Spring Group’s first half-year profit in five years may have signalled the end to the problems caused by the bursting of the dot-com bubble.

The IT recruitment company announced yesterday that its estimated annual £50m contract with Barclays Bank to provide temporary staff has been extended for two years.

Pre-tax profit was £1.6m in the six months to June 30, compared with a £3.9m loss a year earlier as turnover rose from £146m to £229m.

Richard Barfield, chief executive said: “With significantly increased revenues and a healthy return to the black, these results reflect the considerable progress made over the past two years.

“Spring has executed its focused strategy through a targeted disposal, acquisition and investment programme and tight focus on cost management, and has emerged as a much more robust business.”