PSD joined the growing list of recruitment companies reporting weak demand, raising questions about the strength of the supposed economic recovery.

Full-year figures for the period ended 31 December 2003 showed the firm’s gross fee income fell from £44.4m to £37.6m, and losses per share were 1.5p against earnings of 2.5p last year.

The results sent PSD’s shares down 12% to £2.77 each at the time Recruiter went to press.

Commenting on the results, chief executive Francesca Robinson said: “The group’s results reflect the weak demand for recruitment services in technology markets.”

Trading conditions continued to be tough, but the rate of decline had begun to slow, Robinson said.