Parity reported a pre-tax loss of £774,000 for 2006, narrower than the £8.62m loss of 2005.

Turnover rose to £156.8m, from £135.1m. The resources division, which includes its IT recruitment business, strengthened its relative importance within the company, with turnover rising to £114.5m (73% of the total). The company said: "Resources continued to see strong demand for its services with an increase in heads on billing and an increase in day rates driving 24% growth in revenues."

Alwyn Welch, chief executive, told Recruiter: "We focus on high-level positions such as project managers and service delivery managers, and we're seeing strength in these markets."

He said Parity had only made about 80 permanent placements in the year. "It's us rather than the market," he admitted, "but we haven't really focused in that area." He said this figure would grow in 2007. The company had about 1,250 active contractors.

Last year, Parity raised £14.7m cash by selling new shares. It has sold off businesses in mainland Europe and is now more 'UK-centric'. Net debt fell to £5.7m, from £19.1m. The firm employs about 400 people.