Norman Broadbent PLC (AIM:NBB) expects to report underlying earnings (EBITDA) of £40,000 to £60,000 in the first half, making progress towards returning to pre-Covid profit levels, the recruitment consultant said in a trading statement.
It reported EBITDA of £6,000 in the first half of 2021.
Net fee income (NFI) in the first half of 2022 rose 20% to £3.3mln, boosted by growth in Executive Search business.
"We are delighted with the progress the entire business has made and that this is quickly translating into improved financial performance whilst we continue to invest heavily in growth and business transformation,” said chief executive Kevin Davidson.
“It is encouraging to see that our immediate focus on re-establishing Norman Broadbent's position at the forefront of executive and board search, along with rebuilding the interim runner book, are both bearing fruit.”
Executive Search NFI jumped 29% in the first half to £2.6m, although Interim Management NFI dipped 5% to £0.7mln.
Average new search fee value increased 30% year-on-year and average NFI per fee earner soared 40% year-on-year.
It has seen a 50% growth in number of fee earners since start of 2022.
“With continued headcount growth, new office openings scheduled for H2 and a continued focus on higher value search and long-term recurring interim contractor income, I am confident in the trajectory the business is now on,” said Davidson.
“There will clearly be some macro-economic headwinds in the coming months but with a relentless focus on quality, client satisfaction and culture we believe we can continue to build the business whilst generating sustainable profits in the years ahead."
The group will publish its interim results in mid-August.