Public Recruitment Group reported pre-tax profit of £923,000 for 2006, down from £1.26m a year ago.

But operating profit rose to £3.34m, from £2.49m. The Sheffield-based company paid out £2.4m in interest charges, up from £1.1m, hitting the pre-tax figure. 

Total turnover rose to £86.7m, from £80.2m. In the education division, turnover rose 13% to £38.1m. But turnover in its social work division fell 4% to £21.9m. The company blamed reduced permanent fees and the cessation of placing clerical staff.

Rich Benton, non-executive chairman, said: “The convergence of the local authority education and social services departments plays to our strengths. In addition, the continued evolution of the locum doctor market will offer opportunities to increase market share. The outlook remains positive and the Board looks forward to the future with confidence.”
The shares rose in early trade.