Positive update boosts CPL Resources shares by 4pc

SHARES in CPL Resources jumped by over 4pc to €6.14 in afternoon trading on the Irish Stock Exchange yesterday, after the recruitment firm issued a positive trading update.

The group expects its profit before tax for the year to June 30, 2018 to be in line with market expectations.

According to Davy analyst Ross Harvey, the recruitment firm is expected to report an adjusted profit before tax of

€19.1m for the year, implying

15pc growth year-on-year. Mr Harvey said that a continued strong temporary-work performance from the group is “encouraging” as it demon- strates CPL’s ability to capitalise on a shift by its client companies and candidates towards favouring more flexible employment structures.

Mr Harvey also said that the group’s performance would be aided by its acquisition of UKbased RIG Healthcare.

CPL described current market conditions as “favourable”, with a high demand for talent and low unemployment rates in key markets.

However, the group warned that it remains conscious of the impact of political, regulatory and economic events globally on its business.

The company also used the update to announce the appointment of Lorna Conn, chief financial officer of CPL, to the board of the company with immediate effect.

Ms Conn joined the company as CFO in October last year, having previously held senior roles in a number of public companies.

“On behalf of the directors of the company I would like to welcome Lorna to the board,” said CPL chairman John Hennessy.

“She has already made a valuable contribution to the group since joining as CFO and we look forward to having the benefit of her experience, energy and expertise on the board as CPL pursues its next phase of growth”.

CPL results will be announced in September.