Thomson Reuters to cut 2,500 jobs - Los Angeles Local News | FOX 11 LA KTTV

Thomson Reuters to cut 2,500 jobs

Posted: Updated:

NEW YORK (AP) -- News and financial information company Thomson Reuters on Wednesday said it's cutting 2,500 jobs, or about 4 percent of its workforce, this year as it tries to reduce costs and turn around its largest division.

CEO Jim Smith told analysts on a conference call Wednesday that the company is eliminating the positions from its "Financial and Risk" division, which rents out trading terminals to the financial industry. It accounts for just over half of Thomson Reuters' revenue.

"These are not easy decisions, but our cost structure has to meet our customer's requirements," Smith said.

Thomson Reuters has about 60,000 employees.

On Wednesday, the company said it posted a profit of $372 million for the fourth quarter after a large loss in the same period a year earlier, capping what Smith called "a watershed year" in the company's turnaround.

The New York-based company earned $372 million, or 45 cents per share, in the October to December period. That's up from a loss of $2.6 billion, or $3.11 per share, in the same period a year ago, when it took a $3 billion charge related to the declining value of its financial services business, which accounts for more than half of its revenue.

Excluding one-time items, Thomson Reuters' adjusted earnings were 60 cents per share in the latest quarter, up from 54 cents per share a year ago.

Revenue fell 5 percent to $3.4 billion from $3.58 billion due to divestitures. It was up 2 percent when factoring those out.

Analysts were on average expecting adjusted earnings of 54 cents per share on revenue of $3.37 billion, according to a poll by FactSet.

Smith said the company was making progress on its key priorities, which include investing in growing sectors like intellectual property protection and legal information.

The company's stock slid 73 cents, or 2.4 percent, to $29.92 in midday trading. The stock is still close to a 52-week high of $31.18, which it hit two weeks ago.

For the full year, Thomson Reuters earned $2.07 billion, or $2.49 per share, on revenue of $13.3 billion. That compares with a loss of $1.39 billion, or $1.67 per share, on revenue of $13.8 billion in 2011.

  • Your MoneyMore>>

  • Caesars enters New York casino competition

    Caesars enters New York casino competition

    Tuesday, April 22 2014 10:52 PM EDT2014-04-23 02:52:22 GMT
    Caesars Entertainment entered the competition to open a casino in upstate New York on Tuesday with a proposal to build a $750 million complex 50 miles north of New York City. The complex would include a casino, a hotel and a meeting space and would be located in Woodbury, in Orange County. The Las Vegas-based Caesars, which operates 52 casinos around the world, has submitted a $1 million casino license application fee to state gambling regulators.
    Caesars Entertainment entered the competition to open a casino in upstate New York on Tuesday with a proposal to build a $750 million complex 50 miles north of New York City. The complex would include a casino, a hotel and a meeting space and would be located in Woodbury, in Orange County. The Las Vegas-based Caesars, which operates 52 casinos around the world, has submitted a $1 million casino license application fee to state gambling regulators.
  • Airbnb fights NY attorney general's subpoena

    Airbnb fights NY attorney general's subpoena

    Tuesday, April 22 2014 7:06 PM EDT2014-04-22 23:06:24 GMT
    Renting out someone's apartment is an easy way to get an inexpensive place to stay if you're a tourist, and cheaper and more convenient than most hotels. But now the government is stepping in and trying to get a handle on a booming business that may not be playing by the rules. State Attorney General Eric Schneiderman is squaring off in court with multi-million dollar Internet company Airbnb.
    Renting out someone's apartment is an easy way to get an inexpensive place to stay if you're a tourist, and cheaper and more convenient than most hotels. But now the government is stepping in and trying to get a handle on a booming business that may not be playing by the rules. State Attorney General Eric Schneiderman is squaring off in court with multi-million dollar Internet company Airbnb.
  • McDonald's profit slips amid weak sales

    McDonald's profit slips amid weak sales

    Tuesday, April 22 2014 8:24 AM EDT2014-04-22 12:24:13 GMT
    McDonald's reported a lower profit for the first quarter as the world's biggest hamburger chain saw global sales remain weak.The Oak Brook, Ill.-based company said global sales edged up 0.5 percent at established restaurants.  In the U.S., the figure fell 1.7 percent as customer traffic declined.
    McDonald's reported a lower profit for the first quarter as the world's biggest hamburger chain saw global sales remain weak.The Oak Brook, Ill.-based company said global sales edged up 0.5 percent at established restaurants.  In the U.S., the figure fell 1.7 percent as customer traffic declined.
Powered by WorldNow

KTTV FOX 11
1999 S. Bundy Dr.
Los Angeles CA 90025

Main: (310) 584-2000
News Tips? (310) 584-2025

Didn't find what you were looking for?
All content © Copyright 2000 - 2014 Fox Television Stations, Inc. and Worldnow. All Rights Reserved.
Privacy Policy | Terms of Service | Ad Choices