CPL eyeing more acquisitions as trading picks up
Recruitment firm CPL Resources has said it has seen a strong start to its financial year and is eyeing potential acquisitions.
The company told shareholders, at its agm, that it is seeing strong growth in its ‘flexible’ work division, while its permanent recruitment arm is performing “in line with expectations”.
Overall, it said it expects to perform “slightly ahead of current market expectations in the months ahead”.
Last month, CPL reported an 18% rise in pre-tax profits — for the 12 months to the end of June — to €18.5m and record annual revenues of nearly €523m.
“The group reported a strong balance sheet position, closing the year with net assets of €92.5m and a net cash balance of €24.2m, demonstrating the profitable and cash generative nature of our business,” said chairman John Hennessy.
While Mr Hennessy said the effects of Brexit remain unclear and that it will present both challenges and opportunities, he said CPL continues to pursue organic growth, while also exploring “potential strategic partnerships and acquisitions in our key sectors and markets.”
Shareholders approved CPL’s final dividend recommendation of 7.15c per share, which brings its total dividend for the last financial year to 13.5c, an increase of 17%.
Despite the upbeat trading update, CPL’s share price — down by over 6.6% in the last 12 months — was unmoved yesterday.
CPL has also appointed Elaine Coughlan — founder of technology investment fund Atlantic Bridge — as an independent non-executive director.
