Total revenue from its two business units -- direct marketing and shopping circulars -- was $232 million for the first quarter ended March 31, a 2.7% rise over %226 million the previous year.
The company attributed the minimal growth in direct marketing revenue ($157.8 million for the first quarter, from $156.2 million the year before) to the 11% decline in the retail industry, which accounts for 27% of Harte-Hanks' total direct marketing revenue.
The agency, which did experience growth in the health care, pharmaceutical and automotive sectors, expects the economic slowdown to continue throughout the year and impact its business.
Harte-Hanks Shoppers division, which distributes close to $10 million targeted circulars in California and Florida, saw 6.4% revenue growth to $74.3 million in the first quarter, from $69.9 million. -- Cara Beardi
Copyright April 2001, Crain Communications Inc.