Online recruitment firm Hotgroup has reported strong results for the first half of the year.

The London-based company announced that turnover rose 34.7 per cent to £23.72 million for the six months to the end of June, while gross profit increased 40 per cent to £9.64 million. Pre-tax losses widened to £5.82 million, up from £3.79 million in the last six months of 2004.

Hotgroup is now predicting rising growth for the recruitment industry, particularly online, after its positive half-year results.

"The UK recruitment industry is predicted to grow by eight per cent in 2005 to an estimated £26.7 billion, with the online segment poised to grow at three times this rate," Hotgroup said in a statement.

The recruitment specialist forecast that its online business would continue to grow organically, boosted by extra activity in the education market during the autumn term.

Hotgroup recently agreed a deal with Trinity Mirror, which will see the media giant pay £50.5 million in cash for the online classified advertising company.

Trinity Mirror also bought Financial Jobs Online for more than £10 million earlier this year. A number of print publishers have started to look to the internet for future profits, as web advertising revenues soar.


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