MSB International has announced a solid set of financial results for the year ended 31 January 2005.

The company’s turnover was up 37% to £92m, its pre-tax profits increased 165% to £800,000 and its operating profit was £1m (before goodwill amortisation), up from £200,000 last year. Earnings per share went up 238% to 2.57p, and MSB’s balance sheet was free of long-term debt at 31 January 2005.

A significant development is MSB’s growth in permanent revenues. A few years ago it was entirely dependent on the short-term placement of contractors for its revenues, but now permanent recruitment accounts for 23% of gross profit, helped by its strategy of diversification. MSB’s diversified division – which accounts for 13% of gross profit – now includes finance, engineering, supply chain management, sales and marketing, HR and secretarial.

The technology division is still the largest operation within the company, boosted by the acquisition of Elite Computer Staff in September 2004. Permanent fees in the division grew by 62% year on year and now represent 14% of the division’s gross profit.

Chief executive Andrew Zielinski (pictured) said: "The financial year ended 31 January 2005 was our most profitable since 2002. By contrast to recent years, the notable features are growing gross profits and earnings, and an improved sales capability. The strong financial performance is generating confidence that the range of recruitment services offered is creating an unparalleled opportunity for the company.”