London W1-based Hoskyns Plc has managed to remain in profit over the past six months with pre-tax profit up 5% to UKP8.6m on turnover that fell 8% to a little under UKP103m. The drop in revenues can be attributed to the run-down of two large facilities management contracts while a slight growth in profits has resulted from the widening of margins to 8.4% from 7.3%. The company has continued to win contracts with existing customers such as Hoover and The Rank Organisaiton as well as winning new UK business with National Westminster Bank among others. Furthermore, the group’s ownership by Cap Gemini Sogeti SA has led to international contracts with HJ Heinz and ICI and to the establishment of the French joint venture Cap Sesa Hoskyns (CI No 1,676). Despite this promising start, Hoskyns chairman Geoff Unwin is full of gloom and doom for the future saying: The economic downturn has resulted in organisations looking very seriously at the level of all items of IT expenditure, including that on external services, almost regardless of the benefits that will result. Consequently, we are very much in uncharted waters and the short-term outlook is not promising. There is no sign of an upturn in the market. Under these circumstances, it is unlikely that our profitability in the second half will match that of the first six months.
