Aukett to record higher than expected loss
Aukett Fitzroy Robinson has reported its first half loss will be greater than expected, following a significant downturn in its Middle East operations
In a trading update, the company announced at the AGM it expected to make a loss in the first half due to re-structuring and other one-off costs, principally relating to the UK operation, which will cost the firm £500,000.
This loss can be attributed to write-downs in UAE project income due to negotiations to reduce fee levels, which, in some cases have occurred retrospectively.
Furthermore, a large project located in the Gulf is to be re-tendered despite a letter of intent being issued, against which the firm was holding a large UK staff contingent.
In a statement, the firm said: ‘Management believe that the group is sufficiently robust and should achieve overall profit for the year but at a lower level than previously expected.’