Glotel, the Information Technologies Communications recruiter, said profit for the year to March 2007 will be below market expectations.

It said: “During the last week of 2006, there was a significant and unanticipated suspension of projects by some key customers in the USA, resulting in the lay off of contractors. In addition, the start dates for some major projects in the USA, which were expected to have commenced by early January, have been delayed. However, the overall US sales pipeline remains strong.”

The shares were 13% lower in mid-morning trade.  The US represents 62% of the company’s net fee income, according to its first-half results statement.

The company added: “The Board is conducting a strategic review of its business”.