International recruiter SThree’s profits slumped by 9% to £93.3m in its interim results for the six months  ended 31 May 2009.

SThree’s number of active contractors at period end fell by 21.8% to 4,494 (2008: 5,743), while average gross profit per day rates increased by 10.8% to £87.67 (2008: £79.11).

International business grew by 20% to £50.7m (2008: £42.4m) contrasting with a 29% UK decline in gross profit to £42.6m (2008: £60.1m).

Non-ICT business segments grew by 9% to £23.6m (2008: £21.8m) representing 25% of total gross profit.

Net cash remains strong at £43.9m (2008: £3.9m net cash) and reduction of days sales outstanding to 39 (2008: 51) 

The group’s interim dividend remained at 4.0p (2008: 4p).

Russell Clements, chief executive at SThree, says: “The group performed very satisfactorily in the first half in extremely challenging market conditions.  In particular, we are pleased with the strong contribution made by our international businesses, which grew by 20%, reflecting both our growing international presence and the structural growth opportunities available outside of the mature staffing markets of the UK and US.

“Our commitment to maintaining price discipline was once again evident in our robust like-for-like fee growth, with average fees improving further even in the face of significant volume declines. This performance is testament to the strengths of the group’s well-established positioning in the SME market, significant contract business and focus on the placement of specialist candidates in higher wage bands.”