Heidrick & Struggles International Inc. (Nasdaq: HSII) reported net revenue fell 13.7% year over year in constant currency to $293.3 million; it noted an overall slowdown in the economy.

The Chicago-based provider of executive search, on-demand talent and consulting had anticipated the slowdown, and it expects to see some continued volatility in its markets, President and CEO Krishnan Rajagopalan said.

“Importantly, we continued to advance our diversification strategy with the acquisition of businessfourzero to augment our Heidrick Consulting offering as well as the ongoing integration of Atreus into our on-demand talent platform,” Rajagopalan said.

Looking at executive search, Heidrick had 432 executive search consultants at the end of the first quarter compared to 394 at the end of the year-ago quarter. Revenue per consultant was $1.8 million compared to $2.5 million a year ago.

In the company’s on-demand talent division, revenue rose primarily due its acquisition of Atreus, but the increase was partially offset by lower volume in legacy on-demand projects.

Revenue in Heidrick’s consulting business, meanwhile, rose by 2.5% in constant currency. The company noted it had 78 consultants at the end of the first quarter compared to 70 at the end of the first quarter of last year.

Guidance

The company expects second-quarter net revenue of between $260 million and $280 million, a year-over-year increase of between 6.3% and 13.0%.

Share price and market cap

Shares in Heidrick were down 9.08% to $24.54 as of 1:29 p.m. Eastern time today; they were 7.68% above their 52-week low, according to FT.com. The company had a market cap of $540.8 million.