FY25 Final Results

Summary by AI ^BETAClose X

SThree plc reported final results for the year ended 30 November 2025, with revenue at £1,302.2 million and net fees at £322.7 million, both down 13% reported and 12% like-for-like compared to the prior year. Operating profit decreased significantly to £26.1 million from £66.2 million, resulting in a profit before tax of £25.5 million, down 62%. The company completed its Technology Improvement Programme (TIP) rollout and announced a further share buyback of up to £20 million, maintaining a final dividend of 9.2 pence per share. Despite a challenging macroeconomic environment, SThree ended the year with encouraging new business activity and a net cash position of £68.0 million.

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Continuing operations	FY25	FY24	Variance
Continuing operations	FY25	FY24	Reported	Like-for-like ⁽¹⁾
Revenue (£ million)	1,302.2	1,492.9	-13%	-12%
Net fees (£ million)	322.7	369.1	-13%	-12%
Operating profit (£ million)	26.1	66.2	-61%	-60%
Operating profit conversion ratio	8.1%	17.9%	-10% pts	-10% pts
Profit before tax (£ million)	25.5	67.6	-62%	-62%
Basic earnings per share (pence)	13.7	37.4	-63%	-63%
Proposed final dividend per share (pence)	9.2	9.2	-	-
Total dividend (interim and final) per share (pence)	14.3	14.3	-	-
Net cash (£ million)⁽²⁾	68.0	69.7	-2%	-2%

·	Group net fees declined by 12% YoY⁽³⁾ (FY24: YoY decline of 9%) in a challenging macroeconomic environment. Notably, across the year, the rate of decline improved sequentially each quarter, supported by the USA returning to growth.
	o	Our three largest countries accounted for 72% of Group Net Fees: the USA grew by 4%, while Germany and the Netherlands declined by 16% and 21% respectively.
	o	Skills: Engineering net fees declined by 6% YoY, with the performance supported by strong demand in the USA. Life Sciences and Technology declined by 13% and 18% YoY respectively, amid ongoing market uncertainty.
·	Contract net fees, which represent 84% of Group net fees (FY24: 84%), declined 12% YoY. Softer new business activity earlier in the year offset the benefits of the recent improvement and the continued resilience in client extensions, which underline our strength in meeting our clients' needs to retain critical STEM skills and flexible talent.
·	Permanent net fees, representing 16% of Group net fees (FY24: 16%), declined 9% YoY amid tough market conditions in most regions, but represented a sequential year-on-year improvement versus FY24, supported by growth in the US and Japan.
·	Contractor order book⁽⁴⁾ of £156.6 million, down 2% YoY, continues to represent sector-leading visibility with the equivalent of circa five months' net fees.
·	Profit before tax (PBT) of £25.5 million (down 62% YoY), in line with expectations, as the challenging economic conditions continue to impact net fees, partially offset by disciplined cost management. This included the FY25 efficiencies programme, which delivered net savings marginally ahead of plan.

·	Technology Improvement Programme (TIP) successfully delivered across all 11 countries, on time and within budget.
·	Early evidence of structural benefits, including an uplift to consultant productivity, improved sales engine quality, and greater operational velocity, alongside recurring efficiency gains.
·	Provides a single platform that drives efficiency, positions the business for scalable growth and will underpin improved margins as the market recovers.

·	Strong balance sheet with net cash of £68.0 million at year end (FY24: £69.7 million) after having returned £20.2 million to shareholders via a share buyback completed earlier in the year.
·	Final dividend proposed of 9.2 pence per share (FY24: 9.2 pence per share), taking full year dividend to 14.3 pence per share (FY24: 14.3 pence per share), underpinned by the strength of our balance sheet and reflective of the company's commitment to return excess capital to shareholders.
·	In light of the Group's strong cash generation and balance sheet, the Board announces its intention to launch a further buyback programme of up to £20m, in line with its stated capital allocation policy.

·	FY25 ended with encouraging new business activity, albeit at historically subdued levels, and good momentum in select markets, such as the USA, underpinning our expectations for the year ahead.
·	Our cost optimisation programme is progressing, with costs to deliver weighted to H1 and the realisation of savings from H2, and our modest investment in next-generation AI, whilst in its early stages, remains on track.
·	As previously announced, the Board expects FY26 profit before tax to be c.£10 million.
·	Despite the challenging extended market cycle, we have used this period to build a lean, scalable operational backbone, positioning us well as market conditions begin to improve.

FY25 Final Results

Summary by AI ^BETAClose X

FINANCIAL Highlights

Contractor order book⁽⁴⁾ of £156.6 million, down 2% YoY, continues to represent sector-leading visibility with the equivalent of circa five months' net fees.

TECHNOLOGY IMPROVEMENT PROGRAMME

Early evidence of structural benefits, including an uplift to consultant productivity, improved sales engine quality, and greater operational velocity, alongside recurring efficiency gains.

CAPITAL ALLOCATION

Final dividend proposed of 9.2 pence per share (FY24: 9.2 pence per share), taking full year dividend to 14.3 pence per share (FY24: 14.3 pence per share), underpinned by the strength of our balance sheet and reflective of the company's commitment to return excess capital to shareholders.

In light of the Group's strong cash generation and balance sheet, the Board announces its intention to launch a further buyback programme of up to £20m, in line with its stated capital allocation policy.

Outlook

USA net fees increased 4% YoY, returning to growth after two years of declines, supported by the continued traction of our internal and go-to-market initiatives throughout the year.

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·	Cost efficiencies: as of today, TIP has delivered annualised cost efficiencies of £6.5m, demonstrating a financially compelling base case ROI, with more efficiencies to come in FY26 and beyond.
·	Pipeline quality: the number of higher-quality jobs per consultant (A and B grade roles) has increased by 38% across the Group since FY23⁽⁶⁾. These are roles with stronger client engagement and higher conversion potential, meaning that consultants are spending more time on the right opportunities, earlier in the cycle.
·	Operational velocity: the Group has seen a meaningful 9% reduction in time-to-placement since FY23, which is even more pronounced in the USA Contract business where the platform has been embedded the longest and time-to-placement is down 22% over the same time period⁽⁶⁾.
·	Consultant productivity:
	o	USA: evidenced by an 18% improvement in placements per head for Contract consultants in the US business, the first market to roll-out TIP and therefore with the longest live operating history⁽⁶⁾.
	o	Germany: evidenced by the controlled comparison of our Independent Contractor (IC) and Employed Contractor Model (ECM) divisions, where IC new placement weekly net fees outperformed ECM by 10 percentage points since FY23⁽⁷⁾.

·	Our net zero ambition: In FY25, our Scope 1 and 2 emissions declined by 54% YoY, with a 40% decrease from our 2019 baseline. Our absolute Scope 3 emissions reduced by 41% versus 2019. This year, the net zero Working Group has continued to implement our transition plan.
·	Gender diversity in leadership: Our targets align with the FTSE Women Leaders Review, aiming for 40% women representation on the Board and in leadership roles. As of 30 November 2025, women represent 50% of our Board and hold 37% of leadership positions.
·	Ethnic diversity targets: In line with the Parker Review, we have met and maintained our target of at least one Board member from an ethnic minority background since 2024. We are also working towards 18% ethnic minority representation in UK leadership by FY27, with current representation at 16%.

Group net fees	% of Group	FY25 (£'000)	FY24 (£'000)	Variance
Group net fees	% of Group	FY25 (£'000)	FY24 (£'000)	Reported	Like-for-like⁽¹¹⁾
Geographical mix
DACH	33%	106,606	127,546	-16%	-16%
USA	26%	83,169	82,034	+1%	+4%
Netherlands including Spain	19%	62,255	78,532	-21%	-21%
Rest of Europe	16%	51,494	61,314	-16%	-16%
Middle East & Asia	6%	19,172	19,653	-2%	+2%
Total	100%	322,696	369,079	-12%	-12%

Skills mix
Technology	45%	145,122	177,694	-18%	-18%
Engineering	30%	98,396	105,330	-7%	-6%
Life Sciences	16%	52,442	60,926	-14%	-13%
Other	9%	26,736	25,129	+6%	+7%
Total	100%	322,696	369,079	-12%	-12%

Service mix
Contract	84%	270,659	310,617	-13%	-12%
Permanent	16%	52,037	58,462	-11%	-9%
Total	100%	322,696	369,079	-12%	-12%

·	DACH is our largest region, comprising businesses in Austria, Germany and Switzerland, with Germany accounting for 88% of net fees. Net fees declined by 16% YoY, with Contract down 14% and Permanent down 25%.
·	Germany, our largest country in the region (88% of DACH net fees), saw Contract down 13%, with overall net fees down 16%, predominantly reflecting lower levels of demand for Technology skills, our largest vertical (down 16%). Germany's performance continues to reflect a challenging trading environment, with the anticipated uplift in job flows from the reform of the debt brake and the government's €500 billion investment fund yet to materialise.
·	Switzerland saw net fees decline 17% YoY driven by Technology and Engineering, down 23% and 20% respectively.
·	Austria net fees declined 30% YoY due to reduced demand for Technology roles.

·	The USA is the world's largest specialist STEM staffing market and our second-largest region on a net fee basis. It is a key area of focus for the Group, and we will continue to invest in the region as we align our resources with the best long-term opportunities.
·	USA net fees increased 4% YoY, returning to growth after two years of declines, supported by the continued traction of our internal and go-to-market initiatives throughout the year.
·	Contract net fees, which account for 87% of the region's net fees, returned to growth, increasing 1% YoY, supported by strong demand for Energy roles. This reflects sector-wide investment to meet rising electricity demand from AI applications, data centres and electric mobility, alongside ongoing grid hardening to address climate related challenges.
·	This was complemented by an exceptional Permanent performance, with net fees up 32% YoY, driven by a recovery in demand across the three skill verticals it serves.

·	The region saw net fees decline by 21% YoY, with Contract down 20% and Permanent down 28%.
·	Netherlands, the larger of the two countries in the region (87% of net fees), closed the year down 24% YoY. The business, which sustained positive performance for longer than our other larger countries, is still working through strong prior-year comparatives, particularly in its two largest skill verticals, Technology and Engineering.
·	Contract delivered a slightly more resilient performance (down 24% YoY) than Permanent (down 27%), with both declines driven by reduced demand for Engineering and Technology skills.
·	Spain continued to deliver growth, increasing 8% YoY, primarily reflecting demand for Technology roles, its main discipline, and Engineering skills.

·	Rest of Europe comprises the UK, Belgium and France, with overall business confidence in the region remaining subdued against a backdrop of persistent market uncertainty.
·	Net fees declined 16% YoY. Contract, which represents 97% of net fees for the region, declined 16%, whilst Permanent declined 30%, reflecting the tough market conditions.
·	The UK, our largest country in the region (54% of net fees), saw net fees decline 27%, driven primarily by reduced demand for Technology, its largest skill vertical, followed by Engineering, down 33% YoY and 18% YoY respectively.
·	Belgium, our second largest country in the region (28% of net fees), delivered a positive net fee performance, increasing 15% YoY, supported by demand for roles in Life Sciences. In contrast, net fees in France declined 11% YoY.

·	Our Middle East & Asia business includes Japan and UAE, and accounts for 6% of Group net fees.
·	Net fees grew 2% YoY, with Permanent, which contributes 73% of net fees for the region, growing 8%, whilst Contract declined 12%.
·	Japan, which represents 65% of the region's net fees, delivered its fifth consecutive year of growth, with net fees increasing 20% YoY. Growth was underpinned by strong demand for Technology roles, as digital transformation, AI, and data security remained high priorities for clients. Performance also benefited from the continued repositioning of the business to serve domestic Japanese companies, supported by an expanded base of Japanese‑speaking consultants and managers, enabling deeper client engagement and market share gains.
·	Net fees in UAE were down 27%, driven by lower levels of demand across the three skill verticals it serves.

-	Balance sheet - our intention is to maintain a strong balance sheet at all times to provide operational flexibility throughout the business cycle.
-	Dividend - we aim to pay a sustainable dividend, with a commitment to a through-the-cycle dividend cover range of 2.5x to 3.0x of EPS⁽¹⁶⁾.
-	Deployment of capital prioritised in the order of:
	1.	Organic growth: investing in our people and ensuring sufficient working capital on hand to fund growth in the contractor order book while developing new business opportunities.
	2.	Business improvement: digitalising our business, putting in place the technology and tools that are key to driving both scale and higher margins.
	3.	Acquisitions: strict inorganic growth discipline, with a focus on complementary and value enhancing acquisitions.
	4.	Capital return to shareholders: after all organic and inorganic opportunities within an appropriate, time horizon have been assessed, further cash returns to shareholders may be considered.

£'000	Note	2025	2024


Revenue	2	1,302,204	1,492,906
Cost of sales	2	(979,508)	(1,123,827)
Net fees	2	322,696	369,079
Administrative expenses	3	(295,256)	(301,972)
Impairment losses on financial assets		(1,305)	(913)
Operating profit		26,135	66,194
Finance income		1,469	2,891
Finance costs		(2,071)	(1,445)
Profit before income tax		25,533	67,640
Income tax expense	4	(7,859)	(17,948)

Profit for the year attributable to the owners of the Company		17,674	49,692
Earnings per share attributable to shareholders
pence
Basic	5	13.7	37.4
Diluted	5	13.6	37.1

consolidated statement of financial position
as at 30 November 2025
		30 November	30 November
£'000	Note	2025	2024
ASSETS
Non-current assets
Property, plant and equipment		54,051	46,217
Intangible assets	6	15,968	12,122
Deferred tax assets		3,292	3,408
Total non-current assets		73,311	61,747

Current assets
Trade and other receivables		330,890	364,907
Current tax assets		11,242	10,315
Cash and cash equivalents	7	67,962	69,756
Total current assets		410,094	444,978

Total assets		483,405	506,725

EQUITY AND LIABILITIES
Equity attributable to owners of the Company
Share capital	8	1,279	1,356
Share premium	8	42,141	42,098
Other reserves		3,219	(7,195)
Retained earnings		188,457	212,385
Total equity		235,096	248,644

Current liabilities
Bank overdraft	7	-	88
Trade and other payables		182,922	198,223
Lease liabilities	9, 10	10,549	10,419
Provisions		2,831	4,068
Current tax liabilities		11,635	12,275
Total current liabilities		207,937	225,073

Non-current liabilities
Lease liabilities	9, 10	36,952	29,362
Provisions		2,581	2,784
Deferred tax liabilities		839	862
Total non-current liabilities		40,372	33,008

consolidated statement of changes in equity
for the year ended 30 November 2025
	Share capital	Share premium	Capital redemption reserve	Capital reserve	Treasury reserve	Currency translation reserve	Fair value reserve of equity investments	Retained earnings	Total equity attributable to owners of the Company
£'000
Balance at 1 December 2024	1,356	42,098	172	878	(7,246)	(999)	-	212,385	248,644
Profit for the year	-	-	-	-	-	-	-	17,674	17,674
Other comprehensive loss for the year	-	-	-	-	-	4,352	-	-	4,352

Total comprehensive (loss)/income for the year	-	-	-	-	-	4,352	-	17,674	22,026
Dividends paid to equity holders (note 11)	-	-	-	-	-	-	-	(18,542)	(18,542)
Distributions payable to tracker shareholders	-	-	-	-	-	-	-	(18)	(18)
Settlement of vested tracker shares (note 8)	1	42	-	-	2,509	-	-	(2,550)	2
Settlement of share-based payments (note 8)	-	1	-	-	4,659	-	-	(4,659)	1
Purchase of shares by Employee Benefit Trust (note 8)	-	-	-	-	(1,184)	-	-	-	(1,184)
Cancellation of share capital	(78)	-	78	-	20,199	-	-	(20,199)	-
Repurchase of shares	-	-	-	-	(20,199)	-	-	-	(20,199)
Credit to equity for equity-settled share-based payments	-	-	-	-	-	-	-	4,428	4,428
Current and deferred tax on share-based payment transactions	-	-	-	-	-	-	-	(62)	(62)
Total movements in equity	(77)	43	78	-	5,984	4,352	-	(23,928)	(13,548)
Balance at 30 November 2025	1,279	42,141	250	878	(1,262)	3,353	-	188,457	235,096

Balance at 1 December 2023	1,349	39,700	172	878	(7,939)	3,305	(13)	185,432	222,884
Profit for the year	-	-	-	-	-	-	-	49,692	49,692
Other comprehensive loss for the year	-	-	-	-	-	(4,304)	-	-	(4,304)
Total comprehensive (loss)/income for the year	-	-	-	-	-	(4,304)	-	49,692	45,388
Transfer of loss on disposal of equity investments through other comprehensive income to retained earnings	-	-	-	-	-	-	13	(13)	-
Dividends paid to equity holders (note 11)	-	-	-	-	-	-	-	(15,860)	(15,860)
Distributions payable to tracker shareholders	-	-	-	-	-	-	-	(44)	(44)
Settlement of vested tracker shares (note 8)	5	1,901	-	-	3,324	-	-	(4,167)	1,063
Settlement of share-based payments (note 8)	2	497	-	-	7,369	-	-	(7,539)	329
Purchase of shares by Employee Benefit Trust (note 8)	-	-	-	-	(10,000)	-	-	-	(10,000)
Credit to equity for equity-settled share-based payments	-	-	-	-	-	-	-	4,894	4,894
Current and deferred tax on share-based payment transactions	-	-	-	-	-	-	-	(10)	(10)
Total movements in equity	7	2,398	-	-	693	(4,304)	13	26,953	25,760
Balance at 30 November 2024	1,356	42,098	172	878	(7,246)	(999)	-	212,385	248,644
The accompanying notes form an integral part of these Consolidated Financial Statements.

consolidated statement of cash flows
for the year ended 30 November 2025
£'000	Note	2025	2024

Cash flows from operating activities
Profit before tax		25,533	67,640
Adjustments for:
Depreciation and amortisation charge		17,669	15,254
Loss on disposal of property, plant and equipment other than right-of-use assets		48	135
Gain on lease modification		(42)	(69)
Finance income		(1,469)	(2,891)
Finance costs		2,071	1,445
Gain on disposal of subsidiary	3	-	(135)
Non-cash charge for share-based payments		4,662	4,986
Operating cash flows before changes in working capital and provisions		48,472	86,365
(Decrease)/increase in receivables		44,151	(28,382)
(Decrease)/increase in payables		(20,973)	3,667
Decrease in provisions		(1,558)	(1,861)
Cash generated from operations		70,092	59,789
Interest received		1,469	2,891
Income tax paid		(9,894)	(23,002)

Net cash generated from operating activities		61,667	39,678

Cash flows from investing activities
Purchase of property, plant and equipment		(3,386)	(6,830)
Purchase of intangible assets	6	(5,240)	(6,339)

Net cash used in investing activities		(8,626)	(13,169)

Cash flows from financing activities
Interest paid	10	(2,071)	(1,445)
Lease principal payments	10	(12,502)	(13,111)
Proceeds from exercise of share options		1	499
Cancellation of share capital	8	(20,199)
Purchase of shares by Employee Benefit Trust	8	(1,184)	(10,000)
Dividends paid to equity holders	11	(18,542)	(15,860)
Distributions to tracker shareholders		(62)	-

Net cash used in financing activities		(54,559)	(39,917)

2025 £'000	DACH	Rest of Europe	Netherlands including Spain	USA	Middle East & Asia	Total
Timing of revenue recognition
Over time	375,436	291,460	274,968	278,666	27,508	1,248,038
At a point in time	21,867	1,464	5,996	10,877	13,962	54,166
	397,303	292,924	280,964	289,543	41,470	1,302,204

2024 £'000	DACH	Rest of Europe	Netherlands including Spain	USA	Middle East & Asia	Total
Timing of revenue recognition
Over time	427,228	351,135	334,802	290,774	27,194	1,431,133
At a point in time	28,823	2,015	8,769	8,455	13,711	61,773
	456,051	353,150	343,571	299,229	40,905	1,492,906

£'000	30 November 2025	30 November 2024
Cash at bank	67,962	69,756
Bank overdraft	-	(88)
Net cash and cash equivalents	67,962	69,668

£'000	30 November 2025	30 November 2024
Buildings	42,220	35,577
Cars	908	976
Total right-of-use assets	43,128	36,553

Current lease liabilities	10,549	10,419
Non-current lease liabilities	36,952	29,362
Total lease liabilities	47,501	39,781

£'000
Balance at 1 December 2023	29,017
Cash flows:
Interest paid to bank	(108)
Payments of principal and interest element of lease liabilities	(14,448)
Total cash flows	(14,556)
Lease increases	25,311
Lease termination	(868)
Other movements^*	877
Balance at 30 November 2024 and 1 December 2024	39,781
Cash flows:
Interest paid to bank	(20)
Payments of principal and interest element of lease liabilities	(14,553)
Total cash flows	(14,573)
Lease increases	21,447
Lease terminations	(1)
Other non-cash movements^*	847
Balance at 30 November 2025	47,501

£'000, unless otherwise stated	2025
	Revenue	Net fees	Operating profit	Operating profit conversion ratio*	Profit before tax
	Revenue	Net fees	Operating profit	Operating profit conversion ratio*	Profit before tax	Basic EPS (pence)
Reported	1,302,204	322,696	26,135	8.1%	25,533	13.7
Currency impact	4,500	1,635	316	0.1%	301	0.2
In constant currency	1,306,704	324,331	26,451	8.2%	25,834	13.9

pence, unless otherwise stated	2025	2024
SThree plc TSR return index value: three-month average to 30 Nov 2022 (FY24: 30 Nov 2021)	355.43	528.47
SThree plc TSR return index value: three-month average to 30 Nov 2025 (FY24: 30 Nov 2024)	178.83	382.78
Total shareholder return	-49.7%	-27.6%

FY25 Final Results

Summary by AI BETAClose X

FINANCIAL Highlights

Contractor order book(4) of £156.6 million, down 2% YoY, continues to represent sector-leading visibility with the equivalent of circa five months' net fees.

TECHNOLOGY IMPROVEMENT PROGRAMME

Early evidence of structural benefits, including an uplift to consultant productivity, improved sales engine quality, and greater operational velocity, alongside recurring efficiency gains.

CAPITAL ALLOCATION

Final dividend proposed of 9.2 pence per share (FY24: 9.2 pence per share), taking full year dividend to 14.3 pence per share (FY24: 14.3 pence per share), underpinned by the strength of our balance sheet and reflective of the company's commitment to return excess capital to shareholders.

In light of the Group's strong cash generation and balance sheet, the Board announces its intention to launch a further buyback programme of up to £20m, in line with its stated capital allocation policy.

Outlook

USA net fees increased 4% YoY, returning to growth after two years of declines, supported by the continued traction of our internal and go-to-market initiatives throughout the year.

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UK 100

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Summary by AI ^BETAClose X

Contractor order book⁽⁴⁾ of £156.6 million, down 2% YoY, continues to represent sector-leading visibility with the equivalent of circa five months' net fees.