Tom Glocer: 'We're not magicians'

“We’re not magicians,” he said in an interview after the company reported a higher-than-expected rise in third-quarter profit and revenue.

Glocer was interviewed in New York by Reuters’ media correspondent Jennifer Saba who said he is under pressure from the board and the controlling shareholder, Canada's Thomson family, to increase the group’s market share, particularly for its financial industry products. Sources familiar with the board's thinking said in July he had about a year to make that happen, she reported.

In September Thomson Reuters said it would merge its two operating divisions – the strongly performing professional serving mainly lawyers and accountants, and  the struggling markets, which targets banks and other financial institutions.

“We expect the benefit of these changes will improve sales performance in 2012 and benefit 2013 revenue growth,” Glocer said in a statement accompanying the Q3 release.

“What is clear at this point is that 2012 will not look particularly good,” said Claudio Aspesi, a London analyst. “Things are going to get worse before they get better ... even 2013 is a statement of optimistic faith in a recovery.”

Glocer said conditions remained tough in the financial markets. “But that’s not a good enough excuse as various competitors were still able to grow their businesses," he said in a memo to staff. The company would grow by driving sales in fast-growing markets and taking share in slower ones, he said.

As part of the September shakeup, James Smith, former head of the professional division, was elevated to the new role of chief operating officer, putting him in a strong position to succeed Glocer. ■