PageGroup began life in 1976, when Michael Page and Bill McGregor started placing accountants from a small London office. Over time it grew into one of Britain's best-known specialist recruiters, spreading across regions, sectors and brands. That international spread is now one of its chief strengths.
The latest numbers show why: Group gross profit in the first quarter came in at £187m, down 4.9% in constant currency from a year earlier. EMEA, still the biggest region at 54% of group gross profit, fell 9.2% in constant currency, and the UK dropped 11.4%. By contrast, the Americas grew 1.1% and Asia Pacific grew 9.3%, which means the healthier parts of the firm are increasingly outside its traditional European core.
PageGroup says employers and candidates remain cautious in Europe, especially in France and the UK, where delayed decisions and weaker offer-to-placement conversion continue to hurt activity.
Productivity is holding up, but the cycle is still harsh
There is a small but important bright spot in the statement. Gross profit per fee earner rose 2%, even as overall gross profit fell. Headcount was also nudged toward the stronger regions: the company cut fee earners in EMEA and the UK, but added more than 100 in Asia Pacific and the Americas. That is what sensible management looks like in a downturn: protect productivity, move people to where demand is firmer, and avoid pretending all markets are equal.
The mix of business matters too. Permanent recruitment still makes up 72% of group gross profit, with temporary at 28%. Permanent fees slipped 3.7% in constant currency, while temporary fell 7.8%. That may sound odd to newcomers, because temporary hiring is often seen as more defensive. But PageGroup explains that the stronger growth has come from America and Asia, which are more permanent-led markets.
Region by region, the contrast is striking. France fell 14%, Germany 7% and the Netherlands 26%, while the Middle East was hit by regional conflict and weaker confidence. Meanwhile, the US notched a sixth straight quarter of growth, Japan grew 17%, India rose 10%, and mainland China jumped 21%, albeit against a soft comparison base.
Cheap for a reason, but not without hope
Valuation ratios suggest investors are sceptical. As of 14 April 2026, PageGroup with a market capitalisation of about £411m, a forward P/E of 19.6, a price-to-book ratio of 1.99 and an EV/EBITDA multiple of 5.23. Investors seem to believe profits can recover, but they are not willing to pay up until Europe improves and earnings become less fragile.
The balance-sheet picture is mixed. PageGroup ended 2025 with net cash of about £31m, according to its full-year results, but said that by 31 March 2026 it had moved to net debt of roughly £7m because of the usual first-quarter bonus payments.
If America and Asia stay firm, and Europe merely stops getting worse, the shares may look modestly cheap: but until that happens, the market is likely to treat PageGroup less as a compounder and more as a patient cyclical stock in recovery.
