SThree posts record profits with performance up 111% year-on-year

SThree, the world’s only global pure-play specialist staffing business focused on roles in STEM, has delivered full-year results for the year ended 30 November 2021, with record profit performance and net fees at an all-time high.

We’ve generated a record profit before tax of £60 million for the Group, up 111% compared to 2020. The increased demand for STEM skills, and the focused execution of our strategy, has driven this record performance.

Our net fees have grown and are up 19% year-on-year (YoY). And there has been significant YoY net fee growth in our three largest countries, Germany (23%), the USA (24%) and the Netherlands (19%), which make up 74% of Group net fees.

Similarly, our contractor order book is up 43% YoY, and Contract and Permanent nets fees have grown 17% and 24%, respectively. We’ve also seen growth across the Group in the Technology, Life Sciences and Engineering sectors.

Due to 2020 being significantly impacted by Covid-19, we’ve also measured our performance against 2019 levels. Our full-year net fees are up 9% compared to two years ago and are also up strongly in Germany, the USA and the Netherlands. In addition, our adjusted profit before tax is up 7% versus 2019.

Due to the strength of our contractor order book and our recent trading tracking ahead of expectations, we’re now anticipating double-digit net fee and profit growth for 2022.

We’re continuing to demonstrate our ESG commitments through growing our renewables business, which is up 22% compared to 2020. And we’re ahead of our target to double the share of this business from 2019 to 2024. In 2021, we also positively impacted over 33,000 lives globally.

Timo Lehne (pictured), Interim CEO, commented:

"Having been part of the Group for over 16 years and leading its most successful region, I am delighted to take on the role of Interim CEO and continue to help the Group deliver excellent results.

“Our record-breaking full-year performance, with profits up 111%, demonstrates that we have a robust strategy focusing on STEM and flexible working, implemented by a talented management team and the hard work of our people globally.

“As the market rebounded in 2021 following the impact of Covid-19, we saw demand for STEM skills increase across all of our key markets. Whether it is engineers building green infrastructure, developers aiding digital transformation or the scientists helping to develop the next life-changing drug, we are proud to have placed more than 22,000 skilled people and, combined with our ESG efforts, we impacted over 33,000 lives this financial year.

“Within our contractor markets, we see particular client demand for our employed contractor model, a market segment where we lead in many countries, and now accounts for 32% of Group net fees.

“I am confident and excited about the future of SThree. Momentum is strong and demand for the talent we provide is expanding, driving anticipated double-digit growth in FY22. We are well positioned, we demonstrated our ability to navigate through unforeseen challenges, such as Covid-19, and we continue to evolve our delivery model.

“We will further invest in our infrastructure and our people in 2022, enhancing our Group-wide platform to drive accelerated margins in future years. We remain positive about our growth prospects as we continue to position ourselves as the leading STEM talent provider in the best global STEM markets.”