Report and 
Accounts 
2006
  Empresaria Group is an international specialist staffing
company committed to expansion through investment in
existing or start up businesses and through management-led
acquisitions. Our operationally autonomous businesses are
run by teams incentivised by management equity.
Our focus is on accelerating growth and reducing risk by
building a balanced and diverse portfolio of operations and
earnings across developing market sectors and geographies.
Worldwide operations
Number 
 of offices
UK
Asia & Australasia
Europe
Americas
34
17
7
1
Worldwide operations / Contents 2
Empresaria Group plc   Report & Accounts 2006
Contents
Headlines 2006  3
Financial and 
operational highlights 4
Our UK and 
international 
businesses 5
Chairman’s statement 6
Chief Executive’s 
review 8
Operational review 10
Case study: 
IMS in India 12
Case study: 
FastTrack in the UK 13
Financial review 14
Case study: 
ITC in Poland 17
Corporate governance 18
Statement of directors’ 
responsibilities 19
Directors’ report 20
Independent 
auditors’ report 21
Consolidated profit 
and loss account 22
Consolidated statement 
of total recognised
gains and losses 22
Consolidated 
balance sheet 23
Company balance 
sheet 24
Consolidated cash 
flow statement 25
Notes to the 
consolidated cash 
flow statement 26
Notes to the financial 
statements 27
Additional 
information 41
Officers and 
professional advisors 43 Headlines 2006
Revenues of £75.5m
(2005: £54.1m)
Gross profit of £21.8m
(2005: £15.4m)
Profit before tax of £2.13m
(2005: £1.61m)
Adjusted profit before tax* of 
£2.89m (2005: £2.23m)
Earnings per share of 4.21p
(2005: 3.12p)
Adjusted earnings per share* 
7.2p (2005: 5.7p)
Operating cash inflow £5.2m
(2005: £2.5m)
Empresaria Group plc   Report & Accounts 2006
3
Headlines 
2006
*Figures based on underlying profits
excluding goodwill amortisation and
exceptional costs. See reconciliation
on page 41. In 2006 there were no
exceptional costs.
Group cash at bank at year end £3.3m (2005: £2.4m)
Group net debt at year end £1.3m (2005: £2.4m)
Proposed dividend 0.50p (2005: 0.45p)
Up
35%
Up
30%
Up
33%
Up
108%
Up
26%
Up
42%
Up
40% Empresaria Group plc   Report & Accounts 2006
Financial and operational highlights 4
n Strong organic growth from existing businesses
n Entry into new markets with investment in India, Indonesia, Malaysia,
Poland, Czech Republic and Slovakia
n Asian operations exceeding expectations
n Management team strengthened to accelerate overseas expansion
n German acquisition agreed, subject to shareholders’ approval
n Good start to 2007
Financial
highlights
Operational
highlights
*Figures based on underlying profits
excluding goodwill amortisation and
exceptional costs. See reconciliation on
page 41. In 2006 there were no
exceptional costs.
Overview of Performance 2006 2005 2004 2003 2002
Revenue (£’000s) 75,459 54,060 45,430 29,367 22,902
Gross Profit (£’000s) 21,840 15,393 13,141 10,589 8,603
Total Operating Profit (£’000s) 2,743 1,914 1,067 817 709
Adjusted Operating Profit (£’000s)* 3,505 2,532 1,715 1,234 927
Adjusted Profit Before Tax (£’000s)* 2,894 2,225 1,390 1,113 830
Basic Earnings per share (pence) 4.21 3.12 1.38 1.85 0.4
Adjusted Earnings per share (pence)* 7.2 5.7 4.2 3.9 2.8
Dividend proposed per share (pence) 0.50 0.45 0.40 0.38 0.25
0 10,000 20,000 30,000 40,000 50,000 60,000 70,000 80,000
2006
2005
2004
2003
2002
0 5001,000 1,500 2,000 2,500 3,000
2006
2005
2004
2003
2002
0 1 234 56 78
2006
2005
2004
2003
2002
Group Revenue, 
2002-2006 (£’000s)
Group Adjusted Profit Before
Tax, 2002-2006 (£’000s)
Group Adjusted EPS, 
2002-2006 (pence) Our UK and International businesses 5
Empresaria Group plc   Report & Accounts 2006
Our UK
businesses
The UK Group provides permanent and temporary staffing solutions
across five main sectors: Construction and Property Services, 
Financial Services, Supply Chain, Public Sector and Other Brands.
The UK Group generated 81% (2005: 97%) of the Group’s gross profit.
UK financial highlights 2006 2005
Revenue (£’000s) 65,976 52,841
Gross Profit (£’000s) 17,689 14,913
Adjusted Operating Profit (£’000s)* 2,732 2,387
Number of Employees 249 233
Our international
businesses
The International Group has grown significantly during 2006. The
Group now has interests in companies based in Japan, South East
Asia, Australia, Continental Europe, India, China and America. 
The international businesses contributed 19% of the Group’s gross
profit in 2006, compared with 3% in 2005.
International financial highlights 2006 2005
Revenue (£’000s) 9,483 1,219
Gross Profit (£’000s) 4,151 480
Adjusted Operating Profit (£’000s)* 773 145
Number of Employees 116 77
Our UK 
businesses include:
Our international
businesses include: the company has invested in 22 new companies
in 13 different countries, targeting economies
and staffing markets that the Board believes
have high growth potential. Empresaria is now
represented in India and China, in Japan and
countries across South East Asia, in Poland and
other Eastern European countries. The positive
impact of this change in strategic focus is now
beginning to be reflected in the Group’s
financial performance.
Financial performance
Revenues for the year ended 31 December 2006
increased by 40% to £75.5m and net fee income
(gross profit) increased by 42% to £21.8m. 
Profit before tax (before goodwill amortisation)
increased to £2.89m from £2.23m, a rise of 30%.
For the first time we experienced the impact 
of the increasing contribution of international
companies to Group net fee income. In 2005,
contribution of non-UK companies was 3%. In
2006 it rose to 19%. This figure would have 
been higher but for the strong growth
experienced in the UK and the excellent
financial performance of a number of the
Group’s UK companies. 
Group strategy
Empresaria’s strategy is to develop an
international specialist staffing group,
balanced in terms of sector, geographic and
operational coverage, as well as organic and
acquisitive growth. 
Underpinning this strategy is the philosophy 
of management equity. Since the Group started
operations ten years ago both strategy and
structure have been shaped by the importance
attached to aligning the interests of
shareholders and management teams through
sharing risk and reward through equity
participation. There are now over 34 companies
within the Group and each one, in each
country, is characterised by management
retaining a shared interest in long term success
through a meaningful equity stake. 
Overview 2006
The year 2006 has been one of strong
performance with rapid progress being 
made in creating a balanced international
specialist staffing group. Empresaria is a
leading example of a new generation of
international staffing company seeking to
develop a multi-specialist sector, multi-
geographical presence without the burden 
of a significant trading presence in the
traditional clerical and industrial staffing
markets.
It has now been just over two years since
Empresaria began its transformation from a 
UK focused organisation to a truly
international operation. Since moving from
OFEX/Plus Markets to AiM in November 2004
Empresaria Group plc   Report & Accounts 2006
Chairman’s statement 6
There are now over 34
companies within the
Group and each one, in
each country, is
characterised by
management retaining a
shared interest in long
term success through a
meaningful equity stake.
Tony Martin
Chairman
The Group has enjoyed a strong start to 2007
and investments made in start up companies
during 2006 are now bearing fruit.  0% 10% 20% 30% 40% 50% 60%
2006
2005
2004
2003
2002
Contribution of Temporary
Businesses to Total Gross
Profit, 2002-2006
0100200300400
2006
2005
2004
2003
2002
Number of employees, 
2002-2006
is based close to Munich in Germany. Germany
has one of the most rapidly growing staffing
markets in Europe moving from a €5.9billion
per annum market in 2003 to an €8.6 billion 
per annum market in 2006. The market is
characterised by recent regulatory
liberalisation, a growing desire for flexibility
amongst clients and an increasing acceptance
of the concept of temporary and contract
staffing which is beginning to extend to
business professionals, facilitating further
specialisation of the market in the future. 
The company has grown rapidly over the last
two years, developing vertical market
specialisations as the staffing market has
evolved. As well as operating from 47 branches,
most of which are in Germany, the company
also has a presence in both Austria and the
Czech Republic. This acquisition represents a
significant accelerator in the Group’s
development and in Empresaria’s expansion
into new emerging markets.
Empresaria’s people
As ever, the success we have enjoyed this year
would not have been possible without the
commitment and enthusiasm of all those
working within the Group. We would like to
take this opportunity to express our
appreciation for all their hard work.
Current trading and outlook
As reported in our trading update in February,
the Group has enjoyed a strong start to the 
year from most markets. Investments made 
in start up companies during 2006 are now
beginning to bear fruit. When combined 
with the contribution from more established
companies operating in growing markets, this
potent mixture gives confidence for the
current year.
Tony Martin
Chairman
19 April 2007
The Group structure reflects this philosophy.
Operations are decentralised with day to day
management autonomy remaining local. A
small central operation focuses on financial
planning and control, group development and
administration. For individual management
teams the arrangements offer a combination of
support, responsibility and independence. For
the Group, the structure offers the benefits of
scale. Central costs will not rise over time in
line with revenue growth. As Empresaria
continues to grow the conversion rate of gross
margin to net margin will improve.
Moving from strategy to objective, the Group’s
long term objective is to establish a geographic
footprint in diverse markets and economies.
The primary focus is on emerging markets or
markets where structural changes have created
staffing industry opportunities. In emerging
markets it is often the case that there is little
or no current sign of market segmentation into
specialist sector operations. Where this is the
case the Group’s approach is to identify a partner
that shares a common goal to develop specialist
staffing niches as the market evolves. In the
longer term, Empresaria will operate in both
developing and developed economies, targeting
business environments where the Empresaria
management equity philosophy, structure and
operational strategy are well received. The
sequence and timing of investments across
different countries will depend to a degree on
where opportunities emerge.
The rationale for developing this portfolio of
operations, diversified both by geography and
market sector, is to maintain consistent,
sustainable high growth whilst managing risk
and reducing volatility. 
Acquisition
On 5th April Empresaria announced that it 
had reached agreement, subject to shareholder
approval and funding, to acquire 60% of
headwayholding GmbH (Headway). Headway 
Empresaria Group plc   Report & Accounts 2006
Chairman’s statement 7
The Group’s long term
objective is to establish a
geographic footprint in
diverse markets and
economies with a focus
on emerging markets. As service industries become a bigger part of the industrial mix
the management of human resource expenses and the utilisation
of a flexible work force will take on increasing importance.
Performance review 2006
The last two years have proven to be a
transition period as the Group has
undertaken the transformation from a
diversified, specialist UK staffing group to
an international one. In financial terms the
Group has taken a number of small steps in
its overseas development. In terms of
strategy and structure, however, several
significant steps have been taken which
will allow Empresaria to increase its scale
of operations at a rapid pace as
opportunities, such as the acquisition of
Headway in Germany, emerge.
One of the features of the strong financial
performance in 2006 has been the differential
between profit growth and revenue growth.
The explanation highlights the core of our
“balanced growth” strategy. In the year we
committed over £1m to fund start up operations
in Asia, Europe and the UK, incurring start up
losses during this period. In addition the Group
invested in additional management, finance
and technical skills and resource, to provide a
platform for further growth. Where we have
made small acquisitions in the year we have
also made significant further internal
investment in order to accelerate future
growth. In making these investments in
companies, people and infrastructure we are
seeking to develop sustainable, long term,
growing revenue streams. The consequence of
investment now is expected to be strong
organic growth in the future. 
Highlights
A number of regional and company
performances stand out in the year. The fastest
growth is, as expected, being experienced
internationally. The Asian markets have all
been buoyant. Our Japanese operations, with
particular contribution from Skillhouse (IT
staffing), experienced spectacular growth in
revenues and gross margins from a small base.
The Monroe Consulting operations, acquired in
December 2005, saw growth in Asia both in
terms of revenues but also sector
diversification with new temporary and
outsourcing services added in both Indonesia
and Thailand and, following the end of the
year, new operations launched in Malaysia. 
In Europe, we have used the IT staffing
platform offered by GIT (a Czech company
acquired in early 2006) to launch new services 
in Slovakia. We have also invested further in
ITC (a Polish company acquired in October
2006) to develop a broader regional branch
presence in Poland.
While Group development focus has been
concentrated on international opportunities, it
is encouraging to see the UK companies deliver
such a positive performance, particularly in
the second half of the year. It is equally
encouraging that these strong results were
delivered by a combination of sectors,
specifically Property Services and Construction,
Financial Services and Other Brands. Within
Other Brands our creative staffing company
The Recruitment Business had a particularly
successful year with contribution coming for
the first time from the Manchester office set
up in 2005 and with the successful launch of a
new office in Australia. 
Group structure
The Group is managed by a small, balanced
Empresaria Group plc   Report & Accounts 2006
Chief Executive’s review 8
We are seeking partners
who are motivated by
our management equity
philosophy, structure
and the opportunity to
create a new multi-
specialist, multi-national
staffing group with high
growth prospects.
Miles Hunt
Chief Executive board of directors with a Chairman, two
executives and two non-executives. Historically
there has been a direct line of reporting from
individual managing directors to the Chief
Executive. This flat structure is changing,
reflecting the rapid development of our
international operations. The appointment of
Armin Preisig as head of European operations
(a position he previously held with Vedior and
Select Appointments) has resulted in an
apportionment of both management and
development responsibility across different
regions. Separately, we have re-structured the
central finance function bringing in additional
skills and expertise both at central and regional
level. The net result of these changes is that we
have increased our capacity to manage growth.
Market overview 
The international staffing industry is
expanding. Growth rates and market
opportunities differ from country to country
with each country retaining different
regulatory environments, political and 
cultural perceptions, economic and market
characteristics. Countries such as Japan and
Germany represent mature economies but at
the same time, mainly as a consequence of
structural change, represent high growth
staffing markets. India combines both a high
growth economy and staffing market but, for
reasons of demography, represents a completely
different challenge in fulfilling the needs of
local clients. China represents a high growth
economy but with a small staffing industry
still, for the moment, held back by legislative
restrictions. 
A common characteristic in all our geographic
markets is the positive trading environment
and the number of new opportunities at both
local and at Group level. As service industries
become a bigger part of the industrial mix the
management of human resource expenses and
the utilisation of a flexible work force will take
on increasing importance.
Strategic focus
Group development focus is to strengthen and
grow our existing businesses and look for 
new investment opportunities in growing
international staffing markets. To date our
resources have been applied to the developing
economies and staffing markets of Eastern
Europe and Asia. These regions remain a 
focus of attention and offer a number of
incremental investment opportunities. In
addition, we are researching and targeting
opportunities in Western Europe and Latin
America. In each case we are seeking partners
who are motivated by our management equity
philosophy, structure and the opportunity to
create a new multi-specialist, multi-national
staffing group with high growth prospects.
Miles Hunt
Chief Executive
19 April 2007
Empresaria Group plc   Report & Accounts 2006
Chief Executive’s review 9
While Group
development focus has
been concentrated on
international
opportunities, it is
encouraging to see the
UK companies deliver
such a positive
performance.
1997 1998       1999 2000       2001       2002 2003       2004      2005       2006
0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
80,000
1997 1998       1999 2000       2001       2002 2003       2004      2005       2006
0
5,000
10,000
15,000
20,000
25,000
1997 1998       1999 2000       2001       2002 2003       2004      2005       2006
-500
0
500
1,000
1,500
2,000
2,500
3,000
Adjusted Profit Before 
Tax, 1997-2006 (£’000s)*
Revenue, 
1997-2006 (£’000s)
Gross Profit,
1997-2006 (£’000s)
*Figures based on underlying profits excluding goodwill amortisation and exceptional costs.
See reconciliation on page 41. In 2006 there were no exceptional costs. In 2006 we took significant steps toward
developing a balanced international specialist
staffing group.
UK operations
At Group level the development focus since
moving to AiM has been on identifying
investment opportunities in staffing
markets outside the UK. At the same time,
however, there is equal attention given to
growing the existing operations in the UK.
UK revenues grew in the year to £66m, up
25% and net fee income of £18m was up 19%
in the period. 
Construction and Property Services
This sector enjoyed high organic growth in the
period with revenues increasing 36% to £37.8m
and net fee income rising 36% to £5.3m on the
back of strong demand in the London and
South East region. Companies in the sector
continued to invest for future expansion with
FastTrack (construction trades) opening new
branches and increasing headcount, Reflex
(building management services) benefiting
from both increased scale and new
international candidate resourcing capability
and TeamSales (sales staff for new build
housing) extending their operations to Spain.
Other Brands
The UK “Other Brands” sector is made up of 
a number of specialist brands ranging from
creative design recruitment to domestic
staffing, PR and marketing and payroll
services. In each case the company or the
market it services is not of sufficient scale to
warrant separate reporting. Revenues in 2006
were £10.2m, up 31% and net fee income
increased 25% to £6.2m.
Financial Services
There are three UK financial services brands,
two in the insurance and broader financial
services sector and one supporting investment
banking and asset management operations.
Revenues in the year were £4.7m, up 31% with
net fee income up 21% to £2.9m. 2006 was a
year of investment and expansion with new fee
earners being added within LMA (banking) and
Mansion House (insurance).
Supply Chain
After two years of minimal growth, revenues
grew in 2006 by 15%. This encouraging progress
was offset, however, by an erosion in
percentage gross margins with net fee income
up only 2% to £2.2m. The sector consists of both
permanent and temporary staffing operations.
Historically, these different businesses have
operated independently and separately. The
decision was taken during the year to integrate
the businesses into one network. The re-
structuring was concluded at the end of 2006
and will generate both cost savings as well as
enhanced business development opportunities.
Early indications suggest that these structural
changes are having a positive financial impact
with clients appearing to support the integrated
solution that the Group is now able to offer.
Public Sector
Public sector recruitment in the UK was
difficult in 2006. The widely publicised
reduction in government spending combined
with customer buying decisions becoming price
rather than service focused, resulted in a drop
in revenues to £5.4m, down 20% with net fee
income down 27% to £1.0m and a move from
operating profit to loss. The pain was felt
particularly in the allied healthcare market
with the demand for physiotherapists and other
second line professionals dropping significantly.
As a reaction to the changing market the
decision was taken in mid-2006 to integrate the
Group’s public sector operations. This resulted
in changes being made to the management and
operations teams. As with the Supply Chain
sector, the early indications suggest that the
structural changes made are having a significant
positive impact on financial performance. 
International operations
The shift in strategic focus from UK to
international development took place at the
end of 2004. In 2005 only 3% of net fee
income was generated outside of the UK. In
2006 this increased to 19%. 2006 was a year
of significant steps forward in developing a
balanced international specialist staffing
group. Total revenues generated in the year
from outside the UK amounted to £9.5m up
from £1.2m in 2005 and net fee income
reached £4.2m up from £0.5m.
Japan
The Group’s first overseas investment was
made at the end of 2004 in Japan in the form
of a start up operation in the IT staffing sector.
Empresaria Group plc   Report & Accounts 2006
Operational review 10
The structural changes
experienced by the
Japanese staffing
industry, with the
liberalisation of laws
relating to temporary
staffing, continue to fuel
strong market growth. Total revenues generated in the year 
from outside the UK were up by 678%.
A second associate company operating in 
FMCG executive recruitment was added to the
portfolio in early 2006. In the second year of
trading Japanese operations contributed
revenues of £5.2m and net fee income of £2.0m,
excellent results from a start up business. The
Japanese economy has returned to growth. The
structural changes experienced by the Japanese
staffing industry, with the liberalisation of
laws relating to temporary staffing, continue
to fuel strong market growth and provide
opportunities for our existing businesses as
well as for investment in new companies.
South East Asia and Australia
The second significant international
investment was made at the end of 2005
through the acquisition of a majority stake in
Monroe Consulting Group. Monroe started
operations in 2001 in Sydney, focusing
primarily on the IT staffing sector. In 2004 
the company embarked on an expansion
programme in South East Asia and it is this
fledgling international network that offers
substantial development opportunity. The
Group now operates separately capitalised
companies in Indonesia (2), Thailand (1) and
Malaysia (1). These regional companies provide
a combination of executive recruitment, large
scale temporary staffing services and training
solutions. In 2006 revenues from this regional
group were £3.8m contributing net fee income
of £1.8m. The original Australian operations
have proven to be a challenge, necessitating
management changes and investment in new
systems and infrastructure. The South East
Asian operations have, in contrast,
demonstrated great potential, combining
entrepreneurial management with buoyant
economies and high demand for the services
offered. Early indications in 2007 suggest that
this region will be a strong contributor of
organic growth this year.
Europe
Net fee income contribution of £0.4m in the
year reflects the relatively small scale of the
Group’s European business but masks the
progress that has been made since applying
focus to the region.
At the beginning of 2006 the Group acquired 
a 60% stake in GIT Consult, a Czech based
permanent IT recruitment company,
representing Empresaria’s first investment 
in Europe. A new operation was launched in
Slovakia in May, with branches established
initially in Bratislava as well as more recently
in Kosice, Slovakia’s second largest city.
Increased focus has been given to temporary
staffing operations with this area of the
business expected to grow in 2007. 
In October Empresaria acquired a 51% stake in
ITC Group based in Krakow Poland. ITC has 
two primary focuses of operation: temporary
staffing services to the local Polish market and
work abroad services (finding and managing 
the logistics of migrant workers moving from
Poland to other EU countries). ITC has recently
launched a new branch office in Katowice.
Rest of the world
The Group’s other operations are currently held
as associate company investments. In each
case, where the local legislation allows, there is
an option to increase the Group’s shareholding
from a minority position to a majority position.
The most significant investment made and the
most ambitious start up operation launched by
Empresaria to date has been in India. From a
standing start in April 2006, IMS Empresaria,
the Indian investment vehicle has grown a
branch network across 8 cities in India and
developed services including permanent and
temporary staffing, training and Recruitment
Process Outsourcing (RPO) supported by a team
of over 125 employees.
In China, Empresaria invested in Aston HR
Consulting. Aston HR acquired an interest in 
a small existing Shanghai based outsourced
staffing company and has gained additional
licences to provide both permanent staffing and
training solutions within the Shanghai region. 
Both the Indian and Chinese staffing markets
are growing strongly, reflective of the
underlying economic success of both countries.
The Group’s investment in the US, Gerard
Stewart, is a permanent staffing business
focused on supporting the US staffing industry.
The company continued to trade profitably in
the year.
Empresaria Group plc   Report & Accounts 2006
Operational review 11
The South East Asian
operations have
demonstrated great
potential, combining
entrepreneurial
management with
buoyant economies and
high demand for the
services offered.
Net Fee Income Analysis 
by Sector, 2006
Construction
24%
Finance
13%
Logistics
10%
Specialist
29%
International
19%
Public
5% India: A land of opportunity
k An economy that has consistently high GDP
growth rates that have the potential to be
sustainable in the long term. It is predicted
India will have the third largest economy by
2050 at £27.5 trillion
1
.
k A country rich in human resources; highly
skilled and young. While the rest of the
developed world is facing an imminent
shortage of labour, due to an ageing
population, India’s age profile is young and 
is expected to remain so. Therefore India is
expected to become the largest contributor 
to the future global workforce by 2010
2
.
k A liberalising and rapidly developing 
domestic staffing market due to significant
growth in many sectors including IT, 
Telecoms, Manufacturing, Retail and Banking.
The high volume of local and international
recruitment that these industries bring,
correlates into high revenue opportunities.
Capitalising on the opportunity
In keeping with Empresaria’s strategy of
building an international staffing group 
with revenues generated across a range of
economies, emerging staffing markets and
industry sectors, the Group acquired, in May
2006, a 17% stake in specialist staffing business,
Interactive Manpower Solutions Private Ltd
(“IMS”). IMS specialises in temporary and
permanent staffing, outsourcing human
resource functions and corporate training.
Since the acquisition, Empresaria’s stake has
been increased to 32%. It retains an option to
increase its shareholding to 67.5% before 31st
December 2007.
Building for the future
With a population of 1bn+ and hundreds of
different dialects to cope with, IMS has put in
place an infrastructure that places significant
importance on its IT systems. A central support
function at their main Ahmedabad office is the
processing centre for the massive volume of
information provided by offices located in
Mumbai, Delhi, Bangalore and four other
nationwide satellite operations. IMS has grown
to over 125 employees in less than a year with
future expansion plans including a network of
13 offices across the country. 
Case study: IMS in India
Empresaria Group plc   Report & Accounts 2006
12
India’s Expected 
Contribution to the Global
Workforceby 2010
2
1
Source: Ministry of Commerce & Industry Report, 2005
2
Source: Prudential ICICI, Population Estimates
Number of people (millions)
-10 0 10 20 30 40 50 60 70 80 90
India
Africa
China
Southeast Asia
Latin America
West Asia
USA
Western Europe
Japan
“Good quality job done.
IMS Empresaria are an
extremely reliable 
service partner.”
Amit Panwar, Branch
Manager, Sales HSBC
IMS: a start-up success Empresaria Group plc   Report & Accounts 2006
Case study: FastTrack in the UK 13
Percentage of total spend
0 2 4 6 8 10 12 14 16
North
Yorkshire
East Midlands
East England
London
South East
South West
West Midlands
North West
Wales
Scotland
Regional Value of 
Construction Activity, 2006
The opportunity
In 2005 the construction industry accounted for
8% of the UK’s GDP with an output of £120bn. 
A National Statistics Office survey showed that
1.4m were employed in the construction
industry of which 0.8m were self-employed or
temporary workers. With construction outputs
continuing to rise in 2006, there are still
significant opportunities for companies
providing support services to this industry.
FastTrack Management Services provides
comprehensive temporary and permanent
recruitment solutions, to their nationwide UK
clients, across four divisions – Trades & Labour,
Facilities, Management and Maintenance.
The growth
Since joining the Group, Empresaria’s
Construction & Property Services brand,
FastTrack Management Services has enjoyed
rapid growth with turnover, margin and net
fee income all increasing by over 100%.
Empresaria’s continued commitment to organic
growth by reinvesting cash to develop existing
businesses, if market conditions allow, has
enabled FastTrack to develop their consultants,
their branch network and new revenue streams.
The management team, which has been with
the business since its inception 15 years ago,
considers market knowledge and differentiation
paramount in a highly competitive
environment. Emphasis is placed on training,
management and motivation of consultants and
the development of a consultant base through
career enhancement programs is considered
extremely important to future growth. High
consultant retention rates, increased market
share and branding recognition are good
indicators of success in this area.
The future
Understanding and anticipating where
opportunities will present themselves is also
key to continued revenue growth. Although
FastTrack’s cost base rose in 2006 due, in part,
to the opening of an office in East London, its
network of strategically placed UK branches,
across the North, the Midlands and London,
combine to provide a more robust platform, 
less susceptible to regional downturn, which 
is well positioned to take advantage of future
opportunities, such as the 2012 Olympics.
“FastTrack provides
Bouygues with valuable
personnel services and
has a pro-active
approach. This
combination has
culminated in a strong
partnership.” 
David Morin, Construction
Manager, Bouygues UK
FastTrack: a fast growth story 2006 saw the Group maintaining its successful
strategy of expansion by a mixture of organic
growth and acquisition.
Empresaria Group plc   Report & Accounts 2006
Financial review 14
Financial performance
Revenue
Group revenue rose by £21.4m (40%) in the
year. Like for like sales increased by 26%.
Gross margin
The Group’s gross margin increased to 29%,
compared with 28% in 2005. 
The Group’s gross margin generated from the
contract and temporary businesses stayed at
the 2005 level of 56% of total gross margin. The
Group aims to increase the level of temporary
and contract revenue contribution in the future.
Profitability
The Group uses adjusted profit before taxation
(PBT) (as defined and calculated on page 41) 
as its principal measure of operating
performance. Profits before tax are adjusted to
remove the effects of goodwill amortisation
and any exceptional costs or gains incurred
during the year. There were no exceptional
costs in 2006. A reconciliation of the statutory
and adjusted profit is provided on page 41.
Adjusted PBT for the year – for existing and
continuing operations – rose by 30% to £2.89m
(2005: £2.23m) for the whole Group. 
Adjusted operating margin on revenues
reduced slightly to 4.6% (2005: 4.7%).
Taxation
The effective rate of corporation tax to
headline profit before tax has reduced from
45% in 2005 to 31% in 2006. The decrease is
mainly due to the utilisation of deferred tax
assets.
Deferred taxation has been provided on timing
differences where required by FRS 19.
Minority interests
The Group’s share of profit after tax reduced
from 74% in 2005 to 66% in 2006. This reflects
varying minority interests in each of the
Group’s operating companies and the effect 
of consolidated goodwill amortisation.
Earnings per share
Earnings per share (EPS), adjusted for the
effects of goodwill amortisation and
exceptional costs, were 7.2 pence, an increase 
of 26% over 2005 (5.7 pence).
In 2006, the Group’s weighted average issued
share capital, as used to calculate EPS,
increased by 11% as a result of shares issued to
acquire new operations or increase the Group’s
share in existing operations. 
Dividend
The Directors have recommended the payment
of a dividend of 0.50 pence per share (2005:
0.45 pence, representing an increase of 11%). 
If approved, the dividend will be paid on 20th
August 2007 to members registered on 20th 
July 2007. 
Acquisitions
Details of the main transactions are explained
below:
Purchase of HEC
In April 2006, the Group acquired from SSR
Personnel Services, through a special purpose
Nick Hall-Palmer
Group Finance Director vehicle, its operating division providing
staffing services in the UK public sector for an
initial cash consideration of £350,000. 
Deferred consideration of up to £400,000 may
be payable in 2007, based on the results to 31
March 2007.
Purchase of the ITC Group
In October 2006, the Group acquired 51% of the
share capital of ITC PRACA Sp. Z.o.o., ITC APT
Sp. Z.o.o. and ITC CS Sp. Z.o.o. for £632,000.
Deferred consideration of up to Zl 4,340,000
(approx £0.8m) may be payable dependent on
financial performance of the ITC Group in 2006
and 2007. 
Based in Poland, the company specialises in
three areas: the sourcing of Polish workers on
behalf of overseas organisations in Western
and Southern Europe, temporary staffing
focusing on the Polish local market and
providing training services to candidates.
Purchase of minority share holdings
During 2006, Empresaria acquired shares from
the minority shareholders in a number of
Group companies. 
The companies involved and shareholdings
held after the purchase were: LMA
Recruitment Limited (80%), Healthcare First
Limited (100%), TeamSales Limited (100%),
McCall Limited (62%) and Lime Street
Recruitment Limited (69%).  
The purchases were satisfied by the payment of
£144,650 in cash and the issue of 224,316 shares
at a value of £187,300. 
Post year end purchases
On 5 April 2007, the Group announced its
intention to purchase 60% of the share capital
of Headway for a consideration of €14.6m.
Headway is a provider of temporary/contract
staffing based principally in Germany. 
The acquisition is subject to shareholder
approval at an Extraordinary General Meeting
to be held on 30 April 2007.
Intangible assets
The carrying value of intangible assets in the
Group Balance Sheet increased by £1.7m, from
£8.0m to £9.7m. The major constituents of 
this increase arose from the acquisitions and
increase in the Group’s shareholding in
existing Group companies, as detailed above.
Goodwill is amortised over its useful economic
life up to a maximum period of twenty years.
The Directors regularly review the carrying
value of goodwill for impairment.
Risk factors
The principal risks that the Group face are:
Growth management
The Group’s growth strategy includes the
investment in and management of start up
businesses and acquisitions. This strategy has
certain risks and failure to improve operating
performance of start-up businesses and
acquired businesses may adversely impact
results, including the Group’s cash flow.
Dependence on key executives 
and personnel
The Group’s future success is substantially
dependent on retaining and incentivising 
its senior management and certain key
employees. The loss of the service of key
personnel may have an adverse impact on 
the Group’s business and relationships.
However, the Group’s philosophy of
management equity ensures that key
management are appropriately incentivised
through equity ownership.
Financial risks and treasury
management
As the Group expands internationally, it will
become more exposed to risks associated with
currency fluctuations. The Directors intend to
introduce appropriate exchange management
strategies to address this risk.
With regard to credit risk the company has
implemented policies that require appropriate
credit checks on potential customers before
Empresaria Group plc   Report & Accounts 2006
Financial review 15
0.0 0.1 0.2 0.3 0.4 0.5
2006
2005
2004
2003
2002
Dividend Per Share, 
2002-2006 (pence)
Over the past four years
Group revenues have
grown by 36% and
adjusted EPS by 27%
annually. Empresaria Group plc   Report & Accounts 2006
Financial review 16
contracts are commenced.
In respect of interest rate risk the Group has
interest bearing assets and liabilities. Interest
bearing assets and liabilities include cash
balances and overdrafts, all of which have
interest rates applied which are commensurate
with the scale of the Group’s operations.
Cash flow
Net cash of £5.2m (2005: £2.5m) was generated
from operating activities during the year. 
After returns on investments and servicing 
of finance and taxation flows of £1.5m, the
surplus was reduced to £3.7m.
The Group spent £3.3m of cash on acquisitions
and capital expenditure, resulting in a cash
inflow before financing of £0.3m.
The Group raised £0.7m from financing
activities, resulting in an overall decrease in
net debt at the year end of £1.1m to £1.3m
(2005: £2.4m)
Net operating cash flows are inflated due to an
increase in the amount of invoice discounting
subject to non-recourse arrangements.  
The Group expects that the cash position over
the next two years will be adversely effected by
the changes in the Managed Service Company
legislation (introduced on 6 April 2007). This
will be partly offset by cash inflows from our
growing operating activities but cash
generation as a percentage of operating 
income for the coming two years is expected 
to be lower.
Management of liquidity risk
The Group maintains a range of facilities
appropriate to fund its working capital
requirements as well as its strategy of organic
and acquisitive expansion.
At the year end, the Group’s financing
arrangements comprised: 
n cash at bank of £3.3m;
n an unutilised overdraft facility £1.75m;
n a revolving credit loan facility of £2.5m, of
which £0.7m has been utilised;
n outstanding term loans of £1.3m repayable
over the next two years; and 
n amounts owed in respect of invoice
discounting agreements of £2.6m.
The Group banks with HSBC plc.
Nick Hall-Palmer
Group Finance Director
19 April 2007
Financial review 
(continued)
As the Group expands
internationally, the
Directors will introduce
appropriate exchange
management strategies
to address the potential
risk associated with
currency fluctuations. Empresaria Group plc   Report & Accounts 2006
The overseas market
Migration of workers is nothing new. However,
the opening of the borders on 1st May 2004
provided the competition that is contributing,
in part, to growth in the domestic staffing
sector of Eastern Europe. The acquisition of 
a majority stake in three Krakow based
businesses, in October 2006, provided
Empresaria with access to this dynamic
staffing market. Through ITC Group (“ITC”)
Empresaria now has access to Poland’s 38m
population to fill skill shortages in other
countries as well as the local labour market. 
Through its Work Abroad brand, ITC has
become Poland’s market leader in providing
large volumes of Polish labour to overseas
clients. Since its incorporation in 1999, ITC 
has recruited approximately 10,000 workers 
to work in EU countries; 90% being placed in
England and Ireland, 8% in France and 2% in
Sweden. 
The domestic market
In 2005 ITC APT, a new company, was
established in Krakow to grow temporary
staffing operations within the Polish market.
Becoming part of Empresaria is enabling ITC
APT to accelerate its development plan in 
this fast growing domestic market, symbolised
by the investment in a second office in
Poland’s largest industrial region of Katowice
in early 2007. 
ITC also provides training services and has a
candidate care operation that provides Polish
contractors and migrant workers with
insurance, travel and tax consultancy services.
Production and
Technical
50%
Healthcare
30%
Hospitality
5%
Logistics
3%
Admin/Office
Workers
2%
Construction
10%
ITC Business Sectors, 2006
Case study: ITC in Poland 17
ITC: a strategic acquisition
“We have enjoyed a
productive partnership
with ITC since 2004, as
the UK labour market 
is unable to supply an
adequate number of
candidates for the 
social care sector.”
Peter Buckle, HR Director,
Four Seasons Health Care Empresaria Group plc   Report & Accounts 2006
Corporate governance 18
The Board is committed to ensuring that sound
principles of corporate governance are applied
throughout the Group and is structuring its
approach to achieve a position commensurate
with the size of the business and its status as
an AiM listed company.
As the Group increases the size and complexity
of its operations, the Group adapts its approach
to Corporate Governance. Whilst there is no
requirement to provide corporate governance
disclosures due to the company’s AiM listed
status, the major elements of the Group’s
approach are listed below:
Systems of internal control and 
its effectiveness
The directors acknowledge their
responsibilities for the Group’s system of
internal control. Such a system can provide
reasonable, but not absolute, assurance against
material misstatement or loss. As in previous
years the following key controls existed
throughout the year:
n Empresaria Group plc’s operations are
structured into profit centres. Annual
budgets are prepared for each profit centre
and approved by the Board of Directors. The
performance of each profit centre against
budget is monitored on a monthly basis.
Significant variances against budget are
thoroughly investigated and corrective
action taken.
n The executive directors attend regular
meetings with operating company
management to review performance and
agree future strategy.
n The Board of Directors meets every two
months to review the performance of the
Group. Members of the Board of Directors
meet formally with operating company
management on a regular basis to review
business performance and to address
operational and strategic issues.
n There existed within the Group throughout
the year under review appropriate levels of
delegated authority covering the key areas
of the Group’s operations.
During 2006, with assistance from the central
Group functions, a risk self-assessment was
performed in all of the UK operating
companies. Each Managing Director identified
the key risks within their businesses and wrote
action plans to address these risks. In 2007, the
Group is planning to introduce regular
operating and financial reviews where
company risks will be discussed on a regular
basis.
The Group continues to operate other
initiatives to enable subsidiary company
management to identify and manage their risk
effectively, using seminars and forums. During
2006, the company’s intranet site has also been
in use and companies within the Group have
been encouraged to see it as a mechanism to
share information and good practice.
Improvements will continue to be made to
embed internal control and risk management
further into the operations of the business and
to deal with areas of importance which come to
management and the Board’s attention.
Board of Directors
The Group has always sought to maintain a
balance between Executive and Non-executive
Directors in keeping with its size. 
The Board currently has five directors,
comprising of two Executive and three Non-
Executive Directors. 
The Board exercises full and effective control
over the Group. The Board meets on a regular
basis and its responsibilities include strategy
and management of performance, acquisitions
and safeguarding the Group’s assets.
Corporate governance Board Committees
The Group has the following Committees in
operation.
Audit Committee
The Audit Committee is chaired by a Non-
Executive Director, Tim Sheffield and meets at
least once a year to consider matters relating to
accounting, internal control and the statutory
audit. Tony Martin is also a member of the
Audit Committee.
The Committee meets the external auditors
without the presence of the Group Finance
Director at least twice each year.
The Group does not currently operate an
internal audit function as the directors do 
not believe that, given the current size and
complexity of the Group, the cost would deliver
appropriate benefits.
Remuneration Committee
The Remuneration Committee is chaired by a
Non-Executive Director, Penny Freer, who is
joined on the Committee by the Group’s other
Non-Executive Director, Tim Sheffield. The
remuneration of the Executive Directors is
reviewed annually and approved by the
Committee Chairman. 
Going concern
The directors have formed the judgement, at
the time of approving the financial statements,
that there is a reasonable expectation that the
Group has adequate resources to continue in
operational existence for the foreseeable
future. For this reason, the directors continue
to adopt the going-concern basis in preparing
the financial statements.
N C Hall-Palmer
Group Finance Director
19 April 2007
The directors are responsible for preparing the
Annual Report and the financial statements in
accordance with applicable law and regulations.
Company law requires the directors to prepare
financial statements for each financial year.
Under that law the directors have elected to
prepare the financial statements in accordance
with United Kingdom Generally Accepted
Accounting Practice (United Kingdom
Accounting Standards and applicable law). 
The financial statements are required by law 
to give a true and fair view of the state of
affairs of the company and the group and of
the profit or loss of the group for that period.
In preparing these financial statements, the
directors are required to:
n select suitable accounting policies and then
apply them consistently; 
n make judgments and estimates that are
reasonable and prudent; 
n state whether applicable UK Accounting
Standards have been followed, subject to
any material departures disclosed and
explained in the financial statements;
n prepare the financial statements on the
going concern basis unless it is
inappropriate to presume that the company
will continue in business.
The directors are responsible for keeping
proper accounting records that disclose with
reasonable accuracy at any time the financial
position of the company and enable them to
ensure that the financial statements comply
with the Companies Act 1985. They are also
responsible for safeguarding the assets of the
company and hence for taking reasonable steps
for the prevention and detection of fraud and
other irregularities.
The directors are responsible for the
maintenance and integrity of the corporate
and financial information included on the
company's website. Legislation in the United
Kingdom governing the preparation and
dissemination of financial statements may
differ from legislation in other jurisdictions.
Empresaria Group plc   Report & Accounts 2006
Statement of Directors’ responsibilities 19
Statement 
of directors’
responsibilities Empresaria Group plc   Report & Accounts 2006
Directors’ report 20
The directors present their annual report and the audited
financial statements for the year ended 31 December 2006.
Principal activities
The principal activity of the group is the provision of staffing
services. The principal activities of the company were those of
investing in subsidiaries, acting as a recruitment company and
providing management services.
Review of the business and future prospects
This is covered by the Chairman’s statement, Chief Executive’s
review and Financial review on page 6, 8 and 14 respectively.
Results and dividends
The results for the year are set out on page 22. The directors
recommend the payment of a dividend of 0.50 pence per share
(2005: 0.45 pence). If approved, the dividends will be paid on 
20 August 2007 to members registered on 20 July 2007.
Directors
The following directors have held office since 1 January 2006 
(or date of appointment):
Executive Directors: M W R Hunt; N C Hall-Palmer
Non-Executive Directors: A V Martin; T J D Sheffield; P A Freer
Financial instruments
The Group’s policy and exposure to derivatives and other
financial instruments is disclosed in note 25 and discussed in
the financial review on page 15.
Directors’ interests
The beneficial interests of the directors serving at the year end
in the shares of the company were as stated below:
Ordinary shares of 5p each
31 December 2006 1 January 2006
No. No.
M W R Hunt 2,837,571 2,837,571
T J D Sheffield 2,049,307 2,254,307
A V Martin 2,610,848 1,652,807
N C Hall-Palmer 201,647 201,647
The interests of M W R Hunt include 446,700 (2005: 446,700)
shares by virtue of the shares held by his wife. The interests of
directors in other Group companies and in the Executive Equity
Participation Plan (EEPP) are disclosed in note 26.
Substantial shareholdings
As at 31 December 2006, the following interests in 3% or more of
the issued ordinary share capital appear in the register maintained
under the provisions of section 211 of the Companies Act 1985:
Ordinary shares of 5p each
No. Percentage 
Caledonia Investment plc 3,178,000 13.31%
Lion Trust 2,106,044 8.82%
Policy and practice on the payment of creditors
The company does not follow any specified code or standard 
on payment practice. However, it is the company’s policy to
negotiate terms with its suppliers and to ensure that they are
aware of the terms of payment when business is agreed. It is the
company’s policy to abide by these terms. Suppliers are paid on
average within 30 (2005: 30) days.
Post balance sheet event
Following the end of the year, the Group agreed to purchase 
60% of the share capital of Headway, a provider of temporary/
contract staffing, principally in Germany. The acquisition is
subject to shareholder approval at an Extraordinary General
Meeting to be held on 30 April 2007.
IFRS impact statement
In accordance with the AiM reporting regime, the Group will
adopt International Financial Reporting Standards (“IFRS”) for
the financial year ending 31 December 2007. The Group has
completed a preliminary exercise to identify and document the
differences between UK GAAP and IFRS and is in the process of
quantifying the impact that IFRS will have on the consolidated
financial statements. This project is on schedule and the
interim results for the six month period to 30 June 2007 will be
the first set of results reported under IFRS.
Employee communication and disabled employees
The Group places considerable value on the involvement of 
its employees and has continued to keep them informed on 
matters affecting them and on the various factors affecting 
the performance of the Group and company. This is achieved
through formal and informal meetings, the company newsletter
and the company’s website. Applications for employment by
disabled persons are always fully considered. In the event of
members of staff becoming disabled every effort is made to
ensure that their employment with the Group continues. 
Independent auditors
Each of the persons who is a director at the date of approval of
this report confirms that:
(1) so far as the director is aware, there is no relevant audit
information of which the company’s auditors are unaware; and
(2) the director has taken all the steps that he ought to have
taken as a director in order to make himself aware of any
relevant audit information and to establish that the company’s
auditors are aware of that information. 
This confirmation is given and should be interpreted in accord-
ance with the provisions of s234ZA of the Companies Act 1985. 
The auditors, Deloitte & Touche LLP, have expressed their
willingness to continue in office and a resolution to reappoint
them as the company’s auditor will be proposed at the
forthcoming Annual General Meeting.
Approved by the Board of Directors and signed on behalf of 
the Board
Directors’ report
M W R Hunt
Director
19 April 2007 Independent Auditors Report to the Members 
of Empresaria Group PLC
We have audited the Group and parent company financial
statements (the “financial statements”) of Empresaria Group
PLC for the year ended 31 December 2006 which comprise the
consolidated profit and loss account, the consolidated statement
of total recognised gains and losses, the consolidated and
company balance sheets, the consolidated cash flow statement,
notes to the consolidated cash flow statement, and the related
notes 1 to 27. These financial statements have been prepared
under the accounting policies set out therein. 
This report is made solely to the company’s members, as a body,
in accordance with section 235 of the Companies Act 1985. Our
audit work has been undertaken so that we might state to the
company’s members those matters we are required to state to
them in an auditors’ report and for no other purpose. To the
fullest extent permitted by law, we do not accept or assume
responsibility to anyone other than the company and the
company’s members as a body, for our audit work, for this
report, or for the opinions we have formed.
Respective responsibilities of directors 
and auditors
The directors’ responsibilities for preparing the Annual Report
and the financial statements in accordance with applicable law
and United Kingdom Accounting Standards (United Kingdom
Generally Accepted Accounting Practice) are set out in the
Statement of Directors’ Responsibilities.
Our responsibility is to audit the financial statements in
accordance with relevant legal and regulatory requirements 
and International Standards on Auditing (UK and Ireland).
We report to you our opinion as to whether the financial
statements give a true and fair view and are properly prepared
in accordance with the Companies Act 1985. We also report to
you whether in our opinion the information given in the
Directors’ Report is consistent with the financial statements.
The information given in the Directors’ Report includes that
specific information presented in the Operating and Financial
Review that is cross referred from the Business Review section
of the Directors’ Report. 
In addition we report to you if, in our opinion, the company has
not kept proper accounting records, if we have not received all
the information and explanations we require for our audit, or if
information specified by law regarding directors’ remuneration
and other transactions is not disclosed. 
We read the other information contained in the Annual Report
as described in the contents section, and consider whether it is
consistent with the audited financial statements. This other
information comprises only the Directors’ Report, the
Chairman’s Statement, the Chief Executive’s Review and the
Operating and Financial Reviews. We consider the implications
for our report if we become aware of any apparent
misstatements or material inconsistencies with the financial
statements. Our responsibilities do not extend to any further
information outside the Annual Report.
Basis of audit opinion
We conducted our audit in accordance with International
Standards on Auditing (UK and Ireland) issued by the Auditing
Practices Board. An audit includes examination, on a test basis,
of evidence relevant to the amounts and disclosures in the
financial statements. It also includes an assessment of the
significant estimates and judgements made by the directors in
the preparation of the financial statements, and of whether 
the accounting policies are appropriate to the group’s and
company’s circumstances, consistently applied and adequately
disclosed.
We planned and performed our audit so as to obtain all the
information and explanations which we considered necessary 
in order to provide us with sufficient evidence to give
reasonable assurance that the financial statements are free
from material misstatement, whether caused by fraud or other
irregularity or error. In forming our opinion we also evaluated
the overall adequacy of the presentation of information in the
financial statements.
Opinion
In our opinion:
n the financial statements give a true and fair view, in
accordance with United Kingdom Generally Accepted
Accounting Practice, of the state of the group’s and the
parent company’s affairs as at 31 December 2006 and of the
group’s profit for the year then ended;
n the financial statements have been properly prepared in
accordance with the Companies Act 1985; and
n the information given in the Directors’ Report is consistent
with the financial statements.
Deloitte & Touche LLP
Chartered Accountants and Registered Auditors 
Crawley, United Kingdom
19 April 2007 
Empresaria Group plc   Report & Accounts 2006
Independent Auditors’ report 21
Notes: An audit does not provide assurance on the maintenance and integrity of the website, including controls used to achieve this, and in particular on
whether any changes may have occured to the financial statements since first published. These matters are the responsibility of the directors but no control
procedures can provide absolute assurance in this area.
Legislation in the United Kingdom governing the preparation and dissemination of financial statements differs from legislation in other jurisdictions. Report & Accounts 2006
22
Empresaria Group plc
Consolidated profit and loss account
Year ended 31 December 2006
2006 2005
Note £’000 £’000 £’000 £’000
Turnover 1, 2
Existing operations 72,946 48,342
Acquisitions 3 2,513 5,718
Total turnover 2 75,459 54,060
Cost of sales (53,619) (38,667)
Gross profit 21,840 15,393
Administrative expenses (19,097) (13,479)
Operating profit 6
Existing operations 2,667 1,217
Acquisitions 3 76 697
Total operating profit 2,743 1,914
Share of losses in Associated companies 12 (203) (44)
2,540 1,870
Interest payable and similar charges 7 (408) (263)
Profit on ordinary activities before taxation 2,132 1,607
Tax on profit on ordinary activities 8 (663) (726)
Profit on ordinary activities after taxation 1,469 881
Minority interests 19 (497) (233)
Profit on ordinary activities attributable
to the members of Empresaria Group plc
and transferred to reserves 17 972 648
Earnings per share (pence)
Basic and diluted 22 4.21 3.12
All results for the Group are derived from continuing operations in both the current and preceding years.
2006 2005
Note £’000 £’000
Profit for the financial year
Group 1,045 692
Associates 12 (73) (44)
Total profit for the financial year 17 972 648
Exchange difference on net assets of overseas 
subsidiaries 17 (28) -
Total recognised gains and losses 
relating to the year 944 648
Consolidated statement of total recognised gains and losses
Year ended 31 December 2006 Report & Accounts 2006
23
Empresaria Group plc
Consolidated balance sheet
Year ended 31 December 2006
2006 2005
Note £’000 £’000 £’000 £’000
Fixed assets
Intangible assets 10 9,684 7,981 
Tangible assets 11 790 535
Investment in associates 12 660 39 
11,134 8,555 
Current assets
Debtors 13 11,480 10,169
Cash at bank and in hand 3,342 2,405
14,822 12,574
Creditors: amounts falling due 
within one year 14 (13,744) (10,992)
Net current assets 1,078 1,582
Total assets less current liabilities 12,212 10,137
Creditors: amounts falling due  
after more than one year 15 (1,201) (1,449)
Net assets 11,011 8,688 
Capital and reserves
Called up share capital 16 1,193 1,113 
Share premium account 17 5,185 3,822
Other reserve 17 1,539 1,539
Profit and loss account 17 2,285 1,447 
Shareholders’ funds 18 10,202 7,921 
Minority interests 19 809 767 
11,011 8,688 
These financial statements were approved by the Board of Directors on 19 April 2007.
Signed on behalf of the Board of Directors
M W R Hunt N C Hall-Palmer
Director Director Company balance sheet
Year ended 31 December 2006
Report & Accounts 2006
24
Empresaria Group plc
2006 2005
Note £’000 £’000 £’000 £’000
Fixed assets
Tangible assets 11 11 9 
Investments 12 11,872 9,408 
11,883 9,417
Current assets
Debtors (including amounts falling due after more
than one year of £285,000 (2005: £308,000)) 13 5,252 2,025
Creditors: amounts falling due 
within one year 14 (5,960) (3,030)
Net current liabilities (708) (1,005) 
Total assets less current liabilities 11,175 8,412
Creditors: amounts falling due
after more than one year 15 (1,043) (1,329)
Net assets 10,132 7,083 
Capital and reserves
Called up share capital 16 1,193 1,113 
Share premium account 17 5,185 3,822
Other reserves 17 1,539 1,539 
Profit and loss account 17 2,215 609 
Shareholders’ funds 18 10,132 7,083 
These financial statements were approved by the Board of Directors on 19 April 2007.
Signed on behalf of the Board of Directors
M W R Hunt N C Hall-Palmer
Director Director Consolidated cash flow statement
Year ended 31 December 2006
Report & Accounts 2006
25
Empresaria Group plc
2006 2005
Note £’000 £’000 £’000 £’000
Net cash inflow from operating activities A 5,155 2,500
Returns on investments and servicing of finance
Interest paid (408) (263)
Dividends paid to minority shareholders in 
subsidiary undertakings (333) (196)
Net cash outflow from returns on investments 
and servicing of finance (741) (459)
Taxation – corporation tax paid  (739) (586)
Capital expenditure and financial investment
Payments to acquire tangible fixed assets (528) (413)
Net cash outflow for capital expenditure 
and financial investment (528) (413)
Acquisitions
Purchase of businesses D (2,069) (1,993)
Cash acquired with subsidiary acquired 9 462
Investment in associates (694) (21)
Net cash outflow from acquisitions (2,754) (1,552) 
Dividends paid (106) (84) 
Net cash inflow/(outflow) before financing 287 (594) 
Financing
Issue of new shares 905 -
Repayment of loan (247) (238)
Raising of loan 725 -
(Decrease)/increase in invoice discounting balances (733) 316
Net cash inflow from financing 650 78 
Increase/(decrease) in cash in the year B, C 937 (516)  Notes to the consolidated cash flow statement
Year ended 31 December 2006
Report & Accounts 2006
26
Empresaria Group plc
A. Reconciliation of operating profit to net cash inflow from operating activities
2006 2005
£’000 £’000
Operating profit   2,743 1,914
Depreciation of tangible assets   337 262
Loss on disposal of tangible fixed assets   - 73
Amortisation of goodwill   762 618
Increase in debtors   (940) (433)
Increase in creditors   2,253 66
Net cash inflow from operating activities   5,155 2,500
B. Reconciliation of net cash flow to movement in net debt
2006 2005
£’000 £’000
Increase/(decrease) in cash in the year   937 (516)
Cash outflow/(inflow) from change in debt  255 (78)
Change in net debt resulting from cash flows   1,192 (594)
Factoring debt acquired with subsidiary  - (286)
Total movement in net debt during the year 1,192 (880)
Opening net debt   (2,447) (1,567)
Closing net debt   (1,255) (2,447)
C. Analysis of net debt Other
1 January Cash non-cash 31 December
2006 flow changes 2006
£’000 £’000 £’000 £’000
Cash at bank and in hand 2,405 937 - 3,342
Amounts owed to factors (3,302) 733 - (2,569)
Loans due within one year (225) (500) (265) (990)
Loans due after one year (1,325) 22 265 (1,038)
(4,852) 255 - (4,597)
(2,447) 1,192 - (1,255)
D. Acquisitions
Acquisitions during the year contributed £64,000 (2005: £329,000) to the Group’s net operating cash outflows, paid £8,000 (2005:
£10,000) in respect of returns on investments and servicing of finance and utilised £88,000 (2005: £23,000) for capital
expenditure. Notes to the financial statements
Year ended 31 December 2006
Report & Accounts 2006
27
Empresaria Group plc
1. Accounting policies
The financial statements are prepared in accordance with
applicable United Kingdom accounting standards. The
particular accounting policies which have been consistently
applied throughout the current and preceding period, with
the exception of the policy for share-based payment, are
described below.
Accounting convention
The financial statements are prepared under the historical
cost convention.
Basis of consolidation
The consolidated profit and loss account and balance sheet
include the financial statements of the company and its
subsidiary undertakings made up to 31 December 2006. The
results of subsidiaries sold or acquired are included in the
profit and loss account up to, or from the date control passes.
Intra-Group transactions and profits are eliminated fully on
consolidation.
Turnover
Turnover represents amounts receivable for services net of 
VAT and trade discounts.
Revenue recognition
Permanent placement revenue is recognised at the point 
when the candidate commences employment.
Contract placement revenue is recognised on the basis of
actual work performed in the relevant year based on
timesheets submitted.
Goodwill
Positive and negative goodwill represent the difference
between the cost of acquisition and the fair value of the
separable net assets of the businesses acquired. Positive and
negative goodwill are amortised through the profit and loss
account in equal annual instalments over their estimated
useful lives, which are between 10 and 20 years. The directors
review the period of amortisation of goodwill on an annual
basis. Where it is believed the carrying value of goodwill
suffers any impairment, the fall in value is charged
immediately to the profit and loss account.
Costs of acquisition include a reasonable estimate of the fair
value of the amounts of contingent consideration expected to
be payable in the future.
Tangible fixed assets
Depreciation is provided on cost in equal annual instalments
over the estimated useful lives of the assets. The rates of
depreciation are as follows:
Leasehold property: over the term of the lease
Fixtures, fittings and equipment: between one and two years
Motor vehicles: over five years
Investments
Investments held as fixed assets are stated at cost less
provision for any impairment in value. 
Associates
In the Group financial statements investments in associates
are accounted for using the equity method. The consolidated
profit and loss account includes the Group’s share of
associates’ profits less losses while the Group’s share of the net
assets of the associates is shown in the consolidated balance
sheet. Goodwill arising on the acquisition of associates is
accounted for in accordance with the policy set out above. Any
unamortised balance of goodwill is included in the carrying
value of the investment in associates.
Foreign exchange 
The results of overseas associates and subsidiaries are translated
into sterling at the average rate of exchange ruling during the
year. Assets and liabilities in foreign currencies are translated
into sterling at the rates ruling at the year end. Exchange rate
differences are dealt with through the profit and loss account.
Taxation
Current tax is provided at amounts expected to be paid (or
recovered) using the tax rates and laws that have been
enacted or substantively enacted by the balance sheet date.
Deferred taxation is provided in full on timing differences
which result in an obligation at the balance sheet date to pay
more tax, or a right to pay less tax, at a future date, at rates
expected to apply when they crystallise based on current tax
rates and law. Timing differences arise from the inclusion of
items of income and expenditure in taxation computations in
periods different from those in which they are included in the
financial statements.
Deferred tax assets are recognised to the extent that it is
regarded as more likely than not that they will be recovered.
Deferred tax assets and liabilities are not discounted.
Leases
Assets obtained under finance leases and hire purchase
contracts are capitalised at their fair value on acquisition and
depreciated over their estimated useful lives. The finance
charges are allocated over the period of the lease in
proportion to the capital element outstanding.
Operating lease rentals are charged to income in equal annual
amounts over the lease term.
Pension costs
Pension costs charged to the profit and loss account relate to a
defined contribution scheme. The assets of the scheme are
held separately from those of the Group. Contributions to the
scheme are charged to the profit and loss account as they
become due for payment. Notes to the financial statements (continued)
Year ended 31 December 2006
Report & Accounts 2006
28
Empresaria Group plc
2. Segmental reporting
Group undertakings
The geographical analysis of turnover, operating profit and net assets is shown below:
Year ended 31 December 2006 Year ended 31 December 2005
*Turnover Profit Net *Turnover Profit Net
by origin before tax assets by origin before tax assets
£’000 £’000 £’000 £’000 £’000 £’000
United Kingdom 65,976 1,784 11,360 52,841 1,544 9,204
Rest of the world 9,483 348 (349) 1,219 63 (516)
75,459 2,132 11,011 54,060 1,607 8,688
In 2006, the “Rest of the world” segment includes amounts from the following acquisitions:
– ITC Group: turnover £251,000, profit before tax £100 and net liabilities amounting to £35,000.
– GIT Consult: turnover £204,000, profit before tax £38,000 and net liabilities amounting to £3,500.
*Turnover by origin is not materially different from turnover by destination
3. Analysis of continuing operations
The amounts in 2006 for continuing operations include the following amounts in relation to acquisitions: turnover £2,513,000,
cost of sales £1,702,000, administrative expenses £735,000 and operating profit £76,000.
4. Acquisitions
On 17 March 2006 the Group completed the acquisition of 60% of the share capital of GIT Consult Czech and GIT Consult Slovakia.
In April 2006, the Group acquired from SSR Personnel Services, through a special purpose vehicle (HEC Resources Limited), its
operating division providing staffing services in the UK public sector for an initial cash consideration of £350,000. On 25
September 2006 the Group acquired 51% of the share capital of EUResource Limited. On 4 October 2006 the Group acquired 51% of
the share capital of ITC Group (ITC PRACA Sp. Z.o.o., ITC APT sp. Z.o.o., ITC CS sp. Z.o.o.). 
The following table sets out the assets acquired. No fair value adjustments were necessary following a preliminary review of the
assets acquired.
1. Accounting policies (continued)
Share-based payment 
The Group has applied the requirements of FRS 20 (IFRS 2) Share-based Payment.  In accordance with the transitional provisions,
FRS 20 has been applied to all grants of equity instruments after 7 November 2002 that were unvested as of 1 January 2005.
The Group issues equity-settled share-based payments to certain employees. Equity-settled share-based payments are measured at
fair value (excluding the effect of non market-based vesting conditions) at the date of grant. The fair value determined at the
grant date of the equity-settled share-based payments is expensed on a straight-line basis over the vesting period, based on the
Group’s estimate of shares that will eventually vest and adjusted for the effect of non market-based vesting conditions. The
directors do not consider these to be material to the financial statements in the current year.
Equity instruments
Equity instruments issued by the Company are recorded at the proceeds received, net of direct issue costs.  Report & Accounts 2006
29
Empresaria Group plc
4. Acquisitions (continued) GIT HEC EUResource ITC
Consult Resources Group
£’000 £’000 £’000 £’000
Fixed assets
Tangible fixed assets - 50 5 16
Purchased goodwill - 300 - -
Preliminary goodwill 163 102 254 850
163 452 259 866
Current assets 
Debtors 11 - 94 110
Cash - - 6 8
11 - 100 118
Current liabilities (31) - (84) (152)
Net assets acquired 143 452 275 832
Satisfied by
Cash consideration 90 350 200 632
Shares in Empresaria Group plc - - 50 -
Professional fees 53 102 25 200
Total initial consideration 143 452 275 832
Contingent consideration (maximum) 8 400 150 760
The contingent consideration is payable dependent on financial performance in 2006 and 2007.
The financial performance of the businesses prior to acquisition is summarised below:
Two months Six months Nine months
ended 28 ended 30 ended 30 
February September September
2006 2006 2006
GIT Consult  EUResource ITC Group
£’000 £’000 £’000
Turnover 57 716 502
Cost of sales (3) (604) (141)
Gross profit 54 112 361
Administrative expenses (26)   (95) (483)
Operating profit/(loss) 28 17 (122)
Interest payable and similar charges - - (1)
Profit/(loss) before taxation 28    17 (123)
Taxation (9)     (2) -
Profit/(loss) for the financial period 19 15 (123) Notes to the financial statements (continued)
Year ended 31 December 2006
Report & Accounts 2006
30
Empresaria Group plc
4. Acquisitions (continued)
GIT Consult Czech was the only trading company when the purchase took place. The un-audited accounts for GIT Consult Czech
are for the two months ended 28 February 2006.
HEC Resources Limited was a start up business during 2006 so comparative figures are not available.
The un-audited accounts for EUResource Limited are for the six months ended 30 September 2006.
The un-audited accounts for ITC Group are for the nine months ended 30 September 2006. During 2006, ITC Group was
restructured. The main impact was that ITC Work Abroad, the largest business within ITC, converted from a partnership to a
limited company. 
5. Information regarding Directors and employees
2006 2005
£’000 £’000
Directors’ remuneration
Emoluments for qualifying services (including bonus £41,000 (2005: 30,000)) 404 327
Company pension contributions to money purchase scheme 27 21
431 348
The number of directors accruing benefits under money purchase pension scheme arrangements was two (2005: two).
2006 2005
£’000 £’000
Highest paid director
Remuneration (including bonus £23,000 (2005: £20,000)) 197 161
Pension contributions 16 13
213 174
2006 2005
No. No.
Average monthly number of persons employed (including directors)
Sales and distribution 365 310
2006 2005
£’000 £’000
Staff costs during the year (including directors)
Wages and salaries 10,751 7,851
Social security costs 1,013 746
Pension costs 93 30
11,857 8,627 Report & Accounts 2006
31
Empresaria Group plc
6. Operating profit
2006 2005
£’000 £’000
Operating profit is after charging:
Depreciation of tangible assets – owned assets 337 262
Loss on sale of tangible fixed assets - 65
Operating lease charges – land and buildings 641 756
Amortisation of goodwill 762 618
Auditors’ remuneration: 
Audit fees for Company’s annual accounts 32 23
Audit fees for Group’s annual accounts 86 57
Other services: tax services 40 45
Other services: due diligence -81
7. Interest payable and similar charges
2006 2005
£’000 £’000
On amounts payable to factors 371 247
Bank loans and overdrafts 37 16
408 263
8. Tax on profit on ordinary activities
Tax on profit on ordinary activities 2006 2005
£’000 £’000
Current tax
United Kingdom corporation tax at 30% (2005: 30%) 
based on the profit for the year 681 560
Adjustments in respect of prior periods (142) 45
Foreign tax 340 -
Total current tax 879 605
Deferred tax
Timing differences, origination and reversal (86) 121
Share of deferred tax in associates (130) -
663 726 Notes to the financial statements (continued)
Year ended 31 December 2006
Report & Accounts 2006
32
Empresaria Group plc
8. Tax on profit on ordinary activities (continued)
Factors affecting current tax charge for the year
The tax assessed for the period differs from that resulting from applying the standard rate of corporation tax in the UK of 30%
(2005: 30%). The differences are explained below:
2006 2005
£’000 £’000
Profit on ordinary activities before taxation 2,132 1,607
Tax on profit on ordinary activities at standard rate 640 482
Effects of:
Disallowed expenses and non-taxable income 247 113
Capital allowances in excess of depreciation 610
Utilisation of tax losses (70) (39)
Movement in short term timing differences 21 -
Other - (6)
Adjustments to tax charge in respect of previous periods (142) 45
Overseas tax at different tax rate 177 -
Total actual amount of current tax 879 605
9. Dividends paid
2006 2005
£’000 £’000
Final dividend paid during the year – 0.45 pence 
per ordinary share (2005: 0.4 pence) 106 80
The proposed final dividend for year ended 2006 is 0.50 pence per ordinary share (2005: 0.45 pence). The proposed dividend is
subject to approval by shareholders at the Annual General Meeting and has not been included as a liability in these financial
statements. If approved, the dividends will be paid on 20 August 2007 to members registered on 20 July 2007.
10. Intangible fixed assets
Positive Negative
goodwill goodwill Total
The Group £’000 £’000 £’000
Cost
At 1 January 2006 9,512 (401) 9,111
Additions 2,465 - 2,465
At 31 December 2006 11,977 (401) 11,576
Amortisation
At 1 January 2006 1,531 (401) 1,130
Charge for the financial year 762 - 762
At 31 December 2006 2,293 (401) 1,892
Net book value
At 31 December 2006 9,684 - 9,684
At 31 December 2005 7,981 - 7,981 Report & Accounts 2006
33
Empresaria Group plc
11. Tangible fixed assets
Fixtures,
Leasehold fittings & Motor
property equipment vehicles Total
The Group £’000 £’000 £’000 £’000
Cost
At 1 January 2006 40 2,075 2 2,117
Acquisitions - 92 - 92
Additions - 554 - 554
Disposals - (112) - (112)
At 31 December 2006 40 2,609 2 2,651
Accumulated depreciation
At 1 January 2006 23 1,557 2 1,582
Acquisitions - 27 - 27
Charge for the financial year 2 335 - 337
Disposals - (85) - (85)
At 31 December 2006 25 1,834 2 1,861
Net book value
At 31 December 2006 15 775 - 790
At 31 December 2005 17 518 - 535
Fixtures,
fittings &
equipment
The Company £’000
Cost
At 1 January 2006 157
Additions 18
Disposal (8)
At 31 December 2006 167
Accumulated depreciation
At 1 January 2006 148
Charge for the financial year 16
Disposal (8)
At 31 December 2006 156
Net book value
At 31 December 2006 11
At 31 December 2005 9 Notes to the financial statements (continued)
Year ended 31 December 2006
Report & Accounts 2006
34
Empresaria Group plc
12. Investments held as fixed assets
Investment
in associate
The Group £’000
Cost
At 1 January 2006 39
Additions 694
At 31 December 2006 733
Share of losses retained
Loss before tax for the year (203)
Share of deferred tax in Associates 130
(73)
Net book value
At 31 December 2006 660
At 31 December 2005 39
Shares in 
Shares in subsidiary
associate undertakings Total
The Company £’000 £’000 £’000
Cost
At 1 January 2006 21 9,744 9,765
Additions 554 1,910 2,464
At 31 December 2006 575 11,654 12,229
Impairment
At 1 January 2006 and 31 December 2006 - 357 357
Net book value
At 31 December 2006 575 11,297 11,872
At 31 December 2005 21 9,387 9,408
The additions in shares in subsidiary undertakings during the year include further investment and acquisition of minority
interests in existing subsidiary undertakings.
The additions in shares in associates during the year include further investment and subscription of new shares in associates. Report & Accounts 2006
35
Empresaria Group plc
12. Investments held as fixed assets (continued)
The company holds shares in the following principal subsidiary trading companies:
Share held Nature of Country of
Company Class % business registration
Financial Service Sector
Mansion House Executive Limited “A&B” Ordinary 100 Provision of staffing services
LMA Recruitment Limited “A&B” Ordinary 80 Provision of staffing services
Lime Street Recruitment Limited “A&B” Ordinary 69 Provision of staffing services
Supply Chain Sector
DriveLink Network Limited “A&B” Ordinary 100 Provision of staffing services
More Driving Limited “A” Ordinary 67 Provision of staffing services
MVP (Search & Selection) Limited “A&B” Ordinary 69 Provision of staffing services
Construction and Property Services Sector
FastTrack Management Services “A&B” Ordinary 61 Provision of staffing services
(Midlands) Limited
FastTrack Management Services “A” Ordinary 72 Provision of staffing services
(London) Limited
TeamSales Limited Ordinary 100 Provision of staffing services
Reflex HR Limited “A” Ordinary 84 Provision of staffing services
Public Services Sector
Healthcare First Limited “A&B” Ordinary 100 Provision of staffing services
Social Work Associates Limited “A&B” Ordinary 100 Provision of staffing services
HEC Resources Limited Ordinary 100 Provision of staffing services
Specialist Brands Sector
Greycoat Placements Limited “A, B & C” Ordinary 82 Provision of staffing services
Bar 2 Limited “A&B” Ordinary 71 Payroll services
2nd City Resourcing Limited “A” Ordinary 63 Provision of staffing services
McCall Limited “A&B” Ordinary 62 Provision of staffing services
The Recruitment Business Limited “A” Ordinary 65 Provision of staffing services
EUResource Limited “A” Ordinary 51 Provision of staffing services
Resolve Interim Solutions Limited “A” Ordinary 51 Provision of staffing services
International Businesses
Skillhouse Staffing Solutions K.K. Ordinary 75 Provision of staffing services Japan
Monroe Consulting Group pty Limited Series A preference 60 Provision of staffing services Australia
GIT Consult Czech s.r.o “A” Ordinary 60 Provision of staffing services Czech Republic
GIT Consult Slovakia s.r.o “A” Ordinary 60 Provision of staffing services Slovakia
ITC PRACA Sp. Z.o.o., 
ITC APT sp. Z.o.o.,
ITC CS sp. Z.o.o. “A” Ordinary 51 Provision of staffing services Poland
Monroe Recruitment Consulting 
Group Co Limited “A” Ordinary 100 Provision of staffing services Thailand
PT. Monroe Consulting Group Ordinary 55 Provision of staffing services Indonesia
PT. Advanced Career Indonesia Ordinary 55 Provision of staffing services Indonesia
Sun Search Recruitment SL Ordinary 51 Provision of staffing services Spain
With the exception of the international businesses, all companies are incorporated in Great Britain and are registered in
England and Wales. All companies operate in the country of incorporation. Notes to the financial statements (continued)
Year ended 31 December 2006
Report & Accounts 2006
36
Empresaria Group plc
13. Debtors
Group Company
2006 2005 2006 2005
£’000 £’000 £’000 £’000
Trade debtors 7,588 7,740 - -
Amounts owed by subsidiary undertakings - - 4,021 1,354
Other debtors 2,349 1,463 980 435
Prepayments and accrued income 1,543 966 251 236
11,480 10,169 5,252 2,025
Group
The trade debtors balance above includes factored and discounted debts of £2,568,000 (2005: £3,301,000).
Included in other debtors is a deferred tax asset of £381,000 (2005: £295,000) for the Group. This comprises £101,000 (2005:
£110,000) in respect of timing differences arising on the excess of depreciation over capital allowances, and £280,000 (2005:
£185,000) in respect of trading losses and other short term timing differences.
Share of deferred tax in associates amounts to £130,000 (2005: Nil) in respect of trading losses. This amount is not included in
other debtors.  
Company
Amounts owed by subsidiary undertakings include amounts falling due after more than one year of £285,000 (2005: £308,000).
No deferred tax asset has been recognised in respect of unrelieved losses and short term timing differences at the year end in the
individual company as the Directors do not believe there is sufficient evidence that suitable profits will be earned in the
foreseeable future (2005: Nil).
14. Creditors: amounts falling due within one year
Group Company
2006 2005 2006 2005
£’000 £’000 £’000 £’000
Loans due within one year (note 15) 990 225 4,889 2,022
Amounts owed to invoice discounters 2,569 3,302 - -
Trade creditors 1,171 812 144 160
Amounts owed to subsidiary undertakings - - 718 675
Current corporation tax 798 711 - -
Other taxes and social security 1,598 1,028 29 22
Other creditors 3,691 3,128 55 54
Accruals and deferred income 2,927 1,786 125 97
13,744 10,992 5,960 3,030
Bank loans, overdrafts and amounts owed to invoice discounters are secured by a fixed charge over the book debts of the Group
and company. Report & Accounts 2006
37
Empresaria Group plc
15. Creditors: amounts falling due after more than one year
Group Company
2006 2005 2006 2005
£’000 £’000 £’000 £’000
Bank loans 1,038 1,325 1,038 1,325
Other creditors 163 124 5 4
1,201 1,449 1,043 1,329
The bank loans are secured by a first fixed charge over all book and other debts given by the company and its subsidiaries.
Interest is payable at 1.7% above HSBC plc base rate on £1,000,000 (2005: £1,000,000) and interest is payable at 1.64% above HSBC
plc base rate on the next £550,000 (2005: £550,000).
Group Company
2006 2005 2006 2005
£’000 £’000 £’000 £’000
Bank loan
Repayable within one year 990 225 990 225
Repayable between one and two years 1,038 325 1,038 325
Repayable between two and five years - 1,000 - 1,000
2,028 1,550 2,028 1,550
Included within loans repayable within one year is £725,000 (2005: Nil) that relates to the drawdown against a revolving credit
loan facility.
16. Called up share capital
2006 2005
£’000 £’000
Authorised
60,000,000 (2005: 60,000,000) ordinary shares 
of 5p each 3,000 3,000
Called up, allotted and fully paid
23,868,526 (2005: 22,256,819) ordinary shares 
of 5p each 1,193 1,113
During the year ended 31 December 2006 the Group issued a total of 1,611,707 ordinary shares for a premium of £1,363,000.  
During the year ended 31 December 2005 the Group issued a total of 2,324,710 ordinary shares for a premium of £1,475,000. 
Of the total premium, the company took advantage of the provisions of section 131, Companies Act 1985 concerning merger relief
for £548,000. Accordingly, this amount has been taken to another reserve with the balance being included in share premium
account (note 17). Notes to the financial statements (continued)
Year ended 31 December 2006
Report & Accounts 2006
38
Empresaria Group plc
17. Statement of movement on reserves
Share Profit
premium Other and loss
account reserves account
£’000 £’000 £’000
Group
Balance at 1 January 2006  3,822 1,539 1,447
Profit for the financial year - - 972
Dividend paid (note 9) - - (106)
Exchange difference on net assets of overseas subsidiaries - - (28)
On issue of shares in the year (note 16) 1,363 - -
Balance at 31 December 2006 5,185 1,539 2,285
Company
Balance at 1 January 2006 3,822 1,539 609
Profit for the year - - 1,712
Dividend paid (note 9) - - (106)
On issue of shares in the year (note 16) 1,363 - -
Balance at 31 December 2006 5,185 1,539 2,215
Other reserves relate to premiums arising on shares issued subject to the provisions of section 131 “Merger relief” of the
Companies Act 1985.
18. Reconciliation of movements in shareholders’ funds
2006 2005
£’000 £’000
Group
Profit for the financial year 972 648
Dividends paid (note 9) (106) (80)
Transfer to minority interests - (310)
Net proceeds from issue of shares 1,443 1,591
Exchange difference on net assets of overseas subsidiaries (28) -
Net addition to equity shareholders’ funds 2,281 1,849
Opening shareholders’ funds 7,921 6,072
Closing shareholders’ funds 10,202 7,921
2006 2005
£’000 £’000
Company
Profit for the financial year 1,712 302
Dividends paid (note 9) (106) (80)
Net proceeds from issue of shares 1,443 1,591
Net addition to shareholders’ funds 3,049 1,813
Opening shareholders’ funds 7,083 5,270
Closing shareholders’ funds 10,132 7,083 Report & Accounts 2006
39
Empresaria Group plc
19. Minority interest
£’000
Balance at 1 January 2006 767
Minority’s share in current year profit and loss account 497
Acquired minority’s shares during the year (141)
Share of net assets on acquisition and shares subscribed 19
Dividend paid to minority (333)
Balance at 31 December 2006 809
20. Financial commitments
At 31 December 2006 the Group had annual commitments under non-cancellable operating leases as follows:
Land and buildings
2006 2005
£’000 £’000
Leases which expire:
Within one year   132 217
Within one to two years   131 111
Within two to five years   209 133
After more than five years   -88
472 549
21. Contingent liabilities
Cross guarantees exist in respect of bank loans and overdrafts between all of the Group companies. Details of the exposure to
bank loans are set out in note 15.
Guarantees and contingencies exist in the ordinary course of business.
The fair value of contingent consideration is accrued once it is confirmed that all the conditions for payment have been met.
Details of the contingent consideration are set out in the note 4.
22. Basic and diluted earnings per share
2006 2005
No. No.
Ordinary shares of 5 pence each (weighted average)  23,102,238 20,798,075
£’000 £’000
Profit for the financial year  972 648
Based on current trading conditions, the Directors are of the opinion that there would be no dilution to the earnings per share
figure resulting from subsidiary minority shareholders trading up.
23. Profit of parent company
As permitted by Section 230 of the Companies Act 1985, the profit and loss account of the parent company is not presented as 
part of these financial statements. The parent company’s profit for the financial year was £1,712,000 (2005: £302,000). Notes to the financial statements (continued)
Year ended 31 December 2006
Report & Accounts 2006
40
Empresaria Group plc
24. Related party transactions
There were no material related party transactions during the year, (2005: Nil).
Intra-Group management charges and net interest charges to subsidiaries, which have been removed on consolidation, amounted
to £1,283,000 (2005: £882,000) and £285,000 (2005: £420,000) respectively. Intra-Group management charges to associates
amounted to £16,000 (2005: Nil).
25. Derivatives and other financial instruments
The Group’s policy is to make use of short term borrowings for all working capital requirements before long term finance is
considered, in order to minimise the cost of capital, and accordingly, the only financial instruments within the financial
statements (short term debtors and creditors being excluded) are amounts advanced under factoring agreements, bank loans 
and loan stock.
Details of the bank loans and loan stock are given in note 15 to the financial statements and bank overdrafts and amounts
advanced under factoring agreements are detailed in note 14 to the financial statements. There are no material differences
between the carrying and fair values of the Group’s financial instruments.
The Group at 31 December 2006 and 2005 has no monetary assets and liabilities that are not denominated in the operating 
(or functional) currency of the operating unit involved.
At 31 December 2006, the Group had undrawn committed borrowing facilities (expiring within one year) of £3,525,000 (2005:
£1,250,000). 
26. Directors’ interests
In addition to the shareholdings in the company disclosed in the Directors’ report, N C Hall-Palmer had the following interests
in subsidiary companies:
Ordinary ‘B’ shares Deferred shares
of 1p each of £1 each
2006 2005 2006 2005
No. No. No. No.
LMA Recruitment Limited - 1,500 - 500
MVP (Search & Selection) Limited - 1,000 - -
FastTrack Management Services (Midlands) Limited - 500 - -
Healthcare First Limited - 485 - -
DriveLink Network Limited - - - 400
In addition to the shareholdings in the company disclosed in the Directors’ report, the Directors had the following interests in
the Executive Equity Participation Plan (EEPP): 
Number of Number of
investment investment
shares shares
Director 2006 2005
A V Martin 23,076 23,076 
M W R Hunt 96,153 96,153 
N C Hall-Palmer 69,230 69,230 
For all the shares in the EEPP, the date from when awards over the matching shares are exercisable is 1 January 2008 and the
expiry date for the exercise of the awards is 27 October 2014. 
27. Post balance sheet events
Following the end of the year, the Group agreed to purchase 60% of the share capital of Headway, a provider of temporary/
contract staffing, principally in Germany for a consideration of €14.6million. The acquisition is subject to shareholder approval
at an Extraordinary General Meeting to be held on 30 April 2007. Additional information
Year ended 31 December 2006
Report & Accounts 2006
41
Empresaria Group plc
The additional financial information on pages 41 and 42 is provided in order to reconcile from statutory financial information to
the adjusted results disclosed in the financial highlights section on pages 3 to 5 and referred to in the Chairman and Chief
Executive’s Statement and the Financial Review. Whilst it has been prepared from the accounting records of the Group, it does
not form part of the audited financial statements.
Reconciliation of statutory financial information to adjusted information included within the financial highlights
2006 2005 2004 2003 2002
£’000 £’000 £’000 £’000 £’000
Operating profit 2,743 1,914 1,067 817 709
Add back:
Goodwill amortisation 762 618 345 273 84
Exceptional legal and professional costs - - 101 45 134
Exceptional reorganisation costs - - 67 99 -
Exceptional bad debt write off - - 135 - -
Adjusted operating profit 3,505 2,532 1,715 1,234 927
Share of loss in associated company (203) (44) - - -
Interest receivable and similar income - - - 62 55
Interest payable and similar charges (408) (263) (325) (196) (252)
Add back:
Exceptional loss on deemed subsidiary 
disposal - - - 13 100
Adjusted profit before tax 2,894 2,225 1,390 1,113 830
Taxation (663) (770) (427) (319) (248)
Minority interests (*) (562) (275) (288) (217) (184)
Adjusted profit after tax and minority 
interests 1,669 1,180 675 577 398
Adjusted earnings per share (pence) 7.2 5.7 4.2 3.9 2.8
(*) Adjusted as necessary for minority interest impact from goodwill and exceptional item adjustments. Additional information
Year ended 31 December 2006
Report & Accounts 2006
42
Empresaria Group plc
Reconciliation of statutory financial information to adjusted information included within the financial highlights
2006 2005 2004 2003 2002
£’000 £’000 £’000 £’000 £’000
Operating profit – continuing operations 2,743 1,914 1,246 1,039 793
Add back:
Goodwill amortisation 762 618 345 273 84
Exceptional legal and professional costs - - 101 45 134
Exceptional reorganisation costs - - 44 - -
Adjusted operating profit 
– continuing operations 3,505 2,532 1,736 1,357 1,011
Share of loss in associated company (203) (44) - - -
Interest receivable and similar income - - - 62 55
Interest payable and similar charges (408) (263) (263) (187) (229)
Add back:
Exceptional loss on deemed subsidiary 
disposal - - - 13 100
Adjusted profit before tax 
– continuing operations 2,894 2,225 1,473 1,245 937
Taxation (663) (770) (455) (393) (294)
Minority interests (*) (562) (275) (288) (217) (184)
Adjusted profit after tax and minority 
interests – continuing operations 1,669 1,180 730 635 459
Adjusted earnings per share (pence)
– continuing operations 7.2 5.7 4.5 4.3 3.3
(*) Adjusted as necessary for minority interest impact from goodwill and exceptional item adjustments. Officers and
professional
advisors
Directors
M W R Hunt
N C Hall-Palmer
A V Martin
T J D Sheffield
P A Freer
Secretary
N C Hall-Palmer
Registered office
1 Peveril Court
6-8 London Road
Crawley RH10 8JE
Bankers
HSBC plc
West & Wales Corporate Banking
3 Rivergate
Temple Quay
Bristol BS1 6ER
Advisors
Bridgewell Securities Ltd
Old Change House
128 Queen Victoria Street
London EC4V 4BJ
Independent Auditors
Deloitte & Touche LLP
Chartered Accountants
Crawley
Empresaria Group plc   Report & Accounts 2006
Officers and professional advisors 43 Empresaria Group plc
1 Peveril Court
6-8 London Road
Crawley
West Sussex RH10 8JE
Tel: +44 (0)1293 649 900
Fax: +44 (0)1293 649 925
Email: info@empresaria.com
Web: www.empresaria.com