Hays pays special dividend after its profits hit £238m

RECRUITMENT firm Hays is to pay out a special dividend following a rise in full-year profit, despite its UK arm being held back by Brexit uncertainty.

The group reported a 17% rise in pre-tax profits to

£238.5 million in the 12 months to June 30, boosted by a strong performance in its international unit.

Hays recorded double-digit fee growth in all of its territories except the UK and Ireland, where they rose by just 2%.

Total net fees were up 12% on a like-for-like basis to a record £1.07 billion.

Boss Alistair Cox said: “2018 was a landmark year for the group. We successfully completed our ambitious 2013 plan, passed £1 billion in net fees for the first time and 22 countries delivered all-time records.

“We further strengthened our leading positions in key markets like Australia and Germany, and our UK business delivered a good profit performance, despite macro uncertainty.”

Off the back of the results, Hays will pay a special dividend totalling £72.9m, or 5p a share, and also raise its core dividend by 18% to 3.81p.

Shares were down nearly 5% in morning trade at 193p

Brexit uncertainty has dragged on recruitment in the UK as many firms put hiring decisions on hold until a clearer picture of trade relations emerge.