St Ives announces Half Year Results
St Ives plc, the international marketing services group, today announces its half year results for the 26 weeks ended 29 January 2016, showcasing the company’s year-on-year growth and current upward trajectory.
During this period, the Group’s underlying revenue* rose by 6% to £185.7m, and underlying profit before tax* increased by 5% to £16.1m.
Other business highlights from Half Year Report include:
- Strong financial performance in the half year, reflecting further growth in the Strategic Marketing segment
- 37% growth in underlying revenue across Strategic Marketing businesses
- Strategic Marketing now contributing 56% of Group underlying operating profit (2015- 43%)
- Important strategic progress across all three drivers of growth:
- Enhanced collaboration, with over 130 clients using services of more than one Group business (2015 - 100), including Adidas, Marks and Spencer, Vodafone and Unilever
- Continued international growth, with eight Strategic Marketing businesses serving clients on an international basis; over 40% of Strategic Marketing revenue is now generated from international client work
- Two further Strategic Marketing acquisitions: Fripp, Sandeman and Partners (“FSP”), a specialist retail property consultancy, acquired in August 2015 and The App Business (“TAB”), a mobile-led digital consultancy, acquired in January 2016
Marketing Activation and Books continue to support Group collaboration initiatives and provide profit and cash for further growth.
Matt Armitage, Chief Executive, said: “In the past six months we have made good progress, with our Strategic Marketing businesses now contributing more than half of the Group’s profits. This has been achieved through increased collaboration between our businesses, growing our international footprint in the US and Asia and our continued investment in high growth Strategic Marketing businesses.
“While current global economic uncertainty will inevitably lead to some caution in the allocation of marketing budgets, we firmly believe that our Strategic Marketing segment is focused on service areas that deliver a demonstrable return on investment for our clients. We are clear on our growth priorities and we have the financial strength to continue to support our strategic ambitions.
“In the absence of any material change to market conditions, we are confident that we are well positioned to achieve a positive outcome for the full year.”
* Non-underlying items comprise acquisition costs; restructuring costs; net profit or loss on disposal of property, plant and equipment; consideration required to be treated as remuneration; amortisation or impairment of acquired intangibles; re-measurement of deferred consideration; costs related to the St Ives defined benefits pension scheme and other one-off items.
This was posted in Bdaily's Members' News section by Jessie Winston .