Annual Report & Accounts for 2007

Matchtech Group has released its Annual Report & Accounts for 2007. The company has had another excellent year and is now ranked the 21st largest Recruitment Company based on turnover, out of 10,000 recruitment agencies in the UK. The company now has also achieved the status of 10th most profitable Recruitment Company in the UK.*

Strong trading has resulted in turnover of £202.8 million (up 29% from 2006) and net fee income of £26.9 million (up 29%). Operating profit and profit before tax (excluding non-recurring items, mainly arising from the AIM listing) were £11.3m (up 38%) and £10.5m (up 36%) respectively.

Matchtech Group continues to build on its long and consistent track record of organic growth, with a strong presence in its core industry sectors. The company has also strengthened its ranking as the UK's biggest single site agency. Matchtech now has over 280 staff at its Whiteley offices and has almost doubled its available office space to allow for expansion. The company's strategy is proving highly successful as the business base broadens and long term relationships with major clients are developed further. In April of this year Matchtech renewed their managed agent contract with Mouchel, the professional support services company which manages road networks, public buildings, rail infrastructure, homes, schools and utilities on behalf of central and local government, public sector agencies and businesses.

Group Managing Director Adrian Gunn stated, "We have a healthy pipeline of business development targets and will be working hard to increase our number of Master Vendor accounts as well as increasing the revenue generated by them.

The additional staff recruited this year should be fee generating in 2008 helping us with our plans to deliver both NFI growth and improve the NFI conversion ratio. The additional office space allows us to continue to recruit at a similar level next year.

Finally we can see long term growth drivers in each of our three sectors and are confident that we are well-placed to take full advantage of the existing and future market conditions."

Commenting on the Group's results, George Materna, Chairman of Matchtech said:

"Matchtech has continued to perform very well over the year and delivered another excellent set of results. These are our first full year results since our listing on AIM in October 2006 and I am delighted that our new shareholders are able to share in the continuing success of the Group."

*Figures according to "The UK's 100 Top Recruitment Companies" by Recruitment International.