A strong performance in international markets was behind Hays recording 8% net fee growth and a 9% rise in operating profits, according to preliminary results announced for the year ended 30 June.

Continental Europe & Rest of World, delivered 23% net fee growth, with Germany and Brazil both up 30%, Canada up 25% and France up 17%. Asia Pacific recorded 10% net fee growth.

In contrast, the company says the UK market became “increasingly challenging” as the year progressed, with net fees down 7% overall. Within this private sector net fees were 7% lower, and public sector down 8%.

“Good operating profit growth of 9% was due to our selective investment approach and focused cost control,” says the company. 

“Consultant headcount was up 1% year-on-year, but down 4% in the second half, reflecting our strategy to capitalise on growth markets whilst maximising group profit.”

Alistair Cox, chief executive of Hays, says: “Delivering profit growth above our net fee growth in the increasingly difficult markets we faced is a good result. We have focused on getting the balance right between continued investment to grow our business and rapid action to control costs as many of our markets tightened throughout the year. 

“The strong performance of our international business is further clear evidence of the structural growth characteristics of markets such as Germany, Brazil, Canada and Japan. 

“Looking ahead to 2013 we expect the overall economic backdrop to remain difficult and our markets to continue to be multi-speed. Several markets are likely to remain very challenging, but these will sit side-by-side with clear opportunities for growth. Therefore we need to be both adaptable to the world as it changes and selective about areas for investment. 

“Achieving the right balance of building scale for the long term, exploiting stronger market segments and reducing costs and driving productivity to maximise the bottom line in more difficult areas will be key to our success.”