TMN Group plc, which owns MR firms ICD Research and iD Factor, says that due to a 'continued decline in performance' its profit will be 50 per cent below expectations for the full year, and that it will make staff cuts 'across the company'.
In the statement, to the London Stock Exchange, the firm said it was 'clear that further retrenchment in the UK media sector is impacting second half revenue at TMN.' The staff reduction and 'other cost containment' will save 'at least £300k in the remainder of this financial year' - equivalent to £1.15m over a full year - and ensure the Group 'ends the year profitable and cash generative'. Chairman Peter Harkness says cost management is the Group's top priority'.
While the firm's major Display Advertising division and two much smaller operations have found conditions particularly tough, the research companies have, says TMN, 'benefited from the continued growth of its media- and finance-focused products'.
In December, TMN announced a post-tax loss of £476k for the first six months of the financial year, compared with a profit of nearly £1m a year previously and despite a 72% rise in revenue, but at the time CEO Mark Smith had said the company's diverse business model enabled it to be 'cautiously confident about the second half when the group traditionally is stronger.'
Web sites: www.tmnplc.com , www.theidfactor.com and www.icd-research.com .
All articles 2006-21 written and edited by Mel Crowther and/or Nick Thomas unless otherwise stated.