Caldwell Partners Posts Q4 Revenue Decline

November 16, 2009 – Executive search firm The Caldwell Partners International Inc. has posted fourth quarter fiscal revenues of $4.53 million, up slightly compared to $4.59 million the previous year. The addition of partners in the U.S. generated operating revenue of $1.7 million in 2009 (10 percent of total operating revenues) and $0.7 million in the 2009 fourth quarter (16 percent of the total). Caldwell Partners recorded an operating loss of $1.8 million during the quarter. As the company focused on higher-value search assignments, the total number of searches in Canada declined in 2009 while the average fee revenues per engagement increased by 19 percent. Revenue for interim executive fulfillments also significantly increased in the 2009 periods compared with the 2008 levels. This was partially offset in the 2009 fourth quarter and for the year by a decline in print advertising revenue mainly as the result of a change in the mix of clients and a reduced number of assignments. For the full year, the firm posted revenues of revenues of $16.1 million, down six percent compared to $17.2 million in 2008. Operating loss for 2009 amounted to $4.7 million, compared with a loss of $1.5 million a year ago. “During 2009, as many companies in our industry contracted, The Caldwell Partners took advantage of our financial strength to pursue market opportunities to expand our business, establishing new sector practices and a significant presence in the U.S. market,” said John N. Wallace, president and CEO. “In just one year, we doubled the number of partners, significantly increasing our future revenue generating capacity.” The Caldwell Partners International Inc., founded in 1970, provides human capital services to its clients through offices in Vancouver, San Francisco, Los Angeles, Dallas, Calgary, Toronto, Montreal, and New York City, and its partners in Chicago.