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When the company is not responding to a candidate, it shows its biggest failure in relationship management. It is necessary for a recruiter to disclose the result to a candidate, whether he is selected or not.
If they are not getting any response, they might wait for a while and start searching for another opportunity. Most of them will not return back for another opportunity, since there is a huge wastage of time, seeking for opportunity in that organization.
It is advisory to respond back to a candidate with the result.
There are many advantages in that. If the candidate is too good and hard working he/she will definitely come back with additional qualities that might be beneficial to the organizational growth.
The relationship with the candidate might bring in new business/employees that suits you.