Annual Report and Accounts 2001/2002

IT Human Resources PLC's core business is the provision of Information Technology recruitment services to the UK and European marketplace on both a permanent and contract basis. Our aim is to innovate the professional IT recruitment industry with total professionalism whilst being flexible enough through our independence not only to meet but exceed our Clients’ expectations.

It is my pleasure to present IT Human Resources PLC's third annual set of accounts.

Despite some of the most challenging market conditions since the early 1990’s ITHR’s turnover increased some 68% over the year ended March 2001 in a year which saw many of our main competitors reporting decreasing sales across the industry, office closures and staff redundancies. Although the turnover figure fell slightly below the target we set ourselves at the beginning of the year this is a credible and robust performance, given the economic climate.

This performance once again demonstrates and reinforces our belief in the provision of a truly professional and quality service which underpins the ethos of the Company.

Although net profits fell during the year this is more a reflection of substantial investment made during the year in our IT infrastructure and, more importantly, in the expansion or our internal consultancy sales force – one of our stated goals from the outset of the year. This investment in our key asset – our staff – will again be our main focus in the coming year along with the acquisition of additional office space either at our Leicester Square HQ or a secondary office in the City or Home Counties.

Last year also saw our first step into the provision of our services to our European based Clients, adding a diversity to our revenue streams. In addition to expanding our UK consultancy and recruitment activities the provision of staffing solutions to European based Clients will become another major focus for investment and expansion in the year ahead.

Our third objective next year will be to complete our investment in the Company’s internal IT infrastructure (hardware, our internally developed and owned CRM software systems and database and internet recruitment solution) as an “enabler” to deliver a quality of service which is the envy of the professional recruitment industry.

With the economic outlook still uncertain and the widely anticipated recovery still not on the immediate horizon we are totally focussed on consolidating our brand and Client base, whilst organically expanding in order to take full advantage of any upturn in the market as and when it happens. With this strategic drive, our objectives for the coming year clearly defined and assuming the economic climate improves, I am confident 2002/03 will see another record performance for ITHR with turnover projected in excess of £7m.

Sean Gallagher
Managing Director