Shares digital

Shares in property adviser DTZ (DTZ) plunged 14% to 224.5p after it admitted that results for the current financial year will be significantly below market expectations. The company cited current volatile market conditions, which are making it more difficult to predict the timing of transactions around its year end.

Recent trading has been affected, with the group’s North American business, DTZ Rockwood, hit particularly hard due to the impact of poor investment markets in the US. However, Asia Pacific has generally continued to trade well. Exceptional one-off costs are expected on the back of the Donaldsons acquisition and the market downturn, with the decline in trading conditions and outlook also likely to lead to an impairment charge to the carrying value of its investment in Rockwood.

In contrast to 2007, DTZ believes the global property services market will experience more difficult conditions this year, although this will vary geographically and by sector.

Shares says: DTZ’s share price has remained disappointing and the outlook is turbulent.

by: Rachel Robson