Ex-BDO chief Jeremy Newman in as a consultant. RSM Tenon expects revenue to be 10% down in the six months to 31 December 2011
ANDY RAYNOR, chief executive of RSM Tenon, has stepped down from the company after it announced that it expects to report a loss for the six months to 31 December 2011.
In a trading update, RSM Tenon said it expects to report that revenue will be around 10% lower than in the corresponding period in the previous year.
Bob Morton has also resigned as chairman. Adrian Martin has been promoted to executive chairman. Jeremy Newman, the former global CEO of BDO International will join RSM as a consultant in an attempt to improve the company’s performance and financial position.
The company said that “pricing and similar underlying trading effects account for approximately half of the revenue decline with the balance arising from updated accounting estimates.”
“The company’s performance is clearly disappointing and my immediate priority is to instigate and execute the necessary actions to improve profitability and cash generation,” said Martin.
The company’s share price was down 28.5% in early morning trading on the London Stock Exchange.