SThree (STHR) had an encouraging start to the year, but the recruiter's first-quarter update makes it plain that energy-linked job markets continue to disappoint. SThree's permanent-staff recruitment business is benefiting from improvements in productivity, reflected by a particularly strong showing in continental Europe. Overall, SThree revealed a 10 per cent rise in gross profits year on year, although that figure jumps to 17 per cent when you exclude the energy division.
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There was evidence of a slowdown in SThree's UK permanent business in the final quarter of 2015, which has persisted into the early part of this year - perhaps due in part to the 'Brexit' effect, - but the domestic market is hardly a busted flush.
