CPL reports “positive” start to its financial year

Recruitment group CPL has had a "positive start" to its new financial year, with net fees continuing to show growth across its major business lines, the group disclosed in a trading statement.

"We are investing in our operations in Eastern Europe and expect those businesses to benefit from profitable growth in the future. Overall, we expect to perform in line with market expectations in the months ahead," the company, which is led by Anne Heraty, said.

At its agm yesterday shareholders approved a final dividend of 5.0 cent per share, bringing the total dividend for the year to 9.75 cent per share, a 15 per cent increase on 2013.

Davy Stockbrokers said it continues to rate the stock “outperform”.

“Stripping out the cash on its balance sheet, CPL trades on 12x CY2015 earnings, which is undemanding for a company of this quality with continued strong growth prospects,” the broker said in a note.