- 
 
   11.        Trade and other payables 
 
                                     2019      2018 
                                  GBP'000   GBP'000 
 Current 
 Trade payables                     6,702     6,594 
 Other tax and social security     51,687    58,186 
 Other payables                    31,216    26,870 
 Accruals                         126,206   111,040 
 Deferred income                        -     1,663 
                                  215,811   204,353 
                                 --------  -------- 
 Non-current 
 Deferred income                   10,330    18,453 
 Other tax and social security      1,283     1,021 
                                   11,613    19,474 
                                 --------  -------- 
 
   12.        Cash and cash equivalents 
 
                                                          2019      2018 
                                                       GBP'000   GBP'000 
 
 
 Cash at bank and in hand                               90,856    97,626 
 Short-term deposits                                     6,976        47 
                                                      --------  -------- 
 Cash and cash equivalents                              97,832    97,673 
 Cash and cash equivalents in the statement of cash 
  flows                                                 97,832    97,673 
                                                      --------  -------- 
 

The Group operates multi-currency cash concentration and notional cash pools, and an interest enhancement facility. The Eurozone subsidiaries and the UK-based Group Treasury subsidiary participate in the cash concentration arrangement, the Group Treasury subsidiary retains the notional cash pool and the Asia Pacific subsidiaries operate the interest enhancement facility. The structures facilitate interest compensation of cash whilst supporting working capital requirements.

The Group had a GBP50m invoice financing arrangement, GBP30m revolving credit facility and GBP21m uncommitted overdraft facilities to support cash flows across its operations and ensure rapid access to funds should they be required. None of these were in use at the year end.

   13.        Annual General Meeting 

The Annual General Meeting of PageGroup plc will be held at Page House, The Bourne Business Park, 1 Dashwood Lang Road, Addlestone, Weybridge, Surrey, KT15 2QW on 4 June 2020 at 9.30am.

   14.        Publication of Annual Report and Accounts 

This preliminary statement is not being posted to shareholders. The Annual Report and Accounts will be posted to shareholders in due course and will be delivered to the Registrar of Companies following the Annual General Meeting of the Company.

Copies of the Annual Report and Accounts can be downloaded from the Company's website https://www.page.com/presentations/year/2020

Responsibility statement of the directors on the annual report

The responsibility statement below has been prepared in connection with the company's full annual report for the year ending 31 December 2019. Certain parts of the annual report are not included within this announcement.

We confirm that, to the best of our knowledge:-

a) the financial statements, prepared in accordance with IFRSs as adopted by the European Union, give a true and fair view of the assets, liabilities, financial position and profit or loss of the company and the undertakings included in the consolidation taken as a whole; and

b) the management report, which is incorporated into the directors' report, includes a fair review of the development and performance of the business and the position of the company and the undertakings included in the consolidation taken as a whole, together with a description of the principal risks and uncertainties they face.

On behalf of the Board

 
 
 S Ingham                  K Stagg 
 Chief Executive Officer   Chief Financial Officer 
 
 4 March 2020              4 March 2020 
 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

END

FR DGGDXSXGDGGS

(END) Dow Jones Newswires

March 05, 2020 02:00 ET (07:00 GMT)

Su Consulta Reciente
BMV
FIBRAPL14
Fibra Prol..
BMV
AMXL
América Mó..
BMV
ME
IPC México
BMV
ALSEA*
Alsea
FX
USDMXN
United Sta..
Las acciones que ha visto aparecerán en este recuadro, lo que le permite volver fácilmente a las cotizaciones que ha consultado previamente
Registrarse ahora para crear su lista personalizada de acciones en streaming.

Cotizaciones PLUS están en tiempo real. Cotizaciones NYSE y AMEX están con retraso de por lo menos 20 minutos.
El resto de las cotizaciones están con retraso de por lo menos 15 minutos al menos que se indique lo contrario.

Al acceder a los servicios disponibles de ADVFN usted acepta quedar sujerto a los Términos y Condiciones

P: V:mx D:20200710 04:30:55