News and information group Reuters has offered further signs of a recovery after reporting a "noticeable improvement" in trading conditions.
The group said its 8.4 per cent decline in recurring revenues over the first quarter of 2004 bettered its earlier forecast for a drop of 9 per cent or slightly less.
Reuters expects a further lift in the current three month period as the recurring figure - representing 93 per cent of the company's core revenues - is tipped to drop by between 6 per cent and 6.5 per cent on a year earlier.
The company, which had seen the rate of decline stand at 11 per cent last year, added the improvement was likely to be more gradual in the second half of the year.
Chief executive Mr Tom Glocer said the recent upturn had been most noticeable in the United States where new sales over the quarter outpaced cancellations for the first time since March 2001.
He added: "We are continuing to build competitive momentum, with good sales wins in all three of our financial segments."
Total revenues for the three months to March 31st were £598 million, down 10.7 per cent on a year earlier, although this was 8.2 per cent lower after stripping out the impact of acquisitions, disposals and currency movements.
The group has been rocked by a significant fall in demand over the last two years as corporate customers cut back on costs in the economic downturn.
That led to annual losses of almost £500 million in 2002, the first loss since Reuters listed as a public company in 1984.
About 3,000 job cuts over the next three years were also announced in February of last year - among a range of initiatives that helped it achieve profits of £49 million in 2003.