Financial Models Company lays off eight per cent of staff
20 February 2004 | 3361 views | 0
Canadian investment technology firm Financial Models Company is to lay off eight per cent of its workforce, incurring a fourth quarter charge of $0.7-$0.9 million.
During the fourth quarter, ending 29 February, FMC expects to cut 35 jobs from the payroll, reducing staff numbers from 420 to 385 people.
"These actions will result in cost reductions in fiscal 2005, without materially affecting our operations or our client services due to increased efficiencies", says Stamos Katotakis, president and chief executive officer of FMC. "We expect to report positive net earnings in the fourth quarter, exclusive of the realignment charge, and a year over year increase in profitability."
Revenue for the fourth quarter is expected to be between $18 million to $18.5 million, in line with previous guidance of slightly lower than the third quarter actual of $18.5 million. Cost of sale and operating expenses, exclusive of the realignment charge, for the fourth quarter is expected in the range of $15.7 million to $16.2 million.