KPIs - These are used to measure progress against objectives and strategy.

Adjusted earnings per share growth (p)

This demonstrates the return to shareholders, in line with our strategy of delivering a sustainable growth in earnings per share.

The variable remuneration of the executive directors (annual bonus and LTIP) is linked to this measure.

Progress: EPS grew by 14%, representing the fifth year of consecutive growth.

Cash generated from operations (£m)

This demonstrates how much cash is available for the Group to cover tax, financing and investments. It is measured as the operating profit of the Group, excluding non-cash items and including working capital movements.

The variable remuneration of the executive directors (annual bonus) is linked to this measure.

Progress: £11.1m (2015: £8.8m)

Net fee income growth (%)

Sustainable growth in net fee income is needed to deliver long term growth in net profit and earnings per share.

Target: Average annual growth of 10%.

Progress: 20% (10% in constant currency).

Conversion ratio (%)

This demonstrates how efficiently the business is operating and how well the cost base is being managed. It is calculated as the percentage of adjusted operating profit out of net fee income.

Target: reach 20% ratio over 5 years to 2018.

Progress: 16.6%, being the fifth consecutive year of improvement.

Number of managers holding equity

This demonstrates how many senior managers around the Group are incentivised through equity ownership in their companies, a key element of our business model.

Target: All brands have management holding equity.

Progress: The total number of managers is 57, up 15 on the prior year. Currently 1 brand has no management holding equity (2015: 2).

% of net fee income from Professional & Specialist roles

This demonstrates how much of the business is from professional and specialist positions.

Target: We want to maximise our exposure to professional and specialist job levels as these are generally higher margin sectors where specialist brands can offer added value services.

Progress: The ratio has been stable at 86%.

Staff productivity

This demonstrates the overall staff productivity, calculated as the ratio of net fee income generated per £1 of staff cost. The staff cost includes all sales and administrative staff, reflecting the true cost of operating the Group.

Progress: At 1.79 in 2016 we have seen an improvement over 2015.

Debt as a % of debtors

This demonstrates how leveraged the Group is. The Group needs a sound financial foundation for long-term sustainability and to be able to react to opportunities in the market.

Target: To reduce this to 25% by 2018.

Progress: This increased to 38% from 23% in the prior year, so is now above our target.

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