Newcastle-based Northern Recruitment was optimistic in its statement to shareholders at the annual general meeting today.

Chairman Leo Finn said the “sound start to the year (beginning 1 July)” he had referred to in August “has been sustained through the first quarter, in which the Group's gross profitability in both temporary and permanent recruitment is ahead of the average for the second half of last year.”

Finn said NRG Connect, the contact centre business, in particular, was achieving an improved performance compared with the second half of the year, though its revenues remain below those achieved in the relatively strong first quarter last year.

Finn concluded: “The market for permanent recruitment has remained robust and our temporary business is delivering good growth, as planned. As I stated in the annual report, I believe that we are well positioned to deliver an improved performance in the current year.”

The shares rose in early trade.