Parity Group, which provides IT services and recruitment, has announced their interim results for the period ending 30th June 2009. Their results show that the Group continued to experience “difficult trading conditions” during this period. This is further evidence that the IT sector has a long way to go before it recovers from the current economic downturn.
Parity Group’s revenue was £62.8m, down from £66.3m in the same period last year. Their operating profit had dropped from £735k last year to £336k in this period. The Group has been focussed on cutting costs over this period. This has included the closure of two offices, in Leeds and Hemel Hempstead.
Chief executive of Parity, Alwyn Welch, made the following comments on the results: “We are continuing to experience difficult trading conditions due to the severity of the recession. Demand for skills in our areas of focus in Resources has held well, whilst the discretionary nature of much of Solutions’ business means that market has continued to see extended procurement cycles, project delays and cancellations.”
He continued: “We expect market conditions to remain difficult during the remainder of this year and the first half of 2010. We will therefore continue to manage with care, balancing the need to retain and motivate our staff and to invest in sales capacity to compete, with the need to be prudent, which has so far delivered a resilient performance in Resources and an improving situation in Solutions. Management’s expectations for trading performance for the year remain unchanged.”