Huntsworth reported a seven percent increase in like-for-like revenue for the period starting June 30, 2011. However, due to year-end cancellations totaling a whopping £4 million (about $6.32 million according to today’s conversion rate), the company says it will not meet profit expectations.
On the positive side, the company’s individual firms reported gains over the past few months. Citigate revenue is up 15.5 percent, Red is up 15.6 percent, and Grayling is up 5.2 percent. The company said that it won “seven-figure” international accounts.
But, the economy has taken a toll.
“The timing of these cutbacks coming so late in the year will not enable us to reduce costs accordingly. We therefore expect to fall short of management profit expectations by £4m,” company COO Sally Withey said in a statement.
Europe and the U.K. have been hurt by cuts across consumer, environmental, and CSR programs. In the U.S., the pharma industry has been uncertain.