Parity Group (LON:PTY) shares jumped nearly 13 percent on Wednesday morning, after confirming that operating profit for the full year would be ahead of expectations.
The group are now expecting full-year underlying operating profit to show double digit growth over the 2016 financial year, marking the fourth consecutive reporting period of comparative operating profit improvement.
Cash generation has seen the Group reduce net debt by £5.2 million over the 18 months, from £7.5 million as at 31 December 2015 to £2.3 million as at 30 June 2017.
Alan Rommel, CEO, commented:
“Through the year we have taken steps to align our core divisions more effectively with an increased focus on both technology consultancy and digital transformation recruitment services.
“This strategic focus is driving a rebalancing of the business and we are delighted that our higher margin Consultancy Services is performing ahead of Board expectations in the second half.”
“We see significant opportunities for the Group and, with the benefit of an improving balance sheet, we plan to continue to invest during 2018 to accelerate growth in target markets for our Consultancy Services division in order to further enhance profitability, cash generation and shareholder value”, he concluded.
Parity Group specialises in providing recruitment and business and technology solutions to clients across the public and private sectors. Its share price is currently up 12.76 percent to 8.88 (1115GMT).
