Search finds nice returns in outsourcing business

Recruitment specialist Search Consultancy doubled its operating profits last year as it diversified into outsourcing.

It posted an operating profit of £3.1 million for 2012, up from £1.5m in 2011. The firm, founded in Glasgow in 1987, grew turnover by 8 per cent to £125m. It now employs 550 staff at 14 offices across the UK, including bases in Aberdeen, Dundee, Dunfermline and Edinburgh.

Chief executive Grahame Caswell said Search’s strategic push into delivering outsourcing services as well as traditional recruitment was one of drivers behind its improved performance.

“We believe there is significant capacity in the market to expand this area of the business and we expect our next results to benefit further from this strategic initiative,” he said.

Caswell said the consultancy had significantly improved its financial performance in what has been a “challenging” economic climate for the recruitment industry.

He added: “This period has given us the opportunity to consolidate our position in the market, review our direction and establish a platform to realise new sales opportunities across what we see as a rapidly improving marketplace.

“This strategy has been reflected in a number of new business wins during the financial year, which have contributed to our improved financial performance.”