PageGroup (LSE:PAGE), the global recruitment consultancy behind the Michael Page brand, said group gross profit rose 1.5% in constant currencies to £190.5m in the third quarter, its first quarter of year-on-year growth since the fourth quarter of 2022.
The milestone marks a turning point after an extended downturn in hiring demand; the group's Q2 update had shown a smaller 0.2% constant-currency decline, itself an improvement on a 4.9% drop in the first quarter.
Growth was led by the Americas, up 8.9% in constant currencies to £41.1m, and Asia Pacific, up 14.7% to £35.2m, both of which PageGroup said delivered accelerating growth during the quarter. The US business delivered its eighth consecutive quarter of growth, driven by demand in construction and manufacturing, while Asia Pacific notched its sixth straight quarter of growth with standout performances in Japan, Greater China and India.
EMEA, which accounts for 49% of the group, fell 3.8% in constant currencies to £92.8m, dragged down by an 11% decline in France and a 7% fall in Germany, the group's largest market, though Southern Europe grew 5% with Spain up 9% for a fifth consecutive quarter of growth.
The UK declined 5.5% to £21.4m, broadly in line with the second quarter.
Page Executive, the group's senior appointments arm, delivered growth of 15% for the second consecutive quarter and now represents around 10% of the group.
Gross profit per fee earner rose 6% year-on-year, which PageGroup said was higher than the equivalent quarter in 2022, its record year.
"The group delivered its first quarter of growth since Q4 2022," said chief executive Nicholas Kirk, adding that around 50% of the group was in growth during the quarter while trading in France, Northern Europe and the UK remained "more challenging, albeit stable."
It moved to net cash of approximately £6m at the end of September, against net debt of around £7m at the end of the second quarter, after paying its 2026 interim dividend of £4.6m on 9 October; a year earlier the group held net cash of around £38m.
The board said it continues to expect 2026 operating profit in line with company-compiled consensus of approximately £29m, an increase from the £28m consensus figure cited alongside its second-quarter update.
Kirk said cost-saving programmes since the launch of the group's strategy have delivered annualised savings of around £40m, with around £2.5m of one-off costs tied to senior exits incurred in the first half and a similar figure expected in the second half.
PageGroup will publish its fourth-quarter trading update on 13 January 2027.