Net fee income remains steady for Prime People

In 2012 Prime People saw gross revenue reduce to £12.65m reflecting the lower level of temporary business (2011: £13.95m).

Net fee income, which is, after profit, the most important measure of performance for the Group, was in line with the previous year at £8.03m (2011: £8.04m).

Whilst Group net fee income at the half year was 8% ahead of the same period in the prior year, the second half saw increased rather than diminished economic uncertainty affecting both the UK and Middle East activity for our businesses resulting in a 12% fall in net fee income in the full year from £7.06m to £6.2m from those regions.

By way of contrast, Prime People's Asia business continues to prosper, reporting an 80% increase in net fee income from £1m to £1.8m.

Overseas revenue has increased year on year and the Group generated 33% of its net fee income outside the UK, compared to the 29% achieved in 2011.

The ratio of net fee income derived from permanent as against temporary placements continues to rise from 88:12 in 2011 to 91:9 in the year being reported.

The conversion rate of operating profit from net fee income decreased from 12.5% in 2011 to 11.6% in 2012.

Basic earnings per share decreased slightly to 5.72p (2011: 5.86p). The Group maintained a strong net cash position with £2.8m as at 31 March 2012 (2011: £3.03m).

At 9:15am: (LON:PRP) Prime People share price was -0.5p at 69.5p

Story provided by StockMarketWire.com