Brunel Q1 2025 results: Operating in challenging market conditions

Q1 2025 Highlights

• Total Revenue of EUR 310.5 million, down 11% (down 10% organically)
• Gross Profit of EUR 56.5 million, down 18% (down 17% organically)
• Cost reduction program delivered EUR 6 million lower cost to EUR 48.1m, down 11%
• Underlying EBIT of EUR 8.4 million, down 44% (down 35% organically)

Peter de Laat, CEO: “As expected, we faced a challenging first quarter in 2025. The combination of increasing geopolitical uncertainty and a weakening economic environment caused further delays in new projects being started by our clients. This particularly impacted our perm recruitment fees. For the first time in two years, we observed clients immediately postponing direct hires across all our core markets and almost all countries, leading to a EUR 3 million year-on-year decrease in perm fees. While the market for perm fees is even more volatile than usual, it may also rebound quickly. The ongoing shortage of talents and skills, combined with substantial planned investments, continues to create promising opportunities.

We are seeing new projects starting in the Americas and the Middle East & India in the second quarter. In the DACH-region, we are making progress in growing industries such as Defence and Energy, although growth in these sectors has not yet fully offset declines in other industries. Clients in the Netherlands continue to show reduced appetite to work with freelancers.

The implemented cost reduction program has effectively aligned our operating cost with the lower level of activity. We are maintaining our increased focus on efficiencies. We are making progress on executing our IT and AI strategy, aimed at improving conversion rates, enhancing specialist retention, and reducing time spent on routine tasks.

We anticipate macroeconomic uncertainty to persist in the near term. While growth prospects and planned investments, especially outside Europe, remain diverse and positive, their timing will depend on when clients decide to initiate projects. As soon as economic conditions improve, we are well positioned to seize new opportunities.”

Results call

Today (9 May 2025), at 10:30 AM CET, Brunel will be hosting a results call. To join the conference call, use conference ID 075101 and dial, depending on your location. The dial-in number for the Netherlands is +31 85 888 7233, for UK: +44 800 358 1035, for US: +1 646 233 4753. Other locations – see www.brunelinternational.net.

You can listen to the call through a real-time audio webcast. You can access the webcast and presentation at https://events.q4inc.com/attendee/991122829. A replay of the presentation and the Q&A will be available on our website by the end of the day.

Attachment:

• Press Release Brunel results Q1 2025.pdf

Source: Brunel International NV