The report released this morning highlights the struggles of the Group in North America.
Companies: Management Consulting Group PLC
Management Consulting Group (LON: MMC) have released their half yearly results to 30 June, with shares falling as a result of the weak figures.
Its primary business is Proudfoot, who according to the website "design, implement and accelerate operational transformation" on behalf of companies working in a variety of sectors. Proudfoot has recently been restructured, including the appointment of a new CEO.
Shares were trading down 5% in early trading this morning, with the report outlining the "weak performance" in Proudfoot's North American operations.
Revenue for the Group's H1 17 trading was up 11% on the preceding six months, but 16% lower than H1 16. They reported an underlying operating loss of £4.6m in the first half of 2017 compared with losses of £6.9m for the second half of 2016 and £1.9m for the first half of 2016. Overall, these results are an improvement on the second half of 2016 but Management says they "expected to be further along the road to recovery in North America."
Revenues for H1 17 from EMEAA saw an increase of 32% over the second half of 2016 and 36% over the first half of 2016. Similar progress was not realized in their Americas markets where revenue of £9.9m represents a decline from £10.6m in H2 16 and from £17.2m in H1 16.
The Group enjoyed a spike in share prices earlier this year and have been steady since February. However, revenues have dropped significantly in the 5 years to 2016, falling over 80%. Profits have followed suit, swinging from an operating profit in 2015 of £26m to operating loss of almost £40m last year.