PageGroup has felt the effects of uncertain market conditions in the US, leading to a 15% decline in gross profit at its US operations during the first quarter of the year. This is compared to the 2% growth it reported in the fourth quarter of 2022.
In the Americas region, which comprises 16% of the company, PageGroup has seen a 7.6% year-over-year fall in gross profit in constant currency. This can be attributed to challenges in the US, Mexico and Brazil, with headcount decreasing mainly in these three countries. On the other hand, other Latin American markets saw a collective growth of 23%.
Overall, PageGroup reported a 2.4% fall in constant currency for its global gross profit to £262.7 million (US$324.4 million) in the first quarter, with growth in their largest region EMEA offset by declines across all their other major regions.
The trading update has sparked a reaction in markets and our readers are advised to refer to the EMEA edition of the SIA Daily News for full coverage of the situation. It’s clear that market conditions continue to remain uncertain, and PageGroup is feeling the effects of this in the US and across other regions