7 September 2017

Full year Results show record revenues of €455.2m with continued geographic reach

Cpl Resources Plc

Results for the Full Year Ended 30 June 2017

Dublin, 7 September 2017: Cpl Resources Plc ('Cpl', the 'Group' or the 'Company'), Ireland's leading employment services group, today announced results for the year ended 30 June 2017.

Highlights

· Proposal to return €25 million in capital to all shareholders by way of a Tender Offer

· Revenue increased by €21.8 million, to €455.2 million

· Gross Profit increased by 3% to €71.8 million

· 3% increase in Profit before tax to €15.8 million

· Earnings per share of 43.7 cent (2016: 43.9 cent)

· Total dividend per share of 11.5 cent (2016: 11.0 cent)

John Hennessy, Chairman commented:

"The Group's results for the year ended 30 June 2017 show growth in revenue and profit before tax, reflecting expansion of our team, development of our service offering and broadening of our geographical footprint.

In recent months, the Board has considered a range of strategic and financial options to enhance shareholder value, particularly taking account of the continued generation of positive cash flows by the Group. Cpl remains a profitable, cash generative business and has built up a net cash position of €33.6 million as at 30 June 2017. Following careful consideration and having taken appropriate advice, the Board has determined that a return of surplus capital is in the best interests of shareholders. Consequently, subject to shareholder approval, we intend to return up to €25 million of surplus capital, in the form of a tender offer, to shareholders.

The Board is recommending a final dividend of 5.75 cent per share. This will bring the total dividend for the year to 11.5 cent per share. Based on current trends and circumstances in our main markets we expect to deliver further growth in our business during the financial year to 30 June 2018. "

Anne Heraty CEO added:

"We continued to grow our international footprint opening offices in Munich and Boston during the year. We now have over 40 offices in 10 countries. These offices provide Cpl clients with the international reach they need especially in resourcing local talent. We also made further strategic progress with the acquisition of RIG Healthcare Group. This is Cpl's first entry into the locum doctor market and enhances the Company's operating presence in the UK, following the acquisition of Clinical Professionals in September 2015.

We will continue to invest wisely to capture opportunities for growth. Cpl has a strong balance sheet with net assets of €103.7 million generated over the 27 years of continuous profitability. We believe our balance sheet and strong cash flows give us the resources to invest in the growth and expansion of our business while also returning capital to shareholders."

This announcement contains inside information

For Further Information:

Anne Heraty, CEO, Cpl Resources Plc: +353 1 614 6000

Mark Buckley, CFO, Cpl Resources Plc: +353 1 614 6000

Ivan Murphy/ Daragh O'Reilly, Davy Corporate Finance: +353 1 679 6363

Melanie Farrell/ Jonathan Neilan, FTI Consulting: +353 1 765 0888

Cpl Resources Plc

Chairman's statement

The financial year ended 30 June 2017 has been a year of growth in revenue and profit before tax for Cpl.

Highlights of the Group's performance include:

- Revenue increased by €21.8m to €455.2m

- Gross Profit increased by 3% to €71.8m

- 3% increase in Profit before tax of €15.8m

- Earnings per share of 43.7 cent

- Total dividend per share of 11.5 cent

- Proposal to return €25 million in capital to all shareholders by way of a Tender Offer

Full Year Highlights

	Year ended	Year ended	% change
	30-June-17	30-June-16
	€'000	€'000
Revenue	455,194	433,391	5%
Gross Profit	71,822	70,053	3%
Operating profit	15,387	15,384
Profit before tax	15,777	15,390	3%
Earnings per share	43.7 cent	43.9 cent
Dividend per share	11.5 cent	11.0 cent	5%

Conversion ratio *
Operating Profit	21.4%	22.0%
Profit before tax	22.0%	22.0%

* as % of gross profit

The Group's results for the year ended 30 June 2017 show growth in revenue and profit before tax, reflecting expansion of our team, development of our service offering and broadening of our geographical footprint.

Our revenue grew by €22 million in the financial year, up 5% on the prior year, and Group gross profit and profit before tax grew by 3% in the year. The demand for talented temporary staff among our clients grew at a stronger pace than for permanent employees across most sectors during the year, with temporary fees growing by 12%. The demand for permanent staff was adversely affected by changes in regulation in the healthcare sector and concerns about Brexit, which slowed recruitment decisions by certain employers. Our profit before tax is modestly ahead of the prior financial year, which, in light of the changed mix of business between temporary and permanent recruitment in the year, is a positive performance.

At year end, the Group had a strong balance sheet, with net assets of €104 million at 30 June 2017, up from €94 million in the prior year. We ended the year with net cash of more than €33 million, after investing €10 million in RIG Healthcare Group and funding the working capital demands arising from the continued growth in our temporary business. It is in this context that we are pleased to announce the intention to return capital to shareholders by way of a tender offer.

Tender Offer

In recent months, the Board has considered a range of strategic and financial options to enhance shareholder value, particularly taking account of the continued generation of positive cash flows by the Group. As part of this the Board has, and will continue to, review acquisition and investment opportunities which may optimise value for shareholders and in June this year we were pleased to announce the acquisition of a 91% shareholding in RIG Healthcare Group.

Cpl remains a profitable, cash generative business and has built up a net cash position of €33.6 million as at 30 June 2017. Following careful consideration and having taken appropriate advice, the Board has determined that a return of surplus capital is in the best interests of shareholders.

Consequently, subject to shareholder approval, we intend to return up to €25 million of surplus capital, in the form of a tender offer, to shareholders (the "Tender Offer"). As was the case in the Group's previous return of capital to shareholders in 2011, the return of capital will be made by way of a fixed price tender offer structure. The Tender Offer will be made at a price per Ordinary Share of €6.75 (the "Tender Price").

The Board believes that a return of capital in the amount proposed represents the most effective use of those shareholder funds and that the continued strength of the Group's balance sheet, and its cashflow generation after the return of those funds, will be sufficient to pursue the Group's stated growth objectives. The Tender Offer provides all shareholders with choice (that is, the discretion to participate) and certainty of value. Those shareholders who do not wish to participate can retain their full existing investment in the company.

Further details on the Tender Offer are included in the section entitled "Proposed Tender Offer".

People

Once again our people have delivered outstanding service to our clients and candidates during the year. The continuous growth in our business poses challenges to our teams, and they have responded well to these challenges. Our customers continue to give us very positive feedback on the service they receive.

On behalf of the Board, I would like to thank all of our people for their commitment, dedication and hard work, delivered daily for the benefit of the whole Group. I also wish to thank our clients and candidates for their continued support, their valuable input and their loyalty to our business.

Board & Executive announcements

In March 2017, Colm Long was appointed to the Board as an independent non-executive director. Colm has extensive experience of media and digital businesses and has contributed very positively to the Board since his arrival. We are delighted to welcome him and look forward to working with him in the future.

As the Group embarks on its next phase of growth, the Board has appointed Mark Buckley, current CFO, to the position of Deputy CEO and COO for the Group, with responsibility for operational performance and delivery of service to clients. We look forward to working with Mark as he takes on these important roles.

I am also delighted to announce that Lorna Conn has been appointed CFO of the Cpl Group. The Board and management look forward to working with Lorna, who will join us on 2 October 2017.

Earnings per Share, Proposed Dividend & Dividend Policy

Cpl has delivered earnings per share in the twelve months to 30 June 2017 of 43.7 cent. The Group also has a progressive dividend policy which reflects underlying earnings growth and our continued financial strength.

The Board is recommending a final dividend of 5.75 cent per share. This will bring the total dividend for the year to 11.5 cent per share. The dividend, if approved by the shareholders, will be payable on 6 November 2017 to shareholders on the Company's register at the close of business on the record date of 13 October 2017.

Outlook

Economic indicators, including employment trends, are generally positive in our principal markets. Our industry is highly competitive, and our continued growth remains sensitive to events affecting the wider European and global economies. As the UK moves towards its planned departure from the EU, the terms of which remain unclear, "Brexit" continues to give rise to uncertainty in our main markets. We will continue to monitor these developments closely, and assess and respond to their implications for our business.

Based on current trends and circumstances in our main markets we expect to deliver further growth in our business during the financial year to 30 June 2018.

John Hennessy

Chairman

7 September 2017

Chief Executive Review

In the financial year to 30 June 2017 Cpl delivered growth in revenues, gross profit and profit before tax. Our revenue increased by 5% to €455.2 million, gross profit and profit before tax increased by 3% to €71.8 million and €15.8 million respectively. Our net cash balance is €33.6 million post our investment of €10 million in the acquisition of RIG Healthcare in June 2017. Growth in our temporary placement and managed services business was strong and outpaced permanent placement which was impacted by regulatory changes to international nurse recruitment in the UK.

Financial Highlights

The Group increased its revenue by 5% to €455.2 million in the year to 30 June 2017 (2016: €433.4 million). Gross profit increased by 3% to €71.8 million (2016: €70.1 million). The Group's gross margin was 15.8% (2016: 16.2%). Profit before tax was €15.8 million (2016: €15.4 million) and our diluted earnings per share was 43.7 cent (2016: 43.9 cent).

Our operating expenses were €56.4 million, 3.1% higher than last year. Our conversion rate of gross profit to profit before tax was 22.0% (2016: 22.0%).

Most of our cost base is people related and the other main components are offices and investment in our technology infrastructure. We continued to invest in technology to improve productivity and ensure ease of use for our clients and candidates. One of our key projects during the year was the investment in a web and mobile based App that harnesses the latest in smartphone technology for booking and managing temporary staff. The App manages all aspects of front and back office including: communications, bookings, scheduling, timesheet management, accounting and compliance. It is designed to drive efficiencies, increase recruiter productivity and improve service levels to our candidates and clients.

Our balance sheet remains strong with net assets of €103.7 million (2016: €93.7 million). Goodwill and intangible assets increased by €8.5 million to €26.0 million, reflecting the acquisition of RIG Healthcare Group on 6 June 2017. Trade and other receivables stood at € 99.7 million, up from €90.3 million at 30 June 2016. From a financial perspective managing working capital is key to our success. Cash flow in the year was strong with €10.1 million of net cash generated prior to the RIG acquisition, to bring the closing net cash balance to €33.6 million.

The interim dividend paid was 5.75 cent per share. The Board is recommending a final dividend of 5.75 cent per share for the year to 30 June 2017, resulting in a total dividend per share for the year of 11.5 cent, a 5% increase from the prior year.

Operations Review

Cpl's capability spans the entire employment lifecycle and includes permanent, temporary and contract recruitment, workforce management, training, outsourcing and outplacement. We have a diverse range of clients from market leading multinationals to small and medium enterprises.

Cpl is a recognised leader in permanent and temporary recruitment. Our business is based on matching the capabilities of our candidates to our clients in a rapidly changing marketplace. We operate through distinct specialist brands in a wide range of sectors including technology, finance and legal, healthcare, pharmaceutical, life science, sales, engineering, HR, light industrial and office administration.

Our managed services and outsourcing business assumes accountability for selected business process on behalf of clients. Cpl brings value to our clients by creating measurable improvements and cost savings in areas that are viewed as non-core to our clients. Our main service offerings are: Contact Centre Outsourcing, Recruitment Process Outsourcing (RPO) and HR Consulting Services (which includes outplacement). These projects are normally contracted for a number of years. During the year we delivered managed services/outsourced projects to over 15 clients including leading organisations in the financial services, technology and pharmaceutical sectors.

Key Performance Indicators	2017	2016
Gross margin	15.8%	16.2%
Operating margin	3.4%	3.6%

Conversion Ratio
Operating Profit	21.4%	22.0%
Profit before tax	22.0%	22.0%

Permanent fees as % of the total gross profit	36.3%	41.5%
Temporary fees as % of the total gross profit	63.7%	58.5%

Contractor and temporary staff headcount at the year-end	11,504	11,367
Average number of recruiters during the year (incl. RIG)	547	503

Due to the change in business mix between permanent and temporary fees our gross margin in the year to June 2017 was 15.8%, a reduction of 40 basis points. Most of our growth occurred in our temporary business. Our permanent placement business which generates 100% gross margin represented 36.3% of total gross profit whereas in the year to June 2016 it was 41.5% of total gross profit.

We improved our margin on temporary business to 10.7% (2016: 10.1%)

Our operating margin was 3.4%, a year on year reduction driven mainly by the change in business mix, increase in staff numbers, investment in offices and technology infrastructure. Taking a long-term view of the business, we will continue to invest in talent and technology. We expect in the coming year to see an improvement in our operating margin through an increase in productivity due to the investment already made.

Permanent

Most of our permanent placement work is undertaken on a contingent basis, which means we only generate revenue when the candidate is placed in a role. If the time to successfully place candidates is extended this impacts our cost base and recruiter productivity.

Last year I highlighted that international nurse recruitment in the UK was undergoing significant change driven mainly by changes in regulation and concerns about "Brexit". This impacted our performance in permanent placements in the year to June 2017. While other divisions such as technology, pharma and financial services performed well, it was not sufficient to compensate for the reduction in international nurse recruitment in the UK.

Permanent fee revenue decreased by 10.3% to €26.1 million (2016: €29.1 million).

Looking ahead to 2018, we believe international nurse recruitment is stabilising and the demand for talent in the technology, pharma and financial services sector remains strong.

Temporary

Our temporary and contracting business provides clients with qualified, skilled people on short and long terms assignments. Demand for temporary and contract staff remained strong during the year and we grew net fee income by 11.7% to €45.7 million (2016: €41.0 million). We were able to build on the improvement in temporary and contract staffing margins that we experienced last year. Margin in year to 30 June 2017 was 10.7% (2016: 10.1%).

We finished the year with 11,504 temporary staff and contractors working on behalf of Cpl on client projects. Our clients recognise the value that temporary and contract staffing can bring to managing total labour costs. It adds a variable cost component to a company's other-wise fixed labour costs. At the same time many of our candidates are also seeking more flexibility. Highly skilled professionals particularly in ICT and engineering are choosing to work on a project basis.

Driven by this increasing demand from our clients and candidates for greater flexibility, temporary and contract staffing continues to represent an area of significant growth opportunity.

People

Our talented and experienced team are committed to our core values of accountability, respect, customer focus, effective communication and empowerment. In 2017, Cpl Resources plc was recognized in the Best Places to Work program's large category. This recognition is important for the Group as attracting and retaining the best talent in the industry is key to operational excellence which delivers real value to our clients.

Management Team & Appointment of CFO

Our management team continues to evolve. I am delighted Mark Buckley has taken on the role of COO and deputy CEO. We are also delighted to welcome Lorna Conn to the team. Lorna has been appointed as our CFO of the Group. Lorna trained as a Chartered Accountant with Deloitte and has held a number of senior finance roles both in Ireland and the US. Her most recent role was Finance Director at ISS Ireland, part of the ISS Group Plc. Lorna joins us on 2 October 2017.

I would like to thank our talented and dedicated colleagues for their commitment to delivering for our candidates and clients. I am delighted to welcome those people who joined Cpl during the year and I also want to thank our loyal customers for their partnership and support during the year.

Strategy

Our strategy to develop a balanced business mix and therefore avoid overdependence on any one service, sector, or geography remains unchanged. We generated 63.7% of our net fee income from temporary recruitment and 36.3% from permanent recruitment.

We continued to expand organically in new markets. We opened offices in Munich and Boston during the year. Our business outside Ireland now accounts for approximately 25% of the Groups net fee income. We have over 40 offices in 10 countries. These offices provide Cpl clients with the international reach they need especially in resourcing local talent.

Ardlinn, our executive search brand, which we launched in July 2016 to support our clients recruiting top level C-suite talent has had a very successful first year and is profitable. They have completed a number of international assignments, recruiting high impact leadership talent for clients. We will build on this success by expanding the team in the coming year.

Now more than ever CEO's and boards are acutely aware of the critical role key leadership talent plays in building competitive advantage. We believe Ardlinn is well positioned to source and attract the right leadership talent for our clients.

Acquisition

We focus mainly on organic expansion, while using selective acquisitions to build platforms in new sectors or markets with good long-term potential. We are keen to deepen our presence in high value sectors such as Healthcare which is labour intensive and experiencing skills shortages. The acquisition of RIG Healthcare is a further step in extending the Group's footprint in the healthcare sector.

In June 2017, we acquired a 91% shareholding in RIG Healthcare Group (RIG) for a cash consideration of €9.5m. RIG Healthcare Group, the trading name of RIG Locums Limited and RIG Medical Recruit Limited, is a UK specialist healthcare recruiter with a focus on market niches within the Locum Doctors and Allied Health Professions. They have five offices across the UK.

RIG supplies qualified medical professionals to the UK's National Health Service (NHS) with a particular focus on radiography, occupational therapy, pharmacy and physiotherapy. Healthcare recruitment, staffing and training has long been one of Cpl's most important sectors in Ireland and the UK. RIG will complement the Company's existing portfolio of healthcare brands which include: Cpl Healthcare, Kate Cowhig International Healthcare Recruitment, Servisource Healthcare and Private Homecare. The acquisition is Cpl's first entry into the locum doctor market and enhances the Company's operating presence in the UK, following the acquisition of Clinical Professionals in September 2015.

Outlook

As we enter the year to June 2018, market conditions across the sectors in which we operate are mixed. Economic trends are favourable with strong employment growth in Ireland and the Eurozone. Unemployment in Ireland is expected fall to less than 6% by year end and unemployment in the Eurozone is expected to fall below 9%. Despite this there are considerable risks on the horizon. In Cpl, we are mindful of the uncertainty that 'Brexit' creates in our core markets and we are closely monitoring the potential impacts both positive and negative of 'Brexit' on our business. On the positive we have seen an increase in enquiries from companies looking to establish in Ireland and increased demand for insurance financial services and fintech talent. On the negative, there are threats to employment in sectors exposed to the UK.

From a longer-term point of view, we operate in attractive markets with a strong business model and significant global clients. All indicators suggest that the labour market is tightening and there is a widening skills gap in a number of specialist skills areas. Our key focus is on supporting clients in sectors and occupations where these skills gaps occur. This places higher value on our services and presents us with growth opportunities.

Anne Heraty

Chief Executive Officer

7 September 2017

Proposed Tender Offer

The Board is proposing to return up to €25 million of surplus capital to shareholders through the Tender Offer. As was the case in the Group's previous return of value to shareholders in 2011, the return of capital will be made by way of a fixed price tender offer structure and tenders will only be accepted at the Tender Price of €6.75 per Ordinary Share.

Background and reasons for the proposed Tender Offer

In the year to 30 June 2017, the Group reported strong operational and financial performance. The Group has continued to generate positive cash flow and as a result has built up a net cash position of €33.6 million as at 30 June 2017. In the absence of the proposed Tender Offer the Board would expect the Group's positive cash position to continue to increase further.

To date in 2017, the Board has considered a range of strategic and financial options to enhance shareholder value. The Board, in consultation with its advisers, reviewed a number of factors including:

· the Group's current net cash position;

· the Group's ongoing earnings and cash flow generation;

· the relatively low interest income capable of being generated by the Group's current cash balance; and

· acquisition and investment opportunities.

Following this review, the Board (with the exception of Anne Heraty and Paul Carroll, who absented themselves from deliberations relating to the proposed Tender Offer) unanimously determined that a return of surplus capital is in the interests of shareholders. The Board believes that a return of capital in the amount proposed represents the most effective use of those shareholder funds and that the continued strength of the Group's balance sheet, and its cashflow generation after the return of those funds, will be sufficient to pursue the Group's stated growth objectives.

The Board concluded, following consultation with the Group's advisers, that a return of up to €25 million of capital by way of the Tender Offer is in the interests of the Group and its shareholders as it provides shareholders with both choice (that is, the discretion to participate) and certainty of value.

An independent committee of the Board, comprised of independent non-executive directors Breffni Byrne, Oliver Tattan and Colm Long, was formed to consider and settle the terms and conditions of the Tender Offer, including the Tender Price.

Summary of the Tender Offer

The Tender Offer will be made to shareholders at the Tender Price of €6.75 per Ordinary Share. The Tender Price represents a premium of 15.2 per cent. to the closing price of €5.86 per Ordinary Share on 6 September 2017, (being the latest practicable date prior to this announcement) and represents a premium of 14.1 per cent. to the volume weighted average price over the three months to 6 September 2017.

The Group intends to purchase, in aggregate, up to 3,703,703 Ordinary Shares from shareholders at the Tender Price. These Ordinary Shares will subsequently be cancelled by the Group. Each shareholder will be entitled to sell up to approximately 12 per cent. of their shareholding, rounded down to the nearest whole number of Ordinary Shares (the "Guaranteed Entitlement"). Shareholders will also have an opportunity to sell more than their Guaranteed Entitlement to the extent that other shareholders tender less than their Guaranteed Entitlement. To the extent that any Shareholders have tendered less than their Guaranteed Entitlement, surplus tenders will be accepted in proportion to the number of additional Ordinary Shares tendered so that the total number of Ordinary Shares purchased pursuant to the Tender Offer does not exceed 3,703,703.

The Board reserves the right at any time prior to the anticipated completion of the Tender Offer and having regard to prevailing market conditions, to (i) vary the Tender Price; and/or (ii) change the maximum number of Ordinary Shares that can be tendered pursuant to the Tender Offer; and/or (iii) not proceed with the Tender Offer; if they conclude that the implementation of the Tender Offer at the Tender Price is no longer in the interests of the Group and/or its shareholders.

Each of the Directors has irrevocably committed to participate in the Tender Offer on a pro rata basis.

Benefits of a Tender Offer

The benefits of the Tender Offer, compared to other available options for a return of capital to shareholders, include that the Tender Offer:

a) provides those shareholders who wish to sell Ordinary Shares with the opportunity to do so;

b) enables those shareholders who do not wish to receive capital at this time to maintain their full investment in the Group;

c) is available to all shareholders (other than shareholders who may be resident in certain prohibited territories) regardless of the size of their shareholdings;

d) ensures equal opportunity to all shareholders to participate in the return of capital by offering the Guaranteed Entitlement to all shareholders; and

e) will have a positive impact on both the Group's earnings per share and dividend per share as all shares acquired under the Tender Offer will be cancelled.

Shareholder Approval

The Tender Offer will be subject to approval by Cpl's shareholders at an Extraordinary General Meeting ("EGM"). A notice of EGM together with additional explanatory documentation setting out further detail with regard to the background to and reasons for, the terms and conditions of and instructions on how to participate in, the Tender Offer will be sent to shareholders in due course.

Cpl Resources Plc

Group Statement of Comprehensive Income

for the year ended 30 June 2017

	2017	2016
	€'000	€'000

Revenue	455,194	433,391
Cost of sales	(383,372)	(363,338)


Gross profit	71,822	70,053
Distribution expenses	(4,134)	(4,059)
Administrative expenses *	(52,301)	(50,610)


Operating profit	15,387	15,384
Financial income	438	61
Financial expenses	(48)	(55)


Profit before tax	15,777	15,390
Income tax expense	(2,337)	(1,968)


Profit for the financial year- all attributable to
equity shareholders	13,440	13,422
		__________


Profit attributable to:
Owners of the Parent	13,394	13,434
Non - controlling interests	46	(12)


	13,440	13,422



Other comprehensive income
Foreign currency translation differences - foreign operations	(453)	(198)


Total comprehensive income for the year - all
attributable to equity shareholders	12,987	13,224


Basic earnings per share	43.7 cent	43.9 cent

Diluted earnings per share	43.7 cent	43.9 cent

* Includes €388,000 of non-cash LTIP charge (2016 : €1,987,000)

Cpl Resources Plc

Group Statement of Changes in Equity

for the year ended 30 June 2017

			Other				Share
			undenominated		Currency	Put	based			Non -	Total
	Share	Share	capital	Merger	translation	option	payment	Retained		Controlling	Shareholders
	capital	premium	fund	reserve	reserve	reserve	reserve	earnings	Total	interests	Equity
	€'000	€'000	€'000	€'000	€'000	€'000	€'000	€'000	€'000	€'000	€'000

Balance at 1 July 2015	3,053	1,705	724	(3,357)	(395)	-	177	80,141	82,048	(89)	81,959
Total comprehensive income for the year
Profit/(loss) for the financial year	-	-	-	-	-	-	-	13,434	13,434	(12)	13,422
Foreign currency translation effects	-	-	-	-	(198)	-	-	-	(198)	-	(198)

Transactions with Shareholders
Share based payment charge	-	-	-	-	-	-	1,987	-	1,987	-	1,987
Dividends paid	-	-	-	-	-	-	-	(3,131)	(3,131)	-	(3,131)
Put Option granted	-	-	-	-	-	(400)	-	-	(400)	-	(400)
Non controlling interest on acquisition in year	-	-	-	-	-	-	-	-	-	72	72

Balance at 30 June 2016	3,053	1,705	724	(3,357)	(593)	(400)	2,164	90,444	93,740	(29)	93,711

Balance at 1 July 2016	3,053	1,705	724	(3,357)	(593)	(400)	2,164	90,444	93,740	( 29)	93,711
Total comprehensive income for the year
Profit for the financial year	-	-	-	-	-	-	-	13,394	13,394	46	13,440

Foreign currency translation effects	-	-	-	-	(460)	-	-	-	(460)	7	(453)

Transactions with Shareholders
Share based payment charge	-	-	-	-	-	-	388	-	388	-	388
Dividends paid	-	-	-	-	-	-	-	(3,512)	(3,512)	(31)	(3,543)
Shares issued	33	-	-	-	-	-	-	-	33	-	33
Put option granted	-	-	-	-	-	(740)	-	-	(740)	-	(740)
Non-controlling interest on acquisition in year	-	-	-	-	-	-	-	735	735	124	859

Balance at 30 June 2017	3,086	1,705	724	(3,357)	(1,053)	(1,140)	2,552	101,061	103,578	117	103,695

Cpl Resources Plc

Company Statement of Changes in Equity

for the year ended 30 June 2017

			Other
			undenominated	Share based	Put
	Share	Share	capital	payment	option	Retained	Total
	capital	premium	fund	reserve	reserve	earnings	equity
	€'000	€'000	€'000	€'000	€'000	€'000	€'000

Balance at 1 July 2015	3,053	1,705	724	177	-	1,742	7,401
Total comprehensive income for the year
Profit for the financial year	-	-	-	-	-	1,911	1,911

Transactions with shareholders
Share based payment charge	-	-	-	1,987	-	-	1,987
Dividends paid	-	-	-	-	-	(3,131)	(3,131)
Put Option Granted	-	-	-	-	(400)	-	(400)
------------------
Balance at 30 June 2016	3,053	1,705	724	2,164	(400)	522	7,768

Balance at 1 July 2016	3,053	1,705	724	2,164	(400)	522	7,768
Total comprehensive income for the year
Profit for the financial year	-	-	-	-	-	29,698	29,698

Transactions with shareholders
Share based payment charge	-	-	-	388	-	-	388
Dividends paid	-	-	-	-	-	(3,512)	(3,512)
Shares issued	33	-	-	-	-	-	33
Put option granted	-	-	-	-	(740)	-	(740)

Balance at 30 June 2017	3,086	1,705	724	2,552	(1,140)	26,708	33,635

Cpl Resources Plc

Group and Company Balance Sheets (continued)

as at 30 June 2017

	Group		Company
	2017	2016	2017	2016
	€'000	€'000	€'000	€'000
Current liabilities
Trade and other payables	61,415	50,133	127,409	157,910


Total current liabilities	61,415	50,133	127,409	157,910


Non current liabilities
Contingent consideration	815	1,201	815	1,201
Put option liability	1,140	400	1,140	400


Total non current liabilities	1,955	1,601	1,955	1,601


Total liabilities	63,370	51,734	129,364	159,511


Total equity and liabilities	167,065	145,445	162,999	167,279

Cpl Resources Plc

Group and Company Cash Flow Statements

for the year ended 30 June 2017

	Group		Company
	2017	2016	2017	2016
	€'000	€'000	€'000	€'000
Cash flows from operating activities
Profit for the financial year	13,440	13,422	29,698	1,911
Adjustments for:
Depreciation on property, plant and
Equipment	770	590	544	510
Share based payment charge	388	1,987	-	-
Amortisation of intangible assets	459	343	450	331
Financial income	(438)	(61)	-	(33)
Financial expense	48	55	-	-
Income tax expense/(credit)	2,337	1,968	(7)	(35)
	_______	_______	_______	_______
Operating cashflows before changes in
working capital	17,004	18,304	30,685	2,684

(Increase)/decrease in trade and other receivables	(3,320)	(4,849)	2,975	(14,429)
Increase/(decrease) in trade and other payables	6,590	1,092	(30,881)	21,136
	_______	________	________	________

Cash generated from operations	20,274	14,547	2,779	9,391

Interest (paid)	(48)	(55)	-	-
Income tax (paid)	(1,825)	(2,485)	(6)	-
Interest received	22	110	-	82
	________	________	________	________

Net cash from operating activities	18,423	12,117	2,773	9,473
	________	________	________	_______
Cash flows from investing activities
Investments in subsidiaries	-	-	(9,544)	(3,998)
Purchase of property, plant and
equipment	(667)	(684)	(426)	(398)
Acquisition of business (net of cash and
loans acquired)	(13,359)	(5,083)	-	-
Purchase of intangible assets	(345)	(602)	(345)	(569)
	________	_______	_______	_______

Net cash (outflow) from investing activities	(14,371)	(6,369)	(10,315)	(4,965)

Cpl Resources Plc

Group and Company Cash Flow Statements (continued)

for the year ended 30 June 2017

	Group		Company
	2017	2016	2017	2016
	€'000	€'000	€'000	€'000

Cash flows used in financing activities
Shares issued	33	-	33	-
Dividends paid	(3,543)	(3,131)	(3,512)	(3,131)
	________		________

Net cash (used in) financing activities	(3,510)	(3,131)	(3,479)	(3,131)
	________		________

Net increase/(decrease) in cash and cash
Equivalents	542	2,617	(11,021)	1,377

Cash and cash equivalents at beginning
of year	33,092	30,475	20,680	19,303
	________		________
Cash and cash equivalents at
end of year	33,634	33,092	9,659	20,680

Cpl Resources Plc

Notes

1 Financial income and expenses

	2017	2016
	€'000	€'000

Interest (income) on cash deposits Change in fair value of financial liabilities	(32) (406) _____ (438)	(61) - _____ (61)
Interest expense
Interest payable	48	55

2 Income tax expense

	2017	2016
	€'000	€'000
Recognised in the income statement:

Current tax expense
Current year	2,276	2,299
Adjustments in relation to prior years	6	26
	_____	_____
Current tax expense	2,282	2,325

Deferred tax
Origination and reversal of temporary differences	106	(321)
Adjustments in relation to prior years	(51)	(36)
	_____	_____
Total tax in the income statement	2,337 _____	1,968 _____

Cpl Resources Plc

Notes (continued)

Reconciliation of effective tax rate	2017	2016
	€'000	€'000

Profit before tax	15,777	15,390
	_____	_____

Tax based on Irish corporation tax rate of 12.5%	1,972	1,924

Non-deductible items	122	111
Other deductions	104	(110)
Differences in effective tax rates on overseas earnings	29	45
Losses on which deferred tax not recognised	154	8
Income taxed at higher rate (Over) provision in prior years	1 (45)	- (10)
	_____	_____

Total tax in income statement	2,337	1,968
	_____	_____

3 Dividends to equity shareholders

Interim dividends to equity shareholders in Cpl Resources Plc are recognised when the interim dividend is paid by the Company. The final dividend in respect of each financial year is recognised when the dividend has been approved by the Company's shareholders. During the financial year, the following dividends were recognised:

	2017	2016
	€'000	€'000
Final dividend paid in respect of previous financial year
of 5.75 cent (2016: 5.0 cent) per ordinary share	1,756	1,527

Interim dividend paid in respect of current financial year
of 5.75 cent (2016: 5.25 cent) per ordinary share	1,756	1,604

Dividend paid in respect of Non-controlling interest	31	-


	3,543	3,131

The directors have proposed a final dividend in respect of the 2017 financial year of 5.75 cent per ordinary share. This dividend has not been provided for in the Company or Group balance sheet as there was no present obligation to pay the dividend at the year end. The final dividend is subject to approval by the Company's shareholders at the Annual General Meeting.

Cpl Resources Plc

Notes (continued)

4 Earnings per share

	2017	2016
	€'000	€'000
Numerator for basic and diluted earnings per share:
Profit for the financial year attributable to equity
shareholders	13,394	13,434

Denominator for basic earnings per share:
Weighted average number of shares in issue
for the year	30,655,391	30,545,159


Denominator for diluted earnings per share:	30,655,391	30,545,159


Basic and diluted earnings per share	43.7 cent	43.9 cent

5 Trade and other receivables

	Group		Company
	2017	2016	2017	2016
	€'000	€'000	€'000	€'000

Trade receivables	74,841	74,069	-	-
Accrued income	20,581	13,623	-	-
Prepayments and other debtors	3,710	1,915	1,667	738
Corporation tax	532	726	-	-
VAT Amounts due from subsidiary	-	-	395	-
undertakings	-	-	117,224	121,524


	99,664	90,333	119,286	122,262

Amounts due from subsidiary undertakings are repayable on demand.

Cpl Resources Plc

Notes (continued)

6 Net funds

	Group		Company
	2017	2016	2017	2016
	€'000	€'000	€'000	€'000

Cash and cash equivalents	38,819	34,843	9,659	20,680
Bank overdraft	(6)	(307)	-	-
Invoice discounting facility	(5,179)	(1,444)	-	-


	33,634	33,092	9,659	20,680

Cash and cash equivalents in
the cash flow statement	33,634	33,092	9,659	20,680


Net funds	33,634	33,092	9,659	20,680

7 Share capital, share premium, and other reserves

	2017	2016
	€'000	€'000
Authorised
50,000,000 ordinary shares at €0.10 each	5,000	5,000


	€'000	€'000
Allotted, called up and fully paid
30,875,856 (2016: 30,545,159) ordinary shares at € 0.10 each	3,086	3,053

The holders of ordinary shares are entitled to receive dividends as declared from time to time and are entitled to one vote per share at meetings of the Company.

Share premium at 30 June 2017 amounted to €1,705,000 (2016: €1,705,000).

Other reserves comprise an other undenominated capital fund of €723,666 (2016: €723,666), a merger reserve of €3,357,000 negative (2016: €3,357,000 negative) a currency translation reserve of €1,053,000 negative (2016: €593,000 negative), a share based payment reserve of €2,552,000 (2016: €2,164,000) and a put option reserve of €1,140,000 negative (2016: €400,000 negative). The merger reserve arose in 1998 when the Company acquired by way of a share for share exchange the share capital of two group companies formerly under common ownership, management, and control. The translation reserve movement comprises all foreign exchange differences from 1 July 2015 arising from the translation of the net assets of the Group's non-euro denominated operations including the translation of the results of such operations from the average exchange rate for the year to the exchange rate at the balance sheet date.

Cpl Resources Plc

Notes (continued)

8 Trade and other payables

Amounts falling due in less than one year:

	Group		Company
	2017	2016	2017	2016
	€'000	€'000	€'000	€'000

Trade creditors	2,802	2,788	940	2,135
Invoice discounting facility Bank overdraft Accruals	5,179 6 33,515	1,444 307 25,306	- - 2,494	- - 3,394
VAT	10,064	8,822	-	8,094
PAYE/PRSI	9,849	11,466	-	-
Amounts due to subsidiary
undertakings	-	-	123,975	144,287


	61,415	50,133	127,409	157,910

Amounts due to subsidiary undertakings are repayable on demand.

Cpl Resources Plc

Notes (continued)

9 Acquisitions and disposals

On 6 June 2017 Cpl acquired a 100% shareholding in RIG Healthcare Group ("RIG") for a cash consideration of €9.5m. RIG Healthcare Group is the trading name of RIG Locums Limited and RIG Medical Recruit Limited.

On 30 June 2017 the existing management team of RIG subscribed for a 9% shareholding in RIG.

The acquisition is Cpl's entry to the locum doctor market and enhances the group's operating presence in the UK.

The provisional fair values of the assets and liabilities which were acquired, determined in accordance with IFRS, were as follows:

	Book	Fair Value	Fair
	Value	Adjustment	Value
	€'000	€'000	€'000

Property, plant and equipment Trade and other receivables Trade and other payables	3 7,597 (2,741)	- - -	3 7,597 (2,741)
Cash acquired	144	-	144
Loans acquired	(3,959)	-	(3,959)

Net identifiable assets and liabilities acquired	1,044 ______	- _______	1,044 ______
Goodwill arising on acquisition Satisfied by: Cash consideration			8,500 ______ 9,544 ______ 9,544 ______

10 Basis of preparation

The financial information included in this preliminary result statement has been extracted from the Group's financial statements for the year ended 30 June 2017 and is prepared based on accounting policies set out therein. As permitted by EU law and in accordance with AIM / ESM rules, the Group financial statements have been prepared in accordance with International Financial Reporting Standards and their interpretations issued by the International Accounting Standards Board as adopted by the EU. The Group Financial Statements will be filed with the Irish Registrar of Companies and circulated to shareholders in due course.