Hays PLC (LSE:HAS), the London-listed diversified recruiter, reported a 15% drop in fee income during its fourth quarter, which ended on 30 June.
It comes against a broadly challenging market, particularly in Germany, the United Kingdom, Ireland, and Australia & New Zealand (ANZ).
“Overall, we continued to see longer-than-normal 'time-to-hire', impacted by low levels of confidence,” chief executive Dirk Hahn said in a statement.
“Given this backdrop, we have remained focused on driving consultant productivity and tight cost control.”
Hahn added: “Given ongoing global uncertainties, in the near-term we expect our key markets will remain challenging.
“Looking ahead, we are focused on building a more resilient business, targeting the many long-term growth opportunities we see, and underpinned by our clear strategy and enhanced operational rigour.”
In Germany, fees fell 17%, with temporary and contracting fees down 16% and permanent fees down 20%.
The UK and Ireland region saw a similar trend with a 17% decrease in net fees, where temporary fees decreased by 14% and permanent fees dropped by 22%.
ANZ experienced the steepest decline with a 22% fall in fees, including a 16% reduction in temporary fees and a 32% decline in permanent fees. The Rest of the World segment also reported an 11% drop in fees.
Hays told investors it managed to achieve annualised savings of approximately £60 million in 2024.
The recruiter noted that it ended its financial year with net cash of around £55 million on its balance sheet.
In London, Hays shares moved up 1.1% to trade at 90.70p on Thursday.