Hays PLC (LSE:HAS) reported an 8% like-for-like fall in group net fees for the three months to 30 September 2025, with temporary and contracting fees down 5% and permanent recruitment down 13%.
The specialist recruitment group said consultant net fee productivity rose 7% year-on-year as headcount was reduced by 4% during the quarter and by 15% compared with a year earlier. Group pre-exceptional operating profit was broadly stable year-on-year, supported by productivity gains and cost control.
Chief executive Dirk Hahn said: “Despite ongoing macroeconomic uncertainty and challenging Perm conditions, we experienced a normal recovery in post-summer activity levels and trading was stable on a seasonally adjusted basis through the quarter. We continue to make significant strategic and operational progress, and were pleased to deliver 4% net fee growth with large Enterprise clients and good Temp & Contracting net fee growth in several of our Focus countries.”
Hays said initiatives to deliver about £45 million of annual structural cost savings by FY29 are progressing, reducing its periodic cost base to about £74 million from £75 million in the prior quarter. Enterprise client net fees rose 4% year-on-year.
Net debt stood at about £40 million at the end of September, compared with £37 million net cash three months earlier, reflecting normal seasonal outflows. The company said consultant headcount will remain broadly stable in the next quarter as it continues to balance investment in stronger markets with further productivity improvements in more challenging areas.
Trading in September was in line with the quarterly trend, with net fees down 8% on a working-day-adjusted basis. Hays expects near-term market conditions to remain difficult through FY26, but continues to focus on cost discipline and long-term structural growth opportunities.