SThree PLC (LSE:STEM) said it was still confident of hitting full-year targets after net fees fell 7% in the first half.
The science and technology recruiter said this was against an "ongoing challenging backdrop" and was in comparison with a strong prior year performance.
Contract net fee income fell 4%, representing 84% of net fees.
Chief executive Timo Lehne said: "Against the challenges experienced by the sector, we are pleased with our trading performance over the past six months, with strong contract extensions partially offsetting continued soft new business activity.
"The group's unique business model, centred on scarce STEM skills and flexible talent solutions, continues to be a source of strength, aligned to the strategic priorities of our clients and providing sizeable growth opportunities across all our key markets.
"We are well placed to take full advantage when the market returns," he said, keeping profit guidance unchanged.
The shares fell 0.4% in early trading on Tuesday.
Analysts at Liberum noted that there were "signs of sequential improvement in new business wins, which we see as encouraging".