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Work Group Six-Month Loss Narrows On Lower Expenses

9/18/2012 4:01 AM ET

Work Group PLC. (WORK.L), a talent engagement company, on Tuesday reported a pre-tax loss for the six-month period ended June 30 2012, of 21 thousand pounds, narrower than last year's 75 thousand pounds pre-tax loss, reflecting lower operating expenses from the year-ago period.

For half year, the company's net loss shrunk to 57 thousand pounds from 108 thousand pounds, while on a per share basis, loss narrowed to 0.23 pence from 0.44 pence last year.

Net operating expenses decreased by 5 percent to 6.2 million pounds from 6.5 million pounds last year, following the company's programme for cost and headcount reductions and the closure of its Scottish office in the second half of 2011, said Work Group in a statement.

However, revenue for the period declined to 9.39 million pounds from 10.34 million pounds last year.

Looking ahead, Work Group said prospects for the recruitment market remained uncertain and that the conversion of its pipeline was taking longer than expected. However, the Board expects the Group to be profitable in 2012, but below market expectations.

The stock is currently trading at 11.15 pence, up 0.65 pence or 6.19 percent on the London Stock Exchange.

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by RTT Staff Writer

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