9 March 2017 – final results
The marketing services group has announced a strong set of results for 2016, with revenues up by 2% to £361.9m (2015: £354.2m) although adjusted pre-tax profits were up by an impressive 15% to £16.7m (2015: £14.5m). Earnings per share on the same basis were 17% higher at 6.07p (2015: 5.18p) and the full year dividend was raised by 10% to 2.42p (2015: 2.20p). Strong cash flow at the group resulted in net debt reducing by £9m during the year to £30m. These are clearly impressive results and future growth looks underpinned with the signing of a number of multi-year new contracts with leading clients including HMRC, Liverpool Victoria Friendly Society and Sony Europe. The group increasingly operates on an international basis with 26% of revenues being generated overseas and a new office is expected to open in New York in June in the first foray into the US. The new year has started well with further progress expected this year and the shares remain a BUY.