Profits power Page dividend rise

RECRUITMENT consultancy Michael Page is upping its dividend for the first time since listing on the stock market three years ago after a profits surge in the first half.

Investors will pick up an interim payout of 1.25p per share, a near 14% increase, as the company continues to benefit from the improving jobs market in the UK and Asia.

Chief executive Terry Benson said there were also signs of life in continental Europe. 'It's still suffering but in the last six weeks we have seen a increase in activity.'

Pre-tax profits across the group soared 53% to £17.8m in the six months to 30 June on revenue of £100.4m, up 14%. UK revenues rose 21% to £53.1m.

The split between temporary and more lucrative permanent placements is also changing as employers become more confident. It is now 29-71 against 32-68 a year ago. Benson added that blue-chips were desperate for 'bi-lingual, bi-cultural' staff in China.

Analysts had been expecting good news given signs of a pick-up from rivals such as Robert Walters and Harvey Nash. The shares fell 4 1/2p to 159p.