GLOBAL – Hewitt Associates says its consulting income fell 14.4% in the first quarter – but added that its competitive position was “as strong as ever”.

The company also said it expects growth in consulting revenues of between four and eight percent.

The company said its consulting segment income fell to 22.4 million dollars in the first quarter of 2004, compared to 26.2 million dollars a year ago. The margin fell to 12.7% from 15.2%.

Consulting net revenues rose three percent to 176.9 million dollars from 172.1 million dollars a year before.

"While our consulting business declined slightly in the quarter, our integrated offer continues to be well received in the marketplace, and we believe our competitive position is as strong as ever," said chairman and chief executive Dale Gifford.

Lincolnshire, Illinois-based Hewitt’s total core earnings rose seven percent to 31.7 million dollars while total net revenues rose 11% to 532 million dollars. The increase in core earnings was driven by growth in the outsourcing business and “increased leverage of unallocated shared services costs”.

"Hewitt delivered solid results in the first quarter,” Gifford said. “Increases in outsourcing revenues and margins more than offset the continued investments we made in our workforce management and payroll service offerings.”

The company said it still expects total net revenue growth of 8%-11%, with forecast growth of 10%-12% outsourcing and 4%-8% in consulting.