Reuters results hit by dollar slide; reports Barclays Wealth deal

Reuters results hit by dollar slide; reports Barclays Wealth deal

Financial news and information group Reuters has reported a 1.1% decline in first quarter revenue as the weak dollar hit the value of sales to US customers.

The Londond-based group reported Q1 total revenue of £626 million against £633 million in the year earlier period. Discounting the effect of currency swings and acquisitions, the vendor reported underlying revenue growth of 6.5%, including two percentage points from its Core Plus growth strategy.

Reuters' chief Tom Glocer appeared unfazed by the dip in actual revenue: "Our first quarter results confirm that we have made a strong start to 2007. Reuters continues to benefit from the focused investment we announced with Core Plus, the early indications from FXMarketSpace are encouraging, and we are well-positioned to deliver on our full-year expectations."

Shares in the vendor nonetheless ticked downwards by 4.25 pence, or 0.9%, to 479.75 pence, in early trading as analysts digested the news. Forecasts for a further decline in the dollar and ongoing consolidation among Reuters' tier 1 targets curbing investor's appetite for the stock, despite the underlying growth trend.

The vendor was boosted by a two-year deal with Barclays Wealth to provide 800 desktop terminals, including the 3000 Xtra, at the company's offices in the UK, Monaco, Switzerland, Singapore and Hong Kong.

Read the full results statement here:» Download the document now 107.6 kb (Adobe Acrobat Document)

Comments: (0)

Find out more

Trending Stories

Featured Job
All Jobs »
London, UK

Senior Sales, Collateral Management Solutions (London, covering EMEA)

Competitive base + bonus + benefit package

22 Jul