Thomson Reuters Grows - and Cuts Back?

Global news and information giant Thomson Reuters has returned to revenue growth in 2010, but with heavy investment and acquisitions saw a 7% drop in underlying profit and is reportedly preparing to make hundreds of job cuts in its global Markets division.

Sources quoted on www.mediaweek.co.uk said some senior management at the company were informed of impending cuts today and an announcement will be made in the first quarter, although a Thomson Reuters spokesman categorically denied any plans for cuts.

Devin Wenig, CEO of the 27,800-strong Markets division, is said to be leading a review, which may affect thousands of positions. The division was formed as a result of the 2008 merger, which created the biggest financial information provider in the world.

The past year has seen heavy investment by the company, with a huge campaign to support the launch of its financial desktop, Eikon, and the fall in profit came despite revenues up 1% year-on-year and 4% in the fourth quarter. CEO Tom Glocer said 2010 had been 'a year of execution and delivery' and comments: 'With this period of heavy investment now successfully completed and our markets improving, we have set our sights on accelerating growth and delivering strong returns on our investments.' Glocer says the firm is targeting 'mid-single digit revenue growth' for 2011, along with 'strongly expanding margins'.

Web site: www.thomsonreuters.com .

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas, 2024- by Nick Thomas, unless otherwise stated.