Prime People reported a loss of £11,000 for the 15 months to 31 March, which included three months of contribution from commercial property recruiter Macdonald & Company, which it took over late in 2005.

Gross fee income for the 15-month period rose to £5.37m, compared with £2.3m for the 12 months to December 2004.

Had the businesses been combined for the whole year, the gross fee income for the 12 months to March 2006 would have been £16.5m. Pre-tax profit would have been £1.76m, compared with £901,000 a year earlier.

Executive chairman Robert Macdonald said the net fee income for April and May 2006 was 20% up on a year earlier.  He added: “Early indications from our new business in the Middle East are very encouraging.”