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Q4 2015 and Full Year Trading Update
Trading Performance – Year-on-Year Gross Profit
Reported (£m) Constant
2015 2014 % %
Q4 2015 vs Q4 2014 135.6 136.3 -0.5% +5.3%
FY 2015 vs FY 2014 555.9 532.8 +4.3% +9.2%
• Q4 Gross Profit +5.3% vs Q4 2014 in constant currency
• In constant currency, Q4 Gross Profit was £143.4m, c. +£8m on reported rates
• Q4 Gross Profit -0.5% vs Q4 2014 in reported rates
4
Permanent : Temporary – Year-on-Year Gross Profit
Reported (£m) Constant
Q4 2015 2014 % %
Permanent 100.9 101.9 -1.0% +4.9%
Temporary 34.7 34.4 +1.0% +6.2%
Ratio (Perm : Temp) 74:26 75:25
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Reported (£m) Constant
FY 2015 2014 % %
Permanent 424.4 406.4 +4.4% +9.0%
Temporary 131.5 126.4 +4.1% +9.9%
Ratio (Perm : Temp) 76:24 76:24
• Proportion of perm in Q4 normally less than annual average due to availability of candidates and
decision makers over festive period
• Lower proportion in 2015 than 2014 due to growth of Page Personnel which has higher temp
proportion
Quarter 4 Discipline Overview – Year-on-Year Gross Profit
Reported (£m) Constant
Q4 % of
Group 2015 2014 % %
Finance & Accounting 40% 53.8 54.2 -0.6% +5.0%
Legal, Technology, HR, Secretarial
and Healthcare 22% 30.4 27.0 +12.7% +18.7%
Engineering, Property &
Construction, Procurement &
Supply Chain
19% 25.2 27.3 -7.5% -1.7%
Marketing, Sales and Retail 19% 26.2 27.8 -6.1% -0.5%
Group Total 100% 135.6 136.3 -0.5% +5.3%
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Headcount
Q4 2015 Q4 2014 Movement %
Fee earners 4,484 4,278 206 4.8%
Support staff 1,351 1,300 51 3.9%
Total headcount 5,835 5,578 257 4.6%
Ratio 77:23 77:23
• Fee earners added where growth strongest
• Fee earner to operational support staff ratio remains at 77:23, a record for the Group
• Majority of additional operational support staff based in our newly established European Shared
Service Centre
7
Headcount and Reported Gross Profit - Quarterly
Total headcount increased 4.6% vs. Q4 2014 to 5,835 (Q4 2014: 5,578)
8
Headcount and Reported Gross Profit - Full Year
9
Total headcount growth of 4.6% aligned to constant currency gross profit growth of 9.2%
Q4 Regional Overview – Year-on-Year Gross Profit
Reported Constant Reported
FY 2014 FY 2014 Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q4 2015
EMEA +2.1% +8.6% +12.1% +11.4% +13.0% +10.3% +1.6%
UK +11.5% +11.5% +11.3% +12.8% +12.5% +2.1% +2.1%
Asia Pacific -0.3% +9.4% +10.8% +5.6% +5.3% -1.3% -5.5%
Americas +0.8% +13.2% +7.1% +11.5% +5.3% +5.4% -4.1%
Group Total +3.7% +10.0% +10.9% +10.6% +10.0% +5.3% -0.5%
11
Full Year Regional Overview – Year-on-Year Gross Profit
Reported (£m) Constant
FY % of
Group 2015 2014 % %
EMEA 39% 216.8 212.0 +2.3% +11.8%
UK 27% 151.6 138.4 +9.6% +9.6%
Asia Pacific 20% 109.1 105.5 +3.4% +4.9%
Americas 14% 78.4 76.9 +1.9% +7.3%
Group Total 100% 555.9 532.8 +4.3% +9.2%
12
EMEA (41% of Group in Q4) – Year-on-Year Gross Profit
Reported (£m) Constant
2015 2014 % %
Q4 2015 vs Q4 2014 55.8 55.0 +1.6% +10.3%
FY 2015 vs FY 2014 216.8 212.0 +2.3% +11.8%
Headcount at 31 December 2015: 2,295 (31 December 2014: 2,113)
• Michael Page (56% of EMEA) +8%, Page Personnel (44% of EMEA) +13%
• France (13% of Group) +4%
- Michael Page (38% of France) +5%
- Page Personnel (62% of France) +3%
• Germany (6% of Group) +12%
-Michael Page (66% of Germany) +2%
-Page Personnel (34% of Germany) +37%
• Spain +37%, Italy +27%, Benelux, Austria and Sweden all over +20%
• Record quarter for Poland
• Middle East and Africa combined, declined 18%, Middle East (-32%) and Africa (+12%)
13 13
United Kingdom (27% of Group in Q4) – Year-on-Year Gross Profit
• Michael Page (78% of the UK) +1%
• Page Personnel (22% of the UK) +10%
• Legal, HR and Technology continued to perform well
• Finance & Accounting, Marketing and Retail growth slowed in Q4
• Technical disciplines, particularly Engineering and Property & Construction were the most challenging
• Private sector (87% of the UK) +2%
• Public sector (13% of the UK) +1%
Reported (£m)
2015 2014 %
Q4 2015 vs Q4 2014 36.2 35.5 +2.1%
FY 2015 vs FY 2014 151.6 138.4 +9.6%
Headcount at 31 December 2015: 1,516 (31 December 2014: 1,441)
14 14
Asia Pacific (18% of Group in Q4) – Year-on-Year Gross Profit
• Asia (13% of Group and 74% of Asia Pacific) +2%
• Greater China (60% of Asia) +6%
• Record quarter for Indonesia +24%
• India +17%, record year and profitable
• Australasia (5% of Group and 26% of Asia Pacific) -9%
• Australia -9%, Page Personnel +1%
• Management change in Q3
15 15
Reported (£m) Constant
2015 2014 % %
Q4 2015 vs Q4 2014 24.8 26.2 -5.5% -1.3%
FY 2015 vs FY 2014 109.1 105.5 +3.4% +4.9%
Headcount at 31 December 2015: 1,180 (31 December 2014: 1,141)
Americas (14% of Group in Q4) – Year-on-Year Gross Profit
• North America (8% of the Group and 59% of Americas) +23%
• US +27%, strong performance from New York
• Canada +1%, in a challenging economy
• Latin America (6% of the Group and 41% of Americas) -9%
• Brazil (35% of Latin America) -34%, impacted by adverse macro-economic factors
• Latin America ex-Brazil (65% of Latin America) +23%
• Mexico +28%, record quarter for Argentina and Peru
16 16
Reported (£m) Constant
2015 2014 % %
Q4 2015 vs Q4 2014 18.8 19.6 -4.1% +5.4%
FY 2015 vs FY 2014 78.4 76.9 +1.9% +7.3%
Headcount at 31 December 2015: 844 (31 December 2014: 883)
Summary
Summary
• Q4 Gross Profit: +5.3% in constant currency and -0.5% in reported rates
- Strong performances from Europe, US and majority of Latin America
- Weaker performances from Brazil, Australia, Greater China and UK
• Foreign exchange reduced Gross Profit by 5.8 percentage points or c. £8m
• FY Gross Profit: +9.2% in constant currency and +4.3% in reported rates
• Q4 Headcount: 5,835
- Fee earner to operational support staff ratio of 77:23
- Successfully surpassed (85%) our target of 80% of fee earners using new
recruitment software
• Financial position: c. £93m net cash
• FY profit expectation broadly in line with consensus representing c.20% growth
in constant currency
18
Outlook
Summary
• Short-term trading conditions remain challenging and unpredictable
- Brazil and Middle East likely to remain challenging
- UK Q4 growth rate of concern, although activity levels consistent with Q1-Q3,
2015. Hopefully clients in New Year will be more decisive
- Asia difficult to predict as it continues to be impacted by economic news from
Greater China
- Europe, US and rest of Latin America look positive
• Ongoing focus on conversion rates and productivity
- Selective investment in fee earner headcount in high growth areas and where
strategic opportunities exist
- Continued focus on standardisation and efficiency
- Completion of the European Shared Service Centre by end of 2016 should help
our fee earner to operational support staff ratio
Outlook
19
Key Dates
Summary
20
• Full Year Results – 10 March
• Q1 Interim Management Statement – 12 April
• Q2 Trading Update – 12 July
• Interim Results – 11 August
• Q3 Interim Management Statement – 11 October
• Q4 2016 Trading Update – 10 January 2017
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Cautionary Statement
This presentation contains certain statements that are neither reported financial results nor other historical information.
The information contained in this presentation is not audited, is for personal use and informational purposes only and is
not intended for distribution to, or use by, any person or entity in any jurisdiction in any country where such distribution or
use would be contrary to law or regulation, or which would subject any member of the Michael Page International plc
group of companies to any registration requirement. No representation or warranty, express or implied, is or will be made
in relation to the accuracy, fairness or completeness of the information or opinions made in this presentation.
Certain statements included or incorporated by reference within this presentation may constitute “forward-looking
statements” that are based on current expectations or beliefs, as well as assumptions about future events. There are risk
factors that can cause actual results to differ materially from those expressed in or implied by such statements.
Accordingly, no assurance can be given that any particular expectation will be met and reliance should not be placed on
any forward-looking statement.
Michael Page International plc disclaims any intention or obligation to revise or update any forward-looking statements
that may be made in this presentation, regardless of whether those statements are affected as a result of new
information, future events or otherwise. Nothing in this presentation should be construed as a profit forecast.
This presentation does not constitute or form part of any offer or invitation to sell, or any solicitation of any offer to
purchase any shares in Michael Page International plc, nor shall it or any part of it or the fact of its distribution form the
basis of, or be relied on in connection with, any contract or commitment or investment decision relating thereto, nor does
it constitute a recommendation regarding the shares of Michael Page International plc. Past performance cannot be relied
upon as a guide to future performance. Liability arising from anything in this presentation shall be governed by English
Law. Nothing in this presentation shall exclude any liability under applicable laws that cannot be excluded in accordance
with such laws.
Year-on-Year Gross Profit Growth Rates
2013 2014 2015
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
EMEA -15.0% -8.2% -7.1% -1.4% +5.7% +5.1% +11.2% +12.5% +12.1% +11.4% +13.0% +10.3%
UK -1.2% +0.3% +5.0% +5.1% +8.1% +11.1% +13.7% +11.0% +11.3% +12.8% +12.5% +2.1%
Asia Pacific -0.3% -8.0% -4.3% -5.7% +1.3% +14.2% +11.1% +10.8% +10.8% +5.6% +5.3% -1.3%
-Asia +13.5% +1.6% +7.4% +2.7% +8.0% +25.0% +16.5% +15.0% +14.1% +8.8% +9.2% +2.4%
- Australasia -16.1% -21.3% -19.7% -18.3% -9.5% -2.9% +1.7% +2.7% +3.9% -1.8% -2.3% -9.3%
Americas +2.1% +9.8% +16.8% +6.7% +16.2% +8.5% +9.6% +20.2% +7.1% +11.5% +5.3% +5.4%
- North America +15.8% +29.8% +26.0% +30.0% +30.5% +15.5% +22.3% +20.3% +10.6% +21.1% +18.0% +23.0%
-Latin America -2.1% +1.4% +12.6% -4.8% +7.4% +4.2% +1.5% +19.9% +4.2% +3.8% -4.8% -8.9%
Group Total -6.7% -3.8% -0.3% +0.3% +6.8% +8.9% +11.6% +12.9% +10.9% +10.6% +10.0% 5.3%
