12th Jan 2010 12:07
Savile Group plc
(the "Group" or the "Company")
TRADING UPDATE
The Board of Savile Group plc (SAVG.L), the AIM quoted human resources consulting group, specialising in outplacement, career transition and talent management, provides the following update on trading for the half year ending 31st December 2009.
Whilst the first quarter performance was broadly in line with the previous year, the second quarter revenues to 31st December were significantly below expectations. The Group has remained profitable in the first six months although the impact of the second quarter trading will result in the interim figures being substantially below those achieved last year. Trading in the quarter ended 31st December 2008 was unusually buoyant due to the level of restructuring in the financial services industry.
The pipeline in talent management remains strong, although the timeframe to convert into revenue is taking longer than is normally the case. Outplacement revenues experienced a downturn in November and December which was exacerbated by the loss of a significant contract late in 2009. However, indications are that 2010 will be a year of further restructuring, in both the private and public sectors, from which both IDDAS and Fairplace will benefit. Further the Board has taken steps to realign the cost base for the Group, some benefits of which will come through in the current financial year. Overall the Board has reduced ongoing costs by approximately £750,000 pa.
The balance sheet of the Group remains strong, with cash in excess of £3.2m. Presently approximately 0.9m shares are held in treasury and it is proposed that a General Meeting will be held in March to cancel these shares.
The Board remains confident that the business is well positioned for 2010 and will continue its strategy to build the Group both from within and through corporate actions. Savile's performance remains weighted towards the second half of the financial year and the Company expects to announce its interim results to 31st December 2009 in mid February.
For further information, please contact: -
|
Savile Group plc |
Tel: 0207 204 6990 |
|
Jonathan Cohen, Chairman |
M: 07768 502122 |
|
Mark Sidlin, CFO |
M: 07901 855185 |
|
FinnCap Geoff Nash/Ed Frisby Tom Jenkins (Broking) |
0207 600 1658 |
|
Cardew Group Richard Spiegelberg James Milton |
0207 930 0777 |
Notes to Editors
Savile Group has three centres of excellence: CEDAR Talent Management, Fairplace and IDDAS providing coaching, mentoring, career transition and talent management to leading companies, professional services firms and the public sector.
CEDAR Talent Management offers extensive expertise in coaching, leadership assessment and development.
Fairplace has an enviable reputation for high quality career transition and career management.
IDDAS provides a range of board level career and business mentoring, coaching and talent management services, including leadership development.
Further information on the Company can be found on its website, at www.savile.com
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