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Staffline - £1bn sales and £30m pretax target by 2017

October 2013

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

  • Epic Code:
  • STAF
  • Price:
  • 577.5p
Reflecting a full six-month contribution from four acquisitions in the prior year, Staffline's interims showed sales 14% higher at £187.2m with pretax profit and eps both up by a third to £4.9m and 17p, respectively. Not a bad result given chief executive Andy Hogarth says the period saw Staffline invest in new divisions and new contracts as part of a five-year strategy to take sales to £1bn and profit to £30m by 2017. This strategy presently excludes any acquisitions but with debt down to just £2.7m we suspect that these are likely to accelerate growth even further.Staffline's core recruitment business, the “Onsite†business, grew sales 12% to £177m but profit shaded a touch to £4.1m. The blue collar Onsite element grew ...

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

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